Strategic Programme Leadership (L6M5)

1.1  Compare contracting options for programmes

• Client coordinated approaches to major projects
• Engineering, procurement and construction (EPC)/design and build forms of contract
• Management contracting and construction management
• Design, build, operate and ownership forms of contract
• Public and private sector partnerships

1.2  Evaluate contract forms for programmes

• The role of institutes and professional bodies in developing contract forms:
• The New Engineering Contract (NEC) core and optional clauses
• International Federation of Consulting Engineers (FIDIC) contract forms
• Institution of Mechanical Engineers (IMechE) contract forms
• Joint Contracts Tribunal (JCT) contract forms
• CIPS model forms of contract
• Comparisons of main contractual terms andschedules

1.3  Assess the use of pricing mechanisms for programmes

• Fixed lump sum pricing
• Activity schedule pricing
• Bills of quantity
• Target costing methods and risk and reward pricing mechanisms
• Cost reimbursable contracts

1.4  Contrast methods of investment appraisal for programmes

• Purpose of investment appraisal
• Payback analysis
• Average rate of return
• Discounted cash flow
• The choice of discount factor
• Calculating net present values
• Calculating the internal rates of return
• The strengths and weaknesses of different methods of investment appraisal

2.1  Assess approaches to strategic cost management for programmes

• Fixed and variable pricing methods
• Budgetary control and variance analysis
• Value engineering
• Consortium based procurement
• The use of open book costing and cost transparency

2.2  Analyse the use of financial and management information on the performance of programmes

• Estimating budgets for projects
• Measurement, monitoring control and improvement
• Project tracking and control mechanisms
• Controlling variations, claims/compensation events
• Implementing remedial actions

2.3  Analyse the impact of programme performance on the supply chain

• Consequential losses resulting from default
• Assessment of damages
• Contractual warranties and conditions
• Specific performance
• Termination clauses

2.4  Assess the implications of programme closure on the supply chain

• Obtaining client acceptance
• Installing deliverables
• Conducting project audits
• Knowledge management
• Communicating the review, evaluation and learning

3.1  Critically assess the concept of organisational culture

• The meaning of organisational culture
• The ingredients of culture
• Identifying culture
• Levels of culture
• Cultural web
• The four types of culture
• Power culture
• Task culture
• Role culture
• Person culture

3.2  Analyse the influence of national culture onprogramme success

• Cultural similarities and differences
• Language, religion, social, laws, politics, education systems, values and attitudes

3.3  Analyse tools and techniques which support cultural change

• Ignoring the culture
• Managing around the culture
• Changing behaviours
• Education vs. persuasion
• Coercion to change attitudes
• Recruitment policy, selection, promotion and reward
• Redundancy policy and alter workforce composition