Pilot case study of New Engineering Contracts (NECs) in Hong Kong - joy or tears?

Abstract

The New Engineering Contract (NEC) is regarded as a series of standard contracts which promotes the execution of good project management principles and practices under a spirit of mutual trust and co-operation. This paper aims to illustrate the background knowledge and project performance of the first trial construction project procured with the New Engineering Contract Version 3—Engineering and Construction Contract (NEC3 ECC) in Hong Kong through a case study investigation. Various key performance indicators of the project were determined via documentary analysis and a series of in-depth interviews with the senior representatives of the key project stakeholders. Useful insights can be generated according to the hands-on experience derived from this trial project to the potential users of NEC3 ECC in the construction industry from other countries, in particular those where NEC3 ECC has not yet been adopted. The case study findings would benefit both the construction academics and industrial practitioners in elucidating the project performance of a real-life case study of applying NEC3 ECC in the East, providing more empirical evidence in the growing body of knowledge and developing a strong basis for future research such as an international comparison of project performance of NEC3 ECC construction projects between the East and the West.