The World Bank recognizes that accepting Abnormally Low Bids and Proposals can put the contract in jeopardy: increased overall costs, contract delays or even the collapse of a contract. Consequently, WB has given its guidance. The new methodology described in this post provides Borrowers with a structured approach to address the issue of ALBs.
Package deals are a powerful approach to resolve, in one go, a substantial number of issues during a contract negotiation. They are a “must have” in the toolbox of an efficient negotiator. In the post here below, we have analysed some important aspects around initiative, timing and presentation of such deals.
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Companies are gradually reducing their staff to below the levels needed to be fully operational. The successful companies of the future will only have a core of employees to establish and maintain the company’s culture, strategy, brand, focus etc and rely on well-selected external resources. In this post, we have reflected on vital points in that context: confidentiality, dependence, value creation and risk analysis.
The easiest way to finish early is to start early. In practice, starting early requires a Limited Notice to Proceed (LNTP) agreement. This article describes the win-win outcomes brought by starting early which include risk reduction, smoother project start-up and cost savings.
This is a case study of a multicultural negotiation for a privately developed concession to build and operate a hydro-power plant during 30 years. The discussions came to a win-win subject: the specific advantages for each of the stakeholders brought by early generation. This created a positive atmosphere during the negotiations based on trust, respect, transparency and pro-activity. This atmosphere was also beneficial to resolve other subjects that were not themselves win-win situations.
Working on an EPC Contract brings higher risks for Contractors. They have to face all the circumstances that occur during the Project execution, with few exceptions, and still achieve the expected outcome or intended purpose. Is there anything that can counterbalance this exposure to make the project a success? Yes, the opportunity to optimize the EPC scope on the Project.
EPC, standing for Engineering – Procurement – Construction, is a widely used term but not always correctly and these three words do not necessarily make us a lot wiser.
The relationship between Employer [or Owner] and Contractor, when an EPC Contract is correctly established, should be in accordance with certain principles listed in this post.
Ability to treat tenders and contracts in the following languages: English French Portuguese Dutch Key-words of businesses worked for: construction, civil works, infrastructure, building projects, power plants, hydro, water treatment, renewable energy Relevant functions with accumulated experience: project management, subcontractor management, claim/VO management, scheduling, cost control, tendering, sales, business development, […]
Click on the pieces of the puzzle for specific services: AfiTaC can provide you with the following services : Tender Advice Negotiation Support Contract & Risk Management Coaching and Training Process Optimisation Tender Advice The first step to any well-balanced contract is tendering. This can be in any […]