valued efficient collaborative 30th april 2015 scf framework launch day for: –framework management...

Valued Efficient Collaborative

30th April 2015

SCF Framework launch day for:Framework Management TeamContractor Framework Account Managers


Introduction

K Heard

SCF Framework Manager


Prompting a Positive SCF Culture

Edward Currie / Jon Williams


Promoting a Positive SCF Culture

Workshop:What type of culture do we wish to promote?


Training & Passport

• SCF Training of contractors team in a “Train the Trainer Format” (under development)

• Training then devolved to key staff in SCF Contractors down to at least Site Manager Level initially

• SCF Principle Contractor Passports to be issued to all staff post training

• Date of initial training summer 2015


Framework Roles

Edward Currie


FAM & SCF Roles

Interactive session for 20 minutes10 x 60 second conversationsSCF to Framework ContractorsFramework Contractor to Framework ContractorCapture key words on ‘post its’At the end of the session put them on the wallJamie will come round and listen to what is being said and summarise at the end.


Framework Roles

Syndicate Session

Jamie Staples


Market Intelligence

Keith Heard

Market Intelligence Background

• Sub-contract prices pose significant challenges to project budgets

• Unpredictable prices and significant increases in some lead times driven by the strong resurgence in demand in the construction industry with the housing sector in particular driving higher demand

• Shortages in critical plant items such as cranes and piling adds further pressure to cost and programme

• Such volatility emphasises the need for strong project collaborative working, especially during the pre-construction phase

Market Intelligence Background - cont

• This is a pilot study by the NACF to identify market trends

• Regional Framework Contractors asked to obtain information from their supply chain on a range of issues compared to the previous year

• A range of packages selected for interrogation

• The contractors were also asked to predict market trends on the same packages through the supply chain

• Each region has carried out an analysis of the returns to prepare a mode / median / mean average of the results

Market Intelligence Results

• This is the first time we have collated results for discussion at NACF meetings

• Results intended to show trends only and should not be read as definitive

• Presentation shows a sample of the results


Coffee

http://www.google.co.uk/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRw&url=http://www.tichbornearms.co.uk/&ei=Lhg5Vc78F5TaapyBgeAH&bvm=bv.91427555,d.d2s&psig=AFQjCNH1UUz2p4ny0KKGfskieqmg2Wl19Q&ust=1429891424984188


The Mini Competition Process

Keith Heard


The Framework Tender

Specified• Roles• Duties• Deliverables


The Framework Tender

Technical Question areas:• QA and performance• BIM• Design Management & Development• Supply Chain Management• Handover and Aftercare• Sustainability and Environment• Social Responsibility• Financial Control• Framework delivery• Programmes of Work


The Mini Competition Process

Opportunity pipeline published – M2i

Project details published on procurement portal

MC 1 run through procurement portal

Framework manager / client short list to 3

Client body issues and runs MC2


How Does Mini Competition 1 Work?

1. Client enquiry- Framework Manager support.

2. Outline details added to pipeline information

3. Client decision to proceed – Framework Manager takes details and completes MC project information form.

4. Sets price point from size and type of project

5. Details published on procurement portal

6. MC 1 run via the procurement portal by the framework management team


Principles of Mini Competition 1

Confirmation of (Questions may be weighted):• Preference for type of project• Relevant experience• Capacity of contractor and supply chain• Ability to add value

Self scored responses to pre-set criteria, supported by word limited written evidence. Evaluated by framework manager, who recommends to client.


Outcome of Mini Competition 1

Preferred outcome is for three contractors to proceed to MC2.

• Sensitive to contractor right to appeal• Sensitive to client view on self scoring• May be more than three in MC2



Cost – 20 to 50%• OHP %• Pre construction fee%• Construction fee %• Design fee %• Preliminary items (if applicable)

Rates may not exceed the tender percentages from the price point, but may be less, and will be converted to lump sums



Technical – 50 to 80%• QA and performance• BIM• Design Management & Development• Supply Chain Management• Handover and Aftercare• Sustainability and Environment• Social Responsibility – Mandatory question• Financial Control – Mandatory question on cost plan• Framework delivery – Project delivery• Programmes of Work


The MC 1 template

A copy of the template is available on your tables:• Title page• Guidance notes• Project information, completed by Framework

Manager with client, and intended to carry through to MC2

• Contact sheet for client professional team (if required / available)

• Self scoring matrix with evaluation criteria• Weighting calculation


Mini competition Questions

An opportunity for contractors to put questions / comments on the mini competition process to the framework management team.


Mini Competition 1

Syndicate Exercise

Jon Williams


Employment and Skills

Edward Currie


Apprenticeships and ESSBackground

Included in support of The Construction 2025 and SCF Strategies.Embodies ethos of CITB and NSAC Employment & Skills Plan (ESP) Response to predicted skills shortages likely to beset the industryJoint responsibility by clients and industry to train the workforceSCF to continue to work with:

Shared ApprenticeshipSchemes


Overview

Places contractual obligations on SCF Suppliers Engage new entrant apprentices as the host employer via SASs Additional obligations:

- Extend into your supply chains- Enthusiastically support opportunities to young people under corporate parentage

Report and measure relevant KPIs


Minimum RequirementsEach supplier to employ additional site assistant apprentices NVQ 3 per lot When? At the Framework Start Date & annually

Lot specific requirements are:Lot 1 (SW): 1 no. per annum i.e. 10 p.a.Lot 2 (SE) & Lot 3 (London) 2 no. per annum i.e. 16 p.a. per lot

Each supplier to obtain commitments from key trade supply chain members:2 additional apprenticescompletion during the 4 year framework Supply chain partner will be the host company employerApprentice sourced via the appropriate SAS.


ESS - On Appointment

Submit ESS Method Statement to SCF ApprovalLiaise with appropriate SAS and recruit new apprentices to fulfil requirements. Confirm details of the commitments from key trade supply chains.Upload evidence of apprentice name, registration etc., on the SCF web database.


Project SpecificMinimum Requirements

Tested within Mini Competition selection – ESP and Method StatementProjects > £5mNew Entrant Apprentices defined: “currently employed by SASs”E&S outputs agreed on a project specific basis10 apprentice weeks per £ 1m construction valueDeliver 90% of the ESP based on overall outputs and weightings 50% of new entrant and existing apprentice weeks sourced via the SASs.

Client PM accountable for agreeing the ESP and Method Statement and ensuring the agreed E&S outputs are delivered.

SCF Manager monitors progress of E & S Outputs for each lotAudits carried out at the annual Director 1:1 meeting.


Lunch

http://www.google.co.uk/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&uact=8&ved=0CAcQjRw&url=http://www.alresford.org/pubs.php&ei=bRY5VZ6qIojiaJi8gNgE&bvm=bv.91427555,d.d2s&psig=AFQjCNEd9XujyIWuYIVYMfXvY0m0j5Zd-Q&ust=1429890905396385


SCF Standard Product Mini Competition

Keith Heard


A

A


Mini Competition 1 Differences

1. Price point set in MC1 form2. Questions as before remain, plus……3. An additional question allowing contractor to

enter £/m2 price for the new build school4. Price may be less than tendered in framework5. Will apply to the new build elements6. Evaluation based on framework tender

commercial evaluation method, 7. Lowest price / tender price * weighting


Mini Competition 2 Differences

1. The intention to take 3 contractors to MC2 remains as before

2. Quality / Cost balance remains as before3. Technical question areas remain as before4. Mandatory cost question to focus on approach

to abnormal or excluded costs5. New mandatory question on project delivery –

contractor approach to logistics of the project6. Mandatory Employment and skills question


Mini Competition 2 Differences (continued)1. Commercial return for new build elements is

different and adjusts framework tender prices2. Original tender prices include OHP and Preliminaries,

so mini competition will not call for these3. Design and pre-construction fees to be priced as

normal to include new build plus the development of the excluded, abnormal, or unknown items

4. The new build costs are then fixed at mini competition and cannot vary during pre-construction

5. The 2SOB process works as normal to work up any excluded, abnormal or unknown items


Standard Product Process panel discussion

Opportunity for questions to Keith HeardJon WilliamsEdward CurrieJamie Staples


Marketing the SCF

Syndicate Session

Jamie Staples


Development Workstreams and Hustings

Jon Williams


Development Workstreams – Hustings to Select Leads

Initial Workstreams• Handover & Aftercare• Financial Control• Pre Construction Support (Design Support / Financial Support)

Role• Organise & Lead workstream• Set Terms of reference & agree outputs• Resource & secure buy in• Produce Delivery Plan & Facilitate Role Out


SCF Manager Links to Development Workstreams

Handover/Aftercare – Jon WilliamsFinancial Control – Edward CurriePre Construction – Keith Heard


Development Workstreams – Hustings to Select Leads

Hustings 01- Handover & Aftercare• GT’s, Kier & MaceHustings 02 - Financial Control• Bam, Bouygues & Balfour BeattyHustings 03 - Pre Construction• Bam, Mace & Midas

1 minute each & cannot vote for own organisation


Additional Workstreams

• Will be agreed with Framework Account Managers periodically

• Strong desire to extend tenure of H&S Forum and broaden out


Tea


KPI’s Minimum Standards and M2i

Edward Currie


KPIs, Minimum Standards and m2i

Why do we have them?Demonstrate – successful delivery of Strategy & Objectives - measure People, Process and ProductSuccess - Shared with Clients, Contractors, Governance, Stakeholders & MarketingOutputs- Support/disprove anecdotal data and provide the basis for the continuous improvement activitiesBenchmarking - A common set being developed with NACF


SCF Approach

Core set of KPIs developed to provide early warnings & give confidence of SCF ability to deliver:

On timeOn budgetAppropriate QualitySafely.

Recognise importance of the wider benefits i.e. apprentices, and SMEs.


Minimum Standards

There are 3 zones; green – good, amber – improvement required, red – under performance.

Any contractor suspension will apply to underperformance on the SCF lot where it occurred.


Case - Immediate suspension

Contractors falling into the red zone:a) Failure to maintain Exor Goldb) Failure to provide updates on any enforcement

action to Exorc) Fatality on a single project or any HSE enforcement

action.d) Failure to provide mandatory framework apprentices

as detailed in the E&SSThe suspension will remain in place for items a. to d. until they have been rectified.


Immediate suspension – continued

e) Serious malpractice not in the spirit of the framework in respect of supply chain payment timescales.

f) Missing or incomplete data on >20% of the following reports: team performance, end user and Cost Time Benefit forms.

g) Defects Detrimental Impact at Handover or Defects Liability Period.

Action plan required for e. to g. SCF team will review project circumstances and reserve the right to immediately suspend contractors.

The suspension will remain in place until a satisfactory action plan has been approved.


Additionally

Also a case for immediate suspension if a contractor:• Accrues 2 amber warnings for a single core KPI within

a rolling 6 month period.• Accrues 4 amber warnings for any of the core KPI’s

within a rolling 6 month period.In these circumstances an Action Plan required & reviewed by the SCF Team.

The suspension will remain in place until a satisfactory action plan has been approved.SCF Management Team decision will be final.


Data collection and m2iData collection flow chart identifies how & when data is collected and scorecards are generatedSCF Contractors responsible for collecting data & obtaining client sign off Standard templates (scorecards with scoring criteria) Ensures consistent scoring Returned by you via a web based system m2iDesigned to streamline this process

Cost Time Benefit Form in the packs - refreshed to align to NRM & cost benchmarking

Please ensure that this is presented for signature by the Client at each Gateway Review meeting. Training on m2i available in Winchester , please let us know


Annual Conference Proposals

Keith Heard


Annual Conference

A conference for clients and contractorsA chance to meet and discuss issuesA chance to celebrate success

• Framework Account Manager of the year• Contractor of the year• Innovation of the year• Top KPI performer


Closing comments

Keith Heard

valued efficient collaborative 30th april 2015 scf framework launch day for: –framework management...

Documents

scf framework manager

scf contractors

scf framework launch

preconstruction phase

conversations scf

market intelligence

positive scf culture

development training