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Administration of Commercial Contracts

Course Outline

Learn How To

  • Effectively prepare for contract administration
  • Avoid common problems and reduce risk
  • Manage the change process more effectively
  • Apply best practices of payment management, quality assurance and completion criteria and acceptance
  • Resolve disputes quickly and reduce costs
  • Manage contracts to increase profitability

Course Synopsis

This course provides practical, in-depth guidance on carrying out the vital responsibilities of contract administration and handling the challenges and problems that arise during the life of a contract. You will learn how to use a proactive team approach to successfully administer contracts of all types and sizes to increase profitability and improve customer satisfaction.

The course introduces and clarifies contract administration principles, policies, responsibilities and proven best practices. Using this foundation, you will then learn how to get contract performance off to a good start through planning and kickoff activities. You will also learn the importance of documentation and which specific types of records and files must be maintained to protect your organization's interests.

The course is highly interactive, using discussion, exercises and case studies to teach effective approaches to analyzing contract terms and conditions, assuring quality, managing changes, resolving disputes, and remedying inadequate performance.You will also see how different legal systems affect contract administration practices.

Course Topics

  1. Contract Administration: A Proactive Process
    1. Purpose of contract administration
    2. Main tasks in contract administration
    3. Contract administration realities
    4. Contract administration is a team effort
    5. Buyer's perspective vs. seller's perspective
  2. Contract Administration: Planning—Who Does What, Where, and When
    1. Contract work breakdown structure (CWBS) as a tool
    2. Responsibility matrix
    3. Schedules
    4. Contract administration plans are a must
    5. Preperformance meetings
      • Internal kickoff meeting
      • Meeting with the other party
  3. Dispute Avoidance and Resolution—A Proactive Approach to Problem Solving
    1. Open communication is critical
    2. Early identification of potential problems
    3. Measure/assess potential impacts
    4. Seek prompt resolution
    5. Importance of documentation
    6. Rules of contract interpretation
    7. Dispute resolution methods
      • Negotiation
      • Mediation
      • Arbitration
      • Litigation
  4. Changes Management—Risk vs. Opportunity
    1. Types of changes
    2. Analyzing impacts
    3. Principles of changes management
      • Identification
      • Authorization
      • Estimation
      • Negotiation
      • Documentation
      • Implementation
    4. Do's and don'ts
    5. Delegation of authority issues
  5. Monitoring Progress—Tools and Techniques
    1. Performance observation
    2. Progress reports
    3. Performance variances
    4. Records
    5. Corrective action
  6. Quality Assurance and Acceptance—What Works
    1. Inspections and tests
    2. ISO 9000 series
    3. ISO 9001 and ANSI/ASQC Q91 and Q94
    4. Acceptance methods—what is best
    5. Acceptance criteria—what to do
    6. Types of warranties
    7. Warranty issues—cost vs. risk
  7. Invoice and Payment Management—Cash Is King
    1. Payment objectives
    2. Payment procedures
    3. Types of payments
      • Advance payments
      • Progress payments
      • Partial payments
      • Final payments
    4. Invoice preparation
    5. Early payment discounts
    6. Late payment penalties
  8. Terminations—What to Know, What to Do
    1. Mutual agreement
    2. Default or cause
    3. Notifications—what to say
    4. Settlements
  9. Contract Closeout—Final Actions
    1. Administrative closeout
    2. Completion of work
    3. Closeout checklists
    4. Lessons learned database

Available Formats for Employees and Managers

At our training centre in downtown Toronto, 10.00AM to 5.00PM with one hour lunch break.

$2499 + GST per participant for a three day workshop,

We offer a 10% discount for each additional participant

For Soft Skill Workshops outside the GTA, please contact us at 647-271-3330 or e-mail your request to for pricing giving information like number of participants, convenient dates etc.

Sourcing Management Workshops Toronto/Managing Commercial Contracts Workshop Toronto