Alliancing, and specifically the new model of procurement under the NEC4 Alliancing Contract (ALC), is steadily gaining momentum. National Grid, Network Rail and the UK's water industry have all used alliancing successfully. Highways England recently moved to the alliance procurement model under the ALC for its £4.Sbn Smart Motorways Alliance. Alliancing, in general terms, can be described as a single agreement bringing together a collaborative and integrated team that includes the client and an extended supply chain; the team share a set of common goals that meet client requirements and work towards common incentives. An important feature of most alliance agreements is that the risks are shared, as is the commercial return. The parties to an alliance agreement are, in theory, aligned so that the interests of all participants are as equal as possible and the level of integration is high. Alliancing can take different forms. What are the key points to note from the ALC?
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