NEC4: Introduction to the Design Build and Operate Contract (DBO)

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Description

Overview

The NEC4 Design Build and Operate Contract (DBO) has been developed for the appointment of a contractor to operate a client’s asset for a period of time, and during that period undertake significant new build or refurbishment to support the operational requirements.

It combines and places responsibility for usually disparate functions (design, construction, operation or maintenance) with a single supplier.

People will be motivated to play their part in collaborative management if it is in their commercial and professional interest to do so. Uncertainty about what is to be done and the corresponding risks and liabilities can lead to disputes and confrontation.

The DBO contract clearly allocates risks, and the collaborative approach will reduce those risks and uncertainty for all the parties.

Why Attend?

Delegates attending this course will gain:

  • An insight into when to use this form of contract
  • How to put it together, the contract strategy
  • How it is managed effectively
Formats

Classroom

Peer reviewed training courses delivered by NEC experts and industry specialists on scheduled dates and locations across the country. Ideal for those looking for NEC knowledge exchange with other users in an interactive learning environment.

In-house

Our training programmes, tailored to your requirements. Ideal for organisations with specific time, location, and learning and development objectives.

Programme
This training course starts at 09:00 and finishes at 17:00 with refreshment breaks mid-morning and afternoon, plus lunch.
All timings, except the start time, are approximate and may be adjusted to suit natural breaks in the lesson.

Session 1 - Overview of the NEC and the NEC4 Design, Build and Operate Contract (DBOC)
  • This session will show how NEC contracts have helped transform industry behaviours and how DBOC works alongside other contracts in the suite.
Session 2 - Using the DBOC
  • This session covers the contract strategy; an explanation of the main and secondary Options that can be chosen and the other contract documents that need to be produced. It will also outline the difference between defined and identified terms, their significance in the contract and the contract data and how they should be used.
Session 3 - Managing the contract - the DBOC processes
  • 3.1 - General provisions. This session will look at the general techniques that are used to manage the contract including mutual trust and co-operation, communications, the role of the Service Manager and early warnings. It will also outline the difference between defined and identified terms, their significance in the contract and the Contract Data and how they should be used.
  • 3.2 - Contractor’s main responsibilities. This session outlines the Contractor’s main responsibilities cover how the works are defined, the Contractor’s design and key people and subcontracting.
  • 3.3 - Time. This session looks at when the works start and finish, the importance of the plan and how the Accepted Plan is used and revised to help manage delivery.
  • 3.4 - Quality management. This session clarifies how defective work is identified and managed throughout the plan and after Completion.
  • 3.5 - Payment. This session covers how amounts for payments are calculated and how handling costs can vary with the main Options. It includes when payments should be made as well as the Schedule of Cost Components.
  • 3.6 - Compensation events. This session gives an overview of what compensation events are, how they vary with the Option chosen and how they should be managed to ensure neutral cost to the Contractor and transparency and fairness to the Client.
  • 3.7 - Title. This section will review how title passes between the Parties and the relevance of Service Areas.
  • 3.8 - Liabilities and insurance. This session looks at the way the contract deals with liabilities and maintains a risk profile which complies with the overarching NEC principle of mutual trust.
  • 3.9 - Termination and dispute resolution. This session deals with the process of termination and the reasons why the termination process can be invoked, and also with the various dispute resolution procedures.
Session 4 - Summary and Open Forum
Learning Objectives
At the end of the course, participants should be able to:
  • Describe the philosophy of NEC and the behaviours needed to ensure success
  • Understand when and how to use DBO over ECC and TSC
  • Recognise the differences and provide advice on appropriate contract strategies
  • Know how to use of Contract Data and Scope
  • Define the roles and responsibilities of key parties
  • Apply important DBO clauses such as early warning, plan, communications and compensation events
  • Recognise the significance of the Performance Table and the Operational Requirements
Who Should Attend?
This course is designed for those working with the DBO form including:
  • Project managers
  • Contract managers
  • Supervisors
  • Quantity surveyors
  • Clients
  • Consultants
  • Contractors and their supply chain

It is designed for those with some experience of using NEC, ECC and TSC forms.
Included in the Fee
Your delegate fee for the classroom course includes:          NEC4: Preparing an NEC4 Design Build and Operate Contract
         NEC4: Managing an NEC4 Design Build and Operate Contract

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