Indian Institute of Management - Bangalore

POST GRADUATE PROGRAM (PGP) {2018 – 20} T4

POST GRADUATE PROGRAM IN ENTERPIRSE MANAGEMENT (PGPEM) {2018 – 20} T5
POST GRADUATE PROGRAM IN PUBLIC POLICY & MANAGEMENT (PGPPM) {2019 – 20} T3

Course Code Term

Title of the Course: General Commercial Knowledge (GCK) Credit: 3.00
Management of Commercial Contracts
(MCC)
Name of the Faculty: S.SHANKER
Email ID: Shanker.subramoney@gmail.com Contact No.: 9845511484

COURSE OBJECTIVES:
Effective management of Commercial Contracts is a daunting task requiring adequate and
practical GENERAL COMMERCIAL KNOWEDGE, more so in the current context of Globalization &
E-Commerce. In today’s “border free trade “regime due to advancement in Information
technology, Commercial contracts is the foundation for performance and delivery of goods and
services.

To tackle the complications in trans-national trade & contracts, a host of International

Institutions & Conventions such as FIDIC, WTO, ICC, UNCITRAL, UNCTAD, WCO, WB/IMF,
UNEDIFACT, etc., have introduced several rules, regulations and models for various types of
Commercial Contracts. These are intended to bring about uniformity in understanding of
commercial contracts and international trade issues.

The objective is to sensitize participants to the various issues encountered in commerce and
trade and provide a direction to possible solutions.
Please note that this course does not clash or overlap with any other course, including the Business
law course

LEARNING OUTCOME:
Participants will have a thorough understanding of concepts in the Indian and International
aspects of Commerce and trade and would essentially cover amongst various topics, the
following
 Overview of Commercial Contracts: Types & Kinds of Contracts.
 Basic Concepts of Sale of Goods, etc. HSN & Classification of Goods
 Contractual Risk Perceptions & Drafting of Good Commercial Contracts
 International Commercial Terms (INCOTERMS 2000 & 2010) & Combiterms
 Warranty, Guarantee, Condition, Essence, Performance etc.
 Variations/ Escalations, Re-let, Risk-purchase

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  Practical Issues on Penalty and L.D
 Contracts involving employment and services
 Contract Models: ICC, UNCITRAL, FIDIC etc.
 Alternate Dispute Resolution Mechanisms (ADR’s)
 Consumer Protection
 Negotiable Instruments - Letters of Credit - ICC UCP600/URC 522
 Service contracts – SLA, KPI, SOW
 Insurance
 Indian EXIM policy
 Indirect Taxes and GST

PEDAGOGY / TEACHING METHODOLOGY:

This course aims at familiarizing the participants in all relevant aspects of applied General
Commercial Knowledge in Management of Commercial Contracts, through topic by topic
exposition, Self-Instruction Exercises, Case Studies / Role-play and Query Clarifications.

EVALUATION:
Component Marks
Class Participation Nil
Quiz / Case Study 25
Individual Assignment Nil
Group Assignment 25
Take Home Assignment Nil
Attendance Nil
Research Article Review/Discussion Nil
Essay (Part of end term) 20
Mid Term 25
End Term (Objective) 55
Total 150
Brought down to – For Final grading 100

DETAILS/INSTRUCTIONS FOR EVALUATION:

The end term exam will be an open book. Participants scoring less than 40 marks overall will be given an
‘F’ grade and less than 50 marks over all will be given a ‘D’ grade. Fractional marks will be rounded off to
the previous whole number. Attendance will be reviewed as per the institute’s policy. The final grades
and GPA will be confirmed by the PGP Office

TEXT BOOKS:
“Business Laws One should know” – Nabhi Publication
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 SESSION WISE COVERAGE PLAN (INDICATIVE & TENTATIVE)
Sessio
Topic Explains Reading
n
Concepts of What is a commercial contract? Overview on Handout /
1
contracts Commercial Laws Notes
Risk perception Risks to be identified in contracts; Risk reduction Handout /
2
matrix; techniques; Notes
Goods, HSN,
What is “goods”; International Classification System HSN Handout /
3 International
and Indian ITC(HS) Notes
classification
Concepts relating to Possession Risk Ownership and Title Handout /
4 Delivery
in Sale of Goods Notes
INCOTERMS/ Handout /
5 Delivery terms by ICC and Cost allocation terms
COMBITERMS Notes
Result of breach of contract: liquidated damages,
Damages / LD / Handout /
6 consequential damages, penalty both in Indian and
Penalty Notes
International Contracts
Case study Role Handout /
7 Practical issues in handling contracts
play Notes
Learning from the case study Handout /
8 Case study analyses
Notes
Consumer Concepts relating to Consumer Protection – Implied Handout /
9
Protection Warranties Notes
Commercial Contracts and transaction tax - Concept of
Handout /
10 Indirect Taxes Consumption Tax – Concept of Supply – EPC contracts –
Notes
Works Contracts - Composite supply and Mixed Supply
Input tax credits – elimination of Cascading effect –
Registration and Threshold exemption – Composition Handout /
11 Indirect Taxes
tax, reverse tax credit and impact of exemptions, Input Notes
tax restrictions and blocked credits.
Commercial Contracts involving Interstate and
International transactions – IGST-Zero Rating of Input
Handout /
12 Indirect Taxes Credits on exports or Supplies to SEZ. Time and place of
Notes
Supply of goods and services. Over view of GST Returns
– GSTN Portal – GST council – GST Rating-
Employment Handout /
13 Employment bonds
Contracts Notes
Out sourcing Special care to be taken for outsourcing decisions; SLA / Handout /
14
Contracts KPI / SOW Notes
Class work Handout /
15 Group Assignment
Notes
Payment Methods of payments, LC’s, Documentary collection, Handout /
16
mechanism Forfaiting, Factoring, Counter trade Notes
Negotiable Transfer of title to money; Cheques, Bills of exchange, Handout /
17
Instruments drafts, hundi’s, promissory note Notes
International trade: Handout /
18 Concepts of International Trade
Tariff ,/ QR / Forex Notes

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 International Guidelines, Rules & Regulations and Models assisting Handout /
19
Institutions Trade and Commerce Notes
Handout /
20 Class Work Reinforces conceptual understanding of above topics
Notes

PROFILE OF PROF.S.SHANKER

S.Shanker is a Management Consultant in the functional areas of Marketing, Commercial &

Legal, Supply Chain and International Business. He is an Adjunct Faculty with the Indian Institute
of Management – Bangalore (IIMB), A Visiting Faculty with Indian Institute of Management –
Shillong (IIMS), Indian Institute of Management – Udaipur (IIMU), Indian Institute of
Management – Visakhapatnam (IIMV), and Indian Institute of Management – Ahmedabad,
teaching subjects related to Commercial Law, International Trade and Management Consulting.

S.Shanker brings a multi-functional, multi industrial experience of more than 25 years, having
worked with Shaw Wallace, Hindustan Unilever, Ecolab and Avon Facility Management Services.

S.Shanker has a degree in Commerce, a degree in Law and 2 PGD’s – one in Human Resources
and the other in International Trade. He has been actively teaching for the last 8 years and also
conducts regular training workshops for large industrial houses, such as L & T, Vedanta, Bosch,
Oil India etc. He is actively involved with The Visvesvaraya Trade Promotion Centre – VTPC –
Govt. of Karnataka in sensitizing and promoting International Trade to academia and industry.
He also provides consulting services to SME’s and startups in the functional areas of
Commercial, Exports, Supply Chain, Branding and Sales & Distribution.

S.Shanker can be contacted at:

Email: shanker.subramoney@gmail.com
shankers@iimb.ac.in
Mobile: +919845511484

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