This workshop aims to develop participants existing capability in planning and executing commercial arrangements. It explores the context of the relationship and the strategies and behaviours that underpin facilitating better business outcomes.
This intensive one-day workshop explores end-to-end commercial acumen for procurement & contracting professionals, and the behaviours and methods that can be deployed throughout the lifecycle to strengthen the decisions made.
This course is designed for:
The workshop will benefit those involved in commercial contracts, negotiations and relationships who wish to develop their existing capability in managing commercial processes. This will be of particular benefit to those involved in high risk or high value arrangements.
The workshop will be led by an experienced facilitator, and will include six sessions involving exercises, case studies, presentations and facilitated discussions. The workshop is designed to generate optimal learning experiences for participants and to maximise practical application of learnings in the workplace.
Benefits of attending
Attendance will help develop existing capability in commercial arrangements, and in the tools that may be used.
As well as this, delegates will gain three key benefits from attending:
- Make better contracting judgments and quicker decisions
- Be more likely to achieve contractual goals quickly and with less effort, disputes and cost
- Reduce the likelihood of losing value through making elementary mistakes
Key learning outcomes
- Achieve commercial goals, effectively and efficiently
- Protect the interests of the organisation through use of the supply chain and contracting lifecycles
- Safeguard against supply chain and contracting interruptions by enhancing the contracting process
- Develop clear performance criteria that are workable for both vendor and purchaser
- Enhance identifying, assessing and mitigating risk skills
- Capture performance so that it can be optimally evaluated and monitored
What does it mean to be Commercial?
- Defining commercial acumen
- Aligning commercial value to the business objectives
- Activity: Identifying the key value drivers for your contracts
- Using portfolio analysis (Krajilic’s Matrix) to identify the most appropriate contracting strategy
- Understanding the relationship between scope definition, risk and the selection of a commercial pricing model
- Activity: Identify the most appropriate pricing model to deliver the required scope of work at the lowest risk for a contracting scenario
The Supplier’s Perspective
- How do suppliers view you?
- The ideal customer
- Activity: Using the Customer Preferencing Model to understand the suppliers perspective
- Aligning the buyer and supplier strategy
Effective Management of Contracts
- The contract life cycle
- After the ‘deal’ comes the hard part (effective contract implementation)
- Activity: participants identify key opportunities to improve contract management within their organisation
- Managing the relationship
Managing Contract Performance
- What does performance management involve?
- Motivators and demotivators of supplier performance
- KPI’s, SLA’s, PI’s rebates and incentives
- Issues, variations and dispute resolution
- Activity: Managing contract variations
Open Discussion Session
- Discussion of issues relevant to the group
- Learning Review