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Complex Projects Contract

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The Complex Projects Contract is a form of construction contract, developed by the Chartered Institute of Building.

It is formally called the 'Contract for use with Complex Projects, First Edition 2013'. However, it may also be referred to as the 'Complex Projects Contract 2013' or 'CPC 2013'.

Launch

Launched on 23 April 2013, it has been billed as the world’s first contract specifically aimed at the management of time in complex construction and engineering projects.[1] The author also states that it's the first form to follow the Society of Construction Law EOT Protocol,Cite error: A <ref> tag is missing the closing </ref> (see the help page).

Time Management

CPC2013 is unusual in taking a prescriptive approach to the management of time and cost risk and combining critical path network techniques with resource based planning. The time model, referred to as the Working Schedule, combines a high-density, short-term look-ahead similar in concept to that used in agile software development with medium- and long-term lower density schedule along the lines of that used in the waterfall model planning technique, the whole being revised regularly on the Rolling Wave planning principle. In the short-term look-ahead, the logic is to be resource- and location-related, instead of activity based, as it is in waterfall. The agile part of the schedule is to have its activity durations calculated by reference to the resources to be applied and their expected productivity.

Cost Management

The activities in the Working Schedule are also to be valued so that the Working Schedule is also used as the pricing schedule to predict out-turn cost and current value for the purposes of interim payment.

Progress Records

Progress is required to be recorded in a database identifying, at specified intervals, the resources used, productivity achieved and earned value. Apart from being the source data for subsequent progress update of the schedule, the database also serves for benchmarking productivity achievable for quality assurance of the schedule and future planning.

Collaboration

In order to promote collaboration and to ensure transparency of data, schedule and database submittals are to be made in native file format either by maintenance of the material in a common data environment or transfer by a file transfer protocol to all having a continuing design, administrative, or supervisory role.

Future Publications

A back-to-back consultancy appointment and subcontract, both of which follow the same principles of time and cost risk management are also due to be published in 2014.


Reception and Reviews

A number of reviews and commentaries have been written on the subject of the Complex Projects Contract, some have criticised the complexity of the contract itself,[2] whereas others have noted the importance of the clear language, and commented on the positive incorporation of positive features reflecting other contract forms.[3] Almost consistent in reviews published has been the comment that it will be necessary for the contract to be tested on a live project before the effectiveness can be proven.[4]

References

  1. ^ "The CIOB Complex Projects Contract 2013, by Keith Pickavance " http://www.thenbs.com/pdfs/NBS-NationlC&LReport2013-single.pdf at p.22.
  2. ^ "Speechly Bircham: The New CIOB Complex Projects Contract: What you need to know" http://www.speechlys.com/knowledge-centre/knowledge-centre/publications/real-estate-and-contruction-and-engineering/the-new-ciob-complex-projects-contract-what-you-need-to-know.aspx
  3. ^ "FTI Consulting: James Myers Discusses the New CIOB Complex Projects Contract" http://www.fticonsulting-asia.com/global2/case-law/james-myers-of-fti-consulting-discusses-the-new-ciob-complex-projects-contract.aspx
  4. ^ "Complex Projects Contract 2013 - A complex solution for a complex problem" http://www.nabarro.com/Downloads/Construction-newsletter-October-2013.pdf