Page 12 - Megaprojects Playbook

3 CONTRACT

COMMERCIAL PROPOSALS

◆ Contract review and negotiations should be led by a Project Director, but they require a full team
from Haskell, including legal, risk management, BU leaders, and the Group President.
◆ A dedicated legal team is necessary for contract development and review. Division Leader and
Group President engagement in strategy and negotiation with client is also key.
◆ Insurance & risk management team must be involved from pursuit phase.
◆ Bonding company engagement is needed to ensure that we can actually do the job
based on the contractual requirements without impacting the business.
◆ Cash flow projections must be developed with the proposal and aligned with the business.
◆ Performance Guarantees:
– Must have a fee structure to offset the risk.
– Plan for how we achieve the performance guarantee results and a dedicated
team of resources to test/prove and validate our success.
– Understand the risk we are signing up for and educate the client about the risk.

SCOPE ALIGNMENT

◆ The Project Director must work closely with design team to develop a robust Basis of Design that
will serve as a detailed plan for project success, scope of work and contractual attachment.
◆ A change management plan should be mapped out for alignment on with client during contract
phase, including methodology on escalation plan with key decision makers identified.
◆ Track all scope changes in writing to show the scope and cost road map for initial pursuit through completion.

10 MEGA PROJECTS PLAYBOOK | 2021
CONTAINS CONFIDENTIAL AND PROPRIETARY INFORMATION. FOR INTERNAL HASKELL USE ONLY.