Value: HK$671 Million (approx. £60 Million)
NEC3 contracts/options used: ECC Option A
Start-finish dates: September 2014 – October 2016
Main project team members:
i) Employer: MTR Corporation Limited
ii) Contractor: Paul Y Construction Company, Limited
iii) Project Manager: Project Manager of MTR Corporation Limited
iv) Supervisor: Senior Design Management Engineer (Civil) of MTR Corporation Limited
Scope and significance of project:
To make way for Kennedy Town Station of West Island Line, MTR have to demolish an existing community swimming pool and to re-provide a new one nearby. Planned to complete in 2 phases, the new swimming pool comprises 2 outdoor pools, an indoor pool and Jacuzzis. Phase 1 commenced on 14 Jul 2009 and completed on time on 14 Mar 2011. Phase 2 commenced on 1 Sep 2014 and planned to complete on 30 Oct 2016. During Phase 2 construction, Phase 1 is required to remain operational save for essential tie-in works. Paul Y is the contractor for both phases. MTR adopted a conventional form of contract on Phase 1. MTR currently manage more than 100 contracts which promote partnering (albeit with non-contractual binding provisions) across work phases and stakeholder boundaries. Partnering promoted successful completion of Phase 1. For Phase 2, MTR sought to build on this success by adopting NEC to evaluate how it compared to the Phase 1 form of contract with a view to promoting further use of NEC.
Please detail how you demonstrated collaboration on your project:
An “Integrated Team” approach was adopted amongst MTR, project manager, contractor, architect, consultant and Government to ensure thorough understanding of the common objectives for time, cost, quality, safety, environment and community expectations for project delivery. The Employer, designers and Contractor are fully committed to the NEC form of Contract and to make it a success. Joint NEC workshops were attended by all parties both during tender and after contract award. A joint office, regular team training sessions, lesson-learnt workshops as well as partnering activities promoted close working relationship and effective communication which led to successful trust building. A “No blame” culture was fostered to encourage team members to express their views unreservedly to enable early identification and resolution of potential issues. NEC workflow was adopted in MTR’s electronic Project Management System for documents processing and monitoring of the series of weekly meetings held (please refer to the workflow diagrams). Potential Early Warning (PEW) was introduced by the Team for early identification of issues which may not be urgent but still require continual tracking. PEW is elevated to Early Warning for action when appropriate. Leadership level of the Team strongly promoted collaboration
and trust building by working closely together which sets an example for the rest of the Team to follow. Regular reviews of the Team’s behaviours are conducted and appropriate measures are taken instantaneously to resolve issues and ensure the Team’s performance. Safety performance has been excellent on site with the promotion of teamwork between the contractor and the sub-contractors. Daily briefings, reviews and lunch discussions are held to share lessons learnt to improve the safety standards. Project safety performances have been recognised by Government and MTR by giving the Project a number of high-achievement awards to date. Zero complaints have been received from the public on the construction activities carried out so far. Performing community services, the Team visits the elderly homes in the vicinity regularly and listens to the public’s views which help improving the construction works performance and reducing public nuisances.
The Leisure and Cultural Services Department of Hong Kong Government have been very supportive and complimentary on how the Project has been advanced to date compared with similar projects that they have commissioned. To date, the Project’s achievements include projected contract completion to be advanced by 4 weeks as well as keeping the Compensation Events (CEs) value within 1% of the awarded contract sum. MTR has agreed in principle to give an early completion bonus to the Contractor as an incentive to ensure early completion of the Project. Early settlement of the CEs has enabled adequate cashflow for the Contractor to honour its sub-contractors’ payments in a timely manner. Sub-contractors are all content to be a part of the Team.
The Team has participated in a number of seminars and conferences and shared the Project’s success in using the NEC contract. These include the NEC Asia Pacific Users’ Group 3rd Breakfast Meeting held on 6 February 2015, the Lighthouse Club Annual Conference held on 30 October 2015 and the NEC Annual Conference 2015 held on 10 November 2015. The Project has been scheduled as an “NEC-in-Action” event in April 2016 to continue promoting the use of NEC contracts in Hong Kong.