NEC ECC: Disruption & Complexity

Option A contract with large amount of minor change, contractor perspective.

The issue is we have over 200 CE’s now, individually they may affect the duration of tasks on the programme in a distinct way but they do have a more global disruptive effect that is only really noticeable now we are near the end of the project.

Arguably now we’re near the end of the job the increase in complexity is causing defect issues with missed bits of instructions, etc putting further pressure on management and subcontractors.

The issue I’m having is the forecast of defined cost, disruption is only really noticeable retrospectively and we have have no way of knowing if more change is coming.

For future reference is there a method for the prospective inclusion of disruption ?

The simple answer is that you have to assess the prospective disruption at the time of the original compensation event. I am not saying this will be easy, but there is no other way of claiming it. You have to assess the full impact on the programme.

For example, if there is delayed access of say four weeks it would be relatively easy to price the cost of the delayed 4 weeks. If however that delays future excavation works on the critical path into winter working, that additional risk has to be considered/accounted for within the initial delayed access CE.

Whenever there is a compensation event it has to be entered into the programme at the time to understand the full effect and then everything priced accordingly within that CE. There is no such thing as a “general disruption” claim that can be done at the end of the project. It forces people to consider change as we go during the life of the project so there are less surprises to either party at the end.