Procurement & Integration

A successful procurement policy requires ethical sourcing, enables best value to be achieved and encourages the early involvement of the supply chain. An integrated project team works together to achieve the best possible solution in terms of design, buildability, environmental performance and sustainable development

• Procurement decisions will be transparent, made on best value rather
  than lower cost, use evaluation criteria and where appropriate, specialist
  advisors, whilst encouraging the contribution of smaller organisations
• All members of the construction team will be identified and involved at an
  early stage, particularly during the design process and encouraged to
  work collaboratively
• Supply chain partners will be required to demonstrate their competency,
  their commitment to integrated working, innovation, sustainability and to
  a culture of trust and transparency
• To ensure effective and equitable cashflow for all those involved, all
  contracts will incorporate fair payment practices, such as payment
  periods of 30 days, no unfair withholding of retentions, project bank
  accounts, where practicable and cost effective and will include
  mechanisms to encourage defects-free construction
• The duties of each project team member will be identified and shared at
  the outset of the project and appropriate insurance policies, such as
  project insurance, put in place
• Risks will be clearly identified, financially quantified and allocated in line
  with each party’s ownership and ability to manage the risk
• All contracts will have an informal and nonconfrontational mechanism to
  manage-out disputes
• The employment practices of all organisations, including sub-contractors
  and the self-employed, will be scrutinised by the client and the supply
  chain to avoid abuses

2012 target

Different parts of the industry – clients, consultants, main contractors, specialist contractors*, and product manufacturers and suppliers – to be engaged in supply chains on 30% of construction projects and for 40% of their work to be conducted through integrated project teams

*These targets do not apply to those specialist contractors not involved in M&E work. For them the target is to establish by 2012 a mechanism for measuring integration in their sector