Description
Solution
Adopting the definition of Lee et al. (2020), in a contract implementation, extension of time is granted in an event the work progress s impacted by excusable delaying event. Extension of time become a risk when what CIPS (2021) identify as Clin Vs Walter Lilly & Co court of appeal ruling prevails. In the ruling, it highlighted on the need for having an elaborate risk allocation in contracts which is more relevant particularly after emergence of COVID-19 pandemic. For RCU T&C’s, they note that;
Hence, as evidenced in the RCU terms and conditions, they cannot be classified as warranty since they offer a provision of the contract termination for failing to adhere to the contract T&Cs. The 15 days provided in the contract is intended to ensure that the supplier is reporting on an occurrence which lead to delaying the contract in line with the agreed timelines. There are instances where environmental issues/challenges affect the capacity of an organisation to successfully implement a contract. In Hansen (2020) report evaluating if COVID-19 outbreak is a force majeure event, these had been noted to be occurrences past the management of an organisation in their operations. Specifically, the contract terms and conditions note that;
Hence, as evidenced in the contract, occurrences such as COVID-19 pandemic which has affected majority of the contract implementation in RCU is even linked with the KSA laws. However, the PS&M teams lacks sufficient knowledge and understanding on the relevance of the Force Majeure concept….
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- In summary, this assessment, has focused on evaluating the process of leading a project team for implementing a new category management.
- For achieving this, British American Tobacco (BAT) in Malaysia has been used as an organisation of interest.
- The selected category of spend is technology and particularly the procurement of high speed machines for meeting the market demand. The rationale of this is that as an international organisation, BAT organisation engages both local and international suppliers in sourcing of technology.
- Considering this high demand, there has been challenges which sustainability of their sourcing approach. Therefore, BAT has been prompted to invest in a system which is modernised for ensuring modernisation of the procurement and supply process in BAT.
- For the Procurement and Supply Management (PS&M) tasked with the responsibility of procuring the technology system tend to take part in learning and development strategies, improving the suppliers relations, increasing alternation of the suppliers relations, high-level inclusion of stakeholders and to transform technology.
