Estimating under the NEC Engineering and Construction Contract

Aim

This course is aimed at those who bid for work under the NEC Engineering and Construction Contract. It will give those who attend a competitive advantage in making their bids more attractive at tender, whilst ensuring profitability when won.

Objectives

At the end of the day, participants should :

• Have a general understanding of how the NEC3 family of contracts achieves its 3 principal objectives of: Flexibility, Clarity & simplicity and Stimulus to good project management
• Understand the risk allocation under main and secondary options, including how to assemble an Activity Schedule.
• Have an overview of the change management process & timescales
• Appreciate the programming requirements of the contract and their implications at tender
• Know what the thresholds are for compensation events and how they are assessed in terms of time & cost (including ‘who owns the float’)
• Understand what the data put forward by in Contract Data part 1 means
• Know the structure of the two Schedule of Cost Components & how clients evaluate it, so that they can put in competitive percentages and rates in Contract Data Part 2, whilst ensuring profitability if the contract is won.

Outline Agenda

• NEC Overview
• The main payment options & what they mean for risk allocation & running the contract. Assembling an Activity Schedule. Exercise.
• A Quick Run through the Structure of the Contract, inc exercise on who’s design has precedence.
• Change Management Overview
• Time & the Accepted Programme, inc. exercise on ownership of float.
• Compensation events : definitions, process, timescales and evaluation exercise.
• Contract Data part 1
• The Schedule of Cost Components and how clients assess it.
• Filling in Contract Data Part 2

As with all courses, this can be on NEC3 only, NEC3 with changes to 4th edition highlighted or purely on NEC4.

What previous participants said about this course

"The course was delivered in a practical way and the NEC conditions were explained in a way which was made easy to understand for contractors.”

“Practical with no legal jargon !!!”

“A pragmatic, practical course well delivered and tailored to accommodate any queries arising. Very worthwhile and professionally delivered.”

“A very pragmatic and down to earth course based at Contractor’s level.”

“Very good from an estimator’s point of view. Not too legalistic !”

“An excellently presented and very informative course. The NEC knowledge of individuals ranged from limited to experienced, yet the content and exercises benefited all our team. Jon helped clarify our understanding of specific real life situations and gave insights which are very useful on some current tenders.”  A Tendering Director

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