2. CONTENTS
INSTRUCTIONS FOR USE
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3 NEC CONTRACT FORMS
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20
WHAT IS NEC
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4 NEC MAIN OPTIONS
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22
WHY NEC EXISTS
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5 NEC CONTRACT STRUCTURE
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26
INDUSTRY ADOPTION AND
RECOGNITION ..
7 WHERE NEC IS USED
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27
NEC BEST PRACTICE
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8 NEC COMMUNITY
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28
WHY CHOOSE NEC
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9 NEC SUPPORT
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CHOOSING THE RIGHT NEC
CONTRACT ……...
19
®NEC 2023
3. The NEC suite of contracts has differing terms for the organisation providing the
works/services, etc., as well as for the role of administering the contract, this toolkit refers to
them as ‘the contracted provider’ and ‘the Client’s contract manager’.
Additional resources can be accessed by clicking the buttons
throughout this toolkit.
The purpose of this NEC Toolkit is to help inform all users of the NEC, whether
first time or experienced users, when making executive decisions on the
procurement and contract strategy.
It can be used to help understand what influences the decision for any of the
following and more:
whether to choose the NEC over other forms of contract
which NEC contract to use
the appropriate allocation of pricing risk – main Options
the appropriate allocation of liability and other risks
considering Secondary Options
whether design and construct or construct only
INSTRUCTIONS FOR USE
®NEC 2023
4. Evolution of NEC
Contracts
NEC Glossary of
Terms
The NEC (New Engineering Contract) is an evolving family of
procurement contracts that were originally launched in the UK in 1993 and
developed as a modern-day alternative to traditional construction contracts.
The NEC is currently in its 4th edition (NEC4).
It aims to be a worldwide benchmark for best practice in the procurement
and delivery of work, services and supplies and it is successfully supporting
the delivery of thousands of projects worldwide.
It is a contract built around proven best practice in project management and
it engenders a collaborative approach to management and delivery.
Find out more about the NEC family of contracts by clicking on the video thumbnails
WHAT IS NEC
®NEC 2023
Play the Introduction
to NEC4 video
Play the Introduction
to NEC4 FMC video
5. Fair and sustainable
allocation of risk
Alignment of interests
Early identification of risk
to the project
Timely implementation of
change
One source of truth on
project status and costs
Increased confidence of
outcome
Choice of optional contract
clauses
Alignment of all sub-contracts
Options for multi-party
collaboration or alliance
Options for dispute avoidance
inspections
Process for resolution of
compensation events
Formal adjudication procedure
All parties agree each update of
the delivery programme
Choice of pricing and delivery
models
Requirement to act in spirit of
mutual trust and co-operation
Options for sharing risk & reward
Early warning procedure
Process to deal with early warnings
Senior representatives of parties
deal with most disputes
Regular updates of delivery
programme and anticipated final
costs
®NEC 2023
NEC offers a sophisticated and
comprehensive solution built
on three main principles of,
clarity & simplicity, flexibility,
and to be a stimulus to good
management.
Enabling organisations that
are willing to work in
collaboration to realise major
benefits such as
demonstrating value for
money through utilising the
effective project management
procedures and best practice
in procurement.
Delivering better
project outcomes
WHY NEC EXISTS
6. How NEC can help
your business
NEC Risk Allocation
NEC delivering
better value
Procurement processes and project goals can differ significantly from one
another, meaning there may be many variables that can impact on delivery,
commercials outcomes and resources.
The NEC promotes and enhances collaborative working and if used in this manner
helps achieve greater cost certainty, delivery to agreed timescales and
appropriate quality standards.
The NEC is intended to be used and referred to throughout the project lifecycle, from preparing
the business case to operation and maintenance of an asset. It incorporates robust real-time
approach to change management that allows parties to deal with change quickly, effectively and
in a collaborative manner, helping to avoid or reduce the impact on the overall cost and
programme.
NEC can also help save on legal fees. NEC4 provides a set of standard ready to use contracts
which are designed to work best when they have not been amended – although they do of
course provide the option for appropriate amendments to be made to suit specific circumstances
and/or requirements, such as country specific laws.
®NEC 2023
7. ®NEC 2023
“The NEC is capable of being a common contract for the whole industry.”
“The New Engineering Contract contains virtually all of these
assumptions of best practice, and others, which are set out in the
Core Clauses, the main and secondary options.”
“Public and private sector clients should begin to use the NEC, and phase out "bespoke"
documents”
“Use of the NEC by private sector clients should be strongly promoted by client and industry
bodies.”
The NEC was the first contract to introduce a collaborative
approach to risk and contract management, include an
adjudication process and written in plain language.
In 1994 Sir Michael Latham’s report, ‘Constructing the Team’,
highlighted and recommended the use of the NEC:
This allowed NEC to be adapted and adopted across all industries often
becoming the contract of choice for both small, low risk to large and
complex projects internationally.
The NEC has received
Government Endorsement by the
Government Construction Board,
Cabinet Office UK and the
Development Bureau, HKSAR
Government, further instilling
confidence in its use on public
sector projects.
INDUSTRY ADOPTION AND RECOGNITION
8. NEC4 contracts:
Promotes active
management
Provide clear
documentation and
outline of roles,
responsibilities and
processes
Define timescales
for all activities
Instil a level of
certainty of the
project outcomes
Allow to forecast the
real effect of any
change on time and
cost
Ensure an
adequate and fair
compensation
model
Support and
encourage
collaborative
working
Help minimise
chances of formal
disputes occurring
®NEC 2023
NEC BEST PRACTICE
9. ®NEC 2023
When an organisation is looking to carry out
construction or any other project work, they need to
decide on the appropriate form of contract – often with the
guidance of professional advisors.
They and their advisors may have some experience of
certain forms of contract, and be wary about using NEC
either because they know little about it or, because of the
many misconceptions that exist about it.
The following high-level guidance on NEC contracts will
provide decision makers and key business stakeholders,
with critical information necessary to make an assessment as to
which form of contract is right for their business and it is hoped,
instil confidence in the philosophy behind the NEC contract.
The guidance shows how the NEC contracts deal with issues of
concern at various parts of an organisation – board oversight, finance,
legal, procurement and operational.
WHY CHOOSE NEC
10. Confidence in the proposed
contract outcomes
NEC contracts have been
used since 1993 with users
reporting positive
experience
Governmental approval of
the use of these contracts
has been given in UK, Hong
Kong and South Africa
Many clients who have
adopted NEC contracts use
them repeatedly for their
work
A range of digital contract
management systems exist
which support the contract
administration and provide
accessibility and visibility of
the contract processes
GUIDANCE - BOARD OF DIRECTORS
Governance process
The Client appoints people
to manage the contract and
monitor performance -
controlling cost, time and
quality - on its behalf
The Client’s contract
manager has the authority
to instruct a change to the
Scope where necessary, e.g.
if the Client’s requirements
change
Except where the conditions
allow, the contract cannot
be changed without written
agreement of both Parties
Certainty of outcome
The contract restricts
changes to time and price to
a set of specific grounds and
clearly defined processes –
there are no provisions for
global claims of additional
cost and/or extension of time
There are strict change and
risk management procedures
with clear timescales for
action and sanctions for
failures to act
If there is an entitlement to
change the price or
programme, it is
implemented at the time of
the event, giving the Parties
knowledge of cost outcome
and projected completion of
work
11. ®NEC 2023
Deliver social outcomes
Interfaces between the contracted
provider and any third parties to
the contract which may be needed
to achieve the project objectives,
can be specified by the Client and
identified in the contract
Key performance indicators can be
incorporated into the contract
which can be used to incentivise
social outcomes by rewarding for
achievement or improvements
Provision to include climate change
requirements and set targets with
financial incentives for achieving or
improving on them can be included
Protect reputational risk
Anti-corruption provisions are
included, with stated consequences
if any corruption is found to have
taken place
The Parties are prevented from
disclosing any information obtained
in connection with the work except
as necessary to their duties under
the contract
The contracted providers can only
publicise the work if the Client
agrees
The contracted providers use of
Client material is restricted to that
necessary for providing the work
GUIDANCE - BOARD OF DIRECTORS (continued)
12. ®NEC 2023
Financial controls
The contract makes available a
wide range of commercial,
pricing and risk options to suit
all circumstances, from lump
sum to cost reimbursable
The contract specifies a list of
events which can give rise to a
change in the cost and timing of
the work
Changes to the cost and timing
of the work are assessed at the
time of a specified event
through a process designed to
encourage the agreement of the
effects of the change, with the
aim of reducing the chance of
disputes
The liabilities of the Parties and
the types of insurances required
to cover these liabilities are
stated in the contract
A Project Bank Account option is
available for UK contracts,
allowing for faster payment
whilst also providing security of
payment for the supply chain
Open book accounting provides
transparency and helps forecast
as well as authenticate cost
when the cost reimbursable and
target options are used
The Client’s contract manager
provides regular reports as
prescribed by the Client in the
Scope of the contract between
them
A value engineering clause has
been added to the unabridged
contracts which shares the
benefits of any accepted
proposals
Target contracts contain a
mechanism for sharing financial
gains as well as over spends
against the final amended
target price
The contract requires the
contracted provider and the
Client’s contract manager to
prepare regular updates of the
forecast outturn cost in
consultation with each other
on cost reimbursable and
target based contracts
The Client specifies its
requirements and standards for
financial reporting by the
contracted provider within the
scope, this enables integration
with the Client’s systems
Reporting and integration
GUIDANCE - FINANCE DIRECTOR
13. GUIDANCE - LEGAL COUNSEL
®NEC 2023
Confidence in legal outcome
The NEC has been in use since 1993 by
repeat clients. Its adoption was
recommended by Sir Michael Latham
and it has been endorsed by
Governments
There have been only a limited number
of legal cases referred to the Courts with
no significant adverse findings
Clear dispute escalation and resolution
processes and options involving Senior
Representatives of the Parties,
adjudication or a dispute board can be
followed by either arbitration or a Court
process
Country specific Secondary Options are
available for inclusion with provisions
which incorporate legislative
requirements
Risk management
Risks carried by the Client are clearly
identified under core clause 6 as
compensation events. There is a clear
and strict process for determining the
effect on both time and cost should an
event occur
A mandatory early warning procedure
requires the early identification of all
risks to time, cost and quality, followed
by a review of the options for avoiding or
reducing the effects, recording the
actions which should be taken and by
whom; the contract manager facilitates
the process and takes the final decision
Client requirements for managing risks,
including health and safety and the
protection of data are stated in the
Scope
Contract procedures oblige co-operation
and encourage the agreement of change,
aiming to reduce the chance of disputes
GUIDANCE - LEGAL COUNSEL
Liabilities
The Parties liabilities, including those for
damage or injury and the corresponding
allocation of costs, are clearly set out in
core clause 8 of the contract
Liability for third party risks are allocated
in the contract under core clauses 2, 6, 8
and additionally through the inclusion of
secondary option Y(UK)3.
Contract includes options for requiring
the contractor to provide a performance
bond or ultimate holding company
guarantee
Option for undertakings to others
(warranties)
Client states any limits to the liability of
the contractor
Procedures for termination and
consequent liabilities stated in the
contract
Contract manager cannot relieve
Contractor of its responsibilities
14. ®NEC 2023
Procurement options
A wide range of contracts to suit all types of
work and contracting arrangements including
alliancing, management contracting, design
build and operate, as well as more traditional
forms available in long and short versions
Different pricing options provided to allow
the selection of preferred pricing methods
and risk allocation including, lump sum
contracts, measured contracts, target
contracts (sharing potential cost
savings/overrun), cost reimbursable contracts
The contract includes an option for
identifying Conditions and Key Dates which
enables the co-ordination of multiple
contractors working on the same project to
work collaboratively
Secondary Options provide great flexibility
to select appropriate provisions to meet
procurement requirements, allocate risk,
introduce sectional completion, incorporate
an information model (BIM) among other
needs
Option for early contractor involvement –
before design finalised - to work with the
Client in completing design, assessing risks
and incorporating buildability, etc.
Design responsibility is by default retained
by the Client but can be transferred in full
or in part to the contracted provider
GUIDANCE - PROCUREMENT/COMMERCIAL DIRECTOR
15. ®NEC 2023
Contract controls
The Client’s contract manager is in
control of cost, time and quality
Change control is managed by the
Client’s contract manager, with an
option to seek alternative assessments
that provide an appropriate balance of
time, quality and cost which meet the
Parties needs
Change to cost and time determined at
the time of the event
A wide range of incentives can be
included in the contract, through the
inclusion of Secondary Options for KPIs,
sharing of benefits for cost savings,
whole life cost improvements, meeting
environmental targets, etc.
Progressive finalisation and
agreement of the audited cost in cost
reimbursable and target contracts
Assessment of the final payment is
conclusive evidence of the final
amount due unless either Party refers
it to the dispute process
Bonus for early completion and/or
delay damages can be included within
the contract to motivate timely
completion
No change can be made to the scope
of work without an instruction by the
contract manager
GUIDANCE - PROCUREMENT/COMMERCIAL DIRECTOR (continued)
16. ®NEC 2023
Contract management
Active management of
the contract by the
Client’s contract manager
allows the timely
agreement and
instruction of Tasks
A regularly updated
programme/plan shows
future work and forecast
dates to meet contract
requirements
The change event process
allows continuous
updating of forecast
outturn cost and time to
complete work
An early warning register
is maintained to identify
and mitigate the risk to
time, cost, quality and
disruption to the Clients
operational activities
The contract manager
controls the acceptance
of subcontractors and key
people
The contracted provider
is required to operate a
quality management
system which complies
with the Client’s
requirements
Change control
The contract lists the
events which could give
rise to a change in cost or
completion of works and
services
Change in cost and/or
completion established at
the time of the event
Some of the contracts
include acceleration
provisions.
The procedures
encourage collaboration
and the agreement of
change, aiming to reduce
the chance of disputes
The early warning process
not only identifies
potential risks to the
project but also what
actions to take and by
whom
The decision of the
contract manager is final
subject only to the
dispute resolution
process
GUIDANCE - OPERATIONS DIRECTOR
17. ®NEC 2023
Staffing requirements
The contract can be
managed by the Client using
internal staff or contracted
out to a specialist
organisation
The Client has a limited
contractual role compared to
that of the Client’s contract
manager. The Client’s
contract manager needs to
have a thorough
understanding of how the
contract is operated
The Client’s contract
manager is responsible for
the successful completion of
the contract and will need to
have the appropriate skills
Training in the use of the
contract including NEC
accreditations, is available
either in-house or in open
courses to ensure that
people have the appropriate
skills
GUIDANCE - OPERATIONS DIRECTOR (continued)
18. ®NEC 2023
Short Contract
Short contracts are an abridged version from the
full contract and are used where sophisticated
management techniques are not required, the
work is straightforward and imposes only low risk
on both Parties.
Straightforward Work
No restriction on value
Low risk transfer
No Early Warning Register
Low administration burden
No Accepted Programme
Full Contract
Complex Projects
No restriction on value
High risk transfer
Manage Early Warning Register
Sophisticated management tools
Complex programme /plan requiring acceptance
When to Use | Risk Level | Management
DIFFERENCES BETWEEN THE FULL AND
SHORT CONTRACTS
19. Business Case Design Delivery Operation
DRSC
FC
TSSC
ECSC & ECSS
SSC
PSSC
DBO
ALC
TSC & TSS
FM & FMS & FMSC
SC
ECC & ECS
PSC & PSS
Other
Contracts
LOW
Complexity
&
Risk
HIGH
The NEC suite of contracts caters for a
wide range of works and services. The
principal NEC4 contracts, short
contracts and subcontracts can be
broadly grouped into
as shown in the matrix. The choice of
contract depends on the type of project
and its complexity and levels of risk.
works services supply
Choosing the right
contract
*to identify the acronyms, please hover over the relevant text and click the hyperlinks
CHOOSING THE RIGHT NEC CONTRACT
®NEC 2023
20. ®NEC 2023
Professional Service
Contract
Used to employ a
consultant to undertake
any kind of professional
service
Facilities Management
Contract
Used by a Client to
appoint a Service
Provider for a period of
time to manage and
provide any type of
facilities management
services.
Engineering &
Construction Contract
Used to employ a
contractor to undertake
any kind of construction
work including design
responsibility
Supply Contract
Used for the
procurement of high
value goods and related
service including design
Term Service Contract
Used to employ a
supplier for a period of
time to manage and
provide a service
NEC CONTRACT FORMS
21. ®NEC 2023
Design Build & Operate
Contract
Used to for the
appointment of a
contractor for design,
construction or
modification and
operation of assets
Framework Contract
Used for the
appointment of one or
more suppliers over a
set term to carry out
work or provide a
service or goods on an
‘as instructed ’ basis
using NEC4 contracts.
Dispute Resolution
Service Contract
Used for the
appointment of an
adjudicator or dispute
avoidance board
member to resolve
disputes under NEC4
contracts
Alliance Contract
Used to employ a
contractor to undertake
any kind of construction
work including design
responsibility
22. ®NEC 2023
NEC MAIN OPTIONS
NEC contracts provide a number of main Options to define the payment mechanism and the way in which the supplier’s financial risk is shared
between the parties. This guidance will help to identify the appropriate choice of the Option which best meets the project objectives.
The Options available, and the contracts they are used on, are set out below. They apply to the Engineering and Construction Contract (ECC),
Professional Service Contract (PSC), Term Service Contract (TSC) and Facility Management Contract (FMC). The Supply Contract (SC), Design Build
and Operate Contract (DBOC), Alliance Contract (ALC) and the short contracts have no main Options. The same Options are used in the respective
subcontracts with the exception of Option F which only appears in the ECC.
ECC terms Client Project Manager Contractor
PSC Client Service Manager Consultant
TSC Client Service Manager Contractor
FMC Client Service Manager Service Provider
ECS Contractor Contractor Subcontractor
PSS Consultant Consultant Subcontractor
TSS Contractor Contractor Subcontractor
FMS Service Provider Service Provider Subcontractor
The following criteria to be used to help identify the appropriate
Option are described for the ECC or TSC contract. For other
contracts substitute the terms in the following table.
A Priced contract with activity schedule / Priced Contract with price
list
B Priced contract with bill of quantities
C Target contract with activity schedule / Target contract with price
list
D Target contract with bill of quantities
E Cost reimbursable contract
F Management contract
In addition, X22, the Early Contractor Involvement (ECI) Option can
be used in ECC with either Option C or E.
23. ®NEC 2023
NEC MAIN OPTIONS
For relatively straightforward projects where
the Client requirements are well developed into either a performance based or output based
Scope,
the project scope and requirements are well-defined and relatively stable,
the Client wants greater cost certainty and
the Client is confident of its Contractor’s willingness and ability to manage financial risk.
ECC and PSC
• The Contractor takes the responsibility for quantity measurement.
• Lower involvement of Project Manager compared to other Options.
• Provides a high level of cost certainty – Contractor takes the greater financial risk both positive
and negative.
• Payment is made for completed activities, priced on a lump sum basis, in the Activity Schedule.
TSC and FMC
• Payment is made on the basis of completed items in the price list which can be lump sum items
or quantity related items or a combination of the two.
• Contractor takes the risk of measurement for lump sum items, Client takes the risk of a change
in the quantity related items which can increase or reduce the cost of the contract
• Client must have flexibility within its budget to accommodate quantity change
• Requires significant Service Manager involvement in measuring completed items.
• Provides a fairly high level of cost certainty - Contractor takes the greater financial risk both
positive and negative, but risk of quantity change lies with the Client.
A Priced contract with activity schedule B Priced contract with bill of quantities
For relatively straightforward projects where
the Client requirements are well-developed into either a performance based or output based
Scope, but some elements of the project may be contracted on a design and build basis,
Contractor design provided for by lump sum elements of the bill of quantities,
the project scope and requirements are well-defined and relatively stable, subject to change
on the final measurement of quantities
the Client has flexibility within its budget to accommodate quantity change and
the Client is confident of its Contractor’s willingness and ability to manage financial risk.
• Client takes the risk of quantity change which can increase or reduce the cost of the project.
• Requires significant Project Manager involvement in measuring quantities of work carried out.
• Provides a fairly high level of cost certainty - Contractor takes the greater financial risk both
positive and negative, but risk of quantity change lies with the Client.
• Payment is made for the actual quantities of work carried out multiplied by the rates and prices
in the bill of quantities.
24. NEC MAIN OPTIONS
For more complex or larger projects where
the Client requirements are well developed into either a performance based or output based
Scope,
the project scope and requirements are fairly well defined with low likelihood of change –
any change to requirements will change the target and
the Client and Contractor are willing to share project financial risk in a fully collaborative
way.
ECC and PSC
• Contractor and Client share the risk of quantity changes.
• Requires significant Project Manager role in assessing the cost of work carried out.
• Provides a moderate level of cost certainty – Client and Contractor share the cost risk of the
Contractor’s performance.
• The Project Manager has visibility of the Contractor’s costs which assists in the financial
assessment of compensation events and reduces the potential for claims and disputes.
• Payment made is the cost of the work plus the Contractor’s fee, plus or minus the target share.
TSC and FMC
• Target cost is set by the price list, which can be a series of lump items or quantity related items
or a combination of the two.
• Requires significant Service Manager role in agreeing cost of work carried out.
• Requires significant Service Manager involvement in measuring completed items.
• Provides a moderate level of cost certainty - Client and Contractor share the cost risk of the
Contractor’s performance and the risk of quantity changes.
• The Service Manager has visibility of the Contractor’s costs which assists in the financial
assessment of compensation events and reduces the potential for claims and disputes.
• Payment made is the cost of the work plus the Contractor’s fee, plus or minus the target share.
C Target contract with activity schedule C Target contract with activity schedule
For more complex or larger projects where
the Client requirements are well-developed into either a performance based or output based
Scope, but some elements of the project may be contracted on a design and build basis,
Contractor design provided for by lump sum elements of the bill of quantities,
the project scope and requirements are fairly well defined with low likelihood of change –
any change to requirements will change the target and
the Client and Contractor are willing to share project financial risk in a fully collaborative
way.
• Client and Contractor share the risk of quantity change, except that significant quantity change
can increase or reduce the target.
• Requires significant Project Manager role in agreeing cost of work carried out.
• Requires significant Project Manager role in measuring quantities of work carried out.
• Provides a moderate level of cost certainty – Client and Contractor share the cost risk of the
Contractor’s performance.
• The Project Manager has visibility of the Contractor’s costs which assists in the financial
assessment of compensation events and reduces the potential for claims and disputes.
• Payment made is the cost of the work plus the Contractor’s fee, plus or minus the target share.
25. NEC MAIN OPTIONS
For projects where
the scope of the work cannot be determined in advance of the work commencing, such as
for urgent or emergency works,
the Client requires flexibility to develop the works after the Contract Date,
there is a high level of uncertainty or when the Contractor's expertise is essential,
the achievement of other performance measures is of greater importance than cost and
an early start on Site is required.
• Requires significant Project Manager role in establishing extent of work to be carried out.
• Requires significant Project Manager role in agreeing cost of work carried out.
• Provides a low level of cost certainty – Client takes the cost risk of the Contractor’s
performance.
• Payment made is the cost of the work plus the Contractor’s fee.
E Cost reimbursable contract C Target contract with activity schedule
For projects where
the Client requires flexibility to develop the scope of the work after the Contract Date,
the Client and Contractor collaborate in developing the scope of the work,
the Client requires greater control and involvement in the project and
an early start on Site is required.
• Requires significant Project Manager role in agreeing forecasts and subcontracting of work.
• Requires significant Project Manager role in agreeing cost of work carried out.
• Low level of cost certainty – cost of contracted work lies with the Client.
• Provides a low level of cost certainty – Client takes the cost risk of the Contractor’s
performance.
• Payment made is the cost of the work plus the Contractor’s fee.
C/E Target or cost reimbursable contract with ECI (ECC)
For complex or larger projects where
the Client design is not fully developed,
the Client requires flexibility to develop the works after the Contract Date and
the Client and Contractor share project financial risk in a fully collaborative way.
• Requires significant Project Manager role in agreeing design, programme and target within
stated budget during stage one.
• Allows for stage two – the construction work – being cancelled at the end of stage one.
• Requires significant Project Manager role in assessing the cost of work carried out.
• Provides a moderate level of cost certainty if budget is adequate – subject to cost risk share
if Target Option is chosen.
• The Project Manager has visibility of the Contractor’s costs which assists in the financial
assessment of compensation events and reduces the potential for claims and disputes.
• Payment made is the cost of the work plus the Contractor’s fee, plus or minus the target
share if a target Option is chosen, together with a share of the saving in the Budget.
26. Contracts are designed modular,
consisting of core clauses, main and
secondary contract options, dispute resolution and
jurisdiction-specific options, and additional contract
conditions.
NEC uses consistent language across all its contract
suite. Roles such as Project Manager and Supervisor
will vary with contracts. For example, TSC, PSC and
DBOC use Service Manager and have no Supervisor.
The obligation however remains constant.
NEC CONTRACT STRUCTURE
®NEC 2023
27. ®NEC 2023
NEC can be used anywhere in the world. It is written in plain English, supporting ease of use and translation. Optional Y
Clauses allow specific provisions of local law to be incorporated into contracts. It is in use in the UK, Hong Kong, South
Africa, New Zealand, Australia, France, Germany, Ireland, the Netherlands, USA and the UAE. In 2019 NEC delivered the
venues and facilities for the Pan-American and Parapan Games in Peru.
NEC can also be used in any sector. The contract was first developed in the construction sector under the leadership of the
Institution of Civil Engineers, one of the world’s most respected professional bodies. Over the last three decades its use has
spread into sectors as diverse as oil & gas, infrastructure, facilities management, software, telecoms and pharmaceuticals.
WHERE NEC IS USED
Construction
Infrastructure
Energy
Hospitality
MMC
Oil & Gas
Pharmaceutical
Water
Waste
View all the NEC Case
Studies here
28. ®NEC 2023
Dedicated hubs for
particular NEC topics
Connect, share expertise
and best practice
Access to NEC Spotlight
podcasts
Online space to bring
together the NEC user
community
NEC COMMUNITY
29. Training
NEC offers a broad range of training products
to help your teams manage NEC effectively
and efficiently
NEC Competency
Framework
Consultancy
NEC provides expert support to companies
and individuals working on projects using
NEC forms of contract. We can:
Help you select the right contract for your
project
Give specialist guidance on projects or to a
team on the use of NEC and its processes
Provide tender document review
Advise on and review of the additional
conditions of the contract (Z clauses)
From a number of introductory courses
allowing you to learn and understand each
contract and how it can be used
To our practical courses that focus on
successful preparing and managing of the
contract
In addition, our advanced courses will allow
your team to excel in their contract roles and
demonstrate their knowledge and skills by
achieving our gold standard accreditation
NEC SUPPORT
NEC IS WITH YOU THROUGHOUT YOUR FULL PROJECT
LIFECYCLE
®NEC 2023
30. ®NEC 2023
Contact information
t +44 (0)20 7665 2446
e info@neccontract.com
w www.neccontract.com
Talk to one of our team to help
start your NEC journey!
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