constructing excellence spring series - cdm regulations

Constructing Excellence Spring Series#ceyh2016

Wednesday 24th February 2016Addleshaw Goddard LLP

Tom OultonChair of Constructing Excellence in

Yorkshire & Humber

Martin CookDirector

Turner & Townsend© Turner & Townsend Project Management Limited. This content is for general information purposes only and does not purport to constitute professional advice. We do not make any representation or give any warranty, express or implied,

and shall not be liable for any losses or damages whatsoever, arising from reliance on information contained in this document.

It must not be made available or copied or otherwise quoted or referred to in whole or in part in any way, including orally, to any other party without our express written permission and we accept no liability of whatsoever nature for any

use by any other party.

© Turner & Townsend plc July 2014making the difference

CDM 2015 – Role of the Client

An opportunity to improve Construction Health, Safety and Wellbeing

5

Agenda

Item Topic

1 CDM 2015 – Key Changes

2 CDM 2015 – Structure

3 CDM 2015 – Client Statutory Duties

4 Client’s Role – How to Discharge Duties

5 CDM 2015 - Summary

making the difference

CDM 2015 – Key Changes

7

CDM 2015 – Key Changes

Introduces Removes

Extends Separates

■ New duty holder -

Principal Designer

■ Enhanced Client

duties

■ Scope now includes

■ Domestic Clients

■ Small Works

■ Maintenance

Works

■ CDM Coordinator

■ Competency

criteria

■ Link between HSE

notification and

statutory

appointments

■ Pre construction and

construction phases

CDM 2015


CDM 2015 – Structure

9

There are five duty holders

CDM 2015 - Structure

ContractorsDesigners

Principal Designer

Principal Contractor

Client

Desig

n R

isk

Constr

uction R

isk

Effective Risk / Performance Management

delivered through

Management Arrangements

Operation and Maintenance Risk


CDM 2015 – Client Statutory Duties

11

CDM 2015 – Statutory Duties

Client

Notification to the HSE (F10) Provision of information

Start of Construction Phase –Construction Phase Plan

Health and Safety FileManagement Arrangements

Appointment of Duty holders (Principal Designer /Principal Contractors)

The Client is viewed as the ‘controlling mind’ as their decisions and approach to CDM 2015 have a significant impact on health, safety and welfare.


Client Role – How to Discharge Duties

13

Do you have available

Competence – Internal?

■ Competence = Skills, Knowledge

and Experience



Principal Designer


Client

Desig

n R

isk

Constr

uction R

isk


delivered through



14

Do you have available Competence –

Internal vs External?

■ An external Client Advisor – Not a

Statutory Appointment

■ A Client cannot delegate

accountability only responsibility



Principal Designer


Client

Desig

n R

isk

Constr

uction R

isk


delivered through



Client Advisor

15

Statutory Appointment -

Principal Designer

■ The Principal Designer is a key

role that is fundamental to

project success

■ Competence – Skills, Knowledge

and Experience

■ They should support the Client

and work closely with the design

team to bring about good design

hazard management



Principal Designer


Client

Desig

n R

isk

Constr

uction R

isk


delivered through



16

Who can be a Principal Designer?

The definition of the Principal Designer is the ‘designer’ in control of the pre-construction

phase ……” i.e. the Principal Designer must be a “designer”.

Definition of a Designer

The definition of a Designer is ‘any person (including a client, contractor or other person

referred to in these Regulations) who in the course or furtherance of a business’ –

a) prepares or modifies a design; or

b) arranges for or instructs any person under their control to do so

Note: the definition of a designer does not require the preparation or modification of a design

– through the use of the word “or” rather than “and” it allows for the management of the

design function.

Who is the Principal Designer?

17

Project Management

Arrangements

■ The framework provided by CDM

2015 assists in the delivery of

solutions that improve project /

programme health, safety and

wellbeing, achieved through the

creation of management

arrangements and supporting

assurance process that together

will effectively control risk

(proportionally) and drive

continual improvement.



Principal Designer


Client

Desig

n R

isk

Constr

uction R

isk


delivered through



18

Project Management Arrangements

■ Effective project management

arrangements drive performance /

control risk

■ HSG65 – Delivery model utilising a

Plan, Do Check Act process

■ Project Managers – Not a statutory

CDM Appointment they will assist

you deliver your management

arrangements


CDM 2015 Delivery Model

Planning for Delivery (Plan)

Implementing the Plan (Do)

Monitoring Delivery (Check)

Continual Improvement (Act)

HSW CharterHSW Strategy / Delivery Plan

Risk Profile

Risk AssessmentMinimum Standards

Knowledge Management

Performance Measurement Performance Reporting

Performance Analysis Improvement Initiative

19


■ Consider underpinning project

management arrangements using ‘Five

enablers to success’


Leadership Expectation Knowledge Engagement Incentive

Define Exceptional

Visible and proactive management, drive and commitment.

Understanding Exceptional

Define the mission, the standards, objectives and benefits.

Ability to Deliver Exceptional

Feel empowered through increased skills & understanding of best practice

Share and discuss Exceptional

Make Safety Personal and place it on your agenda and respond to issues with positive actions & feedback

Celebrate achieving Exceptional

Inspiring commitment and embed best practice in our culture.

20



Project Management

Assurance ImprovementExecution Plan


1. Strategic HSW planning

2. HSW risk management / performance deliveryCDM 2015 Delivery Model






Risk Profile





21



Project Management

Assurance Improvement









Risk Profile

Leadership -

Project/Programme policy

objectives, vision and goals

Leadership -

Project/Programme

structure, roles and

responsibilities

Expectation -Design /

Construction Management

arrangements - Minimum

Standards

Knowledge - Competence

(Skills / Knowledge &

Experience) requirements

and training

Engagement -

Communications Plan –

Interfaces / Handover

Incentive - Assurance

process – Define KPIs,

tracking and reporting

22



Assurance Improvement










• Leadership

Visible and Proactive Advise –Risk Assessment

• Knowledge Management

Competency / Induction

Engagement

Effective Safety Discussions (Toolbox Talks)

Expectation

Minimum Standards – Design / Contractor Site HSW Management

Execution Plan

23



Improvement









Execution PlanProject Management

HSW Data Collection (Audit/Inspection)

Focus on Management Inputs (Leading Indicators)

Principal Designer / Contractor Performance

HSW Reporting

IT Enabled / Dashboard / Consistent / Transparent

Accident / Incident / Near Miss investigation

Root Cause Identification (Behaviour / System)

24











Execution PlanProject Management Assurance

HSW Data Analysis

New Initiatives / Targeted Intervention

Communication

Lessons Learnt / Knowledge Share (SharePoint)

Culture Enhancement

Behavioural Safety Campaigns

Wellbeing

Campaigns / Health Promotion

25



Project Management

Assurance ImprovementExecution Plan









Risk Profile






CDM 2015 – Summary

27

■ Client – ‘Controlling Mind’

■ A Client cannot delegate

accountability only responsibility

■ Competence – Internal or

External?

■ Appointments = Skills, Knowledge

& Experience

■ Effective management

arrangements drive performance -

‘Five enablers to success’

■ HSG65 – Delivery model utilising a

Plan, Do Check Act process

CDM 2015 - Summary


Principal Designer


Client

Desig

n R

isk

Constr

uction R

isk


delivered through



Katie MilnerAssociate

Addleshaw Goddard LLP

The Construction (Design and

Management) Regulations 2015(The CDM Regulations)

Katie Milner

30

2015 – The Main Changes from the 2007 Regulations

► Principal Designer role replaces the CDM coordinator

► The CDM 2015 further enhances the role of the client (key health and

safety responsibility on the client)

► Responsibility to notify is now on the client

31

Client Duties

► Making Suitable Arrangements

1. To ensure construction works are carried out without risk to health and

safety of any person affected by the project (ongoing obligation)

2. Site welfare requirements (toilets, facilities, drinking water etc.)

3. Appointment of Principal Designer and Principal Contractor (in writing

before the construction phase begins)

4. Notify the HSE (30 working days and more than 20 workers on site)

32

Client Duties (Cont.)

► Providing pre-construction information to every contractor and

designer

► Construction phase plan is drawn up before construction works

begin (Principal Contractor/Principal Designer)

► Ensuring H&S file prepared

► Ensuring Principal Designer and the Principal Contractor comply

with their duties

► Providing H&S file to the person acquiring the development

33

Client Duties (Cont.)

► General Duties:

1. Principal Designer/Principal Contractor must have skills, knowledge and

experience

2. Cooperation with all others

3. Reporting danger

4. Provision of information

34

Can a CDM Coordinator be appointed as a Principal

Designer?

► A client appointing a Principal Designer must take reasonable steps to

satisfy themselves that the designer has the skills, knowledge and

experience necessary to fulfil their role

► CDM coordinator not necessarily qualified as a Principal Designer

35

Issues with D&B Projects

► Client alone may appoint the Principal Designer - but what about when the design team is novated?

► Appoint a Principal Designer for the pre-construction phase then have the main contractor as Principal Designer and Principal Contractor?

► Sub-contract to a sub-consultant?

► Contractor carry out the Principal Designer role in house?

► Appointment of the Architect as Principal Designer – Risk: once novated this may contravene the Regulations as the Principal Designer would have no direct relationship with the client

36

Sentencing

► HSE will generally enforce the regulations – breaching them

is a criminal offence – prosecution under the Health and

Safety at Work Act 1974

► Directors/senior managers can be prosecuted in their

individual capacity (including prison sentences)

► Fines - criticism for leniency (new sentencing guidelines 1

February 2016)

37

New Sentencing Guidelines – 1 February 2016

► Tougher penalties on companies

► Higher fines to have a “real economic impact” on the organisation

► Individuals are also covered by the guidelines (guidance given as to the

length of custodial sentences)

► Medium sized companies: H&S offence = £1,000-£4m fine; Corporate

Manslaughter offence = £1.2m-£7.5m

► Fee for Intervention Scheme

QUESTIONS?

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Questions?

Tom OultonChair of Constructing Excellence in

Yorkshire & Humber

Constructing Excellence in Yorkshire and Humber Awards 2016

http://ckegroup.org/cexcellenceyh/ceyh-awards-2016/

[email protected]

Headline sponsor

Closing Date for entries - Friday 29th April 2016Shortlist Announced – Friday 20th May 2016Gala Awards Ceremony Evening – Friday 1st July 2016

http://ckegroup.org/cexcellenceyh/ceyh-awards-2016/

mailto:[email protected]

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constructing excellence spring series - cdm regulations

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