There are certain visiting roles that we deem as being part of the overhead but the supplier views as roles that should be allowed as defined cost.
The roles are typically ‘checks and balances’ type where individuals visit site to ensure that the site team are undertaking the works in line with the suppliers processes and procedures, complete suppliers internal reporting requirements and occasionally undertake such things as tool box talks. These roles are normally business wide or regional roles.
To date our position has been that it will be defined cost when the individual starts to undertake works that are productive to the project, completion of documentation such as RAMS for example. The ‘checks and balances’ type role where they predominatally are undertaking the suppliers internal process requirements, we argue is overhead.
There is a bit of ambiguity in the SCC for this type of role but this ambiguity only increases and thus the problem Is more prevalent when utilising the TSC form and there is no SCC to try and use as a guide.
Is there any guidance/good practice as what is fair and reasonable to expect to be covered within the fee and what would be over and above this and so acceptable as defined cost?