International Contracting

1
International Contracting

MANAGING NEGOTIATING MULTI-COUNTRY DEALS AN
OVERVIEW
2
Trends

Customers are moving to centralised negotiation
of multi-country deals savings control
consolidation / standardisation strategy
process
Opportunity or threat?
International bids contracts are complex and
resource intensive. They demand premium skills
and knowledge.
3
Requirements

• Typical customer requirements include
• Single point of interface / control / reporting
• Global contract
• Central / local ordering flexibility
• Consistent pricing
• Billing flexibility
• Consistent services
• Standardised products
• Predictable, reliable support

4
Challenges the Global Balance Sheet
Global Products Worldwide Presence Management /
Measurement System Communications Data /
Information International Business
Skills International Support Processes Distributio
n
5
Typical Issues
Buyer Vendor face similar problems

• No support roadmap / uncoordinated
• resources
• Confused authority, roles responsibilities
• Few skills no documented process
• Provider-centric lack of cross-business links
• Little replication (new start every time)
• Inconsistent results

6
and Sample Results

• Long cycle times
• Customer dissatisfaction
• Lost productivity
• Missed opportunities and profit
• Frustrated employees

TIME PROFIT RISK AN OPPORTUNITY TO ADD VALUE?
7
Developing an International Contracting Process
PHASE 1 - SET UP INVESTIGATE REQUIREMENTS,
CONFIRM CAPABILITIES, IDENTIFY STAKEHOLDERS PHASE
2 - ESTABLISH THE DEAL PLANNING WORKSHOP, AGREE
STRUCTURE TERMS, ESTABLISH PROJECT
OFFICE PHASE 3 - MANAGE PERFORMANCE COMMUNICATE
ROLES RESPONSIBILITIES, MONITOR PERFORMANCE,
MANAGE CHANGE PHASE 4 - CONTRACT CLOSE-OUT
8
Filling the skill gap
Effective international contracting requires a
cross-functional integrator, marshalling the
business and commercial information needed to
develop, negotiate and implement a balanced
agreement and to sustain successful, long-term
relationships.