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IACCM Annual Europe Forum 2015 - London

Join us at the 2015 IACCM Europe Forum! Visit www.iaccm.com/europe for program and speaker details. Pricing Details:*Corporate Member rate includes a 30% discount on the standard Full Member rate Registration Options Individual Member Rate   Corporate Member* Rate   Non-Member Rate (includes 1 year IACCM Membership!) Full Event Pass (Incl. optional Workshops) £1176 inc. VAT £828 inc. VAT £1316 inc. VAT Qualified Academic Pass** (incl. Full event pass) £708 inc. VAT NA £852 inc. VAT *A 30% discount applies to those who are part of an active corporate membership. The discounted price will automatically be listed when you register. If in doubt about your membership status, please contact info@iaccm.com. Contact Diane Kilkenny to learn more about starting a Corporate Membership. **Discounts available to FULL-TIME Academics only, please contact info@iaccm.com for details.

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UK Government adds IACCM Certified Programme to its Learning and Development Offer

The UK Pan Government profession group responsible for the professional curriculum, the Commercial Capability Group, has agreed the inclusion of IACCM's Commercial and Contract Certification Programme in the list of approved learning offerings in December 2014.

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Encuestas en curso de la IACCM (open surveys)

Convocamos a la comunidad hispanoparlante a participar de las siguientes encuestas actualmente activas y que nuestra IACCM estará procesando en las próximas semanas. Les recordamos que aquellos que completen las encuestas tendrán libre acceso a una serie de webinars a ser organizados a la brevedad, además de recibir los resultados de las investigaciones 60 días antes de ser publicados oficialmente. Muchas gracias! 1. Performance Measurements: encuesta sobre las métricas de desempeño, complejidad del contrato, número de personal, ciclos de procesos contractuales, cantidad de contratos por profesional, etc. Con un solo link, en 10 minutos completarás el mismo! https://www.surveymonkey.com/s/PerformanceMeasurement2014 2. Primary Areas of Activity: apuntando al alcance del rol, tiempo dedicado a las diferentes actividades y utilización de servicios tercerizados de outsourcing u offshore. Aqui tienes el enlace: https://www.surveymonkey.com/s/PrimaryAreasofActivities2014?c=1218_85 3. Value Proposition: en esta encuesta nos concentramos en el valor que has aportado a los negocios, con mirada puesta en la línea de reporte, objetivos, retos y utilización de habilidades https://www.surveymonkey.com/s/BValueProposition2014?c=1218_86 4. Contracting Capability assessment : finalmente, con esta encuesta, ya fuera del benchmarking, analizamos nuestras capacidades de contratación (modelo de madurez) https://www.surveymonkey.com/s/TQHPNV7?c=1218_19

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How to Lead a Successful Global Team

INSEAD professor Erin Meyer discusses how companies can boost the efficiency of their multinational teams by focusing on how they communicate across cultures.

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IACCM November Highlights

IACCM is proud to let it members know what has been happening during the month of November.

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IACCM Board Election Results

IACCM is pleased to announce five newly elected members of our IACCM Board of Directors who are about to step into three-year terms beginning January 1, 2015. Our board reflects the diversity of our membership with 9 different nationalities and 7 different industries represented.

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Redefining trading relationships

There is growing momentum for fundamental change in the way that trading relationships are formed and managed. It is increasingly clear that the way businesses approach selection, engagement and management of their trading partners results in too many failures.

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Esperamos tu voto para la Junta Directiva de la IACCM (hasta el 7 de diciembre tienes tiempo)

No olvides de participar en la votación de la Junta Directiva de la IACCM. Este año, 5 de los 15 candidatos podrán ser electos. Para mayor información sobre los perfiles, y asimismo para elegir tus candidatos, cliquear en http://www.iaccm.com/members/boardelections/

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Renegociación contractual - encuesta de la IACCM

Les retransmito un link para esta rápida encuesta a la que nos invita Tim Cummins. Si bien existe claramente un sustancial incremento en la frecuencia con la que los contratos son renegociados, la pregunta es... en qué medida los negociadores están previendo esta necesidad? En una investigación desarrollada en conjunto con la Escuela de Negocios de Copenhague, la IACCM requiere a sus miembros que compartan sus experiencias al momento de desarrollar cláusulas contractuales que tengan por objeto el derecho de renegociar las mismas. En particular, se ahonda sobre el tema de las llamadas en inglés 'hardship clauses', esto es, cuando ante un cambio brusco de las circunstancias se genera una desventaja desproporcionada y sustancial para una de las partes. En principio, la experiencia y las estadísticas sugieren que bajo esas condiciones existe una mayor tendencia hacia el incumplimiento y el conflicto salvo que se haya previsto un mecanismo de ajuste. Es una encuesta que no llevará más de 5 minutos completarla. Con ello, todo participante recibirá feedback sobre las prácticas y procesos aplicables actualmente en esta materia. Por favor, referirse al siguiente enlace: https://www.surveymonkey.com/s/contractrenegotiation Gracias !

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The new high-pressure contract manager role - and implications for Spanish-speaking nations

Nuevo artículo publicado en inglés en "Contracting Excellent" bajo el título: "The new high-pressure contract manager role - and implications for Spanish-speaking nations". Ver link: https://www.iaccm.com/resources/?id=7597 Y aquí el enlace para el análogo en castellano: https://www.iaccm.com/resources/?id=7598 ("El rol del Gerente de Contratos. Nuevas tendencias, en particular desde la perspectiva de los países de habla hispana")

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El rol del Gerente de Contratos. Nuevas tendencias, en particular desde la perspectiva de los países de habla hispana

Les dejo el enlace para este artículo en español que próximamente se edita en inglés en "Contracting Excellence": https://www.iaccm.com/resources/?id=7598

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Top Negotiated Terms Survey

Hola a todos ! Conforme lo anticipara Tim Cummins, el CEO de la IACCM, la encuesta sobre los TOP NEGOTIATED TERMS durante el 2013 está a punto de cerrar, pero AUN ESTAMOS A TIEMPO DE SUMAR EL APORTE DESDE CENTRO Y SUD AMERICA e IBERIA (ESPAÑA Y PORTUGAL). Este estudio es utilizado por profesionales de varios países e industrias ya que es una herramienta útil a la hora de planificar la negociación y diseñar las políticas internas. Como nos dice Tim en su mensaje en inglés que retransmito a continuación, el estudio de este año está a punto de ser finalizado pero a la IACCM le interesa especialmente nuestro aporte desde los países de habla hispana y portuguesa, esto es, España, Portugal, Centro y Sud América. Participa, ya mismo, son apenas unos minutos, cliqueando aqui: https://www.surveymonkey.com/s/2103topten y recibirás un resultado personalizado en las próximas dos semanas. Gracias ! Pablo IACCM's study of the most frequently negotiated terms is used by professionals in many countries and industries to help their negotiation planning and to influence internal policies. The current survey is nearing completion, but we would especially like more input from South and Central America. I would very much appreciate if you could take a few minutes to provide your experiences. The survey can be accessed at https://www.surveymonkey.com/s/2103topten As a contributor, you receive a personal copy of the research report; your input will of course be kept confidential. Sincerely, Tim Cummins CEO, IACCM

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Acércate y échale un vistazo a la nueva página de la IACCM

La has visitado ya? Échale un vistazo a la nueva página de la IACCM y, en particular, a la de nuestra Comunidad en Español: https://www.iaccm.com/gp/espanol

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Redacción y contratación en múltiples idiomas

Comparto con Ustedes mi último artículo (en inglés) en "Contracting Excellence", donde abordo el tema de la redacción y negociación en múltiples idiomas. Seguramente estaremos acercando el texto en español próximamente, pero me interesaría escuchar sus comentarios desde Latinoamérica y España. https://www.iaccm.com/news/contractingexcellence/?storyid=1532&utm_medium=email&utm_campaign=CE_January_2014+Americas&utm_content=CE_January_2014+Americas+CID_8a7d09a845a550e5e08252753959d454&utm_source=Campaign%20Monitor&utm_term=Need%20a%20dual%20language%20contract%20Heres%20how Para ver la "newslettter" íntegramente: https://www.iaccm.com/news/contractingexcellence/?id=139 Need a dual language contract? Here's how By Pablo Cilotta, International Senior Legal Counsel & Head of Contract Management (HR - EMEA & Latin America) Having managed legal and contractual matters in multiple jurisdictions, I have heard many professionals based in the US and UK raise this question. Let’s say you are planning to support international expansion of your business into Spanish speaking or other countries, but you’re concerned about drafting and negotiation in multiple languages. If you are a global head of contract management or general counsel of a US or European multinational, you likely want to know the obstacles and how to avoid them. Indeed, if we advise companies with operations across multiple geographies or with several business units in the world, we usually face the need to draft, review and negotiate contracts in other languages. For example, you could be doing this when closing sales with foreign companies, appointing sales agents or distributors who need agreements drafted in other languages rather than English or when acknowledging services or employment agreements with parties that perform services overseas. This article explores contract drafting and negotiation in multiple languages, from the perspective, mainly, of Spanish-speaking countries. It includes awareness of cross-cultural and language differences, and explores the appropriateness of undertaking a dual language contract model. It does not include legal advice or propose a ‘right answer’ for all purposes, because each must be decided case-by-case. Be accurate – errors cost money, trust! Recent IACCM research reveals several areas where unintentional but substantial misunderstandings can occur, if we are not aware of cultural norms or expressions. It can be embarrassing and costly. In fact, an article in Tim Cummins’ blog Commitment Matters stresses the need for clarity in communication during negotiations. Particularly when dealing internationally, misunderstandings happen easily. Plain language makes translation easier Wholeness of the message, its presentation, accuracy and consistency are all more than relevant, but the main benefit of a well-written contract is its clarity. Business leaders don´t speak technical-legal language, so it is important to draft contracts in terms that are easy to understand, using plain language and avoiding legalese. If this is done, translation into a local language will be much easier. Keeping paragraphs short, dividing the contract into sections with clear sentences, preferring active voice over passive, avoiding multiple negatives etc- all help with clarity in contract drafting, including for translation purposes. Beware of cross-cultural differences In his article, David James, author of Cross-Cultural and language training states “Global competition is too great to wing it when you go abroad. Savvy business people learn about the specific cultural differences for each country where they do business. And the differences are significant.” When managing cross-border functions in multinationals, we must be prepared to explore diversity in multi-disciplinary teams, identifying the impact of cultural differences in drafting and negotiating international agreements. For instance, contract management professionals need to have cross-cultural understanding and training to properly manage choice of law and arbitration and understand how to deal with translations of contracts into foreign languages. But, recent IACCM research indicates that many American companies fail to focus attention on local culture or language differentiation when expanding into new regions. Worse, during turbulent economic periods, companies often cut the language, international business and cross-cultural training programs once offered to employees. We must understand the mindset of the people and companies we deal with overseas, and always get local advice on whether or not local laws require mandatory provisions in certain circumstances. Contract Management in Latin America – its growth and current impact Lately we have seen contract management beginning to emerge as a recognized profession in Latin America, although still in the early stages of development. Contract management roles are not common in South America. In general, project management, procurement or sales perform these functions. Lawyers manage the drafting and negotiation phase if the company requires in-house support. Otherwise, it becomes the responsibility of the finance jurisdiction. That said, small or medium size companies that assign contract drafting to external lawyers are exposed to risks when they must negotiate a contract in a foreign language, such as English. These lawyers probably do not know the business as they should, even without 100% domain of the English language. I have seen this happen with small organizations in Spain and certain Latin American countries. The contract template brought by the supplier from the US or Europe, in its English version, is taken overseas. Then customers in Latin America or Spain - who anticipate reviewing and negotiating in English - find they cannot. Result? An incredible waste of time creating translations, unexpected costs, extra work, having misunderstandings and experiencing the need to review a contract already reviewed. Narrowing the legal gap – the good news The legal system adopted in Latin American countries – as well as in France, Italy, Germany, Spain and other countries - is civil law, also known as the Continental European Law system. Its foundation is the French Napoleonic Code and the old Roman system, as opposed to thecommon law of the Anglo-Saxon community. With this traditional gap narrowing, Latin American practitioners have been developing new business models that recognize the increasing importance of common law. The gap no longer affects us as much. Obviously this is a great help when negotiating international contracts. Choice of language – the challenge One of the first things you must evaluate when doing business with foreign parties is whether the agreement should be in English, or the foreign language or both. American corporations doing business abroad require English as the official language for the contract. But English is not always the best choice. For instance, if our goal is to have a potential dispute resolution in a jurisdiction or arbitration forum where arbitrators do not conduct proceedings in English, then without any doubt the choice of contract language will be the other language, not English. Avoid dual language if possible Multilingual contract models can be extremely dangerous and we could run severe risks when transplanting and adapting foreign legal concepts. I would always try to avoid dual-language contracts. My first choice would be to migrate Spanish customers to English, depending on the customers’ size and structure and the circumstances of the transaction. Are we selling to a small or medium client? How big are we? Are we buying or acknowledging an alliance partner agreement? It’s critically important to make a comprehensive assessment and then decide to either migrate them to English or create a dual-language system. If we migrate customers to English we can still discuss issues in local language (via phone, face-to-face meetings, email) while keeping contract templates and reviewing other parties’ concerns exclusively in English. In this case, both parties must understand that only the English language will dominate, because only one version of the contract exists in English. The other language will be a translation for information only. If this option does not match the other party’s expectations, we have no choice but to implement the dual-language model. If a dual language contract is necessary, companies with overseas operations sometimes use a two-column, side-by-side format in the contract, depending on the country. This type of contract is common when dealing with customers, vendors or partners with subsidiaries or operations in Spanish-speaking countries, as well as Chinese, Korean, Arabic, Ukrainian, Russian and other Eastern European local languages and, to a lesser extent, Italian and German. Which language controls? First, in case of conflict between both languages, it is essential to consider which will have priority. The question is which language is the official one? Which is binding? Which will control? The agreement needs to be extremely clear. It should state that the original version is in a certain language (eg English) and if a conflict or discrepancy occurs between the languages, one of them shall prevail and take precedence over the other. For example, a clause might have the following wording: “This agreement is in both languages, English and Spanish. In the event of any inconsistency, the English version is the original language and the Spanish version is a translation for information purposes only. Then in case of conflict, the English version will prevail and will therefore be the binding version for both parties…” Applicable law It is best if both the English and foreign language versions of the contract state which of these versions controls. If neither version states which one controls, then the foreign language version will normally prevail in a local court and the local law will apply if different interpretation criteria or discrepancies occur. Regardless of what the English language version states, always be aware of what the foreign language contract says as well. Conduct a clause-by-clause review to ensure translation quality Recent exchanges in our IACCM forum show the importance of making sure about the quality of translation. You must ensure that you have an accurate translation of the contract. One of the two options below can be used to perform a clause-by-clause review: Proven independent law firms with international network connections and domain in multiple geographies or Official translation companies or individuals with demonstrable experience in translating legal terms and conditions. A case in point … Some years ago I experienced the following incident in Spain proving the importance of quality in translations. The relationship and negotiations were in Spanish. The subsidiary drafted a Spanish version of the contract by literally translating into Spanish the English version of the terms and conditions. A secretary (non-lawyer) performed the translation. But unfortunately, and by accident, the negotiators signed the contract with a provision that stated the need to conduct arbitration in Houston, Texas. The contract was between two legal entities based in Spain, and had no contact point in Texas! Fortunately, no conflict or discrepancy occurred, but many complications could have resulted. A conflict would have generated additional non-expected costs and time. The company had no opportunity to remove a clause. Also, in Texas, a translation of a foreign-language document would only have been admissible in court or arbitration proceedings if the document had been accompanied by a sworn affidavit from a qualified translator. The affidavit would be required to specify the translator’s qualifications and attest that the translation was fair and accurate Conclusion – keep this as a checklist Clarity in communication and plain language is essential in contract drafting, especially when dealing internationally. We must pay attention to cross-cultural and language differences. Evaluate if the agreement should be in English, the foreign language or both. Try to avoid dual-language contracts. Insist on a “migration” of non-English speaking clients to English, but keep meetings, phone calls, conversations and follow-up procedures in the local language. If you must implement a dual-language model, state which language controls and governs. Consider both choice of law and jurisdiction at the beginning of negotiations. Find out if the contract provides for dispute resolution, choice of forum or jurisdiction or international arbitration. If no provision exists, assess which legal forum is best for the business. If it is a non-English-speaking forum, assume that the foreign language prevails. Consider the objectives and agree on the contract language that makes sense with such a dispute resolution clause, if any. Use an in-house contract manager or legal counsel who understands both languages. Either get external legal advice to review the contract according to local law or hire a translation company or professional with expertise in technical-legal vocabulary. Consider the time and legal fees to be spent in drafting dual language contracts. Specify the currency to be applied to the contract and consider that local specific issues can impact contract performance. Remember to state that the language that controls will also be the official language during the post-award contract management stage. The controlling language must be stated as the language of subsequent change requests between the parties. Finally, have the contract signed by both parties. If it is a dual-language model, each party signs each version. ABOUT THE AUTHOR Pablo Cilotta is a bilingual (Spanish & English) in house legal counsel with background in corporate and business law, commercial contracts, employment agreements and HR generalist profile. He has business presence in Europe (Spain); Middle East and Africa; APAC; LATAM (Argentina); and the US market. Within that global presence, his experience includes many industries like the fishery sector, IT industry, law firm consultant. His core specialties include setting up legal entities and subsidiaries, demonstrating expertise in designing, drafting, implementing, reviewing and negotiating contracts, including technology license and channel partner. TO CONTACT THE AUTHOR, please mail your question to Info IACCM or connect using the IACCM Member Search (login required).

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ENCUESTA / Estudio anual sobre los términos contractuales más negociados a nivel mundial‏ //IMPORTANTE PARTICIPACION DE LATINOAMERICA y ESPAÑA / IACCM

La IACCM lanza hoy su tradicional estudio anual, en su 12da edición, sobre los términos contractuales más negociados a nivel mundial. Este único y exclusivo análisis es utilizado por empresas y asesores globalmente, a fin de informarse, desarrollar e implementar nuevas estrategias contractuales y de negociación. Es la encuesta más conocida de la asociación pero para ello es esencial tu ayuda. La encuesta lleva menos de 10 minutos. Te preguntaremos sobre las cláusulas contractuales que negocias con mayor frecuencia y asimismo tu visión sobre ciertas tendencias en el proceso de negociación. Por el simple hecho de colaborar con esta encuesta, recibirás con prioridad los resultados de la medición, sin perjuicio de contribuir con el estudio de las perspectivas y situación actual de nuestra comunidad profesional. Los resultados del estudio ofrecen elementos esenciales para comprender diferentes perspectivas -jurisdiccional, geográfica y en razón de la industria- asegurándose de tal modo que pueda ser utilizada inmediatamente y puesta en práctica usual, generándose así nuevas ideas y tendencias en el entorno complejo que la negociación ofrece en nuestros dias. Muchas gracias por tu participación. A continuación el link para contribuir con nuestra encuesta: https://www.surveymonkey.com/s/2103topten

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Resultado elecciones Junta Directores IACCM 2014

Comparto con Ustedes los resultados de las elecciones para la Junta de Directores de la IACCM 2014. Los 22 candidatos representaron 12 industrias diferentes y 10 nacionalidades. Un final muy cerrado en la votación ha dejado la integración de la nueva junta de la siguiente manera, remarcando en "negritas" a quienes han sido recientemente elegidos o renovaron su mandato. Felicitaciones a todos! Pablo Margaret Smith - Chair Executive Director- Contract Management and Director of Operations-Legal - Accenture KB Monu Iyappa - Independent Consultant Gianmaria Riccardi - Director, Commercial Business Management Europe - Cisco System Italia Srl Coen Wilms - Group Contracting Discipline Manager - Royal Dutch Shell Lucy Bassli - Assistant General Counsel - GCO Manager - Microsoft Jerry Jacobson - Global Process Advisor - Contracting - Chevron Arne Byberg - Associate General Counsel - Hewlett-Packard Co. Barbara Chomicka - Senior Project Manager - EC Harris LLP Kai Jacob - Process Manager and Head of Global Contract Management Services, Legal Department Manager - SAP Andy Kerstan - Global Contracts Manager - Rio Tinto Dan Mahlebashian - Chief Contracting Officer - General Motors M.C. McBain - Vice President Global Business Development - IBM Timothy McCarthy - Director, Contracts & Pricing - Rockwell Automation Nick Nayak - CPO - Department of Homeland Security Alan Schenk - Vice President for Common Process, Contracting and Compliance for Exploration and Production - BP Peter Woon VP, Procurement and Supply Chain - Marina Bay Sands.

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Elección de Junta de Directores de la IACCM - 2013

Sabido es que una de las principales razones del éxito de la IACCM radica en la elección de su Junta de Directores, la cual refleja las necesidades e intereses de todos los miembros de la asociación. Es momento de elegir la nueva integración de la Junta de Directores de la IACCM para el período 2013 – 2014 / La elección se lleva a cabo del 18 de noviembre al 8 de Diciembre. Participa entonces en esta votación, eligiendo entre los candidatos postulados en el siguiente link (por orden alfabético), tus propios candidatos hasta un máximo de 6 (seis) posiciones. Para conocer mayores detalles sobre los candidatos e instrucciones de cómo votar, ver en inglés el siguiente link: http://www.iaccm.com/members/boardelections/ Como verás, este año los postulantes provienen de 7 países diferentes y de 15 sectores industriales, algunos de los cuales ya son miembros de la junta y van por su reelección, mientras que otros candidatos se postulan por primera vez. Es probable que no conozcas personalmente o en detalle a los nominados, por lo cual cada uno de ellos nos ha acercado, en inglés, un breve repaso de sus antecedentes, así como también su propuesta de objetivos que tendrá en cuenta en caso de resultar elegidos. Seguramente te identificarás con alguno de ellos y sentirás que uno o varios candidatos reflejan tus intereses e ideas. Es ésta una votación anónima, y si bien el sistema registrará la circunstancia que tu has votado (para evitar doble sufragio), no guarda constancia alguna sobre tu elección concreta. Por favor, indica tu voto por cada uno de los seleccionados, cliqueando la casilla que se encuentra al lado de tus candidatos. Recuerda que puedes votar hasta un máximo de 6 (seis). Una vez que hayas culminado tu voto, cliquear en “Submit Vote”. En caso de duda, escribir a info@iaccm.com Recuerda: La elección comienza el 18 de noviembre y finaliza el 8 de diciembre, siendo publicados los resultados el 10 de diciembre. Muchas gracias en nombre de nuestro CEO, Tim Cummins Un saludo cordial, Pablo.-

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Una historia de éxito

Cuando comento con equipos de gestión contractual y comercial sobre la potencialidad de agregar valor a determinados procesos contractuales, mientras algunos se muestran entusiasmados por el tema, hay quienes me miran perplejos, carentes de opinión sobre el tema.

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