Maintenance Contracting & Outsourcing

What are the Goals?

At the end of this training course, you will learn to:

• Decide rationally what maintenance activities to outsource and what not
• Use the features, functions and benefits of lean maintenance contracts
• Use the most applicable type of maintenance contracts (incl. Service Level Agreements) and when/how to apply them
• Define service levels and monitor the contractor performance
• Develop and negotiate a maintenance contract
• Recognize the pitfalls
• Evaluate the delivered performance of all parties involved
• Implement maintenance contract management

Who is this Training Course for?

This training course is suitable to a wide range of professionals involved in the area of maintenance contracts, but will greatly benefit:

• All professionals involved in procurement and supply chain management
• All professionals negotiating, managing and verifying maintenance contracts
• Teams who have been assigned the responsibility of establishing a maintenance contract will find it extremely useful to attend this course as a unit
• Anyone who wishes to update themselves on Maintenance Contracts & Outsourcing

Daily Agenda

Day One: Outsourcing Considerations

• Introduction
• Asset management - The business impact of maintenance
• Considerations in outsourcing maintenance – what to outsource and what not?
• Risks involved

Day Two: Maintenance Contracts

• Maintenance contract types
• Parties involved
• The tendering process – modern ways of tendering
• Choosing the right contractor
• Costing the service
• Defining Key Performance Indicators to monitor the performance of all parties involved
• Use of Balanced Scorecard with performance contracts

Day Three: Developing the Maintenance Contract

• Vendor management
• The contracting cycle
• Assemble a team
• Assess, determine and specify the required service levels
• Writing the contract – contents of a maintenance contract
• Implementing contract management – how to make it work (performance management)
• Periodic evaluation & improvement

Day Four: Grounding and Negotiating the Contract

• Expectations about availability, reliability and costs
• The extensive preventive maintenance schedule – “tricks” of maintenance contractors
• The seven steps to develop a risk based maintenance concept
• Using the maintenance concept to negotiate more effectively lean maintenance contracts
• Negotiating the contract – negotiation ploys
• Negotiating the contract – negotiation tactics
• Negotiating tips

Day Five: Final Workshop

• Development of a maintenance contract in groups
• Defining the requirements and service levels
• Develop the offer
• Selection criteria
• Presenting the bid
• Closing the contract
• Evaluation of results
• Wrap-up