Comment: An alliance for progress

29/05/2018 |

Following our reporting on Project 13 (P13) earlier this month, Dave Beddell, Europe sector leader for Highways at AECOM, surveys the landscape and discusses the importance of greater collaboration and new forms of working in the infrastructure sector.

As industry seeks to bridge the infrastructure gap, delivery of many critical assets is still falling short. Organisations from across the spectrum of clients and supply chain are in agreement that the current operating model requires urgent review to ensure it is fit-for-purpose for what is an unprecedented period of investment.

Frequent failure to hit targets for cost, schedule and output have made infrastructure and construction poor performers in today’s economic landscape. In response, the Institution of Civil Engineers (ICE) recently launched P13 (see Highways June), with the intention of tackling this issue. Drawing heavily on the experience of regulated utilities in delivering both projects and programmes, P13 aims to overcome the series of disparate relationships between owners and suppliers that have a direct effect on both productivity and performance.

AECOM's Dave Beddell

The recommendations of P13 focus primarily on behavioural and cultural change, with collaboration and enterprise being at the heart of its ethos.

This encourages a move away from the procurement of infrastructure as a series of individual schemes each procured independently. It promotes the creation of organisations that integrate the core functions of infrastructure owners with the capabilities of their advisors and suppliers. These organisations will seek to deliver the owners’ outcomes through the management of a shared enterprise that can evolve over time from a simple collaboration into a high performing enterprise.

Underlining this sentiment is AECOM’s recently published Future of Infrastructure report, which found that there is a clear desire among infrastructure organisations for better collaboration and problem sharing. This includes a desire to work with other stakeholders, to learn from the industry’s successes and failures, and to take inspiration from elsewhere. In fact, 72% of those interviewed feel that most projects are a long way from achieving seamless integration and this must change sooner rather than later. As an industry, are we doing enough through delivery processes to ensure we meet customer needs and provide value for money? The short answer is no and we think a different, more collaborative approach, supported by the application of innovative digital tools could be the key.

A move towards improved collaboration has certainly been a long time coming. After all, collaboration has been a watchword in the construction industry ever since the 1990s, when two government reports (Constructing the Team, led by Sir Michael Latham and Rethinking Construction, led by Sir John Egan) called for an end to the confrontational stance between clients and their contractors. However, that was nearly three decades ago – have we really progressed from that? While progress has been slow in some industries, other infrastructure operators have benefited from this approach, the water industry’s Asset Management Plan (AMP) frameworks being the pre-eminent example.

A decade ago, the West Coast Route Modernisation, Europe’s largest wholesale rail renewal scheme, was an attempt to introduce a more joined-up approach. However there was debate over whether the project provided value for money and this meant that interest in new ways of working suffered somewhat. Yet interest in the idea of collaboration has become more mainstream in recent years, partly driven by Sir Roy McNulty’s ‘value for money’ report in 2011 (Realising the Potential of GB Rail). The report called for greater efficiency, and links to the public sector’s wider appetite for lean working.

AECOM’s involvement in partnerships such as the Midlands Highways Alliance (MHA) has provided insights into how effective the alliance model can be in the highways sector. Formed in 2007, the MHA was the first partnership of its kind in the UK. The alliance has created opportunities for local authorities to collaborate in order to reduce costs and generate efficiency improvements in the delivery of highway services, as well as share best practices.

For major infrastructure providers and network operators, contracting models that offer joint responsibility for performance between the client, contractor, design consultant and supply chain, along with shared risk and reward, are seen to offer a better deal. But it’s important to remember that these are long-term improvement projects, not quick fixes.

Building trust is a crucial part of establishing that momentum, and this can take time when bringing several organisations together. Success is hugely dependant on behaviours, so team members need to be chosen wisely. For example, some contractors may feel uncomfortable sitting side-by-side with a designer, where the ability to influence outputs through a more conventional hierarchical relationship is diluted. Team members may well have a part to play for the next 10 years. Once established, collaboration must be built into the operating model. We’re all incentivised to get better, and this drives behaviours. No individual partner can improve at the cost of another. It has to be a win for all.

The positive behaviours engendered by the alliance approach can help the whole industry work more efficiently. In fact, understanding one another’s needs is a key cornerstone of effective collaboration. The contractual relationship alone will not drive the desired outputs if the behaviours are fundamentally misaligned or skewed too heavily in one direction. Positivity can bring its own challenges too. It’s typical during the early stages that things may not always be working efficiently because the partners are trying hard to avoid conflict. Teams have to be mature enough to have the difficult conversations. Rigorous processes are crucial. Robust document control and change management, with regular reporting and sensible, stretch key performance indicators are all essential. These provide evidence of decision making and provide clarity about progress.

Governance is a key focus of P13, which encourages the need to establish systems of governance that can maximise value to customers and stakeholders rather than minimise initial capital costs. Integrated, co-located teams mean that assurance and checking has to be tightly run, particularly when it comes to signatory authorities for critical engineering designs. Impartiality has to be maintained and the right people need to be in the right roles.

This poses the question - can governance ever be a problem? After all, alliance managers are servants of two masters — their client and their own parent organisation. Where the alliance is working well, this is not an issue. Efficiencies must be delivered year-on-year, but for many organisations, this long-term commitment is good. The cost of entry, however, can be high. The bidding process can take 12 months, with extensive documentation, interviews and workshops. That’s a lot of overhead to absorb. But the benefits of being a part of the alliance are worth it.

Equally important is establishing a shared understanding of how digital technologies will transform organisations managing infrastructure networks, which was encouraged in P13. A consistent and appropriate digital thread of information that ensures asset data is passed between the phases of the project life cycle will be key. In addition, enhanced and automated value engineering will be required to create a more buildable and operable asset. Virtual reality is a prime example. It has the potential to merge separate delivery phases by offering an interactive and easily accessible digital design model – saving both time and costs. Digital engineering techniques - including automated design tools and the use of asset intelligence and machine learning – will replace repetitive manual tasks and can provide a more consistent and reliable outcome. These enable new techniques such as modular construction and the use of robotics.

Looking ahead, a number of regional alliances from both the highways and rail sectors around the UK could each be given a volume of projects to develop and deliver, bringing certainty to the supply chain and predictable, value-for-money completion for clients. After all, it is a situation that’s good for everyone — with the customers of these essential transportation networks the ultimate winners, benefiting from an efficient, well-maintained infrastructure.

Highways InProfile

latest magazine issue
Highways jobs

Project Lead - Bridges and Structures WMF3037e

£45,718 to £46,731
We are currently seeking to recruit a Project Lead to join our Bridges and Structures team Kendal, Cumbria
Recruiter: Westmorland and Furness Council

Traffic Management Technician - WMF3040e

£27,711 - £28,624
Are you an organised and motivated individual who wants to make a difference to how our roads are managed? Cumbria / Various
Recruiter: Westmorland and Furness Council

Traffic Management Officer - WMF2114e

£37,035 - £37,938
Are you an experienced and motivated professional looking to take the next step in your traffic management career? Cumbria / Various
Recruiter: Westmorland and Furness Council

Senior Transport Planner

£47,532 - £50,574
Royal Greenwich is a borough synonymous with first class modern services Greenwich, London (Greater)
Recruiter: Royal Borough of Greenwich

Technician - Highway Inspector

Grade 8 £28,797 - £30,708 per annum (Pay Award Pending)
Within the Highways Maintenance Team we are looking for an enthusiastic, customer focused and experienced person to join the Service Derbyshire
Recruiter: Derbyshire County Council

Project Delivery Senior Team Leader

£74,480 - £85,964
Are you an experienced Chartered Civil Engineer (or equivalent professional qualification) Glasgow City
Recruiter: Transport Scotland

Assistant Traffic Management Technician - WMF2104e

£25,584 - £25,992
Westmorland and Furness Council is seeking an organised and enthusiastic individual to join our South Lakeland team Kendal, Cumbria
Recruiter: Westmorland and Furness Council

Bulky Operative

£25,584.00 - £27,269.00, Grade 5, 37 hours, Permanent.
An opportunity exists in the Council’s Street Scene Services for a Bulky Operative Wakefield, West Yorkshire
Recruiter: Wakefield Council

Project Delivery Team Leader

£57,710 - £71,842
Are you an experienced Chartered Civil Engineer (or equivalent professional qualification). Glasgow City
Recruiter: Transport Scotland

Traffic Management Officer - WMF2102e

£37,035 - £37,938
This is a key role supporting the delivery a wide range of traffic and road safety schemes. Kendal, Cumbria
Recruiter: Westmorland and Furness Council

Shared Service Manager (Waste) North Herts Council

£52000 - £61000 per annum
Shared Service Manager (Waste) North Herts CouncilNorth Herts CouncilPermanent, Full Time£52,866 - £61,866 per annum, plus car allowance (pay award pe England, Hertfordshire, Letchworth Garden City
Recruiter: Essex County Council

Traffic Management Officer - WMF2102e

£37,035 - £37,938
This is a key role supporting the delivery a wide range of traffic and road safety schemes. Kendal, Cumbria
Recruiter: Westmorland and Furness Council

Assistant Traffic Management Technician - WMF2104e

£25,584 - £25,992
This is a key support role, helping to deliver a wide range of traffic and road safety schemes across South Lakeland. Kendal, Cumbria
Recruiter: Westmorland and Furness Council

Flood Risk Engineering and Strategy Officer

£49,764 - £55,623
In line with our One Coventry Values, we want to ensure that our communities are represented across our workforce Coventry, West Midlands
Recruiter: Coventry City Council

Senior Integrated Transport Officer

£34,324 - £37,529
Are you an experienced transport planning professional ready to influence strategic policy and drive real change Matlock, Derbyshire
Recruiter: Derbyshire County Council

Roadworker Trainee LGV Driver (3 Posts)

Grade 6 £25,183 - £25,638 per annum (Pay award pending)
We’re looking for Roadworker/trainee LGV drivers to be part of our team undertaking major highway, bridge and related construction and reconstruction Derbyshire
Recruiter: Derbyshire County Council

Engineer

£44,430 - £51,663
This post is within the Highways Design and Delivery Team. London (Greater)
Recruiter: Tower Hamlets London Borough Council

Civil Enforcement Officer - WMF3013e

£27,711 -£28,624
Are you seeking an active and challenging role, part of a friendly and welcoming team? Cumbria / Various
Recruiter: Westmorland and Furness Council

UGO Bus Driver

Up to £25081.00 per annum
UGO Bus DriverPermanent, Part TimeUp to £25,081 per annum (full time equivalent)Location
Recruiter: Essex County Council

Head of Highways Operations

Salary
Somerset Council
Recruiter: Somerset Council
SUBSCRIBE NOW

Latest Video

Subscribe to Highways today to ensure you keep your finger on the pulse of everything happening in the UK road network throughout the year.

SUBSCRIBE NOW