The Mini Master in Contracts and Purchasing (10 Days)

Introduction:

Contracts and purchasing are complex yet rewarding activities that drive cost reduction, quality improvement, and performance enhancement within organizations. Effective purchasing ensures that contracts, which are fundamental to organizational success, translate into tangible business benefits. This advanced course on contracts and purchasing focuses on strategic purchasing and the establishment and management of purchasing contracts, emphasizing essential components and terminology.

Objectives:

At the end of this contracts and purchasing course, participants will be able to:

• Assess the role of purchasing and contracting in modern organizations.
• Understand the issues behind contracts.
• Explain the application of contracts in international contexts.
• Explore contract creation and strategies for different types of projects.
• Review various types of contracts.
• Address common challenges in drafting contracts.
• Implement appropriate purchasing policies and strategies.
• Develop and practice key competencies.
• Evaluate functional characteristics of operational excellence.
• Locate and assess new international sources.
• Apply sourcing methods and procurement document management.
• Analyze international purchasing and contracting practices.
• Enhance supplier management techniques.
• Improve communication and negotiation skills.
• Formulate strategies to streamline procurement practices.
• Learn about international business ethics and laws.

Training Methodology:

• Case Studies
• Interactive Workshops
• Group Discussions
• Simulations
• Expert Presentations
• Role Plays
• Scenario Analysis

Course Outline:

Unit 1: The Basis of Contracts

• Considerations for contracts in various countries
• Proper contract formation
• Exchange of promises
• Required clearances and documentation
• Signature and sealing requirements
• Formalities and authorities
• Problems with court actions and foreign participation
• Delegation of authority

Unit 2: Making the Task Easier: Putting Together a Contract

• Contracting out and tendering purposes
• Handling acquisition difficulties
• Other procurement methods
• Framework agreements
• State and commercial contracts
• Delegated contracts and legislative developments
• Selecting contract types based on projects
• Additional documents and conditions

Unit 3: Contract Drafting

• Precision in language
• Translation issues
• Important clauses: health, safety, and environment; work standards; indemnities; insurance; deadlines; liquidated damages; Acts of God; disclaimers; warranties; applicable laws

Unit 4: Negotiation

• Stages of negotiation
• Awarding contracts
• Negotiation skills and strategies
• Handling difficult clients
• Managing litigation and disputes
• Alternative dispute resolution methods

Unit 5: Contract Management

• Project and contract management integration
• Roles and document management
• Change management
• Payment systems and delay costs
• Managing terminations and closeouts

Unit 6: Modern Purchasing Strategies

• Globalization impact
• Contemporary purchasing behaviors
• Total cost of ownership
• E-commerce procurement

Unit 7: Developing a Procurement Strategy

• Key data and buyer segmentation
• Procurement category management
• Cost determination and inventory control

Unit 8: Sourcing Strategies

• International procurement benefits and pitfalls
• Sourcing selection criteria
• Performance assessment and exchange rate management
• Ethics in international business

Unit 9: Supplier Management Approaches

• Tendering best practices
• Negotiation processes
• Framework agreements and supply chain alliances
• Supplier relationship management

Unit 10: Purchasing Improvement and Project Management

• Purchasing improvement initiatives
• Project management tools and techniques
• Critical path management
• Engagement and marketing strategies
• Action planning and program review