When World's Collide - 'The Super-Six' strategic areas between the rail and construction industries

WHEN WORLDS COLLIDE: THE INTERFACE BETWEEN RAIL
AND CONSTRUCTION INDUSTRIES
Survey Report 1
The ‘Super-Six’
Emerging strategic areas of rail/construction interface challenges

EXECUTIVE SUMMARY
Executive Summary
The rail/construction interface is traditionally seen as being hard to manage effectively. We
wanted to understand why and ran a survey in December 2017.
The rail/construction interface can be defined as ‘the formal and informal interactions between
the rail and construction industries intended to enable project execution on-or-near the
operational railway’. Therefore, we promoted the survey with rail organisations as well as
construction organisations.
The Top 3 respondents by Organisational/functional category were:
1. Specialist supplier (33%)
2. Engineer (22%)
3. Rail owner/operator/client (19%)
Architects, contractors and developers were also represented. This indicates a reasonable
spread of responses from both rail and construction industries. All responses were
examined and codified into distinct ‘themes’ or areas.
Emerging from the survey, we were able to identify the ‘Super-Six’ strategic areas that are
created by this interface. They are:
1. Leadership & collaborative behaviours
2. Technical, Safety and Operations Understanding
3. Resources
4. Requirements
5. Complexity
6. Risk
Further survey works has reviled that the Top 3 strategic areas of challenge are seen as:
1. Technical, Safety and Operations Understanding (18%)
2. Leadership & collaborative behaviours (17%)
3. Risk (17%)
When asked what should be the key focus areas to resolve these challenges, the industry
believes these are:
1. Resources (44%)
2. Leadership & collaborative behaviours (27%)
3. Complexity (6%)
The next steps for the survey is further interrogation of the data and development of a ‘rail
interface’ model. It is intended that this model can provide a bridge to understanding between
the rail and construction industries and enhance safety, collaboration and productivity.
The full survey results will be released as part of a white paper in late Q1 2018. In the meantime,
if you have any thoughts or questions on the rail/construction interface, please feel free to
contact me via LinkedIn or at enda.casey@mainguardassociates.com.
© MGA Ltd 2018. All rights reserved
07/01/18 © MGA Ltd 2018. All rights reserved 2

CONTENTS
1. Background
2. Who responded?
3. Defining the strategic areas – The Super-Six
4. Areas of challenge
5. Areas of solution
6. Interim conclusions & next steps

1.0 BACKGROUND

1.1 DEFINITIONS
 The rail industry is defined as:
railway infrastructure owners and operators (e.g. Network Rail and London Underground),
their renewals/maintenance supply chain as well as specific government bodies (e.g.
Department for Transport (DfT) and Office of Rail and Road (ORR) )
 The construction industry is defined as:
Developers, architecture practices, engineering consultants, contractors and specialist
suppliers/consultants who are involved in any planned or live project on-or-near the
operational railway.
 An interface is defined as:
Where the boundaries of two separate entities (e.g. organisations, systems or people) meet
and interact at defined points. For example, a developer planning a high-rise development
meets a rail infrastructure owner to discuss crane safety arrangements that protect the
operational railway from safety risk

1.2 DEFINITIONS
 A project is defined as:
’a unique, transient endeavour, undertaken to achieve planned objectives, which could be
defined in terms of outputs, outcomes or benefits.’ (courtesy of APM) For example, a new
bridge or IT system.
 The operational railway is defined as:
Any railway track, power system, signalling system, communications system, structural assets,
premises or land used by the rail industry to provide safe and efficient passenger and freight
train services in accordance with their regulatory licence.

 The rail/construction interface is defined as:
The formal and informal interactions between rail and construction industries
intended to enable project execution on-or-near the operational railway.
07/01/18 © MGA Ltd 2018. All rights reserved
1.3 DEFINITIONS
7

1.4 SURVEY OBJECTIVE
 The survey’s objective was to canvass both industries’ views of the rail/construction
interface.
 By gathering an evidence base from experienced professionals, the survey would:
1. Find the most challenging areas in the rail/construction interface
2. Find potential solutions to make the interface less challenging
3. Develop an ‘interface model’ that could be used by both industries to understand
their interfaces to help deliver projects safely, on time and to budget
 1 and 2 is shown in emerging form in this report.
 3 will be developed in late Q1 2018.

1.5WHY A QUALITATIVE SURVEY?
 Mainguard Associates Ltd (MGA) provides rail interface services to rail and
construction. We have worked with rail, contractor, architecture, engineering
and specialist supplier organisations.
 However, MGA recognised that a construction delivery background may have
biased our thinking on the rail/construction interface
 The qualitative survey was seen as best way to:
 Canvass widest possible perspectives from industry
 Find the strategic areas of challenge by analysing the
qualitative responses
Rail plant being used to remove construction equipment under new Over
Site Development, Gerrards Cross ~ 2010.
9

1.6 SURVEY METHODOLOGY
 Survey ran online in December 2017
 Promoted online and in person
 Open ended questions gave varying responses – which were then turned into
hard data using a coding system. See examples below.
Question Response Coding
Q4: What stresses you out the most
about rail/construction interfaces?
Respondent No 19:
Amount of red tape (processes and
approvals) for undertaking working
COMPLEXITY
Q7: As you think about where you want
to be in your project or business, why
don’t you already have it?
Respondent No 15:
we're a small player in a big market - the
shortcut would be to allow ourselves to
be bought out
RESOURCES
10

2.0WHO RESPONDED?

Q1: PLEASE SELECT WHATYOU FEEL BEST
DESCRIBESYOUR ORGANISATION
 Specialist suppliers included:
 Technical equipment suppliers
 Specialist consultants
 Engineers included:
 Design organisations
 Contractor engineering specialists
 Interesting insights:
 Rail owner/operator (e.g. clients) 3rd largest respondent
 Property developer responses also received
12
2.1

Q2: PLEASE DESCRIBEYOUR ROLE?
Seniority Level Percentage respondents
Manager 67%
Director 22%
Operational 11%
 Interesting insights:
 Engineers made up largest group (30%)
 Managers comprised greatest seniority level (67%)
13
2.2

3.0 EMERGING STRATEGIC AREAS

THE ‘SUPER-SIX’ -THE STRATEGIC AREAS
OF RAIL/CONSTRUCTION INTERFACE
 Each response to each question was put into an initial coding category (e.g.
unclear strategy, operating space, poor rail operations understanding)
 This generated 11 areas - considered too many
 The coding was revised and six strategic areas emerged – The interface ‘super-
six’.
3.1

3.1 SUPER-SIX
No Strategic area Examples from responses
1 Leadership & Collaborative Behaviours Decision making process opaque
Fragmentation within both industries
Cultural differences
Large decision making units
Resistance to change
Expectation management
Integration between rail and construction
2
Technical, Safety and Operations
Understanding
Contractor understanding of railway as a system
Rail lack of understanding of their asset conditions
Design and approvals processes not understood by rail or construction
Construction Technical, Safety and Operations Understanding
Contractor understanding of safety on rail
Contractor understanding of rail operational requirements
3
Resources
Lack of rail operational flexibility to allow possessions
Not enough time scheduled for design or construction
Not enough physical space to work near railway
Availability and quality of staff
Budget constraints
Innovative tools to aid project not used
16

3.2 SUPER-SIX (CONTINUED)
No Strategic area Examples from responses
4
Requirements
Government funding for scope changes
Scope creep impact on schedule
HMG and Local government Stakeholder interfaces
Social & Economic impacts
National, local and inter-departmental politics
5
Complexity
Regulatory environment hard work
Changes in governance process between organisations
Interfaces built in at procurement
Organisational complexity
No clear accountability
6
Risk
Poor risk management
Contractor understanding of risk on railway
Health & Safety risk management
Low probability, high consequence events
Schedule uncertainty from approvals
Cost certainty
17

4.0 CHALLENGING AREAS

Q3: WHATWOULDYOU SAY AREYOUR 3TOP
RAIL AND CONSTRUCTION INTERFACE
PROBLEMS?
 Examples:
 ‘Not enough time allowed for design phase’
 [Director, specialist supplier. Area: Resource]
 ‘Absence of understanding between the interfacing parties’
 [Managing estimator, contractor. Area: Leadership & Collaborative behaviour]
 ‘Too many interfaces for one project sometimes’
 [Consultant, specialist supplier. Area: Complexity]
4.1

Q4:WHAT STRESSESYOU OUTTHE MOST
ABOUT RAIL/CONSTRUCTION INTERFACES?
 Examples:
 ‘Over zealous constraints on working methods ’
 [Director, Architect. Area: Risk]
 ‘The inability to accurately price or programme them due
to…unpredictable outcomes of dialogue. ’
 [Director, Construction management consultancy. Area: Technical, Safety and
operations understanding]
 ‘Stakeholders with a lack of appreciation of the holistic
end game and not accepting funding (public purse)
is not a bottomless pit ’
 [Consultant, specialist supplier. Area: Requirements]
20
4.2

Q5: IFYOU FINDYOURSELFWORRYING ABOUT
RAIL/CONSTRUCTION INTERFACES, WHAT IS IT
ABOUT?
 Examples:
 ‘Accidents’
 [Temporary works manager, Contractor. Area: Risk]
 The permafrost in the middle tier of the rail industry
creates serious resistance to change, which might resolve
the budget issues ’
 [Engineering Manager, Contractor. Area: Leadership &
collaborative behaviours]
21
4.3

EMERGING CHALLENGING AREAS:TOP 3
 Last words on perceived problems:
[there is] ‘a Lack of Rail Systems awareness from civil designers, introducing
risks to operators, maintainers and customers by making oversimplifed
design decisions’
{Senior Project Manager, Rail Owner/Operator. Area: Technical, Safety
and Operations Understanding]
 Last words on perceived problems:
‘[there is an] unwillingness for parties to appreciate each others position]
[Consultant, Director, specialist supplier. Area: Leadership & collaborative behaviours]
22
4.4

5.0 SOLUTION AREAS

Q6: IFYOU COULD FIX ONLY ONETHING INYOUR
PROJECT'S RAIL/CONSTRUCTION INTERFACE,
WHATWOULDTHAT BE? ?
 Examples:
 ‘Allocation of the right resources to manage
interfaces…both skills and volume of resource ’
 [Director, Architect. Area: Resources]
 ‘A more open dialogue of the processes that each side
are trying to achieve. Openness difficult as marked by
various contractual arrangement with different
stakeholders’
[Consultant, specialist supplier. Area: Leadership &
Collaborative behaviours]
24
5.1

Q7: ASYOUTHINK ABOUTWHEREYOUWANTTO BE IN
YOUR PROJECT OR BUSINESS,WHY DON’TYOU
ALREADY HAVE IT?
 Examples:
Fixed programme/cost linked to a constantly changing
design making rail interfaces even more challenging. Don’t
have it because the client/architect/designer does not
comprehend or dismisses the consequences of indecision.
 [Director,Construction management consultancy.
Area: Leadership & Collaborative behaviours]
 ‘Poor planning / late funding [Anon, Rail Owner/Operator
Area: Resources’
25
5.2

Q8: IF COSTWASN’T A PROBLEMWHATWOULD
BETHE FIRSTTHINGYOUWOULD INVEST IN FOR
YOUR BUSINESS OR PROJECT INTERFACE?
 Examples:
 . A room big enough to accommodate the client and the
delivery team [Managing Estimator, Contractor,Area:
Resources]
 ‘Pay for a dedicated team embedded in the rail asset owner
organisation to manage their side of the interface without
external distractions. ’ [Architect,Area: Resource]
 Integration with the project team
[Architect,Area: Leadership & Collaborative behaviours]
26
5.3

EMERGING SOLUTION AREAS:TOPTHREE
SUMMARY
.
 Last word on perceived solutions
In terms of interface, each situation is different. there isn't a single
golden bullet, but a good starting point is alignment of objectives
[Director, Specialist Supplier area: Leadership & Collaborative
Behaviours]
27
5.4

6.0 INTERIM CONCLUSIONS & NEXT STEPS

 Interim Conclusion 1:
 Qualitative analysis has indicated there are 6 strategic areas to consider at the rail
and construction interface. The super-six are:
1. Leadership & Collaborative Behaviours
3. Resources
4. Requirements
5. Complexity
6. Risk
29

 The Top Three strategic areas of challenge are:
3. Risk
Technical, Safety and
Operations Understanding
Leadership & Collaborative
behaviours
Risk
30

 Industry regardsTheTopThree emerging solution areas are:
1. Resources
3. Complexity
Behaviours
Resources
Complexity
31

Behaviours
Resources
Complexity
Technical, Safety and
Operations Understanding
behaviours
Risk
32
 Next steps are:
1. Refine and complete analysis
2. Refine and test ‘interface model’
3. Publish whitepaper, Q1 2018.

THANK YOU
Contact details:
Enda Casey
enda.casey@mainguardassociates.com
+44 (0) 7852 234 604
www.mainguardassociates.com

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