(Solution) CIPS Module 3 Concept of the “Battle of the Forms”
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Description
Solution
Battle of the forms concept in contracts management is noted to “occur when organisations and a supplier having their unique terms and conditions which are different in various clauses” (Lexis, 2024). A case study organisation is provided in the CIPS Module notes of a negotiation and procurement relationship involving Butler Machine and Ex-Cell 0 which happened in 1979. A common agreement was made for supply of machines using the supplier standard teams. The area of misunderstanding in the contract was in regard to honouring the costs where the conflict headed upto court of law successfully. In managing the battle of the forms, the contract terms and conditions note that;
The terms and conditions highlight that being the buyer, ROSHN is at all times ready in managing any instance where the suppliers fails in embracing the contract terms and conditions. This is by understanding the role of the terms and conditions and align their PS&M in line with these terms and conditions.
Further, for ROSHN terms and conditions which are in place and actively being used, their management is best achieved by aligning this with KSA laws and all stakeholde3rs relations. The rationale of this us to make sure any conflict which emerge are through coordination successfully managed. At the stage of implementing the contract successfully, terms and conditions are prioritised with purchase order which highlight the entire requir3ements to be put into account. At the implementation of the contract stage, all the terms and conditions are in mutual agreement and understanding for all stakeholders positive relations. Hence, the contracts are successfully harmonised with any misunderstanding successfully managed to the benefit of the buyer and all the other stakeholders with success.
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(Solution) (AC4.1) Assess suitable types of contractual arrangements dependent on specific workforce need
Solution Permanent, full-time contracts Permanent, full-time contracts for delivery drivers offer both benefits and drawbacks, making their suitability dependent on ParcelCare’s operational needs and goals. Pros Permanent, full-time contracts provide job security and consistent income for delivery drivers, enhancing employee satisfaction and loyalty. This stability can lead to higher motivation and productivity, reducing turnover rates and the associated costs of recruitment and training as evidenced by Personio (2023). Full-time contracts also facilitate better workforce planning, ensuring ParcelCare has reliable staffing to meet delivery demands. Cons However, these contracts can be less flexible and more costly for the company. Full-time employees typically require benefits such as health insurance, paid leave, and retirement plans, increasing operational expenses. Additionally, the rigidity of permanent contracts may not align with fluctuating delivery volumes, leading to inefficiencies during low-demand periods. Suitability For ParcelCare, full-time contracts can be suitable if delivery volumes are consistently high, ensuring a stable workforce. However, a mixed model that includes part-time or flexible contracts might offer the necessary flexibility to adapt to changing demands while controlling costs. Part-Time Contracts Part-time contracts offer flexibility for delivery drivers, allowing them to balance work with other commitments. Drivers benefit from a stable income, albeit at reduced hours, while ParcelCare can adjust staffing levels according to demand. A significant advantage of part-time contracts is reduced costs associated with employee benefits, as part-time workers may not qualify for full benefits packages (Abogados, 2019). However, part-time drivers may lack the same commitment or availability as full-time employees, potentially impacting reliability and consistency. Zero-Hours Contracts Zero-hours contracts provide maximum flexibility, allowing ParcelCare to scale staffing up or down based on delivery demand without a fixed commitment to provide hours (CIPD, 2023c). For drivers, these contracts offer freedom to accept or decline work, appealing to those seeking flexibility. However, they also result in income uncertainty and lack of guaranteed hours, which can be challenging for drivers seeking stability. For ParcelCare, zero-hours contracts minimise costs during low-demand periods but may lead to difficulties in maintaining a loyal and consistent workforce due to potential driver dissatisfaction. Part-time contracts are most suitable for ParcelCare’s delivery drivers. They offer a stable income and consistent work schedule, which can enhance job satisfaction and reliability while allowing ParcelCare to adjust staffing levels as needed. This balance supports both operational needs and employee stability. Please click the following icon to access this assessment in full