COURSE SUMMARY COURSE OUTLINE

1 Purchasing & Procurement Center +603 7665 2035 +603 7665 2038 [email protected]

COURSE SUMMARY COURSE OUTLINE

Supply management is becoming more challenging every day with most organizations demanding and expecting purchasing and procurement personnel to provide leadership abilities and management skills directed at bringing their performance to World-Class status.

World-Class Procurement Operations bring significant annual total cost improvement, significant strategic value added, and strong recognition to the function and those in it. Yet according to many studies, most organizations must significantly improve their supply management operations in order to provide the continuous improvements needed to win and earn profits in today’s very competitive market place.

This fast paced seminar is designed to explore areas of leading and managing the procurement organization toward procurement best practices so that participants can successfully implement the strategies necessary to make purchasing a recognized core competency of their organization.

Seminar Objectives:

Upon completion of this seminar, participants will know:

Essentials for Leadership Success

Difference between Managing and Leading

Setting the Direction for World-Class Supply Management

How Minding the Gap Results in a Strategic Plan

Best Practices Categories in Strategically Focused Sourcing Operations

Professional Standards of Ethics

Key Performance Measurements

How To Develop A Strategic Sourcing Plan

A Process for Developing

This Course is Conducted By: Robi Bendorf

Organizational Impact:

The organization will benefit by Higher productivity of personnel involved

in procurement activities Reduced total cost of ownership for

purchased materials, equipment, and services thru better leadership and management

Improved productivity of the entire organization by better on time delivery of high quality goods and services

Improved supplier performance and relations

Greater strategic focus of those involved in supply management

Personal Impact:

Attendees will gain by participation in this program as a result of: Better leadership and management skills Increased skill sets in supply

management A greater sense of professionalism Knowledge of world-class purchasing

practices Greater ability to lead continuous

improvement programs Increased recognition by the

organization due to improved performance

Course Outline- Leading & Managing for Purchasing & Procurement –cont’d:

Leading and Managing

Skilled leaders and managers are essential if procurement is to bring to the organization the vast benefits of World-class supply management. Management and Leadership--What is the difference? What helps or Interferes with becoming a True Leader Developing Leadership Competencies Setting the Direction for World Class Purchasing It is critical to establish the importance of the function and the need for it to emerge as a core competency of the organization. Winning And Procurement As A Core

Competency Leadership is About Results—Getting To

World Class Leading Change to Become More

Strategic Showing Purchasing’s Impact On The

Bottom Line The Procurement Mission & Vision

Statement Determining and Managing the ―Gap‖ Developing the Procurement

Organization’s Strategic Plan Purchasing Skill Sets

Good managers know that Purchasing Departments cannot perform better than their people and that world class performance in procurement activities requires highly trained competent professionals with high ethical standards.

Purchasing Personnel Required Skill Sets

Job Descriptions Skill Set Assessment

Training Programs Professionalism Purchasing Ethics

Strategic Sourcing

Purchasing personnel must move from the tactical focus of most purchasing operations to a much more strategic focus that brings continuous improvement to the bottom line of the organization.

Time Spent On Various Tasks Commodity Coding Developing Spend Profiles ABC Analysis Risk Analysis Strategic Sourcing Plans

Relations with Other Functions

Integrating with other functions and providing the organization with clear high value added activities is essential for supply management to reach its strategic potential.

How Do Other Functions View Purchasing Developing And Maintaining A Customer

Focus Internal Customer Survey How Does Senior Management Measure

Purchasing Purchasing Accountability Measuring Purchasing Performance With

Key Performance Indicators

Process Improvement

World-class organization are not asking if they need to improve their process but only how fast can they improve them.

Supplier Relationship Management (SRM) Process Mapping To Eliminate Low Value

Activities Reengineering Processes Total Cost of Ownership

Making Sure We Obtained Lowest Cost

High performing procurement departments can proudly point to the fact that the best practices being applied are resulting in the lowest Total Cost of Ownership for their organization.

Developing A Company Purchase Price Index

Cost Reduction Initiatives Savings Reporting Supply Chain Management

Who Should Attend:

Materials, Contracts, or Purchasing Managers,

Buyers, Contract Administrators, any other

Managers or Professionals involved in

Implementing cost reduction initiatives or

looking for savings relating to the purchase of

goods, equipment, supplies, and services.

Other Trainings:

Tender Management

IT Contract Management

Strategic Negotiations in Procurement & Purchasing

Strategic Contract Management For Oil & Gas

Global Procurement Best Practices

Materials & Demand Planning

Contract Administration

IT Contract Negotiation



Good endings usually require good

beginnings. This is particularly true for

procurement activities where best

practices in tender management, the

beginning of the contracting process, are

essential for a successful project outcome

and minimization of total cost.

This program is designed to take the

participant from the time the requirement

is defined and a contract is desired thru

the major steps of the tendering process

that conclude with successful negotiations.

The critical issues of the tendering

process, risk mitigation thru contract

types, contractor selection, evaluating the

price, and finally planning for successful

negotiations all receive coverage in this

valuable program that is certain to reduce

costs and add to the organization’s

objective for improved performance in all

activities.

Seminar Objectives:


The Tendering Process And The Major Steps That Should Be Followed

Mitigation Of Risk By Selection Of Contract Type

Methods Of Selection And Qualifying Contractor

Applying Technology To The Tendering Process

The Criticality Of The Statement Of Work

Terms & Conditions For Economic Price Adjustments

Essential Elements of a Valid Contract Avoiding Disputes Payment Types

Organizational Outcomes:

The organization will benefit by:

Reduced Cost Of Contracts For Materials & Services

Reduced Risks In Contracting Higher Productivity Of Contracting

Personnel Greater Strategic Focus Of Those

Involved In Contracting

Personal Outcomes:

Attendees will gain by participation in this program as a result of:

Increased Skill Sets In The Tendering Process

A Greater Sense Of Professionalism Knowledge Of World-Class Tendering

Practices Greater Ability To Lead Successful

Negotiations Increased Recognition By The

Organization Due To Improved Performance

The Tendering Process

What Should Be Tendered—The ABC

Analysis

Major Steps And Flow Of The

Tendering Process

Elements Of A Good Procurement &

Competitive Bidding Process

Principals And Standards Of Ethical

Supply Management Conduct

Small Group Exercise: What is fair and

reasonable pricing and what is a fare profit

for the supplier?

presents an overview of the steps in the

tendering process and looks at the

objectives of both parties which must be

considered in developing the tender and

contract strategy.

Defining the Scope & Total Cost Of

Ownership

Total Cost Of Ownership

The All Critical Statement Of Work

Types Of Statement Of Work

Statement Of Work Check List

Small Group Exercise: Develop a check

list for writing an effective statement of

work

introduces the point that all

participants in the tendering process must

clearly have knowledge of what they are

buying and the marketplace if the outcome

is to meet the organization’s

objectives.

Types of Contracts & Risks

Contract Types

Mitigating Risk By Contract Type

Market Price Indexes

Economic Price Adjustments Contracts

Individual Exercise: Apply the Economic

Price Adjustment formula to an actual case

to determine the results.

develops the awareness that there are

more than just lump sum

contracts in the procurement tool box and

that in many cases other types of

contracts types will be to the benefit of the

buyer.

Structuring the Contract

Commercial Terms & Conditions

Acceptance Clause

Example Of Contract Check Lists

Methods Of Payment

Progress Payments

Small Group Exercise: Defining

Acceptance Clause issues

Segment 4 focuses of the importance of

having tendering personnel carefully design

the terms and conditions for the contract

which must be part of the tender

documents.

Qualifying Suppliers & Price Evaluation

Best Practices In Supplier Qualification

Reverse Auctions In The Tender

Process And Evaluation

Requesting Supplier’s Cost Or Pricing

Data

Small Group Exercise: Applying Bidder’s

past performance measurements to adjust

Bidder’s Price

involves the critical steps of supplier

qualification, presents the use of technology

in obtaining bids and then

discusses issues related to competitive bid

evaluations.

Negotiation Planning and Strategies

When Does The Negotiation Start

Types of Negotiations

Identifying Negotiation Issues And

Objectives

Group Exercise: Discuss best strategy for a

specific case involving an attendee.

In Segment 6 we acknowledge that the side

that prepares the best usually wins the

negotiation and therefore focus on

negotiation planning strategies.

This Course is Conducted By:

Robi Bendorf

WHO SHOULD ATTEND:

Contracts Officers and Managers, Procurement/

Purchasing Managers Engineering Project

Managers, Construction Managers, Tenders

Managers, Buyers, Contract Administrators, Project Coordinators, Maintenance Mangers and

Systems Managers and all others in organizations

whose leadership want world-class skills sets in

those involved in tender and contract

management activities. The program is a great

way to develop those new to the function,

prepare for a major project, or useful as a

refresher for veterans.

“Robi is an experienced trainer and I picked up some good ideas from his training. Materials are up to date.”

Sourcing Manager Lafarge Malayan Cement Sdn Bhd



Once the commercial transaction is

negotiated and signed, most contracting

teams in the IT/Outsourcing sector are

pulled from the process – at the same

time that the parties are escalating their

focus on the transaction. Both parties are

incented to maximize their financial yield

on the transaction and minimize their risk,

yet some do not treat Contract

Management as a key to their overall

success. This interactive session that

includes 5 exercises related to the IT

sector, will help you discover:

Attend and Discover:

How to dedicate the necessary tools,

techniques and talent to managing

commercial relationships?

What is the difference between

Contract Administration, Contract

Management and Relationship

Management in the IT/Outsourcing

sector?

What is needed for you to succeed at

all three levels?

How to drive greater value and

innovation into subsequent

contracting cycles with your

commercial partners?

Learn cost effective contract

administration and management

techniques

Identify opportunities to reformulate

your commercial IT contracting

Strategies

Develop specific and realistic

commercial relationship performance

metrics

Achieve excellence in your commercial

relationships

Identify opportunities to automate

your contract management processes

through software and other tools

Resolve contractual disputes without

destroying the relationship

Overcoming the challenges in contract

implementation

Developing a implementation project

plan

Keeping the roles and responsibilities

clearly understood

How to overcome resistance points and

barriers in the implementation

Exercise 1 Maintaining separation

between a System Design and System

Maintenance contract

Addressing the differences in contract

administration and management

What is contract Administration

What is contract management?

Keeping focused on the rights and

responsibilities throughout the

fulfillment phase

Exercise 2 Performing contract

administration and management on an

outsourcing services contract

Selecting Contract Management

Software that is a best fit to purpose

What is your electronic contracting

strategy?

Which options are the best fit for your

strategy?

Managing the contract change order

process

What is a change order and why does it

happen?

Understanding the relationship

dynamics behind a change order

Documenting the change order and

preventing excessive changes

Embracing Supplier Relationship

Management tenets in contracting

What is Supplier Relationship

Management?

Understanding the benefits of a well

managed supplier relationship

Exercise 3 Managing a hardware

maintenance services agreement

Applying Customer Relationship

Management principles in contracting

What is Customer Relationship

Management?

Understanding the benefits of a well

managed customer relationship

Keys to success in Customer

Relationship Management

Exercise 4 Managing a software

maintenance services agreement

Utilizing Alternative Dispute

Resolution options

What is arbitration?

What is mediation?

Exploring negotiation options before

taking the litigation path

Exercise 4 Resolving a dispute over a

Cloud computing services agreement

Managing key contracts in the IT/

Outsourcing sector

Hardware equipment sales

agreements

Hardware and software maintenance

agreements

Software licensing agreements

Telecom and cloud services

agreements

Managing contract close-out

Why do contracts terminate?

Understanding the rights and

responsibilities that survive

termination

Closing out the contract -

communication and change

management considerations

Exercise 5 Managing the software

license contract into perpetuity


Jim Bergman

WHO SHOULD ATTEND:

Purchasing, sourcing and supply management

professionals, Sales contracting professionals,

Contract lawyers and attorneys, Contract

management professionals, Contract

managers and administrators, End-users who

impact, or are impacted by, the contracting

process, Finance professionals involved in

contracting, Contract negotiators, Operational

managers, Commercial relationship managers.

“One of the best courses I’ve been to and a great help to my work ”Practical, Easy to Understand and Extremely Useful. What more can I ask.”



This course will provide tools and

techniques to enable participants to

determine the need to negotiate, pursue a

tactical or a strategic approach to the

negotiation and how to separate the key

negotiation drivers of the individual parties.

Further learn how to examine the

importance of the negotiation strategy and

how it is fully integrated into the corporate

procurement strategy.

Attend & Discover:

Plan in multi-disciplinary teams

Create the right negotiation strategy

Understand key tactics and ploys

Understand the impact of legislation on

the outcome

Select the right type of supplier

relationships - recognise their

applicability and the best means of

measurement.

Identify key behavioural aspects within

the negotiation

Know what makes a skilled negotiator

Integrate negotiation into the total

purchasing cycle

Apply the key tasks for the preparation

and planning needed for successful

negotiation

Manage the key phases of negotiation


Rob Thompson

The Evolution of Negotiation within

the Procurement Environment

Strategy Preparation and Determination

Implications for the Buyer and Seller

Negotiation Research

The Ideal Negotiation

Preparation and Planning

Key Phases

Key Issues

Key behavioural aspects

Tactics and Ploys

The Negotiation

Structure

Conflict Management

Persuasion Techniques

Review and Analysis

Control

Agreement

Implementation

Personal Negotiation Profiling

Characteristics of a skilled Negotiator

Individual Improvement Programmes

What are they?

How are they created?

How can they be used?

What will they tell me?

Skills Assessment Profiling

Analysis and Creation of Individual

negotiation profiles

Style

Power

Attitude

Flexible v positional

Handling the Negotiation

A Business scenario to provide base data to

form part of the individual Improvement

programme and re-affirm the

appropriateness of the profile created

Develop the right information base

Understand the Business methods

Understand the social and political

organisation

Understand the Financial and legal modus

operandi

Understand the Infrastructure and logistical

systems

MAJOR PROCUREMENT NEGOTIATION

EXERCISE:

A negotiation Exercise testing the skills and

profiles of the participants will run for the rest

of the day.

We want the supplier to say yes

The business problem will incorporate all the

key factors of the programme.

Evaluating and re-assessing the Individual

Improvement Programmes and setting targets

for the future.

Who Should Attend:

Materials, Contracts, or Purchasing Managers,

Buyers, Contract Administrators, any other

Managers or Professionals involved in

Implementing cost reduction initiatives or

looking for savings relating to the purchase of

goods, equipment, supplies, and services.

Rob’s interactive approach & in-depth explanations and examples added immense value. He added new dimensions to the Contract Management, Contracts Creation & relationship with strategic information and application.

Contracts Manager BT APPLIED TECHNOLOGY



This programme is designed to improve

delegates’ awareness of techniques and

best practices associated with the

management of oil and gas contracts let to

third party suppliers. This is a fully

participative programme that will update

delegates on key advances in contract

management and developments in the oil

and Gas sector best contracting practices.

It will incorporate a number of case studies

as well as group working throughout.

After attending you will be able to:

Compose objectives for a procurement of

the provision of products or services from

external suppliers

Recognise the skills of a contract

manager

Differentiate the factors that lead to poor

performance versus the achievement of

sound value for money

Identify the key stages of the tendering

process and evaluate how these stages

can impact on the success of the contract

Interpret and formulate key performance

indicators and specifications

Employ techniques that will help motivate

supplier performance and build

continuous improvement

This Course is Conducted By: Rob Thompson

Common problems associated with

contracts with suppliers in the oil &

gas

Internally Driven

Externally Driven

Proactive Strategies to effect problem

management

Actions to mitigate the impact

Setting objectives for procurement

projects

The special skills required for

effective oil & gas contract

management

Relationship management

strategic planning and implementation

Identification of the key risk

determinants

Development and promulgation of policy

and guidance

Standard setting across the organisation

Policing/enforcement responsibility to

ensure the organisation’s Policy/

guidance/ standards are being adhered

to

Competitive tendering and how each

stage impacts on the contract

Procurement Cycle Analysis

Supplier management

Total cost approach

VA/VE

Supply Market Development

Developing robust oil & gas contracts

Mapping Demand

Defining appropriate specifications

Writing Control Documents

Risk Management in Oil & Gas Contracts

Undertaking risk assessments

Developing risk management strategies

Analysis of Key Provisions in

International Oil & Gas Contracts

Competitive bidding and Reimbursables

Leverage and Horizontal Integration

Standardisation v Innovation v Competitive

Differentiation

Strategic Supplier and Market Development

Bidder Selection

MMO Demand Management

E-Procurement opportunities and cross

functional competency management

Supplier capacity relocation and quality

control

Risk Gain share and Reward

Asset Whole life Cost Management

Principal Standard Form Contracts Used

in the Oil and Gas Sector

EPIC/EPC(I) v Discrete Demand and

Assembly

EC, EP, BOT, GC, MC, PSC, TSA, PSAC,

Concession and service contracts

Managing Agent

Consortia/Joint Venture

Ensuring compliance with the contract

Understanding contractual remedies for

poor performance

Key Contract Clauses

Applying effective contract monitoring

Key Measures of Supplier Performance

Improving Performance

Change control mechanisms

Handling Claims and Variations

Partnering & Negotiations

Creating partnering style relationships with

suppliers

Negotiating improvements to current

service delivery

Management and Negotiation Techniques

Managing the Legal Issues

Dispute Resolution Process

Key Legal Contractual Risk Management

Issues

Managing force majeure and liability

clauses

Motivational factors that enhance

performance and create continuous

improvement

Joint Performance Systems

Performance Reviews

Incentives

Review and evaluation

Who Should Attend: Contract Administrators, Project Coordinators, Contracts Officers and Managers, Engineering Project Managers, Construction Managers, Tenders Managers, Buyers, Procurement/Purchasing Managers, Project Managers, Maintenance Mangers and Systems Managers and all others in organizations whose leadership want world-class skills sets in those involved in contract management activities. The program is a great way to develop those new to the function, prepare for a major project, or useful as a refresher for veterans

Rob is exceptionally skillful and excellent trainer. … he successfully managed to transmit excellent and well composed information to us. I have gained more knowledge (new) with improvement of existing ones.

Contracts Manager ALDAR PROPERTIES

This course has added to me more information and gave me a guideline and rules to be implemented in my work. I really thank you [for the] quality training that your company had provided.

Contracts Specialist MAADEN PHOSPHATE COMPANY



The world economy is changing dramatically.

We are seeing many new nations become

international competitors. How do we ensure

our competitiveness? It begins with our

attitude, approach, and capability to learn

and adapt.

Doing what you’ve always done-even if you

do it very well-is no longer acceptable. Under

pressure to contain costs and produce results

despite challenging circumstances, you need

to transform rather than simply improve

operations. That means adopting the

philosophies, methods, and processes that

will make your organization ―best in class‖

Ask yourself these questions:

How do we address change?

What are the tools we use to make improvements? Do we know these?

Lead time reduction

Supplier Managed inventories-consigned

Do it right the first time

Non – Value added activities

Failure Mode Effects Analysis

How do you use these tools to bring bottom-line results to your company? What makes an organization best in class? The answer can vary with each company, but there are practices that many leading companies are adopting. We will present key practices that have been employed in a variety of industries and locations.

The sequence of these best practices does not

indicate any priority or suggest a higher or

lower importance ranking. However, the

presentation does offer a systematic approach

for measuring the effectiveness in building a

best in class procurement group.

These practices include the following:

Enterprise alignment in conjunction with

strategic direction

Utilizing certain technologies to enhance

capabilities and proficiency

Establishing relationships with key suppliers

Engaging in g in strategic sourcing

Application of total cost of ownership (TCO)

and not price

Using a structural application to fit multi –

national supply requirement

Initiating the appropriate level of control to

ensure accomplishment of results

Minimizing risk via a systematic and

collaborative approach

Optimization of inventory

Even if you have implemented some of

these practices, the insights and examples

presented will serve to validate your current

strategy. Understanding more about these

practices will aid you in selecting the

additional ones to move you closer to a best

in class enterprise!

What you will learn:

How to initiate an assessment of your posture relative to best practices

How to employ effective tactics that will win stakeholder engagement

The best technology tools to employ in various situations

Spend Analysis capability

Supplier Relationship Management

Collaborative Forecasting Planning

and Replenishment

How to establish alliances for critical

relationships

How to create a platform for problem

resolution

What are the steps involved in employing

strategic sourcing

What is Total Cost of Ownership (TCO

How to employ TCO

What is optimization of inventory

How to achieve an inventory level that will

reduce inventory

How to determine procurement/supply

organization to fit most situations

How to address change – get good change

How to reduce lead time with your

supplier

What are the pitfalls to avoid in the tools

being employed

How to gain the knowledge and employ it

successfully

Successful application of Consigned SMI

How to identify non-value added activity –

in Purchasing and at your suppliers

I. Introduction

A. Today’s competitive issues

i. An age of instability

B. The role and impact of procurement

C. Studies identifying the best practices

D. Myths requiring clarification

II. Enterprise Alignment

A. Leaderships Role

i. How to make change happen

B. Structural considerations necessary for

best results

C. Stakeholders – who, why and how to

involve

D. Exercise - enlightenment

III. Collaboration – A Major Results Tool

A. Supplier relationship maturity model

B. Transforming the relationship

i. Developing ―Trust‖

C. How to increase supplier involvement

D. Universal operational Tool

i. How to reduce lead time

IV. Strategic Sourcing as a Major Tool

A. What is it and why do it?

B. Defining the process – steps to

accomplish it

C. Developing and managing the supply

base

i. How many suppliers are needed?

ii. Selection and evaluation techniques

D. Exercise – Supplier Selection/evaluation

V. Procurement s and Cost (TCO)

A. Traditional financial impact

B. Procurement process cost factors

C. Operational performance costs

D. Total Cost of ownership (TCO) vs.

Traditional Accounting

i. How to reduce the TCO

E. Process Improvement Model

VI. Leveraging Technology

A. Supplier Relationship Management

(SRM)

B. Supply Chain integration

C. Definition of e-tools and their

application

i. Spend Analysis

ii. E-sourcing

D. Pitfalls to avoid but learn from

VII. Risk and Procurements Role

A. Where are the risks?

B. Risk Analysis Tools for mitigation

i. Failure Mode Effects Analysis (FMEA)

VIII. Inventory Optimization

A. What is inventory optimization?

B. How does Procurement influence such?

i. Supplier Managed Inventory (SMI

VMI)

C. The benefits to be achieved

IX. Case Study Application of Best

Practices

A. Rules for success

B. Case study exercise



Today’s economics in business has brought many companies to address major investments like inventory with a limited results solution outsource the function and/or activity. Procurement services and Contract manufacturing activities are typically what have been employed. Some reduction of inventory occurs BUT it is minimal as to what it could be.

In order to achieve a level of significant reduction (more than 20% improvement per a research agency) throughout the supply chain, a deeper awareness of what creates inventory needs to be understood. WHY? Certain actions taken will only provide a short term impact/result. The basic problems haven’t been addressed (actions to reduce order quantities & revert to Lean Practices for delivery have downstream impacts: 1) increased equipment downtime; 2) increased transportation and handling costs. These effects could have been avoided by addressing core operating issues/problems.

The presentation will provide the basic foundation to the principles driving inventory decisions. Instruction will deal with premises and practices that necessitate some inventory but end up becoming drivers of day to day activities. The result being excessive levels building during ―good times‖ and reduction efforts in ―bad times‖. The focus of the enterprise needs to be a balance and minimization of the inventory level ―all the time‖.

Learning Outcomes

How to control inventory physically and virtually via computer systems and planning techniques.

What are the advantages of the various valuation techniques (LIFO, FIFO, Average Cost)

How to determine which is the appropriate replenishment technique to employ

What are the various order quantity approaches and when they should be used

How to calculate the Cost of Carrying Inventory and it’s application

What are the different measurements and what they mean

How to define what is the appropriate inventory level?

What are the requirements and practices for improving your posture? (competitive advantages of an enterprise).

How do you arrive at a projection of your business revenue?

What is the frequency of the adjustments to the projection and what precipitates it?

What level of inventory investment is required to ensure 99.9% customer service?

How are your business planning and operational policies adjusted regarding forecast revision?

How to incorporate operating practices that promote cross-functional relationships to resolve and improve customer service and satisfaction performance?

Today’s business environment

Impact of the Supply Chain

Lean thinking principles

Customer satisfaction and

collaborative relationships

Global posturing

Information technology and its

influence

Overview of concepts application

What is forecasting?

The four (4) factors affecting a

forecast

Demand Management and its

correlation with forecasting

Statistical inventory management &

control

Inventory investment versus service

levels

How lead time and various inventory

replenishment systems affect

customer satisfaction and investment

Database Development

Terminology

Database map and editing

Why merge databases

Forecasting

Its impact on a business....pro and

con

What is the complexity of your

environment?

Forecast process strategies

Various approaches/methods of

forecasting

Affects of product life cycle position

Demand Management

Reasons for inaccuracy

Monitoring the forecast for variation

Techniques used Bias, trend signals,

demand filters and others

Customer Relation Management

(CRM)

Collaborative Planning Forecasting

and Replenishment (CPFR)

Sales and Operations Planning (S&OP)

What is it and its role in a

company?

Identifying the product/service

hierarchy

The five (5) process steps

involved in creating a S&OP

Developing a S&OP grid

Outputs from the S&OP

Assessing your S&OP

process – What then?

The benefits of the S&OP

Inventory Management and Control

Why carry inventory?

Ten (10) critical inventory issues

The relationship of inventory to

forecast revision, demand

consolidation and succession

Inventory management versus

control

Three (3) steps to inventory

control

Safety stock, why and how much?

Service policy a realistic necessity

Average inventory

Measurements

Turns versus days of supply

Other performance indicators

Inventory and forecast variability

Ordering rules/policy

Replenishment alternatives

Kanban, ROP, MRP, VMI &

others

Conclusion


Michael Gozzo

WHO SHOULD ATTEND:

This program is targeted at people who are

responsible for planning and forecasting

especially: Forecasters / Forecasting

Supervisors or Managers / Master Schedulers

or Planners / Master Scheduling Managers,

Directors, GMs / Inventory Planners or

Analysts / Inventory Managers, Directors or

GMs / Supply Chain Analysts, Managers or

Directors / Warehouse Managers / Material

Management Managers & Directors /

Distribution Managers or Directors / Product

Planners or Analysts / Financial Analysts or

Controllers / Operations Managers /Product

Analysts, Planners, Managers or Directors /

Marketing Managers or Directors / Customer

Service Analysts



It is a well know fact that the best tendering and contract writing is of limited value if the contract is not carefully administered from award to completion. World-class organizations view the application of best practices in contract administration as being essential skill sets needed by all employees involved in the contract management process. The participant will be guided through the many steps of contract administration from the time the award is made through to the final acceptance, payment, and the contract close out so that the total objectives of entering into the contract are achieved. This program is designed to present contract administration as more than just a job or activity but as an important profession essential to the organization’s ability to meet its goals.

Seminar Objectives:


How To Provide Better Outcomes From Contracts

Important Elements Of Contract Administration

Contract Monitoring Techniques How To Get Fair Treatment In Contract

Changes Contract Termination Issues How To Prepare For Claims And Disputes Review Acceptance And Contract Close

Out Issues The Inputs And Outputs In Contract

Administration

Organizational Outcomes:

The organization will benefit by:

Better Outcomes From Contracts For All Outsourced Activities

Greater Strategic Focus Of Those Involved In Contracting Administration

Higher Productivity Of Contract Administration Personnel

Reduced Total Cost Of Ownership Resulting From Better Contract Management

Improved Contractor Performance

Personal Outcomes:

Attendees will gain by participation in this program as a result of:

Increased Skill Sets In Contract Administration

A Greater Sense Of Professionalism Increased Confidence In Dealing With

Contract Issues Greater Ability To Lead Contracts To

Successful Conclusions Increased Recognition By The

Organization Due To Improved Performance

Effective Contract Administration

Objectives Of Contract Administration

The Most Critical Elements

Skill Sets

Key Players In Contract Administration

Typical Inputs To Contract

Administration

Small Group Exercise: What are the areas in

which a contract administrator should

have knowledge?

Sets the stage for the program and

emphasizes that with the ever-increasing

quantity of outsourcing by organizations,

Contract Administration is emerging as a

critical competency for professionals and

managers in most functional activities.

Analysis of the Contract

Starting The Contract File

Understanding the Statement of Work

and Establishing Major Deliverables

Post Award Conference

Typical Contract Measurements

Small Group Exercise: Develop A List Of

Measurements For Supplier Contract

Performance.

Focuses on the issues of understanding

what the contract covers and the

challenges that will be faced in its proper

administration.

Typical Outputs of Contract

Administration

Supplier Relationship Management

Cost Control

Forecasting Performance

Monitoring Progress

Risk Analysis

Responses To Risk

Group Discussion: The group will present

examples of newly defined risk after the

contract was awarded and discuss the

potential responses to that risk.

Reviews the typical outputs of good

contract administration and establishes

additional responsibilities for those having

contract management responsibilities.

Maintaining Schedules & Dealing with

Changes

Expediting Techniques

Contract Changes

Example Changes Clause

Requesting Cost Breakdowns

Types of Cost that Make up Price

Evaluating Price Changes

Individual Exercise: Determine the fairness of

a price change for additional services quoted

by a supplier.

Presents solutions to two of the major issues

in contract administration which are on time

delivery and controlling the impact of

changes.

Issues In Contract Performance

Force Majeure

Liquidated Damages Clause

Types Of Contract Termination

Breach Of Contract

Group Discussion: The group will discuss

actual experiences in contract termination

when the cause was not the fault of the seller

but for the convenience of the buyer.

Explores the reality that contracts to do

always end in the way that the parties

contemplated in the beginning.

Acceptance and Close Out

Final Acceptance

Claims And Disputes

Close Out Procedures

Post Contract Review Meeting

Small Group Exercise: What should be covered

in the inspection and acceptance sections of

the contract?

Will discuss many aspects of the final phases of

the contract to insure that the reasons for

entering into the contract were in fact

accomplished.

Who Should Attend: Contract Administrators, Project Coordinators, Contracts Officers and Managers, Engineering Project Managers, Construction Managers, Tenders Managers, Buyers, Procurement/Purchasing Managers, Project Managers, Maintenance Mangers and Systems Managers and all others in organizations whose leadership want world-class skills sets in those involved in contract management activities. The program is a great way to develop those new to the function, prepare for a major project, or useful as a refresher for veterans

“This course provided clear steps for improvement in contract administration especially usage of producer price index.”

General Manager - Finance Pertubuhan Keselamatan Sosial

(PERKESO)

―Broaden my knowledge in Contract

Management & Administration to be the

world class contract.‖

JKT - Indonesia PT Petrosea TBK—Indonesia



Many negotiation courses address the

topic in a general light or focus on

negotiation as a sales tool without much

focus on contracts & procurement.

This workshop however, is specifically

focused upon the IT and Outsourcing

commercial relationship negotiation

interface. You will learn how to become

an effective negotiator in the context of a

commercial contract – you will realize that

negotiation is not merely an event, but

rather an inter-related phase in a larger

process.

Attend and Discover:

When should you negotiate?

How can you best prepare for

negotiations with IT/Outsourcing

commercial partners?

Why are internal negotiations with

stakeholders sometimes tougher than

negotiating with external commercial

partners?

Develop effective negotiation

strategies for your contracts in the IT/

Outsourcing sector!

Assign effective roles to negotiation

team members!

How to create negotiation strategies

that enable greater value and risk

positions?

Identify negotiation tools that are

needed for negotiation success in the

IT/Outsourcing sector!

Defining viable and effective

negotiation tactics

Knowing the tactics and when to use

them anticipating the tactics of the

other side - and planning how to react

and respond

Assigning certain tactics and roles to

the appropriate team members - and

preparing for the implementation

Exercise 1 - Addressing twenty potential

tactics, and selecting the right ones, for

negotiating a IT/Outsourcing contract

Developing a robust negotiation

strategy document

Defining the overall strategic outcome

of a negotiation

Key elements of a negotiation

strategy document

Socializing the negotiation strategy

throughout the enterprise before the

negotiation formally commences

Exercise 2 Creating useful

multi—purpose negotiation strategy

documents - from data modeling

contracts to hardware maintenance

contracts

Pursuing a positional negotiation

approach

What is positional negotiation?

Knowing when to use positional

negotiation approaches

Creating a principle-based negotiation

strategy

What is principle-based negotiation?

Knowing when to use principle-based

negotiation approaches

Understanding the risks and benefits

of principle-based negotiations

Exercise 3 - Role play: Negotiating a

maintenance services agreement, using a

principal-based approach

Mastering the challenges of internal

negotiations

The differences between internal and

external negotiations

Tactics and strategies for internal

negotiation success

Understanding the stakeholder -

negotiation adversary or enabler?

Exercise 4- Negotiating a services

contract to support stakeholders across

the entire integrated, multi-national

enterprise

Populating the negotiation tool box

The proliferation of electronic

negotiation platforms

The need for negotiation strategy

documents

Capturing lessons learned and driving

continuous improvement across other

negotiations

Calculating financial equivalents in a

winning negotiation

How to measure financial equivalents

in a negotiation

What to do when negotiating the

immeasurable. Keeping score - even

when the financial equivalents change

Exercise 5 Negotiating a IT maintenance

services contract - and knowing the value

of what was gained and given

This Course is Conducted By: Jim Bergman

WHO SHOULD ATTEND:

Purchasing, sourcing and supply management

professionals Sales contracting professionals

Contract lawyers and attorneys Finance

professionals involved in contracting Contract

management professionals Contract managers

and administrators, End-users who impact, or

are impacted by, the contracting process

Contract Negotiators Commercial,

relationships Manager Purchasing, sourcing

and supply management professionals Sales

contracting professionals Contract lawyers and

attorneys Finance professionals involved in

contracting

“Really happy that I signed up for this course. Full marks!” “Jim is one of the best instructors for contracts and procurement around!” “I like to thank Jim for this great course”


Robi Bendorf CPM, CSPM, MCIPS has more than 35 years of diversified, has over 30 years of diversified industrial purchasing and sales experience involving both domestic and international activities for a broad range of manufacturing and service businesses. His vast practical experience combined with an excellent theoretical understanding, strategic focus, and ability to

quickly implement concepts makes him a much sought after international authority in procurement.

HERE ARE A FEW HIGHLIGHTS OF HIS ILLUSTRIOUS CAREER:

Westinghouse Distribution and Control Business Unit:

▪ $14 million in cost reductions by developing procurement

strategies for key commodities that took advantage of multi-plant volumes and resources

▪ Increased value from 17 to 30% of materials controlled by

central purchasing by managing commodity specialists in implementation of strategies

Westinghouse Trading Company:

▪ Doubled sales income by promoting benefits of overseas

procurement to Westinghouse corporate and division level executives

▪ Achieved cost savings opportunities of over $3 million by on-

site analysis of products and components purchased or made in house.

▪ Tripled supplier base by determining potential sourcing countries

and locating new suppliers

Westinghouse Commercial & Industrial Air Conditioning Division:

▪ Improved productivity of department by 76% with excellence

guidelines

▪ Increased cost reduction by 200% with cost reduction strategies

Medical Instrument Manufacturing Division of Fortune Top 100 Corporation with Annual Sales $700 million:

▪ Achieved 20 to 35% savings from overseas suppliers by

developing formal Global Sourcing Process and implementing actions

Non-Profit Health Insurance Association Annual Sales: Over $2 Billion:

▪ Accomplished $1.5 million in savings in less than 6 months

by re-organizing spend profile

Large non-profit Professional Society Annual Revenues $70 million:

▪ $ 1 Million in savings opportunities identified

▪ Reduced 1500 suppliers by 25% per year by implementing cost

reduction program

Trainer’s Profile

Michael has over 30 years experience in Supply Chain, Demand Flow Technology, Just-In-Time, Total Quality Control, Inventory Control and Production/Operations Management. His experience as a practitioner concluded after completing seven years as Director of Operations at a division of Allied-Signal. He

subsequently became a consultant and guided manufacturers and computer OEM’s (Apple) in the planning and interface with their suppliers. He has traveled and worked extensively in Canada, England, Hong Kong, Ireland, Scotland, Germany, Japan, Korea, Mexico, Indonesia, etc. Michael has been selected to Who's Who in American Manufacturing and is one of the best in his field as can be seen from his Certifications, Memberships, Publications, Clients and Testimonials outlined below: Certifications & Memberships

Certified in Production and Inventory Management (CPIM) & Certified Supply Chain Professional (CSCP) by the Association for Operations Management (APICS),

Member of the American Society for Quality (ASQ), Member of the Institute for Supply Management (ISM

formerly NAPM), Member of Society for Manufacturing Engineers

(SME), Member of International Service Quality

Association (ISQA).

Books Published: Michael is a successful and established author of many books. He is the co-author of "Made In America - The Total Business Concept", "Just-In-Time Purchasing", "Supplier Certification", "Behind Bars: Bar Coding Principles and Applications", and his latest "People Empowerment—Success Through Involvement".

CONTACT US if you would like to have an

IN-HOUSE TRAINING

[email protected]

08.30am Registration & Morning Coffee 09.00am Training Starts 10.45am Morning Coffee Break 11.00am Training Resumes 01.00pm Lunch 02.00pm Training Resumes 03.40pm Afternoon Coffee Break 04.00pm Q & A 05.00pm End of Training

TRAINING SCHEDULE

To Register, please see the last page

mailto:mailto:[email protected]


Jim Bergman VP - IACCM With extensive contracting and negotiation experience in IT, outsourcing and various other types of commercial contracting, Jim serves as Vice President for Asia Pacific and Middle East for IACCM a global association focused on the effective development, creation and implementation of leading contracting practices. Prior to joining IACCM, Jim was a

contracts attorney for a Fortune 500 petrochemical corporation, Amoco Corporation, and was responsible for legal and negotiations support to the IT procurement staff. He supported multiple locations globally, where he addressed strategic sourcing, IT/outsourcing and legal issues concerning services valued at more than $1 billion annually. Jim’s experience encompasses developing, drafting, negotiating and managing IT, Telecom and outsourcing contracts for a wide array of projects with multiple clients. He has extensive background in the negotiation of outsourcing of hardware acquisition, hardware maintenance, software development and maintenance, system integration, ERP, telecommunication equipment, services and networks and various other outsourcing projects. Across his wide array of experiences, he has been extensively involved in establishing many customer-provider relationships founded on IT contracting and outsourcing best practices. He has also led in developing and delivering both public and internal training programs related to IT/outsourcing. As a strategic management consultant, Jim has assisted numerous clients through all phases and steps of contracting, negotiation, outsourcing, overall sourcing and bidding processes, and contract management processes, demonstrating savings well in excess of $100 million. Jim has also served as a workshop instructor in many topics regarding sourcing, contracting, law and negotiations. His audiences and clients have included attorneys, plus financial, operational and contracting professionals from multinational corporations and the public sector, including BP, Delphi Automotive, DuPont, FedEx, General Motors, Intuit, Johnson & Johnson, Lam Research, Makro, Maxis, Merck, Monsanto, Petronas, Shell, the State of California, the State of Florida, the State of Texas, Sun Life of Canada, Warburg Dillon Read/Union Bank of Switzerland, WalMart, Wellpoint, and the Workers Comp Board of British Columbia. Jim holds a Law Degree, an MBA, a Bachelor of Arts and a Master of Arts degree. In addition, he is licensed to practice law in Illinois, Texas and Oklahoma, as well as various US federal courts. Testimonials:

Trainer’s Profile

“One of the best courses I’ve been to and a great help to my work

”Practical, Easy to Understand and Extremely Useful. What more can I ask.”

“Really happy that I signed up for this course. Full marks!”

“Jim is one of the best instructors for contracts and procurement around!”

“I like to thank Jim for this great course”

Rob Thompson is an outstanding procurement & contracts professionals with 30 years international experience in strategic & operational procurement and contracts. He has a natural passion for training procurement & contracts people seen in the facts that he has delivered over 1,000 specialist training programs with CIPS and over 400 other training programs with other organisations worldwide.

His specialist areas include purchasing and contract management, the development and implementation of major business strategic initiatives, negotiation, contract law and market and supplier development across a broad spectrum of business organisations and commodity areas including oil & gas, facilities management, construction, financial services, manufacturing, food processing and IT. He’s an expert at developing and organising the interface with internal and external suppliers, customers, and sub-contractors.

Rob has the ability to merge theory with practice and make lively and interactive sessions.

“Rob has a unique style of training, he has the ability to combine theory with practical application to create workable solutions for the organisation.”

Sarah Sediqa

Strategic Business Development, LKPP Indonesia

Rob is not just a procurement & contracts consultant and trainer, but also as a practitioner where he has many achievements on cost savings, contract utilisation, supplier base reduction and commodity negotiations & development.

As a Regional Director of Purchasing Rob achieved:

Over $15 Million in Savings;

15% reduction in supplier base;

Increased contract utilisation by 15%; and

Increased purchasing efficiency by 18%.

As a Regional Purchasing Manager earlier in his career Rob achieved a 5% savings when developing and negotiating contracts for 5 new commodity areas.

Here’s what others say about Rob.

“We wish we had many more like Rob he has inspired us to develop procurement to a higher level of credability within our organisation.”

Samir Taghiyev

Contracts Engineering Specialist, BP Azerbaijan

“Rob has a great enthusiasm for procurement and his style and personality is infectious.”

Raul Aliyev

Contracts Engineering Specialist, Ras Gas

“Rob has generated a greater interest in procurement across the collective organisations we work with than any other procurement trainer.”

Valerie Roberts

Legal Adviser Public Procurement , IDLO

CONTACT US if you would like to have an

IN-HOUSE TRAINING

[email protected]

mailto:mailto:[email protected]


REGISTRATION FORM REGISTRATION FORM

PAYMENT OPTIONS: Please tick your method of payment PAYMENT POLICY: Payment is required within 5 days upon receipt of the invoice.

BANK TRANSFER Bank Name: STANDARD CHARTERED BANK MALAYSIA BERHAD Bank Address: Lot 10, Jalan Sultan Ismail, 50250 Kuala Lumpur, Malaysia Bank Account Name:

KAVAQ BUSINESS INTELLIGENCE (M) SDN BHD

Bank Account No: 897156698585

Swift Code: SCBLMYKXXXX All payments must be received prior to the event date.

CHEQUE Please make your cheque crossed payable to KAVAQ BUSINESS INTELLIGENCE (M) SDN BHD in Malaysia Ringgit (MYR).

REGULAR FEE RM 5,995.00 / USD 1,995.00 per participant

Group of 3 to 5 RM 5,635.00 / USD 1,875.00 (6% off) per participant

Group of 6 or more RM 5,096.00 / USD 1,696.00 (15% off) per participant

Strategic Negotiations in Procurement & Purchasing 11 - 12 March 2013, Kuala Lumpur - Malaysia Strategic Contract Management For Oil & Gas 13 - 14 March 2013, Kuala Lumpur - Malaysia Leading & Managing for Procurement & Purchasing 16 - 17 April 2013, Kuala Lumpur - Malaysia Tender Management 18 - 19 April 2013, Kuala Lumpur - Malaysia IT Contract Management 18 - 19 April 2013, Kuala Lumpur - Malaysia Global Procurement Best Practices 27 - 28 May 2013, Kuala Lumpur - Malaysia Materials & Demand Planning 29 - 30 May 2013, Kuala Lumpur - Malaysia Contract Administration: From Beginning to End 17-18 June 2013, Kuala Lumpur - Malaysia

IT Contract Negotiation 1 - 2 July 2013, Kuala Lumpur - Malaysia

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or Fax to: 603 7665 2038

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