Unit of competency Outline

Date retreived
22/07/2026 1:09 PM AWST

Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.

Negotiate a contract

Negotiate a contract

Unit of competency
National Code
TLIR307C
State Code
S5881
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
1.00
Current Release Date
18/07/2008
State Implementation and Classification
Approved Date
06/07/2012
Field of Education
080301 - Business Management
Original Release Date
06/07/2012
Nominal Hours
40
Description
This unit involves the skills and knowledge required to contract transport and distribution services in accordance with relevant regulatory requirements and workplace procedures. This includes negotiating the contract with a contractor, finalising the contract negotiations, and completing all enterprise contract requirements.
Notes
Elements and Performance Criteria
1 Negotiate contract with contractor
  • 1.1 Requirements of the contract are clearly documented and understood by the relevant parties
  • 1.2 Areas of ambiguity or concern are clarified and resolved
  • 1.3 Negotiations are undertaken with selected contractor for the contracting of required goods/services on a 'without prejudice' basis
  • 1.4 Conditions for service and/or supply of goods/services are agreed between the enterprise and the contractor including the determination of key performance indicators
  • 1.5 Alternative contractors are negotiated with if agreement is unable to be reached with preferred contractor
  • 1.6 Contract negotiations conform to established workplace requirements and relevant legislation
2 Complete contract negotiations
  • 2.1 Contract documentation is drafted in accordance with relevant legislation, workplace procedures and negotiated conditions of service and supply
  • 2.2 Technical support in the drafting of contracts is accessed where required
  • 2.3 Contract documentation is signed and exchanged between the relevant parties
3 Complete enterprise contract requirements
  • 3.1 Documentation systems are established to ensure traceability of orders and financial transactions
  • 3.2 Workplace systems that require interaction with contractors are identified and actioned
  • 3.3 Quality assurance procedures for supplied goods/services are initiated
  • 3.4 Contract and ancillary documentation is completed and stored in accordance with workplace procedures and, where applicable, regulatory requirements
RANGE STATEMENT
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance.
Work may be undertaken:
in various work environments in warehousing, storage, transport and distribution industries
Customers may be:
internal or external
Operations may be conducted:
by day or night
The workplace environment may involve:
twenty-four hour operation
single and multi-site location
large, medium and small workplaces
Services, products, risks, work systems and requirements:
potentially vary in different sections of the enterprise
Contracts may be for:
singular or continuous supply of goods and/or services
Document/data interchange may be:
electronic
paper-based
Clients/customers/suppliers may include:
domestic and international contractors
corporations
individuals
government agencies
Contract must conform to:
relevant legislation in regard to issues of probity and fair dealings
Consultative processes may involve:
employees, supervisors and managers
contractors
suppliers and current or potential clients
legal representatives, financial managers, accountants
relevant authorities, government departments and institutions
representatives of other enterprises and organisations related to the international transfer of freight
industrial relations and OH&S specialists
other professional, maintenance and technical staff
Communications systems may involve:
fixed and mobile telephone
radio
fax
email
electronic data transfer of information
mail, forms and internal memos
Depending on the type of organisation concerned and the local terminology used, workplace procedures may include:
company procedures
enterprise procedures
organisational procedures
established procedures
Documentation/records may include:
codes of practice and regulations relevant to the transport and distribution contractual arrangements
legal and contract documentation
workplace operating procedures and policies
operations manuals, job specifications and procedures and induction documentation
supplier and/or client instructions
Australian and International standards, criteria and certification requirements
communications technology equipment and oral, aural or signed communications
quality assurance standards and procedures
emergency procedures
relevant competency standards and training materials
QA plans, data and document control
conditions of service, legislation and industrial agreements including workplace agreements and awards
Applicable procedures and codes may include:
regulations and codes of practice relevant to contractual arrangements
Australian and international regulations and codes of practice for the handling and transfer of dangerous goods and hazardous substances
relevant financial regulations
Australian and international standards and certification requirements
relevant state/territory OH&S legislation
relevant state/territory environmental protection legislation
relevant licence or permit requirements and associated regulations
relevant workplace relations legislation
relevant workers compensation legislation
equal opportunity, equal employment opportunity and affirmative action legislation
The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required knowledge and skills, the range statement and the assessment guidelines for this Training Package.
Critical aspects for assessment and evidence required to demonstrate competency in this unit
The evidence required to demonstrate competency in this unit must be relevant to and satisfy all of the requirements of the elements and performance criteria of this unit and include demonstration of applying:
the underpinning knowledge and skills
relevant legislation and workplace procedures
other relevant aspects of the range statement
Context of and specific resources for assessment
Performance is demonstrated consistently over a period of time and in a suitable range of contexts
Resources for assessment include:
a range of relevant exercises, case studies and other simulated practical and knowledge assessment, and/or
access to an appropriate range of relevant operational situations in the workplace

In both real and simulated environments, access is required to:
relevant and appropriate materials and/or equipment, and/or
applicable documentation including workplace procedures, regulations, codes of practice and operation manuals
Method of assessment
Assessment of this unit must be undertaken by a registered training organisation
As a minimum, assessment of knowledge must be conducted through appropriate written/oral tests
Practical assessment must occur:
through appropriately simulated activities at the registered training organisation, and/or
in an appropriate range of situations in the workplace
Replaces
State Code National Code Title Type
S2256 TDTR398B Negotiate a contract Unit of competency
Replaced By
State Code National Code Title Type
D5324 TLIR4003A Negotiate a contract Unit of competency