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Claims Defense

Client: Large International Pharma and Life-Science Company

Contract size: 21 Million Euro

Dispute: Contractor submitted an unsubstantiated 5.6 Million Euro claim threatening to delay the project if not paid in full.

Targe: Project shall not be delayed, reduce claim as much as possible.

Project details: EPC contract for brownfield project including civil works and all technical systems and plants. Tie in was planned during a general plant shutdown, time was  of the essence. Contractor submitted an unsubstantiated claim for additional works and acceleration measure in the amount of 5.6 Million Euro 3 month before completion threatening to delay the project by 3 months if not agreed to. Contractor severely underestimated the works initially and tried to turn a lump-sum contract into a reimbursable contract for which contractor claimed for each hour worked.

Outcome: Dispite the brute-force behaviour shown by the contractor I still managed to reduce the claim from 5.6 Million Euro to 3.5 Million Euro. The main drives for this success were the identification the contractors lack of entitlement, the lack of actual evidence of employer risk events, the identification of contractor risk events, contractor wrongdoings, and contractors failure to cover the complete project scope in a professional manner.

 Topics: Claims defense, schedule analysis, condition precedence, lack of contractual entitlement.

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Tendering of large EPC Projects

Client: Large International Oil and Gas Company

Contract size: Two projects each around 40 Million Euro

Project details: My tasks here were related to the tendering of two refinery EPC projects

 

Topics: Developing tendering strategy, pre-qualify potential bidders, create tender documents including contracts, harmonizing scope, tender, negotiate, award.

Main target: Evaluation of the most economical solution and award to the best bidder with key focus on HSE, quality and delivery time.

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EPC/EPCm Contracting Strategy

Client: Large International Oil and Gas Company

Contract size: Several hundred Million Euro

Project details: Developing strategy to handle future projects with EPC/EPCm contracts instead of time and material. The strategy change was initiated in order to reduce cost and risk while increasing financial planning accuracy.

 

Topics: Selection of appropriate contractors, pre-qualification, developing EPC/EPCm contracting strategy in close connection with PM and business team.

Main target: A strategy to award future projects on EPC/EPCm basis instead of a historically grown „time and material“ basis in order to achieve better cost planning accuracy and reduce risks.

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Development of Contracts and Claims management training

Client: Large International Contractor

Project details: Development of training program related to Contracts and Claims management including certification path and best practice tools

 

Topics: Development of online training platform, development of training documentation and content, synchronization of training syllabus with external certification authorization, development of claims management database, processes, and tools, international roll-out within 9 month.

 

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Implementation of Variation Order Management

Client: Large International EPC

End customer: National Oil Company

Contract size: USD 550 Million

Project details: Electrification for LNG Terminal

 

Topics: Implementing best practice variation order management system.

Main target: Early detection of variations, proper substantiation, contractually conform notification, final negotiation training.

Outcome: Training with project stakeholders including engineering, project management, procurement, and execution. Implementation of processes and a central variation order tool.

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