MSc Commercial Project Management

This unit involves developing specific skills in the commercial management of projects and the different guises this can take across a range of project-types, industries and organisation-types. Specifically, it will concentrate on the basic divide, or conflict, between buy-side and sell-side activities in the project lifecycle as defined by the main project management bodies and leading research in the area. Underpinning theories from economics and strategic management are used to analyse and develop insight into commercial situations and relate action in this category of project work to the outcomes of projects and project-organisations. In terms of the full range of activities regarded as ‘contract & commercial’ it covers processes up to contract award but does not involve itself in contract management. The unit involves  study in depth to acquire coherent and detailed knowledge, most of which is at, or informed by, the forefront of defined aspects of the relevant (engineering) topic / discipline and study of non-technical topics which complement the engineering content.

To develop knowledge and practical understanding of commercial management, in particular the principles and practice of competitive bidding, pricing and bid evaluation, producing and evaluating proposals, procurement, outsourcing and the relation of these to the outcomes of projects and project-organisations.

What does ‘Commercial’ Mean?
- The scope of Commercial Management, including; origins and definition of ‘Commercial’, fundamental conflict of profit maximisation, fundamental constraints in commercial exchanges, areas in project work covered by this term as identified by PMI, APM and leading research in the field, the relation of commercial management to the successful outcomes of projects
The Past, Present and Future of Commercial Management
- The emergence of the Commercial Manager, Contemporary Commercial Management, Relation of commercial work to contemporary themes in the project discourse, i.e. outsourcing, innovation, project marketing, sustainability. Future challenges for commercial work in projects
Underpinning Theories in Commercial Management of Projects
- The Uses of Management Theories, Competitive Advantage Theories, Transaction Cost Economics, Principal/Agent Theory, Application to the Commercial Exchange

The ‘Sell Side’
- Pre-Bid Processes, Evaluating Requests, The Decision to Bid, Managing the Bid Process and the Win Plan, Constructing the Bid, Proposal Development, Price Setting and Pricing Tactics, Bidding Tactics, Negotiated Terms, The Winner’s Dilemma, Project Marketing
The ‘Buy Side’
- Corporate objectives for Procurement, Procurement Strategy, Costing, Payment and Contract Types,  The PMI Procurement Process, Procurement Routes, Value for Money, RFx’s, Competitive Tendering, Bid Evaluation, Award
Who is a Commercial Manager?
- The work of commercial management as described by commercial managers, Competencies and Capabilities of Commercial Managers
Cases in Commercial Management
- Heathrow T5, Football Stadia, others

Students obtain feedback through:
• Personal interaction with lecturer via email or electronic bulletin boards
• Participation in lectures
• Participation in group work
• Participation in presentations
• Written feedback on individual and group assessment