Procurement Update – The key to transforming construction

Constructing Excellence

As those of you involved in our procurement group will know there is so much activity in this space.  With the Procuring for Value tool being developed through the Construction Innovation Hub, there has never been more focus on the Constructing Excellence vision of ‘clients procuring for long-term value’.

As Constructing Excellence we are right at the heart of that agenda.  As we move forward with the Transforming Construction agenda it is increasingly obvious that procurement and taking a long term view of value is one of the most important factors in stimulating innovation and the uptake of digital and manufacturing based approaches.

Our procurement group is not only inputting into the Procuring for Value tool, we’ll be at Digital Construction Week supporting the Construction Innovation Hub in their analysis, but there are many opportunities for our members to engage in this.

We’ve also got some brilliant examples from our demonstration projects, from the Cabinet Office Trial projects, from our awards and from our members, that demonstrate how taking a different approach to procurement can unlock better project performance and better outcomes for clients.

Our panel session at UK Construction Work – Breaking the Mould Procuring for Social, Economic and Environmental Value, chaired by Alison Nicholl.  Huda As’ad from Infrastructure and Projects Authority spoke about her desire to really start procuring on value and removing the reliance on cost-based procurement.  Rebecca Rees from Trowers & Hamlins spoke about the work she is doing to deliver value into contracts and compliant procurement mechanisms that look at value over price.  Louise Lado-Byrne from IP Initiatives spoke about the work they are doing to drive value and better outcomes through Insurance Backed Alliancing.  Sean McNabb from Competitions & Market Authority spoke about the work they are doing to tackle cartels and illegal procurement behaviour, reassuringly for the Procuring for Value agenda removing cost-based procurement is viewed as an important step in overcoming some of the poor practices Sean and the team are tackling.

Our procurement group next meets on 14 November and we would encourage you to identify some key people from your organisations to join that group to look at how we can collectively add value.  We’re also working with David Mosey at Kings College to bring an enlightening session on ‘Collaborating to manage risk and delivery’ with the Association of Consultant Architects on 1 November We’re collaborating with BRE on Responsible & Ethical Leadership for Global Supply Chains on 6 November.