Construction Contract Management Masterclass: Developing & Managing Successful Construction Contracts

Why Select this Training Course?

Construction contract management involves administrating and managing tasks or work agreements between parties to a construction project. Within context, when it comes to managing these contracts, it’s important to evaluate the potential risks and determine how they affect construction projects. The contract management process begins with planning and continues through implementation, pre-contract, post-contract, and final handover stages. The primary role of contract management is to provide guidance on procurement strategy, contract models, payment methods, conditions, and procedures in the construction industry. It also involves preparing tender and contract documentation evaluating variations, claims, and final accounts.

This Rcademy Construction Contract Management Masterclass: Developing And Managing Successful Construction Contract course offers comprehensive education/training to participants on effectively managing contract procurement, claims, payment, and dispute resolution. All employers, consultants, and contractors should ensure that their employees receive proper training on the procedures involved in contract management. This is crucial for understanding the importance of contract management in a construction project, especially in preventing abandonment and unnecessary stalling.

What is the best type of construction contract?

The lump sum contract is known as the best type of contract. This specific kind of construction contract is also referred to as a stipulated-sum contract. This arrangement gives a set price for the whole project, which is based on detailed plans and specifications. This price encompasses all aspects of the project, and the owner is fully aware of the actual cost of the work in advance. This particular contract necessitates a comprehensive and detailed collection of plans and specifications. The contractor will be entitled to receive monthly progress payments, with the exception of the retention amount. The contract offers little flexibility, and any modifications to the design or deviations from the original designs would necessitate a change order that the owner must pay for. Payment in this contract is contingent upon the proportion of work that has been finished.

What is a construction management contract method?

The construction management contract method involves the completion of construction work through a number of individual works or trade contracts, with the primary contractor overseeing the management of these contracts. The contractor is not directly involved in the physical labour but instead receives compensation for overseeing the project’s progress across different work packages.

The employer initiates the process by selecting consultants and a contract administrator to create drawings, a project specification, and a cost plan. The employer exercises authority over the design process throughout the project by utilising their team of professionals. The contractor is selected through a process of negotiation, tender, and interview. The works packages are typically awarded through a competitive bidding process.

Who Should Attend?

This Rcademy Construction Contract Management Masterclass: Developing And Managing Successful Construction Contract course is developed for construction and management  experts such as:

• Project directors charged with organising teams to ensure timely and budget-friendly completion of work at a superior level.
• Contract managers tasked with examining the legal components of contracts and helping to negotiate terms and conditions with clients and third parties.
• Project architects who design and manage construction documents and ensure projects are completed within budget and on time.
• Site managers who have the important task of guaranteeing that a construction project is completed on schedule and within the allocated budget.
• Cost controllers liable for estimating the time, labour, and materials needed to complete a project and ensuring that expenses are managed effectively to prevent cost overruns.
• Claim specialists who assists with any contractual claims, payment issues, or disputes you may be experiencing.
• Contractors and subcontractors.
• Quantity surveyors.

What are the Course Objectives?

This certification training course on Rcademy Construction Contract Management Masterclass: Developing And Managing Successful Construction Contract course intends to enable professionals to:

• Recognise how construction contracts operate and the reasons why they can occasionally lead to project abandonment.
• Examine a few particular sentences and clauses that frequently cause issues.
• Consider collaborating on engineering and construction contracts in a more cooperative manner.
• Apply diverse methods to facilitate the fulfilment of the obligations and desired outcomes of contracting parties.
• Understand the challenges associated with different construction contract methods and how best to navigate them.
• Examine engineering and construction contracting within a global framework.
• Recognise fast and effective dispute resolution techniques.
• Learn about the implications of governing laws and choose the best form of dispute settlement.

How will this Course be Presented?

This Rcademy Construction Contract Management Masterclass: Developing And Managing Successful Construction Contract course is designed to cater to participants’ needs and help them enhance their skills and knowledge. Various methods and strategies will be deployed to train participants. The course will be taught by knowledgeable professionals who have extensive expertise and practical experience in the field. The modules are created based on thorough research on the subject.

This course has both theoretical and practical aspects. It contains lecture notes, real-life scenarios, PowerPoint presentations, and additional resources. Participants will engage in various activities, including presentations, quizzes, seminar workshops, and giving feedback, to assess their level of satisfaction with the lessons.

What are the Topics Covered in this Course?

Module 1: Introduction to Construction Contract Management

• Principles and concepts of managing construction contracts
• Roles and responsibilities of contract managers
• Significance of contract management in construction projects
• A brief explanation of the contract lifecycle
• Legal and regulatory in construction contracts
• Ethics in managing construction contracts
• Failures in contract management
• Issues faced in managing construction contracts

Module 2: Contract Preparation

• Setting up project deliverables
• Determining the sourcing strategy
• Contract types and strategy
• Developing the scope of work
• Prequalification process

Module 3: Construction Contracts Problems and Risk

• Delays
• Incomplete or defective work
• Changed conditions
• Warranties
• Insurance
• Indemnification
• Termination for default
• Liquidated damages
• Assignment and subcontracting
• Dispute resolution mechanism

Module 4: Developing Comprehensive Construction Contracts

• Elements of a construction contract
• The agreement
• General conditions
• Special conditions
• Scope of work
• Construction drawings
• Specifications
• Schedule of values
• Bill of quantities
• Types of construction contract
• Key terms and clauses in construction contracts
• Best practices in contract drafting
• Contract pricing and payment terms
• Insurance and bonding requirements in construction contracts
• Negotiation techniques for contract development

Module 5: Tendering Procedures

• Develop a checklist
• Searching for suitable tenders
• Review against your checklist
• Roles and responsibilities
• Complete the first draft of the tender
• Amend, edit, review
• Proofread
• Submit

Module 6: Contract Administration and Compliance

• Roles and responsibilities in contract administration
• Creating efficient contract administration procedures
• Ensuring effective oversight and management of contractor performance
• Contract administration involves the submittal and review processes
• Procedures for managing change and controlling variations
• Ensuring adherence to contract specifications and requirements
• Contract administration involves tasks of documentation and record-keeping

Module 7: Contract Award and Commencement

• Post-tender negotiations
• Letter of acceptance/letter of award
• Insurance, bonds and guarantees
• Mobilisation and commencement of works

Module 8: Contract Termination

• What is contract termination?
• Understanding the right to terminate a contract
• How to terminate a contract?
• How to write a contract termination notice
• Reasons for terminating contracts

Module 9: Managing Changes and Variations in Construction Contracts

• Streamline the processes and procedures for managing changes
• Preparation and approval of contract change orders
• Evaluating the effects of contract modifications on project scope, cost, and schedule
• Ensuring equitable and rational change orders
• Creating and managing deliverables and milestones
• Streamline order documentation and improve communication
• Managing scope creep in construction contracts
• Changes in a construction project

Module 10: Contract Closeout and Project Handover

• Activities involved in contract closeout
• Finalising and approving the contract deliverables
• Final inspections and project documentation
• Completing payments and wrapping up financial matters
• Reflections and evaluations after completing a project
• Managing warranties and fixing defects
• Procedures for handing over to operations

Module 11: Ethical Considerations in Construction Contract Management

• Understanding ethics in the construction industry
• Addressing ethical challenges in contract management
• Frameworks for making ethical decisions
• Avoiding conflicts of interest and corruption
• Responsibilities towards stakeholders from an ethical standpoint
• Ethical dilemmas in construction contract management

Module 12: Emerging Trends in Construction Contract Management

• Contract management and the age of digital transformation
• Utilising AI, IoT and predictive analysis for contract administration
• Building information modelling and contract management
• Considering sustainability in construction contracts
• Trends in managing construction contracts on a global scale
• Adapting to the latest developments in contract management