Critically analyse the provisions of the Joint Contracts Tribunal (JCT), New Engineering Contract (NEC) and International Federation of Consulting Engineers (FIDIC) forms of contract for construction.

Learning outcomes
Code Description
LO1 Critically analyse the provisions of the Joint Contracts Tribunal (JCT), New
Engineering Contract (NEC) and International Federation of Consulting Engineers (FIDIC) forms of contract for construction.
LO2 Critically analyse the roles of the parties and contract administrators within construction contracts.
LO3 Critically evaluate a range of different contract events using the procedures in the standard forms of contract to identify practical, reasoned solutions and understand the impact on the client organisation.
LO4 Critically evaluate the principles of accountancy concepts and business planning models and their impact on the project.
Scenario
You work for a company that specialises in construction project management. Following a feasibility study for a new port, the government client has decided to follow a competitive dialogue process for the procurement of the different packages of work. Your company has been invited to come to a two-day presentation and meeting, together with other prospective contractors and consultants, at which the overall scheme will be explained and where you will be expected to contribute ideas and demonstrate your team’s ability to work cooperatively with others.
The main work packages of the scheme are:
• A new breakwater with rip rap protection.
• Two new harbour walls with berthing points for ships.
• Plant for offloading and stacking containers.
• Access roads for and rail head.
• Office buildings and facilities for port staff.
The client has carried out a preliminary risk workshop and identified the following risks:
• Marine weather conditions including storms and high tides.
• Uncertain ground conditions for the harbour wall and office building
• Possible supply chain shortages – the aim of the client is to supply as much of the scheme as possible from in country resources.
Additionally, because this is government money, the government department that acts as the client must make monthly reports to the treasury department regarding the cumulative spending on the scheme against the predicted spending, the spending needs over the following three months and
the likely final outturn costs of the scheme. The client has indicated that they would like prequalification companies to describe the financial reporting systems that they would use, should they be a contractor on the scheme.
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Task
Your managing director has asked you to prepare a report in advance of the pre-qualification process so that your team is prepared to participate in discussions, at the two-day workshop, about:
• the most suitable forms of contract for the packages, and why these forms can best deal with the anticipated and unexpected risks in the scheme.
• how the client can successfully administer the scheme through the contract personnel,
including an organisational chart for the scheme (make reasonable and supported assumptions about the sequencing of the work).
• how the contracts can provide reliable financial information for the client’s business planning, and in what form this information should be.
An executive summary is required.
Additional guidance
Competitive dialogue procedure is a method of pre-qualification and early contractor involvement, where short listed candidates are invited to discuss the nature of the project before tenders are invited. It is a recognized procedure under the EU public and utility procurement rules.
Reference list and bibliography
You should include a reference list with a minimum of eight separate relevant and appropriate sources that you have written about and cited within your work.
A bibliography of uncited sources is not required.
Further information to support you with this assignment is available within the study materials for this module on the .