Course Outline

Managing the Purchasing Process

• Overview of purchasing best practice
• Creating interest from the market in your opportunity
• The statement of work for an oil services contract
• Results-based purchasing techniques
• Evaluating supplier proposals
• Is the lowest cost technically compliant bid the right one to choose?
• Moving from bid to contract award

Petroleum industry contracts

• Formation of the contract
• Express and Implied terms
• Typical features of exploration and production contracts and contracts for the supply of oil-related services
• 'Local content' contract requirements
• Knock for Knock Liability considered
• Anti-corruption measures in petroleum industry contracts
• Case study exercises using oil contract examples

Managing contractor performance

• Identifying and managing supplier risk
• Getting and maintaining supplier contract performance
• Service level agreements
• Setting SMART objectives
• Key performance indicators
• Contract governance; managing contractual variations
• Why performance is Important and who is involved?
• Post contract closure action

Dispute resolution in the petroleum industry

• Contract breaches and remedies
• Termination of contract
• Should we litigate?
• Using arbitration, mediation or conciliation as means to resolve contractual disputes
• Strengths and weaknesses of ADR as an alternative to litigation
• Dispute resolution scenario

Contract negotiation skills and practice in a petroleum industry context

• Preparing for the negotiation
• Understanding the position of the other side
• Negotiation roles and tactics
• Reaching an agreement
• Knowing your BATNA - what happens if the negotiation fails
• Negotiation role play