Course Overview:
This five-day intensive course is designed to equip professionals with the skills to identify, manage, and mitigate risks associated with contracts. Participants will gain practical insights into effectively analysing commercial risks, utilizing risk management tools, and enhancing compliance with best practices. With a focus on strategic and practical techniques, this course covers critical areas such as risk analysis, contract protection measures, contract terms (including force majeure and termination), and proactive risk planning.

Course Objectives and Outcomes
Course Outcomes:
Recognise and assess key commercial risks contract owners face.
Evaluate current contract terms to ensure optimal risk management.
Apply essential risk management tools to improve contract resilience.
Utilize protective contract measures to recover from unexpected events.
Prepare for emerging risks related to health, safety, and economic changes.
Target Audience:
This course is ideal for Contracts Engineers, Contracts Administration Professionals, Contract Managers, Project Managers, Commercial Managers, Procurement members, and supply chain personnel. It is also suited for anyone responsible for negotiating, drafting, or preparing contracts.

Course Content

Day 1: Foundations of Contract Risk Management
Identifying Contractor-Based Risks
Analysing the potential risks associated with contractor performance and behaviour.
Risk Avoidance and Mitigation Techniques
Exploring strategies to prevent risks or minimize their impact on contracts.
Using Contracts to Transfer or Share Risks
Leveraging contract structures to distribute risk responsibilities effectively.
Legal Documents and Risk Protection
Best practices for protecting your organization through precise legal language.
Activities: Group discussions on contractor risk scenarios, practical exercises on risk identification and mitigation strategies.

Day 2: Effective Contracting Tools and Templates
Contract Templates (FIDIC, NEC, and Others)
Overview of widely used contract templates and when to apply each.
Key Protective Measures in Contracts
Examining clauses that protect against various risk scenarios.
Drafting for Compliance
Steps for drafting compliance-focused contract terms that align with organizational standards.
Activities: Case study analysis on FIDIC and NEC templates, practical exercises on drafting compliant terms.

Day 3: Risk Management Clauses and Provisions
Handling Contract Variations and Termination
Guidelines for managing contract changes and termination options.
Suspension and Assignment Clauses
Understanding the impact and use of assignment, suspension, and subcontracting restrictions.
Force Majeure Clauses
Using force majeure to address unforeseeable events and protect contractual interests.
Activities: Workshop on drafting and analysing risk management clauses, group discussions on termination scenarios.

Day 4: Practical Risk Response and Scenario Planning
Responding to Realized Risks
Steps to take when a risk materialises, including options for recovery and resolution.
Default and Breach Management
Strategies for managing contract breaches, including supplier and contractor defaults.
Planning for Emerging Risks
Identifying new risks in health, safety, and economic factors; proactive planning techniques.
Activities: Real-world case studies on breach and default management, risk scenario planning exercises.

Day 5: Contract Close-Out and Final Compliance Review
Post-Award Contract Administration
Reviewing responsibilities and tasks required during contract close-out.
Final Compliance Checks
Ensuring all contractual and regulatory compliance requirements are met before closure.
Course Wrap-Up and Final Assessment
Reviewing key concepts; practical assessment to solidify participants’ understanding.
Activities: Contract close-out simulation, compliance checklist creation, final quiz, and Q&A session.

Learning Activities:
The course combines lectures, group discussions, hands-on exercises, case studies, and role-plays. Participants will work on practical exercises, engage in scenario-based learning, and collaborate on drafting clauses, fostering a hands-on understanding of contract risk management