SPONSORS

SPONSORS

An Analysis of the Resolution of Disputes in E-contracts

using Multiple Analysis Methods

 

STUDENT PAPER

By Feiran Liu

SKEMA Business School

China and Lille, France

 


 

ABSTRACT

This article’s aim is to analyze the causes of disputes in E-contract and the alternative solutions to these disputes. There are three questions presented to promote the analysis which are how do buyers and sellers reach a consensus in a dispute? In the dispute, how to maintain the legal status of buyers and sellers equal? What is the most notable problem in dispute resolution? The analysis is carried out by the cause and effect diagram in root cause analysis, the Non-Dimensional Scaling Technique, a Non-Compensatory approach, the addictive weighting technique and the Pareto analysis. After analysis, six resolutions for resolving e-contract disputes have been proposed, and it is found that Buyer resolves independently is the best solution.

Keywords:      E-contract, causes of disputes, e-contract disputes, conflicts, alternative resolutions

INTRODUCTION

“Nowadays with China’s e-commerce develops rapidly, the numbers of e-contract disputes increase significantly”[1]. “Only in one province of China, Guangdong Province from 2011 to 2013, the average annual growth rate of e-contract disputes was 24%, and the average annual growth rate of new types of cases has reached 75%.”[2] The data showed that from May 2014 to April 2015, the E-commerce Trial Collegiate Panel in Guangdong “had accepted 19 e-contract dispute cases and concluded 14 cases;”[3]  And from May 2015 to April 2016, 266 cases of the same type were accepted and 192 cases were concluded; From May 2016 to April 2017, 107 cases of the same type were accepted and 148 cases were concluded [4]. Among these e-contract cases, the online shopping contract disputes accounted for more than 80%, and the remaining balances were other disputes such as intellectual property rights violations and privacy violations. In view of the large proportion of online shopping contract disputes, this report mainly emphasis on the analysis of the causes of online shopping contract disputes.

Generally speaking, the causes of e-contract disputes are numerous, however the dispute causes are mainly concentrated, and there are certain commonalities. Therefore, by the help of data in recent years, the causes of e-contract disputes are principally determined and classified into the following four categories according to their characters: seller related, buyer related, contract related, third party related. There are sub categories (11 in total) for each cause, which will be further studied according to the cause and effect diagram in root cause analysis (see figure 1).

Figure 1. Cause-and-Effect diagram[5]

E-commerce can facilitate people’s lives which is a manifestation of social development and progress. However, in the process of e-commerce transactions, conflicts are inevitable because of the different positions and opinions between the contract parties, and if conflicts are not resolved in time, it is easily to convert into disputes. Disputes of e-contract belongs to the scope of e-commerce projects, and their existence are a crucial obstacle to the completion of e-commerce projects to some extent. But according to Fenn et al. (1997) “conflict and dispute are two distinct notations. Conflict exists wherever there is incompatibility of interest. Conflict can be managed, possibly to the extent of preventing a dispute resulting from the conflict” [6]. Hence, analyzing the causes of disputes could promote the exploration of the underlying source of conflicts, which can help e-commerce managers to evade and manage, also helps to improve the e-commerce project contracts and regulations. Thus it will promote the completion of electronic projects and alleviate the current sudden increase in the number of electronic dispute cases in China to a certain extent.

This article aims to analyze the causes of conflicts in e-contracts and provide solutions. To achieve this goal, detailed analysis will be conducted in the following articles. At the end of the article, readers will have a clear and crystal understanding of the causes of disputes in e-contracts. And more importantly, this article will provide practical suggestions and solutions in order to obtain better solutions of the e-contract disputes in actual e-commerce projects.

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director paul.gardiner@skema.edu.

How to cite this paper: Liu, F. (2019). An Analysis of the Resolution of Disputes in E-contracts using Multiple Analysis Methods, PM World Journal, Vol. VIII, Issue VIII, September.  Available online at https://pmworldlibrary.net/wp-content/uploads/2019/09/pmwj85-Sep2019-Liu-resolutions-of-disputes-in-econtracts.pdf

 


 

About the Author


Feiran LIU

Zibo, China

 

 

 

Feiran LIU is a student of MSc Project and Programme Management & Business Development at SKEMA Business School in Lille Campus. Born in Zibo, China, she has obtained a bachelor’s degree in Water Supply and Drainage Science and Engineering from Qingdao Technological University. During her bachelor’s degree, she had a short internship at Shandong Tianwei Engineering Technology Co., Ltd. and Licunhe Wastewater Treatment Plant. She has a certain knowledge reserve for engineering design and sewage treatment, and now she is studying for project management in SKEMA Business School in France.

Feiran lives in Zibo, China, and can be contacted at feiranatasha@hotmail.com.

To view more information about Feiran, check out her LinkedIn page at: https://www.linkedin.com/in/%E6%96%90%E7%84%B6-%E5%88%98-78a238173/

 

[1] Nanfang Daily. 10 e-commerce disputes involving 7 online shopping. Retrieved from http://tech.sina.com.cn/roll/2017-06-19/doc-ifyhfpat5274601.shtml

[2] Nanfang Daily. 10 e-commerce disputes involving 7 online shopping. Retrieved from http://tech.sina.com.cn/roll/2017-06-19/doc-ifyhfpat5274601.shtml

[3] Nanfang Daily. 10 e-commerce disputes involving 7 online shopping. Retrieved from http://tech.sina.com.cn/roll/2017-06-19/doc-ifyhfpat5274601.shtml

[4] Nanfang Daily. 10 e-commerce disputes involving 7 online shopping. Retrieved from http://tech.sina.com.cn/roll/2017-06-19/doc-ifyhfpat5274601.shtml

[5] By Author.

[6] Emre Cakmak and Pinar Irlayici Cakmak. An analysis of causes of disputes in the construction industry using analytical network process. Retrieved from https://www.sciencedirect.com/science/article/pii/S1877042813050738

 

 

Can construction disputes be settled easily?

 

STUDENT PAPER

By Vamsi Maru

SKEMA Business School

India and Paris, France

 


 

ABSTRACT

Construction is one of the most booming business in the world. It is one of the important sources of generating employment and capital. The construction industry is larger and more complex because of the involvement of various parties associated with the project. Due to its complexity, various risks are involved like delays, improper cash flow, lack of skill, change orders and environmental conditions; if these are not cleared they lead to Disputes. Disputes can break the relationship among the participants, affect the work quality and productivity, leading to claims and may lead to project fail if it is not managed inappropriate method. The aim of this paper is to present different types of disputes that occur in construction and analyzing various alternative dispute resolution methods using Multi-Attribute Decision Model by comparing different resolution methods between them and providing the best option to resolve the disputes without claims. These findings can be helpful to construction practitioners in understanding the dispute problems that occur frequently. This can minimize the risk of cost overruns associated with disputes.

Key words:      Construction dispute, Delay Causes, Road construction, Contract errors, Claims

INTRODUCTION  

The construction industry is complex, unique, and span for long period, which make more challenging to avoid disputes. Depending upon delivery method,  type of skills, and required type of contract to use an employee, have different forms of disputes. Disputes are never budgeted for therefore occurrence of any disputes turn out to be very costly. it can damage financial and human resources, time, quality of work, and opportunity cost. Therefore, disputes are unavoidable. It should be managed properly by assessing the causes.

                                               FIGURE 1. Risks changing into disputes[1]

“Road construction contracts are responsible for several types of disputes. The disputes may be among the client and the contractor, the key contractor, and sub-contractor over-compensation, concert of the contract, delay and disturbance of works, design variations, value escalation, the value of works etc.  Maximum disputes are fixed by compromise among the contracting revelries without the participation of third party[2].   The accessing architect and engineer tenacity maximum disputes that might arise through the development of the work on site. Roughly cases still may need the structure of dispute review professional or panel. Still, around cases could be mentioned to an autonomous adjudicator to seek practical solutions and disputing revelries may intentionally accept and implement the result of the adjudicator. Subsequently exhausting the preceding dispute resolution mechanisms, it may be inevitable to take the substance to arbitration, frequently for last and binding reward that is enforceable by public law court like any court decision”[3]

“Construction Claim can be well-defined as an appeal by any revelry to the agreement, frequently the Contractor, for reimbursement of reparations produced by a disaster of the further party to achieve his portion of responsibilities as stated in the contract. The reimbursement is frequently in the method of the added compensation or an extra time.

Claims are”[4] inevitable in road construction projects. Claims are an appeal for time and financial reimbursement for repairs acquired by any revelry to the agreement. The amount and occurrence of claims have enlarged over current years due to the upsurge in the proportions and complication of these missions. These claims outcome in cost overruns, agenda interruptions and combative relations amongst the contracting revelries[5].

The below Figure 2. shows the typical worth of construction conflicts globally between 2011 and 2016, corresponding by area. In 2016, the average value of construction disputes globally was 216 million U.S. dollars. A conflict was charted as a condition of concerns wherever 2 parties take problem within the declaration of a written bond right. The value of this dispute is that the extra claim to it enclosed within the contract.

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director paul.gardiner@skema.edu.

How to cite this paper: Maru, V. (2019). Can construction disputes be settled easily? PM World Journal, Vol. VIII, Issue VIII, September.  Available online at https://pmworldlibrary.net/wp-content/uploads/2019/09/pmwj85-Sep2019-Maru-can-construction-disputes-be-settled-easily.pdf

 


 

About the Author


Vamsi Maru

Paris, France

 

 

 

 

Vamsi Maru is an Indian national student, is 22 years old and comes from Andhra Pradesh state located in South India. He comes from an engineering background with a bachelor’s degree in Industrial Engineering from GITAM university, India.

At the beginning of year 2018, he chose to study Project Management as a specialization and integrated Skema’s Master of Science in Project and Program Management and Business Development. He strongly believes that Project Management is more than a subject, a competence, that is absolutely needed today to make successful projects and have a clear approach to how to deal with schedule and stakeholders within projects in every single topic. Vamsi is certified in AGILEPM Foundation, PRINCE2 Foundation, Lean Six Sigma yellow Belt.

Vamsi lives in Paris and can be contacted at vamsikrishna.maru@gmail.com

 

[1] STUDY OF CONSTRUCTION DISPUTES & IT’s RESOLUTION THROUGH ARBITRATION? (2015, August 9). Retrieved from https://www.slideshare.net/abhishekshah798/c-51427660

[2] (PDF) Assessment of Construction Dispute Resolution in Ethiopian Somali Regional State Road Projects: A Case Study on Road Projects in the Region. (n.d.). Retrieved from https://www.researchgate.net/publication/321012269_Assessment_of_Construction_Dispute_Resolution_in_Ethiopian_Somali_Regional_State_Road_Projects_A_Case_Study_on_Road_Projects_in_the_Region

[3] Dispute_paper[1]. (2016, September 21). Retrieved from https://www.slideshare.net/YolenteMacarubbo/disputepaper1

[4] “Types and Causes of Construction Claims”. (2015, 28). Retrieved from https://www.slideshare.net/abhishekshah798/types-and-causes-of-construction-claims

[5] Causes of claims in road construction projects in the UAE. (2016, December 14). Retrieved from https://www.tandfonline.com/doi/abs/10.1080/15623599.2016.1230959

 

 

Digital Transformation in Financial Services

What Cost Estimation Methodology to Choose?

 

STUDENT PAPER

By Soukaina Touil

SKEMA Business School

Morocco and Lille, France

 


 

ABSTRACT

In a rapidly changing digital world, the financial services industry is struggling to stay competitive through digital transformation projects. Indeed, financial institutions today are engaging in huge digital transformation projects to stay up to date and create value. However, many of them fail in their digital transformation projects, mainly due to cost overruns. This paper discusses the reasons leading to the projects’ failure through a root cause analysis, followed by a presentation of the different alternatives to the main problem, then an analysis is established of the different alternatives through the multi-decision attribute model and a non-dimensional weighting technique to narrow down the alternatives to one best solution that can be applied to our problem. Finally, a Force-Field analysis is used to determine the forces supporting and hindering the application of our solution.

Key words:      Cost estimation, Financial Services, Digital Transformation, Top-Down, Fintech, Budget Methodologies, Contract, Project, Consulting

INTRODUCTION

In a world where technologies are rapidly evolving, the economic model has transformed in a very competitive way, and businesses are striving to keep up with the digital change and to create a significant competitive advantage. Indeed, “two-thirds of business leaders believe their companies will lose competitiveness if they don’t become significantly more digitized. The pace and volatility of digitization opportunities make it more difficult for IT leaders to help their companies exploit emerging digital opportunities”[3]. Taking this into account, organizations in different industries understood well that they should integrate digital technology into all areas of business, resulting in fundamental changes in how the business operates and delivers value to customers.[4]

Among all industries, the financial services industry, which can be simply defined as the services offered by financial and banking institutions, is struggling to optimize cost-effectiveness and profitability following the last decade’s downturn[5]. As such, this industry is particularly concerned with and affected by the digital transformation and process optimization through different financial technologies, or as they are commonly called, Fintech. Implementing new technologies require a huge investment from the financial institutions. In 2017, they have invested more than $13 billion on Fintech and digital transformation.[6] This number is significantly important compared to the other industries.

However, as much as the rewards can be promising and fruitful, the risk of the Digital Transformation failure is very high. Indeed, 84% of companies fail at digital transformation[7], including financial services institutions. A real example of this kind of failure is Co-op Bank, which has invested £300 million in 2007 in the modernization of its IT systems. Four years later, the whole investment went to waste and the digital transformation was deemed a failure.[8] One of the main reasons leading to this failure was “underdeveloped plans in continual flux and poor budgeting”[9].

However, if we take a closer look into the failing digital transformation projects, we can see that they have followed traditional funding and budgeting models that have closely impacted the failures.[10]

Indeed, the classical budgeting models such as the Top-Down cost estimating approach, have been proven to be inefficient in digital transformation projects. The Top-Down approach takes into consideration the different costs starting from the final deliverable, breaking it down into smaller work packages, and allocate the adequate budget for each package. It identifies tasks quickly and is efficient when there’s a clear insight into the details of a project[11]. However, in a digital transformation project, the emphasis should be put on the word “Transformation”, because it implies change. Implementing new technologies to replace the previous ones requires an agile environment and operating models[12]. The transition into that kind of models require another investment in business agility, and this is what the classical cost estimation approaches do not take into consideration, which leads to budget and schedule overrun and very often to the project failure.

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director paul.gardiner@skema.edu.

How to cite this paper: Touil, S. (2019). Digital Transformation in Financial Services: What Cost Estimation Methodology to Choose? PM World Journal, Vol. VIII, Issue VIII, September.  Available online at https://pmworldlibrary.net/wp-content/uploads/2019/09/pmwj85-Sep2019-Touil-digital-transformation-in-financial-services.pdf

 


 

About the Author


Soukaina TOUIL

Lille, France

 

 

 

Soukaina Touil is an ambitious problem solver, freshly graduating from SKEMA Business School of Lille. Today she holds a master’s degree in Program and Project Management & Business Development, and also a master’s in Corporate Finance from IAE of Lyon. Born in Casablanca, Morocco, she moved to France to study for her master’s degree in Lille. Certified in PRINCE2 and AgilePM methodologies and preparing for the CAPM methodology Certification, she has acquired significant professional experience through her internship in Casablanca as a Junior Analyst in the Financial Services within a consultancy firm, then as a Junior Financial Market Analyst through her internship in Capital Markets within a Bank of Investment in Casablanca.  She has also worked for a French consulting firm specialized in Capital Markets as a Junior Business Developer helping them establish a market study and opening their new branch in Casablanca. Passionate about Finance and Project Management, she is today ready to face new challenges on the European market.

Soukaina lives in Lille, France and can be contacted at touil.soukaina@gmail.com

 

[3] CEB, The new IT Operating Model for Digital, 2017, Retrieved from https://www.infoq.com/articles/Digital-Transformation-Guide-1

[4] The Enterprises Project, What is digital transformation? Retrieved from https://enterprisersproject.com/what-is-digital-transformation

[5] Oracle Financial Services, A Strategic Approach To Cost Efficiency in Banking Industry, September 2017. Retrieved from http://www.oracle.com/us/industries/financial-services/strategic-approach-efficiency-wp-3886143.pdf

[6] Deloitte Center For Financial Services, Fintech by the numbers, 2017. Retrieved from https://www2.deloitte.com/content/dam/Deloitte/us/Documents/financial-services/us-dcfs-fintech-by-the-numbers-web.pdf

[7] Bruce Rogers & Michael Gale Interview, Forbes, why 84% Of Companies Fail at Digital Transformation. January 2016. Retrieved from https://www.forbes.com/sites/brucerogers/2016/01/07/why-84-of-companies-fail-at-digital-transformation/#58bd3665397b

[8] Rolin Zumeran, A Look Back at Digital Transformation in Financial Services (and Digital Transformation in General) in 2017, January 2018. Retrieved from https://www.openlegacy.com/blog/a-look-back-at-digital-transformation-in-financial-services-and-digital-transformation-in-general-in-2017

[9] Martin Gill, Why Do Digital Business Transformations Fail? April 2015. Retrieved from https://go.forrester.com/blogs/15-04-01-why_do_digital_business_transformations_fail/  

[10] Mark Lamoureux, How Budgeting Impacts Digital Transformation, April 2018. Retrieved from https://www.veriday.com/blog/budgeting-impacts-digital-transformation/

[11] Andy Makar, Top-Down vs. Bottom-Up Project Management Strategies, August 2018. Retrieved from https://www.liquidplanner.com/blog/how-long-is-that-going-to-take-top-down-vs-bottom-up-strategies/

Understand and find solutions to the main cause of disputes in construction

Project manager’s failures to understand or comply with their contractual obligations

 

STUDENT PAPER

By Pauline Vanneste

SKEMA Business School

Lille, France

 


 

ABSTRACT

Contracting imposed on the project manager and the contractor to agree and linked them to one another. However, the project manager doesn’t always succeed to understand or comply with its contractual obligations and that is the major disputes cause. To help to solve or at least reduce the problem, we must understand how it happens, the reasons why project managers fail to understand or comply with their contractual obligations and then find a solution to each reason. After findings several solutions, we will define attributes to measure and evaluate the solutions and finally resume our findings. We will see that the failures from the project manager result from him or her directly. But that we can put solutions in contracts to incent the project manager to comply with its contractual obligations.

Key words:      Disputes, Contractual obligation, Clauses enforcement, Risk management, Technical skills

INTRODUCTION

“Contract is important during every step of the project” according to Jean-Charles SAVORNIN[1]. “The contract contains the term of a mutually binding agreement”[2]. But sometimes after the mutual agreement, it doesn’t go as it should be and disputes appear. “Disputes are disagreements not settled by mutual consent which could be decided by litigation or arbitration”[3] .

According to ARCADIS, the main disputes clause in the contract is the failure to properly administer the contract in construction area[4]. That comes from the issue that a party fails to understand or comply with its contractual obligations. The disputes value and duration will have a bad impact for both parties with more or less on each one or both. Try to avoid or reduce the disputes that can arise is part of risk management, a major concern of the project manager. “Risk management is an organized assessment and mitigation of project risks as well as pursuit of consequential opportunities”[5]. And managing those risks could be done through the contract. Here our interest will be focused on project manager’s misunderstandings and failures to comply with their contractual obligations in the construction area.

“Disputes could be as complex as contracts and the reasons why disputes arise are many”[6]. That’s why as future managers, contractors or even investors, understand the disputes in the project linked to the contract can allow us to avoid delays, involving our responsibilities with bad actions or decisions, avoid failures… Simpler, it could help to improve project contracting in general. Giving a review of the reasons why, even possible solutions and consequences of project managers failures to understand or comply with their contractual obligations, will allow us to find solutions to put in place in the contract. In the first time, focusing on the construction area that we are studying here would give more specific and accurate results. Thanks to those results the application of those results on other fields and areas could be studied and a solution might be found to solve the first disputes clause in the contract. Moreover, the number of construction project is increasing over the years[7] and so it would be a good and large based to study the causes of disputes.

As we know, “the costs of construction disputes are huge especially in the Middle East, $82m”[8] and so deleting the disputes or at least find some ways to reduce them and their impact could save a lot of time and money. “The misunderstandings and failures to comply with contractual obligations of project managers are the first cause of disputes”[9] so find solutions to the first cause of disputes could importantly reduce a lot of disputes themselves. It is logical. Contracting would be easier and safer for both parties reducing that much risks. In studying this subject, we will also find the problems coming from the project manager part but it doesn’t mean that he or she is entirely and only responsible for it. For example, project manager over-optimism of the project manager lead to a quick review of the risks or the requirements and a thought that “everything would be ok no matter how but over-optimism often lead to delays”[10]. The schedule is part of the contract and so delays represent a failure to comply with a contractual obligation. The study will reveal if the project manager is responsible most of the time, the contractors, both parties or just the contract itself. Because the issue could come from the contract and not the parties. “Develop the contracting policies and processes”[11] to avoid disputes causes and so disputes themselves is our main point here.

In the construction area and especially in the construction project, project management, program management, portfolio management, and asset management are involved. As the table below (figure 1) prove it because the assess define if a project can continue or not. Managing the risks and so the disputes causes are essential to improve the analysis of dispute causes and also prevent risks and avoid disputes that would create a time and money waste.

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director paul.gardiner@skema.edu.

How to cite this paper: Vanneste, P. (2019). Understand and find solutions to the main cause of disputes in construction: Project manager’s failures to understand or comply with their contractual obligations, PM World Journal, Vol. VIII, Issue VIII, September.  Available online at https://pmworldlibrary.net/wp-content/uploads/2019/09/pmwj85-Sep2019-Vanneste-main-cause-of-disputes-in-construction.pdf

 


 

About the Author


Pauline VANNESTE

Lille, France

 

 

 

Pauline Vanneste is a young business student in Project Management with just a few years of experience, certified with Prince 2 and AgilePM. Born in the north of France, she spends two years in a preparatory class to the best business schools in France and succeeds to enter SKEMA. She lived 6 months in Sweden and 6 months in Brazil during her master’s degree. After two years studying management, finance, marketing and business she decided to specialize in Project Management by doing an MSc Project Management and Business Development during she studied International contracts. Studying the contracts and especially the causes of disputes in international contracting, she focused on the construction area. The main topic of her study was to understand the main cause of disputes in the contract: the project manager failures to understand or comply with its contractual obligations, propose solutions and evaluate them in order to have a review of the reasons why it happens and solutions for each reason.

She just completed his last assignment in December of 2018 under the tutorage of Dr. Paul D. Giammalvo, CDT, CCE, MScPM, MRICS, GPM-m Senior Technical Advisor, PT Mitrata Citra Graha, to attain Guild of Project Controls certification.

Pauline Vanneste lives in Lille, France and can be contacted at Pauline.vannest@skema.edu

 

[1] SAVORNIN, J.C. (2016) Contract Management Outils et Méthodes, Pratiques d’entreprises. Retrieved from http://www.scholarvox.com/catalog/book/docid/88833617?searchterm=contract

[2] R. Max Wideman. (2017). Wideman Comparative Glossary of Project Management Terms v5.5. (n.d.). Retrieved from http://www.maxwideman.com/pmglossary/

[3] R. Max Wideman. (2017). Wideman Comparative Glossary of Project Management Terms v5.5. (n.d.). Retrieved from http://www.maxwideman.com/pmglossary/

[4] Global construction disputes report 2017. (2017). ARCADIS. Contract Solutions.

[5] R. Max Wideman. (2017). Wideman Comparative Glossary of Project Management Terms v5.5. (n.d.). Retrieved from http://www.maxwideman.com/pmglossary/

[6] HAMON, K. (2003, October). Resolution of Construction Disputes: a review of current methodologies. Leadership and Management in Engineering. Retrieved from https://ascelibrary.org/doi/pdf/10.1061/%28ASCE%291532-6748%282003%293%3A4%28187%29

[7] US DEPARTMENT OF TRANSPORTATION. (December 2011). Work Zone Road Users Costs. Concepts and applications. Retrieved from https://ops.fhwa.dot.gov/wz/resources/publications/fhwahop12005/fhwahop12005.pdf

[8] LOFTHOUSE, S. (2016, August 31). The cost of disputes in the middle east. MeConstruction News. Retrieved from https://meconstructionnews.com/16782/the-cost-of-construction-disputes-in-the-middle-east

[9] Global construction disputes report 2017. (2017). ARCADIS. Contract Solutions.

[10] PRATER, J. KIRYTOPOULOS, K. MA, T. (2016). Optimism bias within the project management context: a systematic quantitative literature review. International journal of managing project in Business. Retrieved from https://www.researchgate.net/publication/315933641_Optimism_bias_within_the_project_management_context_A_systematic_quantitative_literature_review

[11] Guild of Project Controls Compendium and Reference | Project Controls – planning, scheduling, cost management and forensic analysis (Planning Planet). (n.d.). Retrieved from http://www.planningplanet.com/guild/GPCCAR-modules

 

 

The contractual strategy of performance managers

to avoid losses of a cancelled concert and perpetrate the event

 

STUDENT PAPER

By Tom Perrigaud

SKEMA Business School

Lille, France

 


 

ABSTRACT

This paper was written as part of The International Project contract class conducted by Dr Paul Giammalvo within the Msc Project and Program management and business development in SKEMA Business school.

This paper will enable performance managers to manage successfully a project and more precisely a concert. Since the sequence and multitude of international concerts called “Tour”, these are sources of income but can also cause huge losses in the event of cancellation by an artist for various reasons.

Therefore, this paper will highlight the feasible alternatives that can be used to enable performance managers to avoid cancellation and manage it properly.

Thanks to a deep study using non-compensatory and multi-attribute decision-making models and the additive weighting technique we will be able to choose the best option to avoid cost and time-consuming losses. Among those feasible alternatives, we have: Setting a plan B (keeping initial artist or replacing it), Insurance bond (postponing cost or cancelling compensation), total compensation clause and artist specific contract.

This paper recommends the performance managers to use total compensation clause because it discourages artists ‘wrongdoings and prevent from any losses. If possible this article advises performance managers to complete the contract with a plan B clause and an artist-specific contract.

Keywords:  concert artist contract; legislation and regulation of the performing arts; concert cancellation; postponed concert; claim for compensation

INTRODUCTION

To participate in a concert, “you must pay in average 84,63 Us dollars to hear an artist”[1]. But sometimes, the artist does not show up, which causes irritation and frustration from the public.  Overall, “concert organization is a big commitment in time and resources”[2]. Indeed, making live artistic performance contracts is complicated; to draw up and negotiate requires a lot of time and tremendous costs for the concert manager.

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director paul.gardiner@skema.edu.

How to cite this paper: Perrigaud, T. (2019). The contractual strategy of performance managers to avoid losses of a cancelled concert and perpetrate the event, PM World Journal, Vol. VIII, Issue VII, August. Available online at https://pmworldlibrary.net/wp-content/uploads/2019/08/pmwj84-Aug2019-Perrgaud-contractual-strategy-to-avoid-losses-of-cancelled-concert.pdf

 


 

About the Author


Tom Perrigaud

Lille, France

                            

 

 

Tom Perrigaud is a PGE master 2 student in skema Business school currently in Msc Project and Program Management and Business Development in Lille France. Born in France, he has a strong international background spending the rest of his high school education in Germany where his parents live and made his preparatory class during 2 years in Vienna in Austria where he developed a real taste for languages and international cultures.

In 2016 he entered in Skema Business school where he did a License in Management. He spent his master 1 in United States where he developed his skills in negotiation, strategy and innovation. He will be starting an internship in January 2019 in AFD TECH as a business developer. He has experienced in event planning and business development while he was president and vice-president of two cultural and musicals associations during in Skema Business School. He is certified Prince2 and AgilePM recently.

Tom lives in Lille, France and can be contacted at tom.perrigaud@skema.edu or tom.perrigaud@hotmail.fr

You can also send him a message via his linkedIn www.linkedin.com/in/tom-perrigaud

 

[1] Global average music tour ticket price 2017 | Statistic. (n.d.). Retrieved from https://www.statista.com/statistics/380106/global-average-music-tour-ticket-price/

[2] The Purdue University, The Purdue concert guide (23,july,2015 )- https://www.purdue.edu/sao/documents/purdue-concert-guide.pdf

 

 

How can companies comply with 2018 GDPR

regulation while earning benefits?

 

STUDENT PAPER

By Etienne Plassard

SKEMA Business School

Lille, France

 


 

ABSTRACT

As a reaction to the General Data Protection Regulation (GDPR) implemented on May 25th of 2018, companies seek compliance and better data privacy management. Besides, lots of them are still struggling with processes implementation. This paper aims at offering concrete solutions to start and improve their overall GDPR compliance while earning benefits and saving costs. This study will answer the following research questions: how to deal with data-privacy contract management, how to manage data efficiently, and how to mitigate risks related to data breaches. The research method used to evaluate the different solutions is the additive weighting technique based on a compensation model. We will find that the four best alternatives must be combined to ensure significant GDPR compliancy and benefits. Thus, adopting a performant contract management system and having a strong breach identification is necessary, as well as using the Agile methodology to implement change.

Keywords:     Cash Flows, Data, Protection, GDPR, Compliance, Risk Mitigation, Storage, Breaches, Cybersecurity, CMS, Anonymization

INTRODUCTION

Do you think it is normal that today, only one in five companies surveyed believe they are GDPR compliant?  This famous agreement on data protection implemented since May 25th of 2018 reveals not to be respected by a wide majority of US and European companies.[1]

The problem is complex for many reasons: “GDPR’s scope is far more comprehensive and wide-reaching, meaning businesses will need to amend their data protection policies accordingly”, says a Virtual College study.[2] There are way more clauses to comply with than the previous 1995 DPA and the volume of data concerned is tremendous for big corporations. It represents also a deep shift in people ways of working, as well as huge IT organizational and process changes. In parallel, data privacy stakes are rising: the Ponemone Institute found increasing data breaches in frequency (33% in 2013 and 43% in 2014)[3] while Verizon confirmed 53,000 incidents and 2,216 confirmed data breaches in 2018[4]. On top of that, the legal part remains the major concern of GDPR, however, it is also a question of freedom, respect, and dignity of the people[5].

One can realize all these major changes cannot be implemented once and for all, even more on a short-time period. In this study, we will develop actions and processes companies can use to tend to full GDPR compliancy while earning benefits at the same time. It is something very progressive companies must work on because it targets not only data management but also change and risk management. On top of that, this very wide project must be seen as a long-term process to put in parallel with a global better data privacy management. According to Daniel Mintz, “All businesses housing large volumes of data are faced with a dilemma: figuring out which data to keep and ensuring that data that is kept is secure”.[6] Indeed, these structures are at the edge of transformation and integration solutions that help their clients managing their databases. We will narrow the study to EU and US companies that can afford the solutions furtherly approached, starting from medium-sized companies up to corporations.

In this study, we will enlighten three major issues companies must face and their related solutions. First, data-related contract management becomes a nightmare when it comes to checking on every clause. Identifying the data nature and stakeholders concerned is the first step to a long process, not to mention US and EU differences and opening clauses that “permit a Member State to modify the provisions of the Article” for a “more restrictive application of the GDPR obligation via local legislation.”[7] In parallel, companies must tackle data issues such as increasing data volume and relevancy. For example, “you may need to appoint a data protection officer (DPO), depending on the types of processing your company conducts”[8], to tackle daily and long-term data privacy purposes. Launching data minimization and anonymization processes should reduce sensitive data ownership because according to Recital 26 of GDPR, “The principles of data protection should therefore not apply to anonymous information, namely information which does not relate to an identified or identifiable natural person or to personal data rendered anonymous in such a manner that the data subject is not or no longer identifiable”[9]. Thus, the ability to use this kind of data can help companies improve their customers’ experience, or simply be a new source of profit.[10] The last big issue is about incident and breaches. How to deal with them? It starts with a complete protection and prevention program: breach identification is necessary, as well as a permanent cybersecurity control through bounty programs for example. Because risks cannot be all avoided, companies must have solid and very-well processed incident response plans to anticipate costs, resources and decisions related to every possible breach situation[11].

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director paul.gardiner@skema.edu.

How to cite this paper: Plassard, E. (2019). How can companies comply with 2018 GDPR regulation while earning benefits? PM World Journal, Vol. VIII, Issue VII, August.  Available online at https://pmworldlibrary.net/wp-content/uploads/2019/08/pmwj84-Aug2019-Plassard-compliance-with-GDPR-while-earning-benefits.pdf

 


 

About the Author


Etienne Plassard

Paris, France

 

 

 

Etienne Plassard is a Master 2 graduate student in Project Management with one year of professional experience in recruitment and project management. Born in Côte d’Or in France, he studied mathematics, geography and economy in France, and then entered SKEMA Business School in Lille, France. He studied capital markets and accountability in Canada for 6 months, and then went to Brazil to study project management. He has been accredited PRINCE2 and AgilePM in December 2018. He is currently working for a consulting firm as a Business technology & integration consultant in Paris. He is publishing his first Student Paper under the tutorage of Dr Paul D. Giammalvo, CDT, CCE (#1240), MScPM, MRICS, Senior Technical Advisor (Project Management) to PT Mitratata Citragraha. (PTMC), Jakarta, Indonesia.

Etienne lives in Paris, France and can be contacted at etienne.plassard@hotmail.fr

 

[1] Edward Gately, 80 Percent of Companies Still Not GDPR-Compliant (2018, July). Retrieved from: https://www.channelpartnersonline.com/2018/07/13/80-percent-of-companies-still-not-gdpr-compliant/

[2] What are the main differences between the GDPR and the Data Protection Act? Conducted by Virtual College (2018, January). Retrieved from: https://www.virtual-college.co.uk/news/virtual-college/2018/01/the-differences-between-gdpr-and-data-protection

[3] Is Your Company Ready for a Big Data Breach? Conducted by Ponemon Institute (2013, April) Retrieved from http://www.experian.com/assets/data-breach/brochures/2014-ponemon-2nd-annual-preparedness.pdf

[4] 2018 Data Breach Investigations Report, 11th edition, conducted by Verizon (2018). Retrieved from: http://www.documentwereld.nl/files/2018/Verizon-DBIR_2018-Main_report.pdf

[5] Laxmi Sharma, GDPR: After 25th May, What Medium And Long-Term Actions? (2018, June). Retrieved from: https://www.smartdatacollective.com/gdpr-25th-what-medium-long-term-actions/

[6] Daniel Mintz, The Road to Becoming GDPR Compliant Leads to Log Term Success, (2018, October). Retrieved from: http://www.dataversity.net/road-becoming-gdpr-compliant-leads-long-term-success/

[7] John Tomaszewski, “Opening Clauses” in the GDPR – It Might Not Be As Easy As We Thought (2017, July). Retrieved from: https://www.globalprivacywatch.com/2017/07/opening-clauses-and-the-gdpr-it-might-not-be-as-easy-as-we-thought/

[8] Lei Shen, Rebecca Eisner, Updating Your Vendor Agreements to Comply With GDPR (2017, March). Retrieved from: https://iapp.org/news/a/updating-your-vendor-agreements-to-comply-with-gdpr/

[9] Recital 26 EU GPDR, (2018, September). Retrieved from: http://www.privacy-regulation.eu/en/recital-26-GDPR.htm

[10] How To Monetize Your Data? produced by Lotame (2018, February). Retrieved from: https://www.lotame.com/how-to-monetize-your-data/

[11] Elizabeth Kemery Sipes, Bryan Cave, Joshua James, Current data security issues for financial services firms (n.d). Retrieved from: https://www-emeraldinsight-com.ezp.skema.edu/doi/full/10.1108/JOIC-07-2016-0034

 

 

Risk Management in Dairy Contracting

A Study in France, Australia, and the United States

 

STUDENT PAPER

By Angel Tania

SKEMA Business School

Lille, France & Indonesia

 


 

ABSTRACT

Dairy products are consumed on a daily basis by people all over the world. The dairy consumption is forecasted to grow to 234 metric tons by the year 2021[1]. Despite the growth, this industry faces challenges. This paper discusses the risks in dairy contracting found in France, Australia and the United States; what are the risks in contracts within the projects in the dairy industry? What factors trigger those risks? How can we improve the contract clauses so that a fairer agreement to all parties can be achieved? Through cause-and-effect analysis, the root causes of the risks are identified. Then, multi-attribute decision-making model is used to determine the best solution to manage these risks based on Project Management method. Thereafter, Force-Field analysis is used to identify best practices in dairy contracting based on the practices done in the aforementioned three countries. In the end, it can be concluded that the government possesses a vital role in dairy contracting fairness, especially in establishing standards and protecting all stakeholders involved.

Keywords: Contract Management, Challenges, Dispute, Conciliation, Pricing, Contract Fairness, Milk Quota, Risk Transfer

INTRODUCTION

Despite a period of turbulence the global dairy sector is currently facing, “the global demand forecast for dairy is expected to increase by 2.5% annually to 2020”. This expected rise is mainly driven by the rising population and their changing diets towards receiving more of their calories from proteins, especially dairy products[2]. In regards to the growth, it is indisputable that the dairy industry has suffered from numerous scandals in recent times. Modern customer’s value when making food choices has also evolved. Customer nowadays weighs in the factor of health, wellness, and social impact while making their buying decision. It is due to these reasons that the dairy sector has been attempting to innovate, and one of the ways to achieve that is through projects. “Milk producers are cooperating with research organizations and universities through several projects to enhance their knowledge about the composition of dairy products so that new options for adding value to milk and its components can be offered to customers”[3].

With an escalation in the number of projects within the dairy industry, the project management knowledge has been more important than ever. The term project itself has been defined in various ways. According to the Global Alliance of Project Performance Standards (GAPPS), a project could be “the preparation of the feasibility study, the creation of a research report for a consumer products company, or the implementation of a new information technology system.”[4] The International Project Management Association (IPMA) describes a project as a “unique, temporary, multi-disciplinary and organised endeavour to realise agreed deliverables within predefined requirements and constraints.”[5] Therefore project management, according to the Wideman’s Glossary of Project Management Terms can be defined as “the process of directing and coordinating human and material resources throughout the project lifespan to achieve established objectives of scope, quality, time, cost, and stakeholder satisfaction.”[6] This definition includes the management of resources in order to achieve objective. Thus, one of the essential factors that need to be organised in projects is contract management. Managing resources within project requires the project manager to comprehend the globally applied fundamentals of contract and procurement of resources. Especially in the dairy industry where numerous stakeholders are involved ranging from government, companies, farmers, to consumers. A well-established contract management within projects can help the project managers to manage risk, perform strategic alignment, manage complexities, and increase the project success[7].

Project management in dairy sector is involved in a complex environment, in which many stakeholders are involved, there are numerous requirements from the government and trade union, and volatility of price can impact the project at any time. One of these complexities also include the challenges posed by the contracts formulated within the project[8]. Figure 1 depicts the four root causes analysis of the elements that possess a big impact on contract management in projects within the dairy sector.

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director paul.gardiner@skema.edu.

How to cite this paper: Tania, A. (2019). Risk Management in Dairy Contracting: A Study in France, Australia, and the United States, PM World Journal, Vol. VIII, Issue VII, August.  Available online at https://pmworldlibrary.net/wp-content/uploads/2019/08/pmwj84-Aug2019-Tania-Risk-Management-in-Dairy-Contracting.pdf

 


 

About the Author


Angel Tania

Lille, France

 

 

 

Angel Tania is a Project Management professional with Finance background. Born in the world’s largest archipelago, Indonesia, she was granted a scholarship to pursue her Bachelor’s degree at Hogeschool van Arnhem en Nijmegen (University of Applied Science) in the Netherlands, majoring in International Finance & Control. During her study, she had the chance to work as a trainee in the biggest dairy company in the Netherlands; Royal Friesland Campina, before being hired as an external Business Process consultant at TNT Express (now a subsidiary of FedEx). She also pursued a minor degree in Risk Management and Entrepreneurship at Glasgow Caledonian University, Scotland before embarking on a further master study at SKEMA Business School, France.

Angel lives in Lille, France and can be contacted at ursulangeltania16@gmail.com

 

[1] Dairy Industry Overview. (2018). Retrieved from https://www.statista.com/topics/4649/dairy-industry/

[2] McMahon, M. (2017). Challenges and Opportunities in the Dairy Sector. Retrieved from https://www2.deloitte.com/content/dam/Deloitte/ie/Documents/ConsumerBusiness/ie_Dairy_Industry_Trends_and_Opportunities.pdf

[3] Research in the area Dairy Science and Technology. (2018). Retrieved from https://www.wur.nl/en/Research-Results/Projects-and-programmes/Dairy/Research.htm

[4] GAPPS. (2007). A Framework for Performance Based Competency Standards for Global Level 1 and 2 Project Managers. Sydney: Global Alliance for Project Performance Standards. Retrieved from https://globalpmstandards.org/wp-content/uploads/2014/12/GAPPS_Project_Manager_v1.1150411_A4.pdf

[5] Schoper, Y., & Viehbacher, A. (2015). Individual Competence Baseline for Project Management. IPMA. Retrieved from http://products.ipma.world/ipma-product/icb/read-icb/

[6] Wideman, M. (2018). Wideman Comparative Glossary of Project Management Terms v5.5. Retrieved from http://www.maxwideman.com/pmglossary/PMG_P16.htm#Project%20Management

[7] Graham, R. (2018). Contract Management Skills for Project Managers – PMO Perspectives. Retrieved from https://www.strategyex.co.uk/blog/pmoperspectives/contract-management-skills-for-project-managers/

[8] Vavra, P. (2009). Role, Usage, and Motivation for Contracting in Agriculture. OECD Food, Agriculture, and Fisheries Working Papers. Retrieved from https://www.oecd.org/tad/agricultural-trade/43057136.pdf

 

 

Dispute Resolution when Negotiating

and Contracting IT Outsourcing Contracts

 

STUDENT PAPER

By Sophie Malherbe

SKEMA Business School

Chambourcy, France

 


 

ABSTRACT

An Information Technology subcontracting relationship can meet many issues, which can arise during the pre-contractual phase or the already-started business relationship. This fact shows that there is a strong important to choose adapted clauses and provisions when writing the contract and a key verification of all the details to do during the whole contracting process.

Then, the main objective of this paper is to give both parties, the IT supplier and the customer company, the key elements essential to protect their interests and their projects.

When willing to enter or entering into an IT outsourcing contract with an IT supplier, a customer company has to secure its contract from its negotiation, thanks to prevention and cooperation, to the signature of the agreement. On the other hand, if unfortunately a dispute arises after both parties entered into their legal IT relationship, it is recommended to them to have implemented the “Dispute Resolution” clause providing them to use the Standing Neutral alternative solution. This option generally makes the parties saving costs and time, beneficing of a neutral and very competent third party familiar with the contract’s environment (projects, relationship, privacy, etc.).

Keywords: Dispute, Contracts, Management, Solution, Information Technology, Outsourcing, Subcontracting, Negotiating

INTRODUCTION

Because of the acceleration of the digitalization of business processes, more and more companies all over the world start or already have projects of software development. These projects are generally part of development portfolios to make a company more competitive: it is a strategic key point (Figure 1[1]). “In response, the organization as a whole and its IT group in particular has to continuously evolve to be more agile and robust[2].

Figure 1: Why IT development and implementation within a company is strategic?[3]

To achieve this Digital Transformation, thanks to their software development, some companies, such as IBM, create their own software, use it personally and sell it to other companies. Otherwise, some other companies do Information Technology (IT) outsourcing which is “the subcontracting of a part of all of the IT function of a company to an external outsourcing vendor[4].

Outsourcing has profoundly evolved over time. Now, more than being a way to externalize the production in order to minimize manufacturing costs thanks to third parties, it entails “several strategically important functions: from technological innovation to logistics, customer relations to post-sales services[5].

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director paul.gardiner@skema.edu.

How to cite this paper: Malherbe, S. (2019). Dispute Resolution when Negotiating and Contracting IT Outsourcing Contracts, PM World Journal, Vol. VIII, Issue VII, August. Available online at https://pmworldlibrary.net/wp-content/uploads/2019/08/pmwj84-Aug2019-Malherbe-dispute-resolution-for-IT-outsourcing-contracts.pdf

 


 

About the Author


Sophie Malherbe

Chambourcy, France

 

 

 

Sophie Malherbe is a Global Project Management professional with Law background. Born in the Human Rights’ country, France, she has a Dual Bachelor’s degree in French Law and Common Law from the University of Nanterre (Law School). During her study, in 2017, she had the opportunity to work as a Junior Project Manager at Vivatechnology, a joint-venture created by Maurice Levy (Publicis Group) and Francis Morel (Les Échos, LVMH). She trained herself for six months to become a great and efficient future Project Manager by participating in the organization of a worldwide meeting between startups, investors and big companies from around the whole globe.

She pursued her education by starting to study at SKEMA Business School (France) in 2017. Since she joined this 7th best-ranked French Business School, she already had the chance to enroll for a study semester in Belo Horizonte (SKEMA’s Brazilian campus in partnership with the Fundação Dom Cabral, being a world-class Brazilian business school). She now studies Global Project Management in the Master of Sciences “Project and Programme Management and Business Development” at SKEMA Business School (Lille campus France). She is actually completed her last assignments and took the opportunity to further her education by a way of a distance learning mentoring course, under the tutorage of Dr Paul D. Giammalvo, to obtain her International Contract Management degree.

Sophie lives in Chambourcy, France and can be contacted at sophie.malherbe@skema.edu.

To find other information about Sophie Malherbe, visit her LinkedIn profile at https://www.linkedin.com/in/sophie-malherbe-skemabusinessschool-projectmanagement-it/

 

[1] “Information Technology Strategy and Management: Best Practices” – Chew, Eng K – Retrieved from https://books.google.fr/books?id=oOYioSahlYgC&pg=PT330&lpg=PT330&dq=Strategies+for+dispute+prevention+and+management+in+IT+outsourcing+arrangements&source=bl&ots=oOcnF0Vn5d&sig=LDwL4TP6oeG8Dr7-trHUrK8pYWw&hl=fr&sa=X&ved=2ahUKEwjexdHfyNveAhUvzoUKHSiKCRA4ChDoATAFegQIBxAB#v=onepage&q&f=false

[2] “Information Technology Strategy and Management: Best Practices” – Chew, Eng K – Retrieved from https://books.google.fr/books?id=oOYioSahlYgC&pg=PT330&lpg=PT330&dq=Strategies+for+dispute+prevention+and+management+in+IT+outsourcing+arrangements&source=bl&ots=oOcnF0Vn5d&sig=LDwL4TP6oeG8Dr7-trHUrK8pYWw&hl=fr&sa=X&ved=2ahUKEwjexdHfyNveAhUvzoUKHSiKCRA4ChDoATAFegQIBxAB#v=onepage&q&f=false

[3] “Information Technology Strategy and Management: Best Practices: Best Practices” – Chew, Eng K – Retrieved from https://books.google.fr/books?id=oOYioSahlYgC&pg=PT330&lpg=PT330&dq=Strategies+for+dispute+prevention+and+management+in+IT+outsourcing+arrangements&source=bl&ots=oOcnF0Vn5d&sig=LDwL4TP6oeG8Dr7-trHUrK8pYWw&hl=fr&sa=X&ved=2ahUKEwjexdHfyNveAhUvzoUKHSiKCRA4ChDoATAFegQIBxAB#v=onepage&q&f=false

[4] “Information systems outsourcing: issues and evidence” – K. Altinkemer, A. Chaturvedi, R. Gulati – Retrieved from https://www.sciencedirect.com/science/article/pii/0268401294900035

[5] “Outsourcing strategies. How to formalize and negotiate the outsourcing contract”, Pallicelli Michela and Meo-Colombo Carlotta – Retrieved from  https://core.ac.uk/download/pdf/6294468.pdf

 

 

Advancement of Drones in Electrical Transmission

and Distribution Construction

 

STUDENT PAPER

By Pandya Brijalkumar Hasmukhlal

SKEMA Business School

Lille, France & India

 


 

ABSTRACT

The advancement of new equipment for construction of electrical transmission and distribution line is essential for safety, cost and time. The drone technology enhances the construction field with their enormous benefits as compared to their traditional method for the power lines construction. This article gives a prologue to drone technology innovation and give perspective result for technical specification, surveying and accurate measurement in construction and eliminate use of heavy air-craft. The primary viewpoints that have prompted the substantial spread of drone technology in construction of power lines are examined and here compared with their traditional methods with evolution with some technique like MADM, quantitative representation, relative weighing and additive weighing and then choose the best methods which provides strong position for attributes that consider for the subject. Although all methods are relatively important on its way of use but comparison between them made easy selection for most benefits for use. The iterative methods already show that the drone technology proven best practice for construction of power lines in terms of time, cost, risk, size, location, quality and environment sustainability.

Key words:   Aircraft/ Transmission and distribution/ Construction/ Infrastructure/ Expensive/ Cost effective/Power sector

INTRODUCTION

Every year increasing demand in energy for domestic and industries create alarming situation for infrastructure of transmit and distribute it. Though construction of power line is not much easier as it looks. “Around 30 to 50 workers in every 1,00,000 are killed on the jobs every year and many others suffer from non-fatal loss of limbs from electrical burns and mechanical trauma which is almost twice fatality rate than police officers and fireman”[1]. Moreover, the capital cost of construction is also expensive due to pre-construction inspection crew, transportation, helicopter and ground crew. Advancement in technology booming power sector also by using drones in construction, inspection and maintenance for energy lines and remarkable cost cutting in operations. This all reasons need some innovative alternative for construction of T&D lines.

Fish bone analysis for innovation in construction of T&D[2]

Using drones in construction of energy transmission line is not fairy tales now it is in infancy, but future of this technology is very enormous. In recent past, “Sharper shape and skyskopes, in cooperation with an investor-owned utility, have completed the project regarding string shock line installation of 765kv transmission power line successfully in USA”[3]. The main concern of this project is showing to world that drone technology have many applications than basic inspection with respect to safety, efficiency and cost-effective. Sock pulling, the act of strong and lightweight rope and connecting it to towers, is traditionally completed by helicopter and ground crew involve great risk to aircraft pilot and member of ground crews. Drone technology eliminating typical complex process and divided into sub process of reattaching string and minimize the risk of injury for involved people. This is not small issue, approximately 1.5 deaths every year from helicopter crews trying to perform same task but using drones and expertise pilot, task done with maximum cost effectiveness and with no risk of injury to manned aircraft. According to Guild control of project Compendium and references for managing change “Identify what a change is and understand how to demonstrate the impact will have on our projects”[4] so, here impact of drone technology in construction of power lines is very clear and based on advantages decision making is also easy by facts and results in terms of safety, cost and operation as well.

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director paul.gardiner@skema.edu.

How to cite this paper: Author Hasmukhlal, P.B. (2019). Advancement of Drones in Electrical Transmission and Distribution Construction, PM World Journal, Vol. VIII, Issue VII, August.  Available online at https://pmworldlibrary.net/wp-content/uploads/2019/08/pmwj84-Aug2019-Hasmukhlal-drones-in-electrical-transmission-construction.pdf

 


 

About the Author


Pandya Brijalkumar Hasmukhlal

India and France

 

 

 

 Pandya Brijalkumar Hasmukhlal, MSC in “Project and Programme Management and Business Development (PPMBD)” at SKEMA Business School, Lille Campus. As a part of a key module “The International Contract Management” qualification requirement under the direct supervision of Professor. Paul D Giammalvo, PhD, CDT, CCP, MScPM, MRICS, GPM-m Senior Technical Advisor, PT Mitrata Citragraha, the course director and the Professor. Paul Gardiner, The Program Director. He graduated from the Sankalchand patel college of Engineering, approved by AICTE (All India Council of Technical Education) and affiliated to Hemchandracharya north Gujarat University, Patan, Gujarat, India and holds a bachelor’s degree in Electrical Engineering. He has worked at Eurocircuits India Pvt Ltd., Gandhinagar, Gujarat, India as a Production Engineer in the year 2014 to 2018. He has a background in Production and Design Engineering in Electrical & Electronic Industry. He speaks fluent English, Gujarati, Hindi, and basic French.

Pandya Brijalkumar can be contacted at brijalkumar.pandya@skema.edu Or LinkedIn https://www.linkedin.com/in/brijal-pandya-9a360a170/

 

[1] Ore, Timothy. (1996, June). Electrical Fatalities Among U.S. Construction Workers: Journal of Occupational and Environmental Medicine. Retrieved from https://journals.lww.com/joem/Abstract/1996/06000/Electrical_Fatalities_Among_U_S__Construction.9.aspx

[2]     By author October 2018

[3] Sharpershape. (2017). Transmission line construction | Sharper Shape Inc. Retrieved from https://sharpershape.com/energy-industry-services/transmission-line-construction

[4]Guild of project controls compendium and references. (2015, November 2). GUILD OF PROJECT CONTROLS COMPENDIUM and REFERENCE (CaR) | Project Controls – planning, scheduling, cost management and forensic analysis (Planning Planet). Retrieved from http://www.planningplanet.com/guild/gpccar/introduction-to-managing-change

 

 

The redaction of fair cancellation and recording clauses

in the music event sector

 

STUDENT PAPER

By Chloé Forget

SKEMA Business School

Paris, France

 


 

ABSTRACT

Music event sector is highly risky due to the uncertainty and temporary aspects, therefore cancellation and recording clauses are crucial for risk management in music vents contracts. This paper studies the redaction of cancellation and recording clauses in the music event contract. In this article, we analyze five different contract templates (AIA, FIDIC, CONSENSUS, EJCDC and CSI contracts) to figure out which alternative will be the best option to redact fair cancellation and recording clauses between an organizer of event and the artist manager. Our researches demonstrated that the CSI contract is the best template to redact fair cancellation and recording clauses thanks to relation of power abut both parties, that are equals in this contract, and the compensations process, that is fair and fast for both parties.

Keywords:     music events; music contract; production contracts; cancellation issue; recording artists; event cancellation; producer responsibilities; event organizer obligations; penalties

INTRODUCTION

Last year I bought two tickets for Shakira’s concert in Paris but just one week before the date, she announced she would not be able to perform the show. It was a complete surprise for me, and, for instance, I didn’t know what was going to happen with the purchase I made but also, I started wondering about other issues. For example, have you ever asked yourself what would happen to both of the parties of a contract if the artist doesn’t show up for his/her show? Have you ever asked yourself if you are authorized to record on video the show with your cell phone? It seems so natural for all of us to go to a concert, enjoy ourselves when our artist arrives on the stage, take photos and videos, post them on our preferred social network, and many other things that we always take for granted.

However, each musical event requires lots of previous work that can take weeks, or even months, for setting up a contract between the artist’s manager and the event organizer. Without a contract, the artist will have no more than a moral obligation to perform the show he/she was paid for and the organizer will have no obligation to protect the copyright of the artist. The artist will lose his/her artistic property (or at least, part of the revenues for his/her performance) and the organizer will lose money and damage its brand image by paying to someone who is not coming. Hence both parties need to find an agreement and write it down in order to make it applicable in a trial, whenever one of them doesn’t fulfill his/her duties. A contract is essential because it warrants that all the parties involved will act as it was previously decided and respect their responsibilities (commitments). According to the article “8 Issues to Know and Address Before Sign a Music Producer Contract” of McDonald, H [1], discussing the terms of a contract is a very difficult task because all the situations should have been considered by the parties, and here is where the main goal of the contract clauses reveals. In particular, the clauses indicate specific situations and will specify the penalties that would be applicable in each particular case. What does make difficult the implementation of cancellation clause and recording clause?

According to the website Symphonic, “Music event are fully part of project management area.”[2] Indeed, each event done in music sector imply a project management structure and its attributes. According to the size of the event, music event can require a portfolio structure to realize the event. For example, a music festival that last several days include several projects, in the way that each concert of this festival may be a project inside this portfolio. What make the project management sector specific for cancellation clause and recording clause?

In this essay, we will focus on two clauses that are essential, but also problematic, for any kind of music event: the cancellation clause and the recording clause. Moreover, it is precisely their essential character what makes them problematic because a lot of things are at stake on their formulation.

For instance, if the artist cancels his/her performance, then, it is very likely that the whole event, that may include more participants, will be canceled immediately as well. Thus, the organizer would have probably to deal with the other commitments that he/she acquired with the stakeholders and with all the clients who paid for the show. In the same way, a recording of the performance, even a partial one, could damage the artist-intellectual property if it is not controlled by a specific regulation provided by the organizer. To avoid these and many other problems, the clauses must be discussed, and penalties must be defined to enforce the duties of both the artist’s agent and the organizer.

The purpose of this essay is to evaluate what is the most efficient way of writing down the cancellation and recording clauses for the parties involved in a contract in such a manner that respects, but also enforces, the obligations acquired between each other when they engage in a contract the pursues the common goal of performing and/or organizing a music event.

This essay will answer to: How cancellation and recording clauses can be fairly redacted in a music contract?

This question will be analyzed by using the Five Whys Funnel Analysis thanks to the following questions:

  • Why do we need the cancellation clause and recording clause?
  • Why are there risks in music events?
  • Why music events are uncertain sectors?
  • Why music contracts need to consider project management attributes in order to redact cancellation clause and recording clauses?
  • Why is it complex to define the most important attributes for cancellation and recording clauses in music events?

More…

To read entire paper, click here

 

Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director paul.gardiner@skema.edu.

How to cite this paper: Forget, C. (2019). The redaction of fair cancellation and recording clauses in music event sector, PM World Journal, Vol. VIII, Issue VII, August.  Available online at https://pmworldlibrary.net/wp-content/uploads/2019/08/pmwj84-Aug2019-Forget-fair-cancellation-and-recording-in-music-event-sector.pdf

 


 

About the Author


Chloé Forget

Paris, France

 

 

 

Chloé Forget is an Msc student from SKEMA Business School. She is currently studying Project Program Management & Business Development. Before that, she studied 4 years global management in the same business school. French native but she grew up in a multicultural environment thanks to her travels (Spain, the UK, Germany, Tunisia, Morocco, Turkey, Peru, …). It was thus only natural she decided to study abroad. She studied in Fundação dom cabral in Brazil, and in North Carolina State University in the USA. She has experience in project management for being responsible for a music festival in France and in development of new products in a tourism agency in Mexico. As a project management student, she recently obtained PRINCE 2, Agile PM and IPMA certifications.

Chloé lives in Paris and can be contacted by email at chloe.forget@skema.edu

 

[1] McDonald, H. (2009, May 16). 8 Issues to Know and Address Before Sign a Music Producer Contract. Retrieved from https://www.thebalancecareers.com/before-you-sign-a-music-producer-contract-2460647

[2] Legal Contracts for Music Producers I Symphonic Distribution. (2018, September 21). Retrieved from http://blog.symphonicdistribution.com/2017/06/legal-contracts-music-producers/

 

 

%d bloggers like this: