3 Lessons Engineering Managers can learn from FIDIC

I recently updated my knowledge on the FIDIC Rainbow Suite (Red, Yellow, Silver books). Learning from experts like Edward Corbett is always a reminder of why these contracts are the gold standard for international, engineering-intensive projects.

While I don't typically see unamended FIDIC contracts in domestic markets (paradoxically, I think they are too balanced for most Owners or Contractors to propose voluntarily—which is exactly why Multilateral Development Banks mandate them), I have found most value in FIDIC as a benchmark to improve bespoke contracts.

Here are my takeaways on what FIDIC can give you, reflecting on my experience as an Engineering Design Manager working on projects across different legislations and infrastructure sectors:

✅ Define the Interaction, not just the Role: Does your contract clarify how the Engineer(s), Owner, and Contractor(s) interact? It’s not enough to assign obligations; you must define the communication protocol. FIDIC’s procedure on "Engineer Determinations" is a good example—it structures the communication plan right from the start to avoid disputes later.

✅ Risk & Variations: How does a change in the Bill of Quantities (BoQ) impact the final price? FIDIC provides a clear mechanism for this. I see this missed constantly, especially when Basic Engineering estimates are used for tender, but quantities inevitably change during Detailed Engineering. If your contract is vague on how those variations are handled, you are inviting conflict.

✅ Design Responsibility: If the tender includes a design, who owns the risk of errors? Should the Contractor assume the the design issued for tender is correct, or are they liable for verifying it? FIDIC solves this explicitly by offering different books (Red, Yellow, Silver) for different risk profiles.

I recommend training from Howard Kennedy LLP and FIDIC - International Federation of Consulting Engineers itself for those looking to get further into FIDIC.

These are my main findings as an engineer. Looking forward to comments from lawyers and others in the field.

Sociedad Uruguaya de Derecho de la Construcción