Negotiating Contracts Effectively
By the end of the program, participants will be able to:
Recognize the importance of developing a solid Scope of Work and the implications of failing to do so.
Decide when to negotiate, as opposed to tendering.
Plan and conduct several contract-related negotiations.
Use communication and planning skills that will allow reaching a win-win outcome.
Successfully negotiate Contractual Claims and Change Orders.
This Program is designed for:
Those involved in contract and/or business related negotiations. The program will also benefit those
involved in negotiating the procurement of manpower and the purchasing of material supplies.
| Pre-Negotiation Steps |
Principled Negotiation (The
Harvard Model) |
| Establish Need
Obtain Approvals
Authorization to Negotiate?
|
Separate People from Problem
Focus on Interests, not Positions
Invent Options
Use Objective Criteria
|
| Developing the Scope of Work/Strategy |
Planning: The Key to Win-Win
Negotiation |
| Must and Want Criteria
Assigning Weights
Avoiding Pitfalls through Internal and External Research
|
The Planning Form
Different Pricing Strategies
Clear Objectives/Options
Bases of Power
|
| When to Negotiate and When to Tender |
Different Types of Contracts |
Know Your Company Policy and Practices
Evaluate the Situation
Justify Negotiation and/or Single Sourcing
|
Single-Sourcing
Maintenance/Parts
Whole-Life Cost
Multiple Suppliers
|
| The Secrets to Effective Negotiation: |
Negotiating Claims and Change
Orders |
Planning
Communication
Making Concessions
|
Time Extension
Change Rates
Idle/Waiting Time Rates
|
