An Interactive 5-Day Training Course
Managing Subcontractors
Creating the Framework for Contracting Effectiveness
Course Overview
This GLOMACS Managing Subcontractors training course fills the knowledge gap on a key topic in construction – how to manage contractually the specialist trades that carry out much of the work in a ‘works’ project.
If you represent an Employer and are principally concerned with the main Contractor, you may not have much knowledge about or influence over the (often) small companies that are doing the construction work. You may think that these organizations, who make up your contractor’s supply chain, don’t matter to you – until something goes wrong.
If you represent a main Contractor, your focus switches – looking ‘upstream’ to your client and ‘downstream’ to your own contractors and suppliers. The effectiveness of this complex supply chain is vital to you if you are going to meet your client commitments. If you don’t get the right subcontractors in place, with the most appropriate legal agreements established, you may fail to meet the time, cost or quality requirements that are set out in your main contract with the Employer.
This training course addresses both audiences – Employers and Contractors – in the best contract management approaches for subcontractors.
This training course will highlight:
- The relevance of subcontracting when initiating a procurement
- The rights, obligations and liabilities that arise from the contractor’s supply chain.
- Methods to control subcontractor risk.
- Drafting approaches to link main contract obligations through to subcontractors.
- Common construction industry approaches to financial management of subcontractors
Training Outline
DAY 1: Choosing the right sub-contractor for the job
- What is a sub-contractor?
- Why use sub-contractors?
- Typical roles for construction sub-contractors
- Domestic, Named and Nominated sub-contractors
- Employers’ desire to control sub-contracting: prohibition and approval methods.
- Best procurement practices when selecting or influencing the selection of a sub-contractor.
DAY 2: Managing Sub-contractor Risks
- Contract Risk Management introduction
- Risk Allocation principles
- What are the key risks in working with sub-contractors?
- To the Contractor
- To the Sub-contractor
- To the Employer
- Key timing concerns for the main Contractor
- Examples: Notice periods/ Exercising rights /Information provision
- Sub-contractor liabilities to the Employer
- Collateral warranties
- Negligence
DAY 3: Developing the optimal sub-contracting agreement
- The main contractor’s rights, obligations, and liabilities in relation to sub-contractors
- The sub-contractor’s rights, obligations, and liabilities in relation to the main contractor
- What if any are the rights and obligations between the Employer and a Subcontractor?
- Interface agreements between sub-contractors
- Planning for contract changes throughout the supply chain
DAY 4: Drafting Effective Sub-contracts
- Contract Drafting principles.
- Aims and Objectives when drafting the subcontract.
- “Back-to-Back” - Stepping down the terms from the main contract
- Standard form or Bespoke sub-contract – which is better?
- Model sub-contract terms and conditions
- FIDIC contracts
- NEC3/NEC4 contracts
DAY 5: Subcontractors Claims and Payment
- The importance of cash-flow for successful construction
- Timing of payments to sub-contractors
- Building in time buffers
- Conditions precedent and Conditional Payment clauses:
- “Pay when Paid.”
- “Pay if Paid.”
- Rights to direct payment by the Employer to Sub-contractors
- Managing Sub-contractor EOT and Financial claims
Certificates
- On successful completion of this training course, GLOMACS Certificate will be awarded to the delegates
- Continuing Professional Education credits (CPE) : In accordance with the standards of the National Registry of CPE Sponsor, one CPE credit is granted per 50 minutes of attendance
Accreditation
GLOMACS is registered with NASBA as a sponsor of Continuing Professional Education (CPE) on the National Registry of CPE Sponsors. NASBA have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.learningmarket.org.
All Training Seminars delivered by GLOMACS by default are eligible for CPE Credit.
About Saudi Glomacs
At Saudi GLOMACS, we specialize in delivering world-class training courses in Saudi Arabia and across various international locations. Our training courses are tailored to meet the unique demands of Saudi Vision 2030 and the Human Capability Development Program, focusing on empowering Saudi citizens and enhancing workforce skills. We offer diverse courses spanning leadership, management, engineering, and technical disciplines to cultivate expertise and drive professional growth. Our flexible learning options—whether in-person, online, or in-house—ensure accessibility and convenience for individuals and organizations alike.
With over 30+ years of experience through the GLOMACS global network, we are committed to delivering innovative, results-driven training solutions. Our expert instructors combine industry knowledge with dynamic teaching methods, fostering practical skill development and long-term career success. By choosing Saudi GLOMACS, you're investing in personal excellence and contributing to the Kingdom’s sustainable economic growth and vision-driven transformation.
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