AUGUST 4, 2020 Using Technology to Debunk the Post-Award

Using Technology to Debunk the Post-Award Blame Game

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Presented by Melanie Fontenot, Technical Consultant - AVEVA

Moderated by Paul Branch, COO and CTO - IACCM

AUGUST 4, 2020

What we will be covering today

© 2019 AVEVA Group plc and its subsidiaries. All rights reserved.

Introduction to AVEVA

Contract Transparency

Leveraging Predictive Analytics

Reducing Unexpected Risks

02

03

04

05 Automating Communications

07

01

DEBUNKING THE POST AWARD BLAME GAME

06 Closing Thoughts

Questions & Answers

Collaborate Create Pioneer

We harness the power of our ecosystem by working together to bring bold ideas

to life.

We discover new ways to empower people and industries, enabling the success of our

customers.

We build leading solutions across the asset and operations lifecycles that turn opportunity into business value.

4,200 partners

4,600+ employees

10+ industries

16,000+customers

20%+increase in efficiency

30%+improvement in

overall equipment effectiveness

100+ millionsaved from preventing

asset downtime

20%reduction in capital

projects

AssetPerformance

EngineerProcure

Construct

Operate andOptimize

Plan andSchedule

Monitor andControl

AVEVA Leader in Industrial Digital Transformation

EARLY WARNING INDICATORS

CLAIMS

OBLIGATIONS

CONTRACT AUDITABILITY

CHANGE CONTROL

PAYMENT VERIFICATION

EFFECTIVE

CHANGE CONTROL

MITIGATE

CONTRACTOR CLAIMS

ENHANCED

FINANCIAL CONTROL

BEST PRACTICE

GOVERNANCE

IMPROVED

CONTRACT DELIVERY

PROJECT PROFESSIONALS CONTRACT PROFESSIONALS CONTRACTORS STAKEHOLDERS BUSINESS IMPROVEMENT & GOVERNANCE

AVEVA Contract Risk Management

For Internal Use Only

Our Customers

Chemicals & PetrochemicalsEPC

MarineOil & GasPower & Utilities

Mining &Metals

250+ Capital Projects. Complex Projects (>$500M)

Importance of Contract Transparency


“More than 9 out of 10 managers admit that they find

contracts difficult to read or understand.”

https://www.iaccm.com/resources/?id=8414&cb=1555895644


Five Contract Risks Causing Project Delays

Obligation

Management

Contract teams

disconnectedPoor Control

over Change

Claims &

Disputes

Financial

Control

Why is transparency important?

Better alignment and a trusted relationship between parties.

Milestones

Scope

T&Cs

Deliverables

Commitments

PaymentsTeam members

ObligationsStatus

ApprovalsRisks

Events

Changes Financial HealthInsurance

Contract Transparency Objectives

• Improved capital discipline

• Connected decision making

• Predictable commercial outcomes

• Fully auditable communications history

• DEBUNK THE BLAME GAME



“More than 85% of executives lack key data or insights on performance.”




• Financial Health & Forecasting

• Obligation Bottlenecks

• Communication Response Time

• Performance Measurements

• Contract Progress

What do I need to know about my project?

Reducing Unexpected Risks


Five Contract Risks Causing Project Delays

Obligation

Management

Contract teams

disconnectedPoor Control

over Change

Claims &

Disputes

Financial

Control

I need a single source of truth!

All contractual communications,

obligations, and responsibilities

centrally located on a secure cloud

solution connecting all decision

makers to improve contract delivery.Contract teams

disconnected

I need to keep my scope on schedule

Time-and-event based alerts lower

the risk of missing contractual

obligations.

Complete visibility to deliverables

and task owners promotes a

transparent relationship.

Obligation

Management

Source: IACCM – The Value of Contract Management

How can I improve my financial visibility?

Potential and pending commitments will be recorded and tracked to avoid unplanned cost overruns.

Automatic invoice reconciliation of detailed line items prevents the risk of inaccurate payments and penalties for late approvals.

Financial Control

I need a proactive claims defense

Should a claim arise, my solution

must provide a concise account of all

details including dates, stakeholder

approvals, communications, and

comments.

All data must be instantly available!

Claims & Disputes

How can I control change?

All change orders are initiated from

within one solution using best

practice communication templates,

utilizing workflows and process

chains while identifying the risk

impact.

Disciplined Change

Control

Automating Communications


Principles of Relational Contracting

Starts with Communication.

Ends with Continuous Improvement and Trust .

Example of typical email inbox


How can I find any information in this mess?

Intelligent Communications

• Live Status

• Automated Workflow

• Analytic Data

• Process Chain

• Tracked Obligation

• Indisputable History Audit

Absolutely Required

Contract Communications

Company

Send

Receive

Review

Respond

Letters

Minutes of Meetings

Reports

Change Orders

Payment Verification

Amendments

Certificates

Letters

Minutes of Meetings

Reports

Change Requests

Payment Application

Authorization Requests

Certificate Requests

Contractor

Change Control

• Preapproved Process Chain

• Identifying the Impact

• Dynamic Workflow


Change Request

Change Proposal

Change Order

Payment Verification


AFP Review Clarifications Approval

What precisely is being claimed? Prices & supporting documentation

Correct rate, prices, totals?

Missing documentation, “off contract” rates, arithmetical errors, un-founded claims, anomalies?

Is there a complete commercial indisputable audit trail?

AVEVA Solution Overview


BREAKING NEWS: AVEVA PROCON IS NOW

AVEVATM CONTRACT RISK MANAGEMENT

Same level of contract control.New name.

Why? AVEVA is updating it’s product names to reflect their function.

When? June 2020

Contact for more info:[email protected]

mailto:[email protected]

Solution SuiteWhat does Contract Risk Management Include?

Contract Risk Management

Audit & Award

Pre-Qualification

Tender Management

Contractor

Registration

Online Tendering

Lessons Learnt/Feedback

Control Changes &

Obligations

Track Payments/Budget

Control

Manage Communications

Manage Claims & Disputes

PRE-AWARD POST-AWARD

ANALYTICSA part in Transactional Management but is NOT an ERP system

Stores active Contractual Documents but is NOT an EDMS

Captures financial exposure but is NOT a Cost Controls system

IS a Advanced Communication & Contractual Risk Management System

Final Thoughts

• Complete Contract Transparency

• Leveraging Predictive Analytics

• Reducing Unexpected Risks

• Automating Communications

Using Technology to Debunk the Post Award Blame Game

Q&AWhat do you want to know? Submit your questions in the Q&A Widget.

Submit questions under the Questions Widget Type your Questions & Submit


Remember…Don’t forget to download additional information from the Resources Widget!

Click the ‘Resources’ WidgetDownload Resources


Thank You!


AVEVA Contact Information:[email protected]@aveva.com

Moderator & Host:[email protected]

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This presentation may include predictions, estimates, intentions, beliefs and other statements

that are or may be construed as being forward-looking. While these forward-looking statements

represent our current judgment on what the future holds, they are subject to risks and

uncertainties that could result in actual outcomes differing materially from those projected in

these statements. No statement contained herein constitutes a commitment by AVEVA to

perform any particular action or to deliver any particular product or product features. Readers

are cautioned not to place undue reliance on these forward-looking statements, which reflect our

opinions only as of the date of this presentation.

The Company shall not be obliged to disclose any revision to these forward-looking statements to

reflect events or circumstances occurring after the date on which they are made or to reflect the

occurrence of future events.


linkedin.com/company/aveva

@avevagroup

ABOUT AVEVA

AVEVA is a global leader in engineering and industrial software driving digital transformation across the entire asset and operational life cycle of capital-intensive industries.

The company’s engineering, planning and operations, asset performance, and monitoring and control solutions deliver proven results to over 16,000 customers across the globe. Its customers are supported by the largest industrial software ecosystem, including 4,200 partners and 5,700 certified developers. AVEVA is headquartered in Cambridge, UK, with over 4,400 employees at 80 locations in over 40 countries.

aveva.com
