Reasons to be cheerful … Nr One

It’s hard to avoid the ‘Keep Calm And Carry On’ slogans, but as I heard some very encouraging noises emanating from the Government Strategy Implementation Procurement Working Group, my instinct was ‘keep calm …everything will carry on as normal!’

Nick Pollard is Chair of the Cabinet Office Efficiency & Reform Task Group and was presenting at CIRIA’s Transforming the construction sector – what does lean offer?

Nick was keeping calm; indeed the opening gambit was ‘evolution not revolution‘… However I feel I want to SHOUT about it; this really does give reason to be cheerful.

Read the next bit carefully, it’s fundamental to what a significant change is on the horizon …

It would appear that there is some very productive work going on inside Whitehall. Work that is being done by a select group of individuals that understand construction and that have learnt from the past. Now I don’t want to get too carried away with hyperbole, but I was really buzzing with much of what Nick presented. Not least the statement, and it’s only a statement in a presentation, that the working groups have “understood what drives the adversarial behaviours” in construction to develop appropriate solutions.

Nick outlined three new models of procurement that are being trialled

  1. Cost-led
  2. Integrated project insurance
  3. Two-stage open book

These models are supported by three forms of contract NEC Option C; PPC 2000 and JCT Constructing Excellence .
As well as supporting principles such as:

  • ‘thou shalt not amend the Standard Forms’
  • No retention / LAD’s etc
  • Client leadership
  • Effective supply chain management

This particular blog is not the place to provide in depth analysis on these models; however the Initiative Update issued on 29th November 2011 provides some insight to the progress made as well as the Interim Report issued in January 2012.  The final report to be issued later this year.

My only questions are

  • why haven’t heard more about this already?
  • And when will the rest of the industry hear about it?