Presentation by Terry Stocks at the 2018 Construction Mobile IT Conference 'Digital Construction: Lighting the Way' at the Hallam Conference Centre, London on 24th and 25th May 2018. More information at http://www.comit.org.uk/cconference-2018

1. Transforming Infrastructure
Performance
T. Stocks
Faithful+Gould

2. • Setting the scene – Importance of Construction
• Continued push for productivity
• Central Government – IPA, Championing Productivity and
Value Add
• TIP / TIES Programmes
• Summary
Agenda:

3. Importance of UK Construction

4. Constant search for improvement
1934 1944 1994 1998 2015
Since 1934 70+ reports have been issued on UK construction efficiency
1964 1967 2013 2016

5. • 1934. Alfred Bossom’s ‘Reaching for the Skies’, first
major criticisms of the standard of performance of the
UK construction industry.
• 1944. Simon Report was commissioned to investigate
how the placing and management of contracts could
improve the efficiency of the construction industry.
• 1967. Potts report, was intended to try to implement
some of the findings of the 1964 Banwell Report - Potts
Report failed to gain traction. Instead practice continued
to be dominated by the industry.
Previous Reports – Familiar Words
• 1964. Banwell Report was commissioned to
investigate team relationships within construction
contracts and the traditional separation between
design and construction.

6. Opportunity For Growth
RLB – Ann Bentley

7. Infrastructure and Projects Authority (IPA)
• IPA – ‘Leading the charge’ for better project planning, delivery, operations AND Value
Add
• Government Construction Strategy 2016-20 being refreshed, to include:
• Support of ‘off site by default’, BIM L2 to BAU, increased digitisation
• Authors of the TIP – Pressing focus for improved return on £ spent at project and wider
‘system’ level.
• Call for UK construction industry to increasingly engage with digital and developing
initiatives.
• Government spend c£60bn /pa on construction. Therefore looking to raise public
sector client ‘skill sets’ further in delivery and planning to support industry increase
returns
• Industrial Strategy focus on 5 foundations of – Innovation, People, Infrastructure, Places and Business Environment
• Industrial Strategy supporting sector deals initiative – CLC agreed construction sector deal
• The Deal focus – Procuring for Value, Industry led innovation, Skills for the future, Exports and international

8. TIP & TIES Introduction

10. Key Points
• IPA taking a leading role in project delivery and operational efficiency. Acknowledging
pressures on construction sector skills and innovation.
• TIP has a 10 year horizon – With phased delivery targets.
• Embraces future technology and the impact of digitisation and growth of city regions. Support a confidence in
industry to invest in more efficient methods of construction.
• Change the way we plan and deliver infrastructure. Focus on whole life performance.
• Significance of Government and Industry working together.
• Close working with the DoT Transport Infrastructure Efficiency Strategy (TIES,) Construction Sector Deal and
National Infrastructure Commission’s studies.
• The TIP programme has a focus on increasing the effectiveness of investment in infrastructure – Social and
Economic Infrastructure.
Transforming Infrastructure Performance Programme

11. 3 Core Issues
1. Prioritising investment in the right projects
2. Improving productivity in delivery
3. Maximising the overall benefits of infrastructure investment
4 Key Activities
1. Setting up projects for success
2. Creating market confidence
3. Building delivery capability in government
4. Measuring and improving performance
TIP
4 Key Areas
1. Benchmarking for better performance
2. Alignment and integration
3. Procurement for growth
4. Smarter infrastructure
Strong Foundations and Coherent Plan

12. Steps from Efficiency to Performance (TIP Programme)
Capital efficiency
of projects
Capital efficiency
of programmes
Whole life asset
performance
Whole life system
performance
2017 Transforming Infrastructure Performance (TIP)
2010 Infrastructure Cost review
Source IPA
Maturity

13. TIP Programme Four Key Areas

14. Benchmarking
for better
performance
• Building up a detailed data set of cross sector indicators for the delivery and
performance of infrastructure.
• Using performance benchmarks to drive business case expected outcomes
• Allow Treasury to constructively challenge business case's use of benchmarks
• Using evidenced benchmarks to help de-risk performance projections
• Coordinate with TIES programme – Benchmarking

15. System
Network
Asset
Project
Productivity, growth, low carbon,
Industrial Strategy & NIC objectives
High performing networks – capacity,
resilience, availability, interconnected
Asset performance, benefit delivery,
availability, sustainability, resilience,
technology enabled
Save of time, on budget, low carbon
UK GVA, jobs & apprentices, SME
proportion, carbon intensity
Customer satisfaction, network
performance, availability and resilience
Whole life cost & carbon, benefit
delivery, availability, resilience, user
satisfaction
Cost, schedule, quality, health & safety,
skills, supplier performance, carbon
Objectives Measures
Source IPA
Deep Measure Benchmarks:

16. Alignment and
integration
System
Network
Asset
Project
Policy Operation
Delivery
Investment lifecycle
Alignment Performance Data
Source IPA

17. Procurement
and growth
• Desired outcomes are considered, weighted and set at the beginning of the
investment cycle.
• Procurement is a critical phase and must consider different contracting strategies.
• Smarter commercial relationships between clients and their supply chains.
• Collaboration to support improved outcomes, boost productivity of the industry
and deliver better infrastructure.
• Create environments to deliver aspirations

18. Smarter
infrastructure
• Technology and innovation – a Hugh opportunity to unlock productivity
• Increased move towards manufacture can help deflect skills and work force
impacts.
• Manufacturing can support a wider delivery of benefits in contrast to traditional
construction.
• Modern Methods of Construction (MMC) increasing social benefits – Creating
regional and more diverse and flexible job opportunities, reducing impacts on ‘live’
environments.
• Technology and innovation can have a great impact on existing assets – increasing
capacity, improving reliability and improving maintenance.

19. Volumetric Manufactured
Traditional Components
Standard Solution,
Standard Process
Efficiency 20%
Bespoke Solution,
Standard Process
Efficiency 40%
Bespoke Solution,
Bespoke Process
Efficiency 0%
Standard Solution,
Bespoke Process
Efficiency 10%
LOW High
LOWHigh
Proportion of projects using
modern methods of construction
Source – Bryden Wood
Smart Construction

21. 21

22. Summary
• UK Government – IPA, Dept of Transport, Dept BEIS and others working to deliver better infrastructure with
better ‘system wide’ benefits.
• TIP and TIES programmes are key initiatives that support wider policy and programme commitments.
• Focus on new technology and New Methods of Construction to diversity and maximise outcomes of current
and new assets.
• Holistic view for decision making – TOTEX and wider System benefits (cross sector)
• Challenge for Government Departments and Industry - Setting and delivering to consistent outcomes.
• BIM Level 2 is still here – Still very much the foundation and spring board.

23. Thank You
Terry Stocks