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Contractual Negotiation and Management Mastery

Contract negotiations and management are critical skills to manage your business relationships. While many people within the organisation are required to negotiate a contract, few have learnt the key skills and best practices to ensure the best possible outcome for the business. Negotiated contracts cover 60-70% of business costs with external suppliers, and are critical for business success, while negotiations with clients is even more important to find the balance between business requirements and customer satisfaction. This marcus evans course will, through established models and new skills, allow you to negotiate contractual terms and conditions to ensure business effectiveness. You will shift your role to grow as a business leader through specialist knowledge allowing you to negotiate and manage your contracts to ensure a perfect fit for your business needs.

Turning 'Theory' into 'Practice'?

This course provides a strategic overview with tactical approaches to reach your outcomes. Focusing on delivering successful outcomes for contract negotiations, this course follows the 3 stage pathway: preparation and planning in the pre contract stage 1, the proactive stage 2, and the post contract stage 3.

Who should attend?

Senior Leaders in the industry who are involved with negotiating and managing contractual relationships, whether with suppliers, clients, or other third parties. This is an ideal course for any leader looking to improve their contract negotiation skills.

Key areas to be covered in the programme and documentation

Essential preparation for your contract negotiation
• Self-awareness skills 
• Know your preferences and identify preferences in others
• Use of psychology in negotiations to secure outcomes  
• Influencing and positioning  statements
• Engaging Stakeholders and sponsor commitment 
• Clear definition of business requirements. Needs and Wants 
• Agreeing and prioritising SMART outcomes 
• Micro and macro-economic data gathering 
• Strategic tools: Supplier preferencing, STEEPLE, Porters 5 forces and Kraljic models

Ice breaker activity and exercises

Managing contract negotiations through others
• Cross functional team formation
• Identify skills required for expert contract negotiations 
• Governance structures for control and Communication 
• Populate the RACI for contract negotiations   
• Create and use influence and persuasion in contract negotiations 
• Master listening and Non verbal communication skills 

Group Discussion: Insights discovery feedback

Pre-contract negotiation stage 1 Pathway
• Pre-negotiation set up plan and due diligence 
• Right fit suppliers Selection process 
• Approaches to contract negotiations – internal and external 
• Delegated authorities to negotiated outcomes 
• Negotiate: Outsourcing of goods and services 
• Strategic sourcing and selection options 

Interactive role play exercise: Part 1
The ‘Yacht’ role play. This includes both a Buyers and Sellers Brief. Each group will be given time to prepare then meet to negotiate an outcome that meets the requirements of both sides.
‘Yacht’ provides a lighter touch, to provide delegates initial practice with the tools for effective contract negotiation.

Proactive negotiation stage 2 Pathway
• Partnering approaches and win-win 
• Use of BATNAs in contract negotiations 
• Use of Pain and Gain share 
• Tendering out comes to positioning a negotiation  
• Category management as a strategy for contract negotiations 
• Intellectual property and copyright 
• Use  of your business attractiveness as leverage in contract negotiations

Case study: Use of Power and leverage to re-negotiate an existing contract

Group Exercises

Contract negotiation case study examples and outcomes
• High profile negotiated contracts
• Contractual terms as business protection 
• Transfer of ownership 
• Negotiating a contract exit 
• Contracts as value drivers 
• Can successful negotiated contracts result in disputes

Practical Exercise and Case Study: Analysing a contract for leverage

Post contract negotiation stage 3 pathway
• Project management disciplines 
• Dispute avoidance, reconciliation and breaches 
• Payment terms 
• Service Level Agreements. The highest standards at best rates 
• Risk materiality mitigation 
• Contract and Supplier/Customer relationship management 
• Adding value through contract negotiations 
• Systematic Contract data bases 
• Monitoring performance through Critical success factors and Key performance indicators

Interactive role play exercise: Part 2
The ‘Engineering’ role play. This includes both a Buyers and Sellers Brief. Each group will be given time to prepare then meet to negotiate an outcome that meets the requirements of both sides.
‘Engineering’ provides a comprehensive example of contract negotiation, allowing delegates to implement the tools and skills learned over the duration of the course.

Benefits to you

• Discover psychological insights profiling for people’s behaviours during contract negotiations
• Learn essential terms and conditions for openings during contract negotiations
• Prioritise contractual terms on a hierarchy of needs
• Find contractual positions to terms & conditions through LIM (Like, Intend and Must)
• Use BATNA as leverage to determine your optimum contract outcome
• Use essential contract law to operate in a complex business competence

Companies already benefiting include:

London Organising Committee of the Olympic Games (LOCOG) • Citi Bank • Pinsent Masons • Barclays Bank • Ministry of Justice • AXA • Nation Health • Network Rail • Danfoss • QBE • Maersk Shipping • Aviva • HMRC • Foreign Office • Zurich

Duration of Course

2 Day Course

Course details

2-3 April 2020, London, UK, PT4033

Looking to train larger teams in this subject?

dzingim@marcusevansuk.comTailored in-house/in-company training courses and bespoke strategy workshops designed and delivered on-site throughout Europe according to your specific requirements.

All management, personal development and project management public courses featured in our Course Directory are also delivered on an In-Company basis.

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Further information

UK Enquiries: +44 (0) 203 002 3057

Non-UK Enquiries: +420 (0)2 5570 7246

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"This course will allow my company to develop its existing strategies to a much greater and hopefully profitable level."

Managing Director, Tarmac