Outsourcing and Contracting for Maintenance

Introduction:

In today's competitive environment, asset availability and reliability are crucial. A prevalent trend in maintenance management is to delegate internal maintenance operations to specialized contractors, enhancing efficiency and allowing a focus on core business activities.

Maintenance is often managed through contracts, which facilitate a balanced relationship between clients and service providers. These contracts cover both internal and external collaborations, defining requirements, responsibilities, and performance metrics.

This course will thoroughly explore the intricacies of maintenance outsourcing and contract management, including proposal drafting, regulatory compliance, contractor performance evaluation, and contract management. Participants will gain the expertise to make informed decisions about outsourcing maintenance, select suitable contractors, and manage contracts effectively.

By examining various contract types and real-world examples from different industries, participants will learn to maximize the benefits of outsourcing, mitigate potential risks, and enhance asset performance.

Objectives:

Upon completing this Outsourcing and Contracting for Maintenance course, participants will be able to:

• Make informed decisions about outsourcing maintenance activities.
• Implement effective maintenance contracts for managing built systems.
• Select and apply appropriate types of maintenance contracts, including Service Level Agreements (SLAs).
• Establish service levels and manage contractor performance effectively.
• Prepare and negotiate robust maintenance contracts.
• Recognize and address common issues in maintenance contracting.
• Conduct objective evaluations of all parties involved in contracts.
• Develop and implement effective strategies for managing maintenance contracts.

Training Methodology:

• Case Studies
• Workshops
• Simulations
• Group Discussions
• Interactive Exercises
• Role Playing
• Scenario Analysis
• Project-Based Learning

Course Outline:

Unit 1: Outsourcing Considerations

• Historical overview of outsourcing.
• Understanding and managing assets.
• Return on Investment (ROI) of structured maintenance.
• Key considerations for outsourcing maintenance services.
• Advantages and disadvantages of outsourcing.
• Identifying internal risks associated with maintenance outsourcing.

Unit 2: Understanding Maintenance Contracts

• Types and varieties of maintenance contracts.
• Identifying parties involved in the contracting process.
• The tendering process and contemporary techniques.
• Factors to consider when selecting a maintenance outsourcing provider.
• Pricing services and preparing the outsourcing contract agreement.
• Setting requirements and performance measurement parameters.
• Adoption of Balanced Scorecard with Performance Contracts.

Unit 3: Developing the Maintenance Contract

• Vendor management and the necessity of a specialized team.
• Managing a contract through its lifecycle.
• Defining required service levels.
• Completing the contract essentials.
• Management of external contract activities.
• Performance control and regular feedback for improvement.

Unit 4: Grounding and Negotiating the Contract

• Communicating expectations for availability, reliability, and costs.
• Reviewing preventive maintenance plans and identifying poor strategies.
• Developing the Risk-Based Maintenance Concept in seven steps.
• Negotiating maintenance contracts and strategies.
• Effective negotiation tactics and strategies.

Unit 5: Development of a Maintenance Contract

• Detailing specification requirements and service level expectations.
• Preparing proposals and choosing contract parameters.
• Presenting bids and concluding outsourcing maintenance contracts.
• Appraising outcomes to ensure contract effectiveness.

Conclusion

This Maintenance Outsourcing and Contract Management course provides participants with comprehensive training in managing complex maintenance contracts and outsourcing. The course equips participants with the skills necessary to master various aspects of maintenance contracting, enhancing their ability to effectively manage and optimize maintenance operations.