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Page 1: Forming consortia

Together we are strong

Consortia

Low Carbon

t: @fairsnapemartin brown e: [email protected]

advocate for improvement and innovation in the built environment

iBE Partnership

SLIDES available here http://slidesha.re/eJaMVs

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Today’s Client

• Biggest Budget Deficit - £167b• Collaborative Procurement Hubs• Opportunity to make significant savings that

don’t cut into front line services• Local and Low Carbon agendas• Regional Procurement Frameworks

– Financial Threshold– Large Geographical Area– Variety of Public Sector Clients & Projects

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Today’s Frameworks

• Increased Customer/Stakeholder Satisfaction• Long Term Supply Chain• Savings in Capital & Whole Life Costs• Procurement Efficiencies• Client Flexibility in Selecting Constructors

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Tomorrow’s Frameworks

• What next after frameworks?• More frameworks done better• Construction Hubs

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Routes to Frameworks

• Route 1 – Go Direct– Threshold Turnover too high

– Geographical Area

– Diversity of Services

• Route 2 – Join the Supply Chain of a Major– Competing on Lowest Costs / Squeezed Profit Margin

– Delayed Payments

– Lack of Contact with the Client

• Route 3 – Form a Consortium– Additional Procurement Route to Frameworks

– Overcome Financial Threshold

– Diversity of Scope

– Control of your Own Destiny

– Retain YOUR Identity

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Consortium attractive to Client

• Lower Overhead and Management Costs• Personal Service• Adapt Quickly to:

– Client Needs– Technologies– Techniques

• Local Direct Labour• Lower Carbon Footprint• Keeping the £ Local

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Types of Consortia

• Supply Chain• Horizontal• 3 Dimensional• Adaptable for

– Any Size of Opportunity– Capital & Revenue– No Constructor too small or too large

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Supply Chain Consortia

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Horizontal Consortia

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Forming a Consortia

• Chemistry• Leadership & Values• Geography

• Complimentary Expertise & Experience• Lead Organisation• Creating a Brand

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• Contractual collaborations

• Joint ventures (limited companies)

• Legal partnerships•Partnerships •Limited liability partnerships (‘LLPs’)

Forming a Consortia

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Bidding for Work

• Coherent Submission– From each of the Members– Combined Experience & Expertise– Sharing the “Burden of Tendering”

• Demonstration – Not Just coming together to hit Financial Threshold– Unity, Values & Culture – Opportunity to Raise Standards

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Being a Consortia

• From League Two to the Premiership

• Training and Development of New Skills

• Integration– Common Systems & Processes– Synergy– Learn from One Another & Sharing Best Practice

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Martin Brownfairsnape

07776 234702

[email protected]

@fairsnape

Vassos ChrysostomouiBE Partnership

07776 234702

[email protected]


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