Introduction

Once a contract has been awarded—particularly in capital projects such as construction—organizations must ensure that what was contracted for is delivered on time, to quality standards, and within budget. Monitoring performance, managing changes, and controlling risks are critical to achieving successful outcomes. This course equips employees involved in the contracting process with best practices in post-award contract administration to maximize the benefits of procurement activity.

Key focus areas include:

• Effective Contract Administration
• Managing Contract Risks
• Interpreting Contract Wording
• Maintaining Contract Schedules
• Controlling Contract Changes

Objectives

By the end of this program, participants will be able to:

• Achieve better outcomes from contracts
• Update contract administration techniques
• Monitor contract performance effectively
• Manage the contract change process
• Analyze contract obligations and risks
• Handle contract defaults and apply remedies, including termination
• Prepare for contract claims and disputes
• Review acceptance procedures and contract closeout

Target Audience

• Contract Specialists and Professionals
• Contract and Project Administrators/Coordinators
• Contract Engineers and Analysts
• Construction Contract and Project Managers
• Bids and Tenders Managers and Officers
• Buyers and Purchasing Professionals
• Supply Chain professionals concerned with contract performance
• New employees in contract management or those seeking to enhance contract administration skills

Course Outline

Day 1 – Objectives of Contract Administration

• What is Effective Contract Administration?
• Causes and effects of contract failure
• Analysis of contract requirements
• Defining the job: specifications and statements of work
• Key players in contract administration
• Typical outputs of contract administration

Day 2 – Managing Contract Risks

• Identifying contract risks and responses
• Contract types
• Important contract clauses related to risk
• Using bonds and guarantees
• Working with Service Level Agreements (SLAs)

Day 3 – Managing Performance and Contract Changes

• Monitoring supplier performance
• Expediting techniques
• Major causes of contract changes
• Contract price adjustments
• Requesting supplier price breakdowns
• Analyzing contractor costs and prices

Day 4 – Issues in Contract Performance

• Contract defaults and breach response
• Liquidated and unliquidated damages
• Termination options
• Force majeure
• Supplier and contractor relations

Day 5 – Acceptance and Closeout

• Final acceptance
• Contractor warranties
• Managing retention sums
• Administration of final payments
• Negotiating claims and disputes
• Closeout procedures and handover