Alternative thinking

When a hybrid version of NEC was employed during the Heathrow Terminal 5 project, the incentive to achieve these objectives was cultivated through the use of the ‘Game Theory’ approach.

Every ‘game’ assumes a winner and a loser and is conducted according to rules; in a way not dissimilar to commercial contracting.

However, while the client is looking for the contractor to aspire to the first pages of a contract, outlining a good outcome, the contractor’s actual efforts are concentrated on the succeeding 50 pages, which describe the ‘rules’ for when the project goes wrong. Game Theory is about shifting that focus.

It’s a similar approach to the NEC contracts, with the focus on preserving working relationships.

“The construction industry around the world is not yet used to a contract which stimulates everybody to manage their contribution to the project well,” Barnes observes, continuing: “This contract motivates people to play their part in the management of a project and you need that in Qatar just like it’s needed in any other fast moving, complex programme of projects,” he adds.

Group head of contract solutions for EC Harris, Mike Allen, comments: “The NEC allows the employer flexibility to influence the programme, design and methods of working, whilst the short, simple phraseology and clear obligations stated within the Works Information help to reduce complexity and misunderstandings.

“The contract is also scalable which means it can be used effectively at the project or programme level, with a variety of different forms, all with the same intent,” he adds.

There are drawbacks, listed to include the lack of caselaw in the UK and the high level of day to day administration NEC demands.

“To get an industry to change the way it operates can be quite difficult,” asserts Barnes.

“People are often suspicious of new things and that is probably true in any part of the world. However, the experience in the UK is that use of NEC has grown very quickly indeed,” he concludes.