Consolidating for Growth

This is a personal reflection on a recent visit to Byrne Group’s Consolidation Centre. ImageI first came across the principle of a consolidation centre when I was working at BAA on Terminal 5. The consolidation centre was the solution to the problem of getting everything needed for construction and mobilisation on to the restricted T5 site.  Rather than every supplier face the gauntlet of the bottleneck at the entrance to the site, a centre was created nearby where all suppliers dropped of their consignments for consolidating into full loads.
The principles and benefits are well captured in the following articles:
The principle has been developed and separate logistic companies have endeavoured to replicate the operation in London and elsewhere.  I recently became aware that the Byrne Group had also adapted the principle for their purposes. It is promoted on on their website and has received recognition in the form of the “Best Practice in Management category at the Plant Services magazine 2010 Best Practice Awards”. Further information is available

  1. On Byrne Group website
  2. On COINS website
Why don’t more construction companies develop such an approach? This is more rhetorical question and probably a good dissertation topic for one of my students. What was clearly evident to me is that the Byrne Group fully appreciate where value is added in their value chain.  This has enabled them to focus on what is important in creating an efficient and effective operation. Rather than focus on developing their expertise in sub-contract management, their competence is based around effective operational management.
How many other construction companies can say that?
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