Summary and implications
In April the Chartered Institute of Building (CIOB) launched its CIOB Contract for use with Complex Projects, First Edition 2013 (the Complex Projects Contract). The CIOB heralded the Complex Projects Contract as "the world's first contract specifically aimed at the management of time in complex construction and engineering projects".
The Complex Projects Contract aims to improve procedures to manage time, cost and risks by:
creation of new roles and responsibilities - project time manager, auditor and data security manager; use of a dynamic time model; and use of a risk event management schedule. However, as with any new form of contract, its success (or otherwise) can only be determined once it has been used and tested by the industry, and there are a number of complexities and features of the Complex Projects Contract that may dissuade parties from choosing the Complex Projects Contract above other well-established forms of contract in the near future.
CIOB research found that less than 20 per cent of complex building projects (such as airports and prisons) were completed on time, 60 per cent were completed more than four months late and 55 per cent were completed more than six months late. The Complex Projects Contract is designed to provide more effective procedures for employers and contractors to manage time, cost and risks in a more proactive fashion than the procedures available under other industry standard forms, with the aim of reducing the number of delays on complex projects.
Areas of use
The Complex Projects Contract is designed (as might be deduced from its name) for use on complex projects both in the UK and abroad, and to be used for a variety of procurement routes so can accommodate both a traditional approach (where the contractor is only responsible for workmanship or specific identified areas of design) and design and build (where full design responsibility is passed to the contractor).
The Complex Projects Contract comprises three key documents: the Contract Agreement, Conditions of Contract and Appendices. These can be supplemented by Special Conditions, Federated Model, Drawings, Specification, Bills of Quantities, Contractor's Pricing Document, Contractor's Design and other documents relevant to the project, together referred to as the "Contract Documents".
Roles and responsibilities
Whilst a number of the Contract Documents will have similar...