Workshop on Effective Contractor Management in Maintenance & Technical Projects

Program overview:

This program is designed to assist participants understand how contractor management fits in the overall Asset Management context.  How to select the right contractor and contract type that suits your sourcing strategy, how to manage and monitor for results. Further, topics such as risk management, safety-health-environment aspects, partnerships, negotiating, people management (winning the hearts of the people) and applying contracts in a complex project will be considered. Participants will have the opportunity to discuss the existing contracts used in their organizations. Through a combination of formal lectures and group work, they will leave the course with the tools to make contracts and contract management highly effective.

For whom:

This program is designed for professionals involved in contractors’ management, negotiating, managing and verifying contracts in maintenance & technical projects. Production & Continuous Improvement, Facility management teams, Shutdown and Turnaround management teams, anyone who wishes to update themselves on contractor management

Learning objectives:

At the end of this program, participants will be able to:

• explain the basic elements of effective contractor management and its position within asset management;
• evaluate bids and proposals and choose the right contractor;
• identify, evaluate and manage the risks involved (SHE, performance);
• manage & monitor the contractor performance in an innovative way; and
• acquire skills to negotiate with contractors and other service providers.

Course outline:

Day One: Contractor Management Basics

• Overview of contractor management
• How does it relate to asset management?
• (Out) / sourcing strategies
• Risks involved – risk management & SHE aspects
• Grounding the maintenance contract with a Risk Based Maintenance concept – how to keep that knowledge in-house

Day Two: Contract Types for Maintenance & Technical Projects

• Contracts – basic types
• Contracts – complex types

(Turnkey, Design & Construct, Public Private Partnerships)

• Procurement aspects
• Choosing the right contractor
• Monitoring & managing contractor performance
  • From traditional penalties & rewards to more innovative ways

Day Three: Developing the Contract

• The contracting cycle
• Requirements / service levels, RAMS aspects

(Reliability Availability Maintainability & Safety)

• Writing the contract
• Periodic evaluation & continuous improvement
  • Vendor management
• Partnerships

Day Four: People Management & Negotiation Aspects

• Implementing contract management
• How to make it work by influencing the behavior

 of people

• Negotiating the contract
• Negotiation ploys
• Negotiation tactics & tips

Day Five: Defining and Managing Service Level Agreement

• Requirements / service levels – defining what you want
• Tendering process, Contractor selection
• Contractor management:
• Measuring & managing the contractor performance
• Course Evaluation: Lessons Learnt.

Training Methodology

Lectures, discussions, exercises, and case studies will be used to reinforce these teaching/learning methods.