Date: Saturday, 24 October 2020

Time: 9:30am to 5:30pm

Venue: Room 3707 Hopewell Centre, 183 Queen's Road East, Wanchai, Hong Kong

CPD: 6 formal hours

Language: English (supplementary with Cantonese)

Event overview

The NEC suite of contracts were first published in 1993 in the United Kingdom. The HKSAR Government innovated the use of the New Engineering Contract for delivering public works in 2009 for Fuk Man Road Improvement. Hong Kong and the Bureau has announced that they will continue to use the New Engineering Contract as the form of contract for delivering projects.

The New Engineering Contract was drafted with the objective of achieving flexibility, stimulus of good project management, clarity and simplicity. This course will provide you with a good understanding of this form of collaborative contract, focusing on the principles and procedures written in NEC3 as well as giving an outline on the evolutionary changes as introduced in NEC4.

Agenda

• Introduction

1. NEC 3 features
2. NEC family
3. NEC terminology

• NEC adoption in HK

1. History
2. Current statistics

• Contract strategy of ECC Options

1. Risk Management
2. Use of main and secondary Options to deal with project risks
3. Payment method underpriced contracts and cost-based contracts

• Contract data parts 1 & 2 in NEC ECC
• Contractor’s design and value engineering

1. Burden of proof on the Employer
2. Value engineering approach under Options A to D

• Programme

1. Why Accepted Programme is so important?
2. Clause 31.3 programme management
3. How to assess compensation events using Accepted Programme?
4. New change of policies introduced in NEC4

• Cost control

1. Budget preparation
2. Supply chain management
3. PM’s acceptance of procurement results

• Early contractor’s involvement under NEC4

1. Practical differences between ECI in pre-contract and ECI under NEC4
2. Process management (stages 1 & 2)
3. Gain share

• Quality management

1. What is Defect?
2. Defect correction management process

• Final Account

1. Cost assessment method of compensation events
2. Pros and cons for the new addition of clause 50.9 in NEC4
3. Final assessment process

• Dispute resolution process (Option W3) & Dispute Resolution Advisor
• Q & A

Learning Outcomes

• Select from the six main options as to which type of pricing mechanism is to apply
• Understand the nine sections of core clause of the contract
• Make any selection from the seventeen detailed secondary option clauses
• Introduce the use of any additional clauses (Z clause) commonly adopted in Government contracts
• Understand the importance of Accepted Programme
• Cost assessment of compensation event in quotation
• Budget cost control in target contract
• Understand the Early contractor’s involvement process in NEC4
• Defects Management
• Ways of resolving and avoiding disputes in NEC4

Who Should Attend?

• Quantity Surveyor
• Project Manager
• Contractors
• Commercial Managers
• Professionals who are involved in the use of NEC Contracts

About the Trainer

Mr. Bill W.P. Tang FRICS

MHKIS, NEC3 ECC Accredited Project Manager

Bill is a chartered surveyor with more than 30 years of experience. He has been actively involved in providing contract and cost management services in a number of major infrastructure and civil engineering projects in Hong Kong.

Bill have provided NEC training and NEC3 contract advisory consultancy services for both contract preparation and construction stages for some government contracts in his previous employment with Arup. Currently, he is administrating a complex tunnel works contract using NEC3 ECC target contract option with an approximate value of over HK$2 billion.