The Essentials of Contracting & Contract Negotiation

Module 1:

The Essentials of Contracting

Day1: How Contracts are Formed

• The reasons for using contracts

• Basic principles in contract formation

• Examples of formalities for contract formation

• The use of written or oral contracts

• Authority to sign a contract

• Basic contractual structures

• Use of different types of contract for different business models

• Ethical issues

Day 2: Main Contract Provisions and Associated Issues

• Scope of Work

• Force majeure

• How to deal in volatile market conditions

• Delivery and acceptance

• Termination and Suspension

• Warranty

• Selecting the appropriate law to govern the contract

• Entire Agreement

Day 3: Changes and Variations

• Changes to the contract

• Scope variations

  • Use of variations clauses

  • Evaluating scope changes

  • Extensions of time

  • Disruption

  • Changes in sequence and timing

• Controlling and managing change

Day 4: Contractual Documents and Payment Issues

• Letters of Intent and Award

• Bonds

• Progress Payments

• Parent Company Guarantees

• Use of commercial standard documents

• How contracts end

  • Suspension and Termination

• Types of damages

Day 5: Dispute Resolution

• Avoiding disputes

• Recognizing disputes when they arise

• Contract clause to encourage negotiation

• Third-party dispute resolution

  • Courts

  • Arbitration

  • Alternative methods – including mediation

• Post review and analysis

Module 2:

Negotiating & Dispute Resolutions

Day 6: Fundamentals of Negotiation

• Building business relationships - the impact of disputes on “partnerships”

• 4-phase structure: Preparation, Discussion, Proposing, Bargain & Close

• Use of concessions; best alternative to a negotiated settlement (BATNeS)

• Preparing the case, objectives (entry/exit points) and concessions

• Common mistakes to avoid

Day 7: The Negotiator’s Toolbox

• Planning an appropriate environment for the meeting

• Opening discussion, priorities, information needs, and building trust

• Using proposals –conditional and unconditional to move the meeting on

• Closing the bargain: trading concessions, summaries, recording outcomes

• Alternatives to negotiating outcomes to a dispute

Day 8: Negotiating Styles, Tactics and Ploys

• Cultural & international issues: negotiating styles around the World

• Emotion and negotiation – managing negative emotions

• Interpreting non-verbal communication – do’s and don’ts

• Push/pull styles and silence as a tactic

• 60 common tactics and how to counter them

Day 9: Personal Skills in Dispute Negotiation

• Motivation – analysis of needs, interests, positions, and escalation

• Motivators of conflict and 5 alternative approaches to the dispute resolution

• Team negotiations – Why? What? How? Who? When?

• Handling conflict and deadlock

• Personal skills development - fitness check

Day 10: Putting it All Into Practice

• Leaders’ contribution of mission and self-belief in critical situations

• Team allocation and orchestration of specialists - mediation process

• Negotiation case study – plan, bargain, review, analysis of results

• The do’s and don’ts of negotiating – success in dealing with assumptions

• Murphy’s law - improving what we do – final action planning