Negotiation of contract terms for a district heating system project for local authority properties

Undermasthead Shape

The Clear client had been asked to take over another project that had only just been awarded and had barely got through the kick off meeting. The existing supplier was now no longer able to deliver the project and therefore the Clear Client was asked to take over.

Objectives

  1. Review the requirements and status of the existing supplier delivery
  2. Establish the proposed contract terms
  3. Review the contract terms, proposed programme plan, critical path dates, charges and payment arrangements and make recommendations
  4. Establish the risk profile and contingency arrangements
  • Services
  • - Produced a derogation response with justification for proposed amendments including a risk, issues and opportunities register, Responsible, Accountable, Consulted and Informed register (RACI) and revised programme plan
  • - Prepared a negotiation strategy and best / worst / settle analysis in order to reach rapid agreement and expedite delivery to recover delay caused outside of the Clear Client’s control.

Achievements

Developed an agreed revised set of terms and conditions, requirements, programme plan and critical path as well as Client responsibilities with Risks, Assumptions, Issues and Dependencies (RAID) log, RACI together with revised Charges and spend profile. Established best practice contract management tools, processes and people skills to mitigate risk and manage delivery obligations against budget and time constraints.

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