NEC TSC Guide - Final Low Res

8/6/2019 NEC TSC Guide - Final Low Res

http://slidepdf.com/reader/full/nec-tsc-guide-final-low-res 1/6

neccontract.com

Sae time and money acoss you FM contacts

INTrODUCING THENEC3 TErM SErvICE CONTrACT

TM



A ette way c actesaaeet seces

Now in its thid incanation, the NEC3 is

undamentally dieent in appoach to many

othe pocuement contacts on the maket.

Whee taditional oms o contact can

pomote an advesaial elationship between

contacto and client, the TSC and TSSC

pomote a patneing, collaboative appoach

which has a consistent ecod o deliveing

acilities management and maintenance

sevices with impoved eciency in tems o

timeliness, quality and cost eductions.

nEC Caactestcs

The NEC was witten with thee key

chaacteistics:

Wtte a Es a s a cea a

se cet s aae a a

stcte wc ae statwa a

easy est.

rst t ea tes a

ety yet fexe tes te

tye sece tat ca e ce, te

c a ayet ecas se, a

acat s etwee te ates

its se states , acteaaeet te eats etwee

te ates t te ctact a, ece,

te w ce te ctact.

Te nEC Fay

The NEC3 Tem Sevice Contact is pat o a

wide contact amily, suitable o pocuing

a divese ange o woks, sevices and supply,

spanning majo amewok pojects though

to mino woks, acilities management and

maintenance sevices, and puchasing o

supplies and goods.

Ws

Includes the constuction o buildings,

highways, bidges and pocess plants. These

contacts ae typically used o pojects with

a clea end deliveable. They may also include

elements o design.

NEC3 Engineeing and Constuction Contact

NEC3 Engineeing and ConstuctionShot Contact

NEC3 Engineeing and Constuction

Subcontact

Seces

Includes puchases o maintenance and

management sevices such as had and

sot acilities management and building,

engineeing and gound maintenance o

a specic building o acoss an estate, and

moe complex sevices such as ambulance

sevices unde the NEC3 TSC o TSSC. NEC3

also povides o puchasing poessional

sevices such as engineeing, achitectual

o consultancy unde the NEC3 Poessional

Sevices Contact.

NEC3 Tem Sevice Contact

NEC3 Tem Sevice Shot Contact

NEC3 Poessional Sevices Contact

Sy

Includes the supply o high value goods and

associated sevices such as tansomes,

tubine otos, olling stock, loading bidges,

tansmission plant and cable, pocess plant

unde the NEC3 Supply Contact togethe with

lowe isk goods such as building mateials,

simple plant and equipment, stationay, PPE,

manuactuing pats, components and stoe

items unde the NEC3 Supply Shot Contact.

NEC3 Supply Contact

NEC3 Supply Shot Contact

otes

NEC3 Adjudicato’s Contact

NEC3 Famewok Contact

A Ste Aac

Each contact comes suppoted by associated

Guidance Notes and Flow Chats detailing

exactly how the contact clauses wok, and

what pocedues should be ollowed and by

whom thoughout the lie o the poject o

sevice.

An NEC3 Pocuement and Contact Stategies

Guide has been published to povide guidance

o uses o the NEC in detemining the

pocuement and contact stategies to meet

objectives and in the application o NEC3contacts in meeting these stategies.

NEC also povides a wide ange o suppot

sevices to ou uses, including taining,

consultancy, events, a uses’ goup and digital

contacts.

The NEC3 Tem Sevice Contact (TSC) and Tem Sevice Shot Contact

(TSSC) acilitate the implementation o good management pinciples

and pactices as well as dening legal elationships. They ae suitable

o pocuing any contacted-out sevice such as had o sot acilities

management o maintenance wok. The implementation o the

TSC and TSSC has esulted in majo benets being deliveed bothnationally and intenationally.

e at ay asect te nEC ay ctacts st seces ease ctact

nEC, 40 mas Wa, l, E14 9Tp



Te TSC use

The TSC and TSSC have been designed o use in

a wide vaiety o situations and ae not esticted

to constuction / maintenance elated activities.

They ae essentially contacts to povide a

sevice to an Employe om a stating date

and thoughout a sevice peiod. The sevice

may be povided continuously ove the peiod

o the contact e.g. a contact o the outine

cleaning o oce buildings o on a task-by-task

call-o basis e.g. a contact o the epai and

maintenance o highways in a paticula aea.

The TSC and TSSC ae fexible enough to be

used o pocuing sevices in both the public

and pivate sectos, including :

Civil

BuildingNuclea

Utilities

Inastuctue

Facilities Management

Oil and Gas

Se ecet exaes te TSC

a TSSC se ce:

Nottinghamshie Healthcae NHS Tust

awaded a 5-yea, £8 million contact to

MITIE Engineeing Sevices Limited o the

maintenance o the high-secuity ramptonHospital nea reod in Nottinghamshie.

The contact is o the povision o planned

maintenance, eactive epais and mino capital

woks to the mechanical and electical sevices,

building abic, building installations and

gounds.

Livepool John Mooes Univesity awaded a

3-yea, £140,000 contact to Otis Limited o

the maintenance o aound 50 lits o vaious

types and ages anging om platom to

eleven-stoy passenge lits. The contact is

ully compehensive and includes all planned

peventative maintenance, eactive maintenance

and epais and emegency call-outs.

TSC ot Stcte

The TSC oes up a ange o Options to select

om that builds up the contact tems to suit the

sevice. At the heat o the contact conditions

ae the coe clauses, which contain the essential

common tems. To this must be added a

main Option, which will detemine payment

mechanism. Finally, the selected seconday

Options ae combined with the coe and main

Option clauses to povide a complete contact.

Ts aac es ee eate cce t

ctact ates t assee aate

ctact cts t st te ees. Te

TSC a ots ae:

Option A: Piced contact with pice list – the

isks o being able to povide the sevice at

the ageed pices ae lagely bone by the

Contacto.

Option C: Taget contact with pice list – the

nancial isks ae shaed by the Employe and

Contacto in an ageed popotion.

Option E: Cost eimbusable contact – the

nancial isk is lagely bone by the Employe.

Thee ae ten seconday Options pexed X, any

o which may be incopoated in the contact

accoding to paticula cicumstances and how

it is consideed cetain isks should be allocated.

Thee ae a ew estictions on use o some o

the seconday Options.

Thee ae two seconday Options pexed Y,

which elate to UK legislation.

All o the main Options can be used whee

wok is eithe specied by outputs (peomance

based equiements) which leave the Contacto

to decide how the sevice is povided o inputs

(such as pesciptive technical o opeational

equiements), o a combination o both. In

the TSC the specication is temed Sevice

Inomation and thee ae numeous eeences

to the Sevice Inomation in the conditions o

contact which equie cetain specication items

to be to be coveed.

Te Sece StCtact (TSC)

The TSSC is intended o use in exactly the same

way as the main contact and is just as obust– howeve it is intended o contacts which

pose a low isk on both client and contacto

and do not equie sophisticated management

techniques. Examples could be individual sevice

contacts o cateing, maintenance o ai

conditioning systems, potable appliance testing,

snow and ice cleaance, o window cleaning.

“Following consultation with elevant tade

bodies, industy povides and potential

customes o the amewok ageement,

Buying Solutions obtained a clea consensus

that the NEC3 Tem Sevice Contact was the

way owad o the Facilities Management

amewok ageement.”

nca bawe,Senoi Categoy Specialist

Buying Solutions

by Sts

Faew

The NEC3 Tem Sevice Contact is at the

heat o the new Buying Solutions acilities

management amewok rM708 in the

UK. Contact us i you ae on this new

amewok and need assistance on the

tansition to NEC3

T +44 (0)20 7665 2446 F: +44 (0)20 7538 2847 E: @ecctact.c ecctact.c



“The Tust have been using the NEC3 Tem Sevice Contact

since 2007. The documentation is vey use iendly and

its mechanisms povide a vehicle o eective contact

administation and it encouages a cultue o patneship

woking that has enabled the Tust to achieve both signicant

impovements in the quality o the sevice and annual

eciency savings’’

Ay Wte

Capital Pojects Manage

Nottinghamshire Healthcare NHS Trust

FAQ

Qest

I have a pest contol contact which I need to

e-tende, do I use the TSC o TSSC?

Aswe

The TSC could be used howeve the TSSC

may be moe appopiate depending on isk

associated with and complexity o the sevice

being pocued.

The payment mechanism in the TSSC is based

on ageed ates and pices and can be used o

both planned and eactive woks. I howeve

you wanted to shae nancial isk with ou

sevice povide, o take most o the nancial

isk then using main Options C o E unde the

TSC may be appopiate. You also need to

conside i you want to utilise TSC seconday

Options like pice adjustment o infation (X1),

low sevice damages (X17) and key peomance

indicatos (X20). Again, i so then the TSC may

be a bette stating point than the TSSC to avoid

the use o extensive Z clauses.

Qest

We cuently use the JCT Measued Tem

Contact 1998 o a maintenance and mino

woks contact, can I e-tende using the TSC?

Aswe

Yes it is possible to use the TSC o measuedtem woks by choosing main Option A (Piced

contact with Pice List) and including seconday

Option X19 Task Ode. The Pice List could

be eithe a published o bespoke schedule o

ates and all woks would be instucted by issue

o Task Odes by the Sevice Manage. Each

Task Ode would need to contain a detailed

desciption o the wok, a piced list o the

items o wok using the Pice List, stating and

completion dates, any delay damages o late

completion (whee equied) and the total o

the Pices.

Qest

With inceasing nancial pessues on us we need

to impove nancial contols and pedictability o

ou FM contacts. How can the TSC help?

Aswe

A key eatue o the TSC (and all NEC3

contacts) is the ealy waning pocedue.

This places an obligation on both the Sevice

Manage and the Contacto to notiy each

othe as soon as possible o anything which

may aect the cost and the pope peomance

o the sevice in elation to timing and

eectiveness. I the Contacto ails to do this

then his entitlement to additional payment o

any elated compensation event is educed.

The ealy waning pocedues authoise eithe

the Sevice Manage o Contacto to call a

isk eduction meeting at any time to discuss

poblems o potential poblems. At the isk

eduction meeting the paties ae equied to

co-opeate in solving the poblem iespective o

whee the nancial liability may est.

Qest

In ou cuent FM contact thee is no incentive o

the contacto to consistently povide high levels

o sevice o mechanisms o dealing with poo

peomance. Does the TSC povide o this?

Aswe

Yes, the TSC can incopoate these equiements

though use o seconday Options X17 Low

Sevice Damages and X20 Key Peomance

Indicatos. The low sevice damages and Key

Peomance Indicatos ae not pescibed in

the TSC and will need to be specic to you

opeational needs. Fo example you may want to

impose damages o ailue to achieve emegency

esponse / epai times o ailue to submit key

inomation on time. You may want the Key

Peomance Indicatos to cove aeas such as the

accuacy o nancial oecasts and plans, epoted

deects, o health and saety peomance. You

may also want to oe a nancial incentive to thecontacto o achieving the peomance tagets.

Case Stes

Planned maintenancein Northern Ireland

Depatment o Finance and Pesonnel inNothen Ieland awaded a 4-yea, £70million popety management contactbased on the TSC to povide plannedmaintenance, eactive / emegencyepais and mino woks to aound 2,000govenment popeties acoss NothenIeland.

Housing maintenance in Colchester

(Awaded Septembe 2003)

Colcheste Boough Council awaded a10-yea, £120 million contact to InspacePatneships Limited to delive esponsiveepais, capital woks and plannedmaintenance o its housing stock usingthe TSC. The contact also includes thepovision o asset management andtechnical design and management sevicesto supplement the Employe’s own technicaland diect labou sta which ae povidedby Atkins Facilities Management Limitedunde a PSC being used by the Contactoas a subcontact.

Cleaning servicesBroadmoor Hospital

West London Mental Health NHS Tustawaded a 2-yea, £80,000 cleaningcontact based on the TSSC to povidecleaning sevices to the non-secue oce,taining and esidential popeties atBoadmoo Hospital, Bekshie.

More NEC case studies online atneccontract.com/about/NECprojects.asp

T +44 (0)20 7665 2446 F: +44 (0)20 7538 2847 E: @ecctact.c ecctact.c



NEC3 TermService Contract(2005)

ACA TermPartnering Contract(2005)

JCT MeasuredTerm Contract(2006)

ICE TermVersion(2002)

GC/Works Suite(1999/2000)

Ca e se ay tye Fm

/ ateacesece?

te tateacea ew ws

te tateacea ew w

ee ctact seecte

pes ctact es

deet ets c aayet?

s,taet cst cst esae

t t ee te ctact

scee ates

scee atesa ces

ee ctactseecte

Cce s

acat?

dese a seteatay?

use-ey,se at aace tes?

deascaat / ate?

Eay wa ayt aectT/C/Q?

Ctact a / ae awst eace?

State eass ecss?

pes t-aty ate?

ta tea

Sece ectsy ete e tectact?

es sse tstct ws

es sse tstct ws

es sse tstct ws

e gC/Ws/9 & 10

kpi’s ctseet?

ta tea

pes stct e-jects?

ta tea tea tea tea

e at ay asect te nEC ay ctacts st seces ease ctact

nEC, 40 mas Wa, l, E14 9Tp

Te Ctacts: a cas



neccontract.com ConTrACTS

bookS

TrAining

TrAining FrAnChiSE

digiTAl

EvEnTS

uSErS’ groupACAdEmiA

SoFTWArE

NEC

40 Mash WallLondon E14 9TP

T: +44 20 7665 2446F: +44 20 7538 2847E: [email protected]

www.neccontract.com

TM

Ta

We oe specic taining on the

contacts, eithe though a public

schedule in the UK and selected

oveseas teitoies, o on an

in-house basis. The latte can

be specically tailoed to you

oganisational needs. We oe

the ollowing couses

NEC3: Intoduction to theTem Sevice Contact

NEC3: TSC Pe- and

Post-Contact wokshop

NEC3: Tem Sevice

Shot Contact

Talk to ou team on

+44 (0)20 7665 2445 o go to

neccontact.com/taining to see

the ull list o couses and book.

Cstacy

Poactive advice on the setting

up o contacts, and advice on

administeing them whethe you

use them standalone o as pat

o a amewok.

Talk to ou team on

+44 (0)20 7665 2446 o go to

neccontact.com/consultancy.

uses’

Pee-to-pee suppot o uses

o the contacts. Including a

technical helpline, quately

newslettes, contacts, exclusive

events and taining o membes.

Contact ou Uses’ Goup

co-odinato on

+44 (0)20 7665 2443

to nd out moe o go to

neccontact.com/usesgoup.

nEC3 dta

‘Secue, pintable and

open access to the contact

documents and oms acoss

you oganisation’s netwok with

eCopoate.

Also available in the ollowing

omats

eView

ePrint

Call ou digital line on

+44 (0)20 7665 2484 o go to

neccontact.com/digital to nd

out moe.

nEC pcts a seces

NEC offes compehensie suppotseices to the uses of ou contacts,We offe specific help to uses of theTem Seice Contact as follows:

Documents

NEC TSC Guide - Final Low Res