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NEC3: Building Stronger Teams

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The NEC3 suite of contracts is seen by many as a step change in delivering collaboration to the construction arena.  Much has been written on the benefits and challenges presented by the practicality of NEC3 contracts. We would like to focus on the benefits that NEC3 brings to building stronger more effective teams, this article will consider both practitioners and those with only an awareness of NEC3. The format and language of NEC3 allows for widespread understanding of the contract. The six options, 17 secondary options and use of Z clauses enables greater understanding and less of a reliance upon extensive legal training.  Both those with an awareness and practitioners can gain a good understanding of the contents of specific NEC3 contracts through reading the contract. The ability to brief colleagues on the nuance of the contract and specific elements has the potential to increase the team ethos between different functions, i.e. contract administrators and the project m

Project Delivery Performance Problems

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We provided comment in March on measuring project delivery against three criteria: time, cost and performance (i.e. adherence to specification / user requirements ). The Guardian identifies the current problems that Network Rail are experiencing (link at the end) and classifies these performance issues in the time and cost category. It should be noted, in a positive way, that there is no mention of shortfalls in the performance of the delivered outputs of the projects. Furthermore, as safety is a fundamental element to performance the performance of Network Rail in providing the safest rail network in Europe should be recognised. Time - Milestones (30 missed out of a possible 84)   Cost - Increase debt of 16% in a single year (an increase of £5bn to £37.8bn) Perhaps most worryingly are the major projects, such as the electrification of the Great Western line, which are witnessing massive increases in costs. The Great Western has risen in cost by 50% and it is b

The Northern Powerhouse: What does it mean?

Much has been made in recent months, especially in the run up to the General Election, about the Northern Powerhouse; but what does it really mean?  Following the Scottish Independence Referendum there has been discussion on the devolution of certain fiscal powers to regional authorities in England, most notably Greater Manchester.  Giving certain fiscal powers to local authorities does not create an economic stimulus, merely the opportunity to enjoy increased buying powers.  Furthermore, the identification of Manchester as a lead for this English devolution creates animosity in Yorkshire, the North East, Cumbria and on Merseyside. The creation of locally elected mayors does not generate fiscal stimulus, but it does create additional overhead and expense whilst affording a single point of accountability. The government has published ‘The Northern Powerhouse: One Agenda, One Economy, One North’ the focus is on transport links supporting the city regions.  This provides some detai

How to measure project performance

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We look at the three specific performance management measures to help gauge progress in projects.  We look at time,  cost and performance.  Please get in touch for more details on this article or on any project or procurement matter.

Our e-procurement service

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A blend of highly experienced professionals and class leading software.

A project based approach to procurement

The text from our latest article is below.  View it on line at  this  Link   Organisational Structure and Process Structure Organisational Structure - Project management methodologies are built upon structures that review and report progress, provide direction and represent the business. By establishing an organisational structure, with senior management representation and a governance board effective management of the procurement activity in line with the corporate expectations is enabled.  Furthermore this provides a clear way for assessing progress, addressing priorities and is a tool for suitable decision making with suitably empowered individuals that represent the business and user community.  It also provides the mechanism by which priorities can be identified and acted upon.  Providing a management structure that meets regularly greatly assists in reviewing and evaluating the key risks and issues; this is especially important when it is a specialist or highly regulated

Just in time changes?

It is reported ( http://www.supplymanagement.com/news/2014/new-eu-procurement-rules-to-come-into-force-by-early-2015  ) that the government is moving to introduce the new EU procurement rules in early 2015. Whilst this is highly commendable it does raise the question of why introduce the new rules just ahead of the forthcoming purdah before the UK General Election?  With purdah starting on the 30th March 2015 surely this prevents any OJEU compliant procurement being completed prior to the start of purdah.  On a positive side it provides the opportunity for realistically six to eight weeks more time to become acquainted with the new rules before use after the election.

The three trends to watch for in procurement in 2015

Looking back at 2014 and the challenges that have been faced and overcome we look at what might be top of the agenda in 2015.   We look at three specific areas and assess their impact. Striving for value Deploying technology Strategy fulfilment As procurement professionals we have always sought value in our actions.   It’s important to understand that when we identify “value” we mean it in terms of both cost and outcomes.   We strive for the most financially beneficial deal, this is easy to judge, what is much harder is identifying the true value achieved in terms of outcomes.   Outcomes are not always immediate and to truly identify the value of outcomes we must track the benefits that have been achieved from the delivery of outcomes. Many companies look no further than standard IT and an isolated approach to procurement. Using e-procurement tools not only makes the processes easier to run and co-ordinate but it also provides clarity and the ability to maintain a cl

What are the big issues facing us in 2015?

There are 3 major issues for, at least half if not all of, 2015.   The first one will affect the second and both have the potential to impact the third. The price of oil The global economy, although specifically Europe, US and China. The UK General Election The continuing devaluation of the price of oil has already have significant detrimental impact for Russia and has the potential to severely threaten the economies of those countries dependent upon exports.   Whilst a lower oil price is good news for the consumer, with lower prices at the petrol pumps and lower costs for consumer goods; the impact on government finances, including the UK are significant.   A continued low price has not only the resultant effect that governments raise less revenue the deflationary effect could further worsen consumer confidence and the wider economy. Economies around the world are having mixed fortunes and the prospect for world trade faces a challenging time.   Russia, which pre