Course Outline

Relationship based contracting

• What is relationship based contracting?
• Overview of various forms – definition of types, and discussion of approaches, covering;
  • PPPs
  • Aligning with government
  • How to make any contract delivery system relationship based
• Best/worst practice case studies of various approaches to contract delivery
• Why choose a relationship based contracting method over traditional means, and how to build the relationship factor into traditional approaches?
  • Examining the benefits of to clients/ owners, contractors and consultants

Contracting strategy selection

• Defining the workscope (client/ owner) drivers and requirements
• Defining stakeholder drivers and requirements – balancing cost, risk and compensation
• Understanding the risk pricing variance between standard contracts and alliances
• Cultural, legal, insurance and liability considerations
• Choosing the optimal contracting strategy to deliver the outcomes required
• Engaging the key support team ( facilitators, legal, probity and regulatory)

Contracting approach selection process development

• Examining types of selection processes
• Choosing the optimal selection process
• Resources required during the selection process
• Role of senior executives and evaluation teams

Establishing the relationship

• Examining various commercial models
• Reviewing organisational structure (for projects) options
• Matching the contract model to business objectives
• Establishing and managing mutual expectations
• Selecting and structuring the relationship management team – who are the right and wrong partners?

Developing relationship systems, processes & performance management

• Leadership development to optimise team performance
• KPIs and objective linked incentives
• Risk management
• Project risk boundaries and managing change of scope
• Relationship management plans

Creating a model for sustained performance

• Examining and developing a model for achieving a successful contract relationship
  • People – attaining a well structured project team and reporting lines
  • Systems
  • Interfaces
• Challenges and pitfalls with contract execution and how to overcome them
• Working with stakeholders, subcontractors and consultants

Addressing communication challenges

• The paradigm shift – key communication and negotiation principles to utilise for a successful alliance
• Communicating alliancing benefits of key differentiating factors such as;
  • Risk pricing variance
  • How scope changes are addressed
  • Cost and non-cost remuneration
  • Translating objectives to alliance partners
• Establishing clear lines of escalation
• Developing a win-win trust relationship with relationship partners