UKAEA - IPD Clients Advisor and Integrator Proposal

CLIENTS ADVISOR AND INTEGRATOR

ENABLING THE RIGHT ENVIRONMENT

ENSURING THE RIGHT GOVERNANCE

5 July 2024

Working outline – for discussion

Executive summary

The UK Atomic Energy Authority (UKAEA) is embarking on the design and procurement of a fusion power station called the Spherical Tokamak for Energy Production (STEP). The STEP project is an ambitious initiative aimed at producing net electricity from fusion by 2040. The project will not only focus on energy generation but also demonstrate maintenance capabilities and fuel production.

STEP is an ambitious project that will demonstrate the ability to generate net energy from fusion. It also aims to demonstrate how the powerplant can be maintained through its operational life and produce its own fuel.

Integrated Project Delivery (IPD) specialises in working with organisations that own, develop, deliver, manage and/or operate complex capital assets in the built environment and resources sectors worldwide.

We embrace a programme and project delivery approach that integrates people, systems, business structures and practices into a process that collaboratively harnesses the talents and insights of all participants to optimise project results, increase value, reduce waste, and maximise efficiency. We focus on ‘Safety First’ and ‘Best for Project’ during the initiation and delivery of these type of complex infrastructure projects.

IPD teams outperform expectations and provide services that consistently deliver returns on investment better than 20:1.

By getting involved at the project initiation we can facilitate in the building and enabling the right environment for project success and ensuring the right governance structures are utilised in a collaborative integrated delivery with robust trust and verification of an integrated contract control process.

There is a potential opportunity to save twenty pence in every pound yet to be spent with a robust process administered by competent and experienced industry professionals.

On the following pages we outline our business, our approach and why it works, and our proposal for supporting on this project.

Above all, we would focus on helping the existing team work more efficiently by doing things differently to meet deadlines as economically as possible, using our experience on international mega-projects of major significance in the energy sector.

Unlike the major ‘blue chip’ consultancies IPD are genuinely independent, we accept that there are times when clients need more advice, or less, and we measure if we are adding value or not, meaning we adjust our workloads accordingly.

We combine high-level expertise with strong ethical standards that provides genuinely value adding advice and experienced project delivery professionals.

Key areas of focus

IPD has identified a number of key strategic areas with reference to the delivery of STEP:

• Leading-edge approach to safety, with a zero-harm culture and no fatalities.

• Maximise local and national employment.

• Workforce engagement for sustainable long-term delivery.

• Quality as a standard delivered on a par with safety ‘Quality Circles’.

• NEC 4 delivery and operating expertise.

• Developing a high integrity, high performance, and transparent culture.

• Supply chain configuration, understanding the value streams.

• Programme / Schedule review including structure and reliability.

• Lean Production / Production Control.

• Speed up construction and minimise disruption.

• Provide and demonstrate value for money.

• Build brand / reputation enhancement for UKAEA and its supply chain.

• An efficient and effective delivery team –‘Right First Time’.

• Integrated and collaborative approach –‘One Team’.

• Define principles, behaviours and objectives for integrated delivery.

• Measure personal, and project performance through the MeetingQuality platform

• Lean, fit-for-purpose delivery processes.

• Enable design and production in parallel with site preparation.

• Off-site manufacturing technologiesDfMA and MMC, to minimise wastage and inefficiency.

• Digital techniques deployed at all phases of design and construction.

• Deliver better, more certain results during the construction and operation of assets. Central to success is setting the bar at the correct level so that the delivery agreements reflect contractually the ‘do it differently’ approach and set the correct expectations both internally and externally.

• Creating an environment in which multilateral agreements are formed with shared risk and rewards promotes innovation and sharing of ideas.

• Integrated design, procurement and delivery, which can elevate supply chain to delivery partner level with outputs delivered to match Client requirements.

• By defining business and project objectives we can then consider and influence the environment, behavioural styles, team dynamics and collaborative leadership, which means we can clearly define the requirements for the production system design that ultimately links to overall production system control.

• Doing it differently needs to be the same for everyone. It focuses on performance not failure; it focuses on people in teams before companies; it focuses on principles before positions.

IPD will provide a mixture of thought leadership and a range of services:

• We use our expertise to mobilise our clients’ existing resource to successfully deliver differently and add significant value. Unlike larger national and multi-national consulting companies, we provide leadership and experienced practitioners, not volume-based consulting.

• We provide strategic resource to lead, and to help to define and design systems, processes, and procedures for existing, larger, national and multi-national, multi-disciplined, resource-based incumbent consultants.

• We ensure that there is a robust data management strategy and integrated digital platform to facilitate an integrated production system that allows cost effective, value-adding passive data collection for performance improvement and cost verification, particularly in the NEC collaborative environment.

• We partner with existing teams or trusted specialist professional consultancies to enhance delivery of complex solutions while maintaining a single point of contact for the Client. We are experts in implementing integrated production systems on megaprojects – designed to deliver maximum Client value with lowest costs.

In all of our engagements, our professional, collaborative, and inclusive management style promotes effective and trusting working relationships.

About IPD 2

An Introduction

Integrated Project Delivery LLP (IPD) (trading as IPD Ltd) embraces a programme and project delivery approach that integrates people, systems, business structures and practices into a process that collaboratively harnesses the talents and insights of all participants to optimise project results, increase value, reduce waste and maximise efficiency.

We strongly believe that the current way of delivering construction projects is not sufficiently focused on the Client’s interest and instead we offer an approach that brings together teams that outperform expectations and services that consistently deliver returns on investment better than 20:1.

We work primarily with organisations that own, develop, deliver, manage and/or operate complex capital assets in the built environment and resources sectors.

We are advocates for the early engagement of integrated delivery teams through a collective construction knowledge base, offering a better, more rigorous analysis, and ultimately better delivery. The model is also used in a project turnaround or reset scenario to ensure a focus on the areas that deliver the greatest Client value.

IPD is one of the few examples of companies with international recognition and experience

offering Clients a full integration, definition and development service, with the ability to select the best platforms on the market for implementation and experience across a wide range of sectors.

We join teams at programme inception to help shape projects for success, or during execution when challenges become apparent.

We invest time listening to Clients and understanding their businesses, projects, and aspirations as well as the challenges they are facing and the opportunities they could exploit.

We readily partner with existing teams or trusted specialist professional consultancies to enhance delivery of complex solutions while maintaining a single point of contact for the Client.

Above all, we support our Client’s in maintaining control of key aspects of their project – from cost, programme and delivery to quality, safety and operations.

IPD undertake a range of roles, often starting in one and migrating to another as the project evolves as required by the situation.

As a Key Advisor, IPD enables efficiencies across Key Suppliers, regularly sitting as part of the Client’s core leadership team or at the round table Integrated Client Team (ICT) forum.

We support Clients in three different ways in different project configurations:

1 Guidance

We support Clients in three different ways:

1 Guidance

An overview role with day-to-day steering

An overview role with day-to-day steering

2 Hands-on

2 Hands-on

We become part of the Client’s team(s) to drive a better outcome

We become part of the Client’s team(s) to drive a better outcome

3 Turn-key

3 Turn-key

We stand in the Client’s shoes having agreed parameters up front

We stand in the Client’s shoes having agreed parameters up front

How we are different

IPD brings together selected, highly proficient industry professionals that have moved to consulting from contracting, in all contract forms, in both the public and private sector. For each project, we select individuals or groups of industry professionals from our 50-strong team of collaborators who each bring expert technical skills, commercial acumen and firsthand knowledge of project set up, governance, development, delivery and management.

Our management services cover the whole project process: from inception to completion. We treat each project as a unique challenge and we ensure that we maintain momentum with agility, which we see as two of the key attributes to project success. IPD helps Clients maintain control of every aspect of their project – safety, quality, cost, programme and delivery.

Figure 1: How IPD supports Clients

Our people

IPD personnel have proven technical and commercial acumen. As our CVs demonstrate, we are practitioners not theorists.

Our Partners and Associates have the business experience and real-world perspective necessary to align projects with Clients’ long-term goals:

• We provide an overview and guidance service to ensure that the Client’s strategic goals are at the fore.

• We provide leadership and hands-on support – we immerse ourselves in the project and the team to drive a better outcome for our Clients.

• Our professional, collaborative, and inclusive management style promotes effective working relationships between all parties.

We work end-to-end, with expertise in implementing integrated production systems and associated skillsets:

• Leadership, mentoring and governance.

• Business case and strategy.

• Development and configuration of logistics strategies.

• Peer review services for commercial and scheduling.

• Commercially focussed design management and design for manufacture and assembly (DfMA).

• Schedule analysis, management, and improvement.

• Logistics review and overall configuration.

• Construction engineering – including management of permanent works design to facilitate temporary construction requirements.

• Production – including management and improvement, lean production, and linked logistics strategies.

• Procurement and supply chain – including purchasing and managing best value.

• Commercial and contractual – including contract strategy, driving best value and dispute resolution.

All our Senior Partners have over thirty years’ experience in frameworks, contracting and specialist contracting. Associates have between ten- and twenty-years’ experience with similar backgrounds and, regardless of discipline, have core project management skills; we recognise that a solid foundation here is critical for effecting positive change.

IPD Partners and Associates have extensive, front-line experience of applying these techniques. We understand the behavioural, physical, technical and contractual challenges and barriers to implementation and how to overcome them:

• We understand how to adapt and configure these techniques individually and as a collective matrix to support large megaprojects and businesses such as UKAEA.

• We are transparent and we measure the value we deliver and deselect ourselves if we are not delivering a return on investment.

• We are collaborative, engaging, working with the Client and better mobilising its existing resource to deliver value.

• We are independent – our only goal is to do what is right for the programme; we have no alternative agendas.

• We are innovative – our business model relies on delivering value, if we don’t stay ahead of the game, we have no business.

Our Partners and Advisors were involved in delivering the Project 13 report published by the Institution of Civil Engineers’ Infrastructure Client Group (ICG) in 2017. This was the first report to highlight the importance of integration in a new approach to delivering high-performing infrastructure. The report identified three core features of the new approach – governance, organisation, and integration – and two supporting features: a capable client and digital transformation.

We set out the opportunities for UKAEA in these areas on the following pages, following a run-down of our business’s approach and track record.

Our Clients and experience

• Leading all aspects of Anglian Alliance strategy and operation – managing £1.7bn 5-year investment programme over 15 years and providing positive returns for Alliance partners with turnover £750m pa and covering 5.8 million Clients.

• Battersea Power Station Development; Sime Darby Property, S P Setia Berhad Property Employees Provident FundMalaysia – governance, constructability, value engineering, schedule and commercial verification on behalf of Shareholders, delivering £260 million of savings, £9bn programme.

IPD worked on behalf of the Shareholders and the Client’s management team, delivering client value for over 7 years.

• Hinkley Point C – New Nuclear – £20 billion programme of works-constructability, value engineering opportunities identification and programme / master schedule validation, Civils Director (£2bn), Head of Construction Nuclear Island, creating truly integrated teams, productivity improvement – lead and implementation.

• Highways England Smart Motorway Programme – lean production management and DfMA expertise.

• Network Rail TRU Programme – lean production management and DfMA expertise.

• Peninsula Hotel – constructability studies, programme review.

• Tidal Lagoon Swansea – constructability studies, master schedule improvement, DfMA and supply chain strategy support.

• Top 3 US Financial Institution – business acquisition due diligence.

• Top 3 US Financial Institution – review of volumetric production facility.

• HS2 – consortium bid leadership for multiple heavy civils infrastructure packages.

• Urenco – lean production management expertise.

• Varso Tower, Poland – constructability studies and programme review.

• Crossrail Electrification and Commissioning – planning, continuous improvement support and targeted reviews.

• Small Modular Reactor Programme, with ARUP, for Rolls-Royce – programme and methodology.

Successful delivery Our track record

A significant number of our Partners and Associates have gained extensive sector experience on major delivery of infrastructure projects.

The majority of our Partners have held leadership roles in the delivery of Heathrow Terminal 5 and other major infrastructure programmes, where, individually and collectively, they have been integral to designing and developing, then successfully implementing an integrated production system. This has included:

• Supply chain configuration

Large-scale implementation of supply chain reconfiguration incorporating ‘pull’ techniques from raw material through to installation on-site.

• Logistics management

Configuration and operation of assembly packaging and single piece flow manufacturing at off-site logistics centres and development of Kanban and online delivery system (Amazon) for construction. Co-ordination and design around the DfMA, OSMA and product catalogues.

• Value stream mapping

Developing the optimum supply/logistics infrastructure, equipment and resources designed to support mega-projects with minimum WIP in the system, reducing capital and operational costs.

• DfMA/Off-Site Manufacture & Assembly (OSMA)

Configuration and operation of assembly packaging and single piece flow manufacturing at off-site logistics centres.

• Lean production

Large-scale implementation of production control tools and techniques to achieve industry-leading reliability and productivity figures for large projects. Using webbased tools to coordinate across megaproject delivery, logistical and off-site manufacturing teams.

• Digital design, digital prototyping & digital delivery

Implementation of digital prototyping techniques including visualisation.

• Product catalogues

Developing standard parts, sub-assemblies, and assemblies across a range of disciplines, including reinforcement, buildings, and MEP.

• Team development

Developing the skills, behaviours, and metrics to allow large teams to successfully function in a lean/DfMA/ OSMA environment.

Best practice in construction and infrastructure consultancy

Following the completion of Heathrow Terminal 5, our Partners moved to other projects and businesses, under a range of contractual arrangements.

We became experienced practitioners in implementing integrated production systems on the early industry initiatives that were key to differentiating the delivery of Terminal 5 and setting a new standard for the industry. We also moved on to wider international applications of these integrated production systems of the above best practices:

• Leading Anglian Water delivery for over 10 years circa £2 billion.

• Designed and delivered a wastewater facility using digital prototyping, BIM and lean thinking that became the forerunner to business as usual at Anglian Water One Alliance projects.

• OSMA used on large infrastructure project in Australia to reduce the ‘site team’ presence in remote outback locations where staff on-costs are high.

• Modularisation and production system delivery approach of the Northern Water Treatment Plant in Woleebee, UK Australia (Awarded Global Industrial Water Project of the Year 2016).

• DfMA, digital modelling and BIM were used at various projects, notably at Heathrow T2B where 78% of 33,000te of reinforcement was preassembled off-site.

• Establishing reinforcement pre-assembly facilities to support projects across the business including nuclear QC1 works. Bringing significant improvements in site production, reliability, reduced site workforce numbers as well as quality and safety.

• Lean production, design, and project team management across the SMART Motorways Programme.

• Led the projects and incorporated the overall logistics, lean planning and production and applied at Dublin and Birmingham airports,

AWE at Aldermaston and N7 Ireland where it was part of the project delivery strategy during tender and successful delivery.

• ‘Factory in the box’ concept for rapid deployment across the globe that allowed pharmaceutical business to react as global demand and geography dictated. Products were designed to be erected using minimal skills and within a wide range of potential challenging constraints in both first and third world locations.

• Establishing and operating pre-cast facilities for both large projects and for whole business use.

• Development, design and delivery of fully DfMA/ OSMA products for Sainsbury’s Local stores, school classroom units and water treatment plants.

• Applied the logistics management tool suite utilised on Terminal 5 and across the BAA portfolio, which was being utilised for both demand fulfilment, lean production and materials ordering to a whole business. Establishing online (Amazon-type) calloff facility for tools and equipment, which integrated with complementary equipment requirements, health & safety PPE requirements and COSHH controls. Equipment was monitored through the business using RFT tagging. Personnel could only draw equipment if their own RFT card aligned with the equipment’s required training to operate tools. All large plant was GPS-logged, bringing efficiencies across the business in reducing movements, waste and ensuring plant was being used as expected. The same principles were applied to the scaffolding, shuttering and other auxiliary items, allowing business WIP/ stock/asset numbers to be optimised. The Kanban main stores worked in harmony with the smaller site stores.

• Development and delivery of BAA office and car park products – seeing repeated and continuous improvement when used both on BAA & non-BAA projects across the country.

Enabling the right environment

Enabling the right environment for a production platform can only be achieved through the integration of nine key strategies, while ensuring the right governance. The IPD team champions these strategies in all its work and has the skills and experience to develop, deliver, embed, and mature them.

Initial decision to adopt integrated delivery principles is crucial for a sustainable enterprise.

Embedding these principles in the business model by securing executive support sustains the enterprise.

Carrying out a maturity assessment and implementing an outline delivery model with all stakeholder engagement starts the enterprise on the right footing.

Successful facilitation of planning, design, production and delivery often requires external guidance to maintain alignment and guard against poor behaviours.

Developing the product and process platform to be agile is critical for a sustained business model in this environment.

A project is the culmination of strategies developed outside and inside the project environment.

Organisation structure, leadership and goals must be aligned with the strategic intent to implement a delivery system.

Early engagement of relevant knowledge is critical and enables the design to be driven by the delivery system requirements (the ‘how’ drives the ‘what’).

Monitoring performance, learning from experience and implementing improvement through lessons learnt, radically increase reliability and productivity.

The use of technology to visualise, communicate, practice, gather and simplify data is a fundamental enabler. Using a digital twin is a key component.

The practices and behaviours ingrained in the supply chain need to change to align with a delivery system and the engagement approach needs to enable and support this.

Figure 2: Enabling the right environment

Enabling the production system

Ensuring the right governance

STANDARD PRODUCTS

Digital product catalogues allowing component, sub- assemblies and assemblies to be digitally integrated within common information structure

DFMA/O&M

DfMA Strategy adopting Manufacturing Agnostic Design (MAD) optimising safety by design and off-site construction and considering Operation and Maintenance (O&M) from concept stage

OPTIMISING LOGISTICS

Configuring optimal manufacturing and assembly processes, with logistic centres and on line delivery systems

DIGITAL PROTOTYPING & OPTIMISATION

Digital twins enabling integrated information management, prototyping, visualisation, and digital rehearsal of build and operation

INTEGRATED PRODUCTION SYSTEM (PLATFORM DELIVERY)

Integration of key strategies to enable platform delivery

STANDARD PROCESSES

Development of standard processes and standard work to optimise commonality and repeatability through all aspects of delivery

INTEGRATED SUPPLY NETWORKS

Reconfiguring supply networks for Product Delivery and DfMA within an integrated assembly process

DEVELOPING HIGH PERFORMING INTEGRATED TEAMS

Development and maintenance of high performing integrated delivery teams, including strategic partners and suppliers

LEAN PRODUCTION MANAGEMENT

Adoption of production control tools and techniques to drive reliability and productivity through all stages of delivery

Enabling the right environment

Figure 3: The Integrated Production System’s nine key areas for delivery and integration

IPD brings a proven capability in all areas of the core strategies required to enable a production system.

The Integrated Client Team

Business objectives need to reflect the way in which the programme of works will be delivered overall and how the supply chain should respond to these requirements.

Two key initial areas of focus were collectively agreed and are set out in detail in Figure 4:

1) Creating the right environment

2) Delivering differently

The Process...

Client Vision

Business Objectives

Project Objectives

Clients Vision & Project Objectives

Delivery Approach

Programme Values & Environment

Creating the right environment

This project represents an extraordinary investment for UKAEA and holds significant practical and reputational opportunities and risks for all those involved.

The importance of this project cannot be over-emphasised. It will be the pathfinder for future STEP projects and therefore needs to be a success to help continue to build the credibility and reputation of the STEP programme, the construction industry, energy sector and UK plc and maintain political confidence in the programme.

Our proposal focuses on helping your existing team work more efficiently by doing things differently to meet deadlines as economically as possible, using our experience on other major infrastructure projects and on international mega-projects of major significance in this and other sectors.

Project 13 provides a template for creating an integrated project enterprise to deliver infrastructure. There are several critical details that must be resolved when establishing the enterprise:

• Selection of strategic partners to join the Client’s key staff in forming the core of the enterprise.

• Commercial relationships with the strategic partners to ensure that the enterprise operates as an integrated and aligned entity.

• Appointment of key people to lead the enterprise based on ‘best for role’ basis.

• Commercial relationships with suppliers that align their interests with the Client and the enterprise ensuring timely availability and transparency of the suppliers’ production systems and current production information.

The integrated project enterprise can be drawn from Client, Key Advisors, Key Suppliers, and Integrator.

Characteristics of an Integrated Enterprise

Consistency for efficiency/ integrate to operate. Do our mandated systems provide efficiency?

Or do we want contractor systems that integrate upstream?

Single integrated Client team (uniform in approach and process)

Main works contractors are on point for delivery (avoiding man marking and duplication)

Leadership at all levels (decision making pushed appropriately down to where it needs to be made)

Assure to ensure (the delivery partner model provides robust compliance through defined process)

Client will lead on stakeholder management and will set the communication strategy

Figure 5: Characteristics of an Integrated Enterprise

The parties come together formally to create the Integrated Client Team (which alternatively may be called a specific name appropriate to the project).

Integrated Client Team roles

The Integrated Client Team (ICT) operates as a single entity where individuals self-identify as the Client. A typical ICT will have the following roles.

Client

Provides a small core team in key leadership roles and some areas of retained specialist knowledge.

Delivery Partner

Provides most of the project and programme management functions. This includes backfill of Client roles where needed and a range of services.

Technical Partner

Retained to provide access to critical technical expertise, particularly in design governance.

Commercial Partner

Provides dedicated independent commercial and cost management at programme level throughout the project lifecycle and within each works package as a separate contract.

Figure 6: Integrated Client Team roles

Delivery Partner

IPD often works as a Delivery Partner for Clients, creating and integrating the ICT for all project phases, including health and safety, technical, commercial, governance and delivery advice.

We often provide some of the core leadership within the ICT, playing a leading role in managing the delivery on a cross-programme basis as well as facilitating and resourcing Package, Finance and Commercial Director roles if required.

The Delivery Partner role covers the following stages of the project lifecycle:

Preparation for the delivery phase including key contract development

Futureproofing and preparation for future technologies

Supporting procurement of main works or trade contractors

Integrating how the project is to be delivered operated and maintained, into what is being designed

Overseeing mobilisation of main works or trade contractors

Construction delivery

Commissioning into operation, integrating the design to meet buildability and operational and maintenance economies as well as Client goals

Technical Partner

The Technical Partner completes the preliminary design, procurement support, specifications, and then assists in pulling together Main Works Contract Scope before the Delivery Partner is appointed.

The Technical Partner is responsible for developing the programme and integrated testing and commissioning plan, and then assuring coordination with the contractors’ plans to successfully deliver the project into the operational phase.

The Technical Partner must embrace both how the project is to be delivered and consider operation and maintainability issues in the design execution.

While the Delivery Partner provides systems, processes and resources to inspect, witness and assure delivery against these assurance plans, the ongoing Technical Partner services will primarily focus on providing technical and systems engineering support along with several other residual functions.

Commercial Partner

The Commercial Partner is active across all phases of project delivery, working in collaboration to provide consistent cost and commercial advice.

The Commercial Partner leads on commercial and contract management while the Delivery Partner supports the Client in the commercial mobilisation of the main works contractors.

In addition, and if requested, the Delivery Partner can help develop the project contract management plans and provide support in contract and cost management.

Figure 7: Integrated Client Team roles in detail

Delivering differently

The scale and scope of the project provides substantial opportunities to leverage the supply chain investment needed and provide significant cost saving opportunities for UKAEA. But conversely, there is a greater risk of time overruns and cost escalations that are all too common on large infrastructure and energy projects.

The challenge is setting the bar correctly so that the delivery agreements reflect contractually the ‘do it differently’ approach and set the correct expectations both internally and externally.

Doing it differently needs to be the same for everyone. It focuses on performance not failure; it focuses on people in teams before companies; it focuses on principles before positions.

Creating an environment in which multilateral agreements are formed with shared risk and rewards promotes innovation and sharing of ideas. Suppliers work more collaboratively and there is a higher certainty in design and fabrication before works start on site.

Integrated design, procurement and delivery elevate supply chain to delivery partner level with outputs delivered to match Client requirements.

To achieve this, we need to define with clarity the objectives, goals, strategies, and measures required for UKAEA.

Strategic definition

By defining business and project objectives we can then consider and influence the environment, behavioural styles, and team dynamics, leading to the ability to define the requirements for the production system design, which ultimately links to overall production system control and high performance.

/ Project Objectives

8: Defining business and project objectives

Figure

Data management and integrated IT

Another area of discussion, focus and agreement is the need for data management and an integrated digital platform to facilitate an integrated production system that allows cost-effective, value-adding passive data collection for performance improvement and cost verification, particularly in the NEC4 / Alliancing contract environment.

Passive data collection would involve harvesting data which is either already available or could be obtained with little investment. It would be used for access control systems to establish how many and what time of overall resources are being deployed on the programme.

Configuring logistics systems would establish delivery flows to the project (and preferably optimise them), while capturing delivery data. Using equipment systems would capture utilisation data, fuel consumption, etc (and preferably optimise them). Examples might include earthworks – using existing telemetry on earthmoving equipment, tower cranes, batching plant production information, etc.

Proposed Behavioural Values for a UKAEA Integrated Team

Creating enabling relationships is founded as much on behavioural values as it is on working practices.

We expect behaviours that:

• are empowering

- share information, two-way.

- enable decision making as close as possible to the workface.

- encourage considered risk-taking, improvement, innovation.

• are committed

- bring ‘can-do, will-do’ attitudes.

- champion change through commitment and enthusiasm.

• are supportive

- take time to coach, mentor and train team members.

- exhibit leadership through example.

• are appreciative

- acknowledge successes as opposed to persecuting shortcomings.

- reward individual performance as well as team performance.

• are considerate

- help and facilitate others for the wider good.

- listen to and learn from others.

• are dynamic

- breakdown barriers inherent in traditional, transactional roles.

- accommodate uncertainty, evolving needs and ideas, change.

• are convergent

- move towards a single, integrated production activity.

- move towards concurrent functional participation.

- move towards greater overlap in activities in time.

• are simple

- take on wider responsibility, requiring fewer interfaces.

enabling individuals enabling processes

- work interfaces to make them more transparent.

• are extensive

- recognise value and contribution in all team members.

- extend beyond immediate relationship, down the supply chain.

• are enlightened

- believe that there is always a better way.

- see parallels in other projects’ and other industries’ successes.

• and behaviours which are caring:

- to individuals.

- to teams.

- to companies.

- to businesses.

- to the community.

• we expect all members of the integrated delivery team to share these expectations and actively pursue common and complementary behavioural practice.

• team members will be supported in appreciating that people have their own style and approach – so although the intent behind may be the same, behaviours may be interpreted as different from their own.

Delivery Approach

• Our delivery approach takes its lead from the successes of others in achieving significant improvements.

Building the relationships

• create teams which include all necessary delivery skills; user groups, development, project management, design, construction, supply etc.

• integrate teams to encourage collaboration and promote team-first-company-second attitudes.

• co-locate teams, creating team spaces that encourage information sharing, communication, concurrent working and quick reviews.

• create value focus by teams being customer-product based, evolving participants as work progresses, but with continuity of membership.

• minimise the number of participants and reduce the interfaces; ensure the interfaces that exist are actively worked and expectations and hand-off understood and aligned.

• select the very best people, for their behavioural skills and not just functional knowledge, changing out those who don’t fit.

• identify and engage with stakeholders on the topics of interest to them and in the way in which they wish to be engaged.

• Continuously gather data on team members’ attitudes and feedback on important topics to understand what is actually going on in the project and identify trends. enabling solutions fully inclusive teams integrated co-located value-focused

with interfaces worked and selected on merit

and lead indicators of potential risks

Changing the culture

• treat all team members as customers, managing first and foremost to support and facilitate work-face efficiency and effectiveness.

• build lean management, control and communication structures to empower the workforce to plan and deliver their own successes.

• provide all team members with the skills and tools to succeed, continually training, coaching and mentoring to enable improvement.

• support the broader development and aspirations of team members to reach their personal and career ambitions to show the commitment and care for team members.

• work problems with team members by way of achieving improvement, not wasting effort and demotivating by apportioning blame.

• champion change through enthusiasm and commitment, leading by example, in integrity, honesty, openness and personal initiative.

• support team members to identify the contribution and impact they have personally, as a member of the team, and on the delivery of the project.

• treat all team members equally and fairly, respecting all are here on merit and that their contribution is as valid and as valuable as ours.

Motivating success

• set aggressive targets to challenge conventional wisdom and practice and cause invention and innovation to become standard practices.

• share the effort and responsibility for eliminating the risks while allocating the responsibilities and consequences of risk to whoever is best able to manage and control it.

• share the risks of failure and the benefits of success; with all team members winning or losing together but ultimately learning important lessons.

• recognise individual achievements as well as team achievements, celebrate successes in a way that is applicable to them.

• understanding, celebrating and gaining advantage from the diversity of thinking, approach, expertise and experience within the team.

see workforce as customers fully empowered and trained

helping and supporting leading by example and showing respect

set challenging targets

share responsibility

share success

celebrate achievements

Focusing on delivery

• pursue delivery from the start, not seeing design and construction as separate activities but as evolving steps along an integrated production path including DfMA and OSMA.

• pursue practices where design, supply and construction specialists work alongside each other, developing integrated solutions concurrently.

• from the start, continually test solutions against ways of prototyping, producing, assembling, constructing, right first time.

• openly, indeed actively, share information between team members in a format and way that is applicable to them:

- to understand implications for all.

- to eliminate uncertainty and increase predictability.

- to enable more informed cost and value decisions.

- to stimulate new ideas.

- to enable effective empowerment.

• resist the pressure to work without pre-planning; explore all ideas for achieving success; ensure everything is in place before work starts.

• continuously reconsider plans to anticipate unforeseen problems and risks, to pursue improvement; retain flexibility, re-plan as necessary.

• measure and forecast against objectives and milestones, to provide information to work improvements, avoid deviancefrom-plan focus.

• seek near real-time feedback from the team to understand attitudes and perceptions of the delivery and areas of threat and opportunity.

• relentlessly identify and pursue wasteful behaviours, practices and solutions that add no value and modify or replace

• own problems and treat them as challenges, actively pursuing and offering solutions or workarounds, not dumping at someone else’s feet.

• tirelessly pursue problem-solving within the team, prevent problems escalating into disputes or escalating outside the team.

• benchmark other achievements; plagiarise others’ successes; actively seek out ideas from other teams; continually seek to refine.

• continuously feedback lessons learnt in innovative ways to ensure the team can leverage this experience and make available to people as and when needed; share achievements; enable rapid learning.

view as a single process

developed concurrently

right first time

share information pre-plan

retain flexibility

control for opportunity remove waste own problems solve in-team

seek out improvements

Our UKAEA Offer

Background to the proposal

Context

UKAEA is embarking on the design and procurement of a fusion power station known as the STEP. This ambitious project aims to produce net electricity from fusion by 2040. The STEP project will also demonstrate the plant’s maintainability and fuel production capabilities. Effective integration and procurement strategies are critical to the success of this complex and innovative project.

The UKAEA is in the initial concept design phase of the STEP project. Acting as an integrator is essential for managing the complexity of this project, coordinating multiple stakeholders, and ensuring the seamless integration of various systems and processes. IPD, with its expertise in client-side advisory for complex infrastructure projects, can significantly assist UKAEA. This document provides recommendations on how UKAEA can act as the integrator and how IPD can support as the Client’s Advisor.

Detailed Recommendations

1. UKAEA Strategy

1.1 Ensure there is a robust Vision

• UKAEA Vision and Business Objectives: Review the vision for the broader STEP programme, initial project and associated Business Objectives to ensure that they sufficiently describe what UKAEA wishes to achieve. Review alignment with the strategy.

• STEP Project Objectives: Review the project objectives and how well they describe what needs to be achieved from the initial STEP project.

• Delivery Approach: Review the UKAEA values, principles and behaviours to ensure that contractors can be appropriately assessed against them.

2. Procurement Strategy

2.1 Adopt a Phased Procurement Approach:

• Concept Design Phase: Begin with a concept design phase to define the project’s scope, objectives, and technical requirements. This phase should involve market engagement to understand supplier capabilities and gather feedback on the proposed design.

• Competitive Dialogue: Utilise a competitive dialogue procedure to refine requirements and solutions with shortlisted suppliers before finalising the procurement strategy.

• Framework Agreements: Establish framework agreements with key suppliers to ensure flexibility and continuity throughout the project lifecycle.

2.2 Develop clear Procurement Documentation:

• Project Information Memorandum (PIM): Create a comprehensive PIM that provides detailed information about the project, including objectives, scope, and requirements.

• Expression of Interest (EOI): Issue an EOI to gauge market interest and identify potential suppliers capable of delivering the project.

• Invitation to Tender (ITT): Develop an ITT with clear evaluation criteria, ensuring transparency and fairness in the selection process.

2.3 Incorporate Best Practices in Contracting:

• NEC4 Contracts: Use NEC4 contracts to facilitate collaboration and risk management. Ensure contracts are clear on roles, responsibilities, and performance expectations.

• Performance Incentives: Include performance incentives in contracts to encourage timely and high-quality delivery from suppliers.

• Risk Allocation: Clearly define risk allocation between UKAEA and contractors, ensuring that risks are managed by the parties best equipped to handle them.

3. Integration Strategy

3.1 Establish an Integrated Client Team (ICT):

• Collaborative Culture: Foster a collaborative culture within the ICT, promoting open communication and shared goals.

• Co-location: Consider co-locating the ICT to enhance collaboration and decision-making.

• Roles and Responsibilities: Clearly define roles and responsibilities within the ICT to ensure accountability and effective coordination.

3.2 Implement a Robust Integration Framework:

• Systems Integration: Develop a systems integration framework that coordinates engineering, planning, supply, and production processes.

• Integration Activities: Define a comprehensive set of integration activities, including design coordination, construction integration, and operational readiness.

• Value Management: Focus on value management, ensuring that the project delivers long-term benefits and meets stakeholder expectations.

3.3 Utilise Advanced Information Management:

• Building Information Modelling (BIM): Implement BIM to manage design and construction data, ensuring accuracy and facilitating collaboration.

• Data Management Systems: Use advanced data management systems to handle the large volumes of data and information generated by the project, enabling informed decision-making.

• Digital Twins: Consider developing a digital twin of the power station to simulate operations and optimise performance throughout the project lifecycle.

4. Drawing from

“Unlocking

Value Through IPD”

4.1 Integrated Project Delivery (IPD) Approach:

• Client-Centric Model: Adopt a client-centric IPD model, focusing on the UKAEA’s interests and ensuring alignment with project objectives.

• Collaborative Contracting: Use collaborative contracting methods to integrate the project team and supply chain, reducing barriers to innovation and improving information flow.

4.2 IPD Principles for STEP:

• Transparency: Maintain transparency in all project dealings, ensuring that all stakeholders have access to accurate and timely information.

• Innovation: Encourage innovation by creating an environment that supports creative problemsolving and continuous improvement.

• Flexibility: Design flexible procurement and integration processes that can adapt to changes and emerging challenges.

4.3 Benefits of IPD for STEP:

• Improved Performance: Better integration leads to enhanced performance, reducing the likelihood of overruns and increasing project efficiency.

• Enhanced Collaboration: Collaborative approaches foster strong relationships between the UKAEA, suppliers, and other stakeholders, promoting a unified team effort.

• Risk Mitigation: Effective risk management strategies reduce uncertainties and ensure that the project remains on track.

Key Considerations for Acting as the Integrator

1. The Role of the Integrator

The integrator will play a pivotal role in managing the complexity of the STEP project. The integrator’s responsibilities span across planning, design oversight, construction, and operational management. The integrator should be capable of integrating various systems, processes, and stakeholders to ensure seamless project delivery.

1.1 Core Activity Sets for the Integrator:

• Project Integration: Manage overall program management of the STEP project, ensuring alignment with strategic objectives.

• Package Integration: Oversee the integration of multiple project packages, coordinating logistics, supply chains, and ensuring timely delivery.

• Logistics Integration: Handle logistics for project components such as testing laboratories, preassembly, and supply chains.

• Advisor/Designer Integration: Integrate the efforts of various advisors and designers to ensure cohesive design and implementation.

• External Stakeholder Alignment: Engage and align external stakeholders, including regulatory bodies and local communities.

• Systems Integration: Develop and manage systems that integrate engineering, planning, and production processes.

• Productivity Improvement: Implement strategies to improve productivity and efficiency across the project lifecycle.

• Collaborative Culture Champion: Promote a collaborative and integrated culture within the project team.

• Integrated PMO and Controls: Establish a Project Management Office (PMO) that integrates control functions and ensures project governance.

• BIM Integration: Utilise Building Information Modelling (BIM) for accurate data management and project coordination.

• Assurance Strategy and Integration: Develop and implement an assurance strategy to monitor and ensure project quality and compliance.

Key Considerations for acting as the Integrator

1. Leadership and Governance:

• Strong Leadership: Ensure strong leadership within the Integrated Client Team (ICT) to guide the project and maintain focus on objectives.

• Governance Structures: Implement robust governance structures to oversee project delivery and performance.

2. Stakeholder Engagement:

• Communication Plan: Develop a comprehensive communication plan to keep stakeholders informed and engaged.

• Stakeholder Alignment: Align stakeholder interests through regular consultation and feedback.

3. Resource Management:

• Skilled Workforce: Staff the project with skilled professionals with the necessary expertise.

• Training and Development: Provide ongoing training and development to enhance team capabilities.

How IPD can assist UKAEA

1. Strategic Advisory:

• Guidance on Best Practices: Provide strategic guidance on implementing best practices in procurement and integration, drawing from successful case studies and industry standards.

• Risk Management: Assist in identifying, assessing, and managing risks, ensuring that mitigation strategies are in place.

2. Integrated Project Delivery Support:

• Process Development: Help develop processes and systems for effective project delivery, including integration frameworks and information management systems.

• Performance Monitoring: Establish performance monitoring frameworks to track progress and ensure that the project meets its objectives.

3. Stakeholder Management:

• Facilitation: Facilitate communication and collaboration between UKAEA and other stakeholders, ensuring alignment and coordinated efforts.

• Feedback Mechanisms: Implement mechanisms for regular feedback and continuous improvement, addressing issues promptly and effectively.

Conclusion

The STEP project is a landmark initiative in fusion energy, with the potential to significantly impact the future of energy generation. By adopting a robust procurement and integration strategy and leveraging the expertise of IPD, UKAEA can ensure the successful delivery of the STEP project. The detailed recommendations and considerations outlined in this document provide a comprehensive roadmap for achieving this ambitious goal, ensuring that the STEP project is managed effectively, efficiently, and innovative.

Key considerations

• Safety – zero incidents / accidents goal and IIF (Incident and Injury Free) culture.

• Worker welfare – key priority to attract, and retain, the right people.

• Behaviours – collaboration, respect, tolerance, challenging, focussed, fun, increase productivity without compromising on safety or quality.

• Integrated Teams – at all levels, best person for role, badges at the door.

• Transparency – across all processes, teams – cost, time, issues, everything.

• Deliver – within required schedule and cost parameters, and proactively manage risk.

• Contractual – shared goals, gain and pain.

• Risk – owned by the appropriate party to influence (often-times the Client).

• Design – DfMA-driven and set up for speed and quality.

• Productivity – top of the agenda from pre-contract onwards.

• Governance – clear, integrated and devolved – to the appropriate level – wherever possible.

• Engage Tier 2 – fully & completely integrated.

• Share resource – right person for the job – no person-marking.

• Drive - a behavioural change in Tier 1 and Tier 2.

• Fully functional - 3D/4D model with associated work packages.

• Drive - an inclusive, lean production management approach in design & assembly.

• Aim - for 70%+ pre-assembly, 1st run studies & digital rehearsals.

• Fully - engage with (procurement) & understand value streams.

• Engage - Commissioning & Ops, early, in a very different, pro-active way.

IPD’s approach

With extensive international experience in this area, IPD will work with the Client and Contractors’ teams to bring forward the best principles of an integrated delivery model that can be incorporated into NEC4 suite of contracts and promote easy selection of ‘best fit’ contracting strategy for the various project areas.

Our team has front-line experience of leading and delivering major infrastructure projects globally and applying the IPD Model systems and skillsets. We understand the behavioural, physical, technical, contractual challenges and barriers to implementation – and how to overcome them. We understand how to adapt and configure these systems/skills individually and as a collective matrix to support complex projects, mega-projects and/or businesses.

Correctly structured systems and processes need developing to allow consistency of expectation and reporting across the programme, focusing on cost verification and commercial assurance. Clarity on performance against a plan is key to enabling early intervention to avoid potential overspend.

In the NEC 4 contract models, there is a potential opportunity to save twenty pence in every pound to be spent with a robust process administered by competent and experienced industry professionals.

IPD can provide a limited number of trusted, competent, collaboratively robust, and suitably experienced individuals to monitor and review performance as the programme is delivered. Further supplemental resources will be required on ‘a best CV basis (competence and experience)’ for the job, from either existing UKAEA consultants or engagement with new consultants.

Together, we will provide expertise to realise UKAEA’s definition of value and professionalism to support delivery, including:

• high-quality expertise and services which add value in achievement of the programme outcomes

• the ability to work within integrated collaborative delivery teams

• an awareness of technology and appraisal of its ability to add value

• specialist capability/subject matter experts

• experience and insight.

Supporting your objectives

We would see our involvement based over six stages as shown in Figure 9, separated into two levels of commitment and resource levels.

Commitment Level 1 – Stage 1, Stage 2, and Stage 3 with a hold point. (see Figure 9)

• Building a case for a collaborative delivery model

• Defining Principles, Behaviours, Objectives, Values

• Enabling the right environment

• NEC4 contract identification

• Ensuring the right governance structure

• Reviewing and analysing the Programme /Schedule

• Building Strategic Commitment

• Reviewing/Defining logistics strategy

• Design Management through lean production

• Identification of elements for DfMA approach

• Provision of Key experienced people for carrying out the above.

At the hold point both UKAEA and IPD can agree how they want to proceed.

Commitment Level 2 – Stage 4, Stage 5, Stage 6

• Enabling a Collaborative Delivery Model (Stage 4)

• Developing an implementation plan (Stage 4)

• Creating the integrated delivery enterprise (Stage 5)

• Maintaining the enterprise networks (Stage 6)

With a clear understanding of the scale of the challenge and the opportunities for improvement, IPD is committed to supporting the UKAEA team in setting the project up for success.

We propose committing a number of our Senior Partners / Directors / Operations Directors and Senior Associates to the engagement and to Stages 1 & 2 and 3, subject to there being an opportunity to provide 5-10 key people in the integrated delivery team, and the delivery of Stages 4, 5 and 6 to project completion.

Commitment Level 1

This will involve IPD reviewing the internal and external organisational and project decisionmaking. We will be focused on approaching the undertaking utilising the matrix in Figure 9, following the workstreams below. These workstreams will be undertaken as described in the following pages.

We will also review the project delivery strategy to operate an integrated production system as detailed previously in Figure 3, the Integrated Production System’s nine key areas for delivery and integration.

Building the case for a Collaborative Delivery Model Commitment Level One (Stages 1, 2, & 3)

Building the case for a Collaborative Delivery Model

Strategic evaluation of integrated models

Initial decision to adopt integrated delivery principles

Strategic Business Case

Owner Executives

Key Stakeholders

Organisational Leaders

Enabling a Collaborative Delivery Model

Evaluation (Maturity Assessment; Strategic Roadmap)

Outline Delivery Model Design

Implementation Plan

Organisational Leaders

Change Agents

Senior Stakeholders

Delivery Partners

Stages 1, 2 & 3 Stage 4

Awareness and alignment within wider network

Maintaining wider internal organisational understanding of integrated delivery

Developing communities within the network

Organisational ‘champions’ with the network

Change agents (pan-supplier networks)

Implementation Planning

Change Management

Detailed Design

Organisational Leaders

Delivery Teams

Wider Stakeholders

Delivery Networks

Stage 6 Stage 5

Figure 9: Enabling the right environment.

Stage 1 – What?

Building Strategic Commitment Internally – UKAEA

Although the contracting aspiration is a collaborative project delivery method, UKAEA has a specific and fundamental responsibility to set and align the expectations of all Client stakeholders.

A) Initial decision to adopt integrated delivery principles is crucial for a sustainable enterprise.

B) Embedding these principles in the business model by securing executive support sustains the enterprise.

C) Creating enabling relationships is founded as much on behavioural values as it is on working practices.

Key Challenges

Internal Strategy & Decision Making – building the case for an Integrated and Collaborative Delivery Model

• Generate a passion for ‘Doing It Differently’.

• Provide a sensible top-down vision and strategy.

• Invest in resources to develop & implement – leave room for the team to ‘invent’ better ways as they go.

• Set clear Project objectives or redefine.

• Set clear Business objectives or redefine, revaluate.

• Define & communicate the behaviours required and demanded.

• Display transparency and honesty as key behaviours.

• Deliver ‘best for project’ responses to problems.

• Collectively commit to a different delivery model.

• Agree & adopt the expected behavioural values for the Integrated Team.

• Agree on transparency, openness & fairness in all transactions.

• Drive for value, always.

• Recognise that there are various behavioural styles.

• Access and evaluate team dynamics – reaction to change.

• Reflect on the integration – the impact of what you do on others.

• Engender collaborative leadership.

• Understand the nature of the challenge.

• Take people on the journey – why, what and how?

• Create the environment and structure for collaborative decision-making and control.

• Understand the leadership context, vision, and mutual trust of people who work together as a team and share good and bad news openly and honestly.

• Intentionally design and/or engage in an effective project delivery organisation.

Leadership through the journey will need to be committed and assist with people making the transition to a different way of working.

Stage 2 – What

Building Strategic Commitment – externally – Tier1’s and Tier2’s

The practices and behaviours ingrained in the supply chain need to change to align with a delivery system, and the engagement approach needs to enable and support this.

A) Embedding these principles in the business model by securing executive support, sustains the enterprise.

B) Creating enabling relationships is founded as much on behavioural values as it is on working practices.

Internal Strategy & Decision Making – building the case for a Collaborative Delivery Model

Key Considerations

• Define the existing challenges.

• Communicate project objectives or redefine.

• Communicate business objectives or redefine, revaluate.

• Communicate the behaviours required and demand.

• Collaborative decision-making and control.

• Commitment to different delivery model.

• Align communications strategies.

• Cross-functional, integrated teams.

• Collaboration as a pre-requisite.

• High-performing integrated teams.

• Jointly developed and validated project goals.

• Co-located (by geography), inter-disciplinary, integrated teams.

• Engaging the wider ecosystem through incentivised, back-to-back contracting models, that create transparency and drive continuous improvement.

• Best in class commercial partnering conditions & transparency.

• Behavioural conditioning & ongoing assessment – change the people or change the people.

• Communicate clear definition of project vision and goals aligned to the bigger business aims.

• The revised agreement will need contract models or ‘clause configurators’ that support supplier engagement across the project supply chain.

• Project first, company second.

• The team shares knowledge, not just information.

• The team leverages each other’s capabilities and skills.

• The team helps every team member do their best.

• The team learns and improves together, not just individually.

• The team displays transparency and honesty as key behaviours.

• The team delivers ‘best for project’ responses to problems.

• Engage Tier2’s.

o Collaborative (Path of Construction) meetings.

o Co-created commercial models.

o Open-book commercial discussions.

o Tier 2s stepping up – e.g. supervision, prelims.

o Involved early & continuously.

o Start to have ‘strategic’ B2B discussions.

o ‘Own & live’ the project.

o Collaborative value stream mapping to understand the issues.

Stage 3 – What

UKAEA and its supply chain partners to work together to enabling the right environment for successful delivery.

The purpose is to:

A) Gain alignment on Stage 1 and Stage 2, while defining the organisation structure, leadership and goals that must be aligned with the strategic intent to implement an integrated model.

B) Align contracting strategies to support an integrated and harmonised team.

C) Have agreed that: there is a potential opportunity to save twenty cents in every dollar yet to be spent with a robust process administered by competent and experienced industry professionals.

D) Agree the importance of: Trust & Verify.

E) Ensure we develop commercial approaches that enable how we measure value and move money chain to get best installed cost.

F) Visibility on performance through a Control Centre approach especially commercial.

G) Develop a system that ensures consistency of delivery in line with the delivery vision.

H) Make logistics the key performance measure & throttle on the project – focus on flow not storage.

I) Ensure the right modules, assembly materials, plant information and people resources at the right place and the right time.

J) Ensure quality management is integrated in logistics plan.

K) Have production management as the planning–measurement–improvement bedrock.

L) Have a robust process improvement strategy for end>end delivery process.

M) Develop in-house capability and on the project training.

Stages 1, 2 and 3 OUTPUTS become Stage 4 INPUTS.

Stage 4 – Developing the Implementation Plan

Enabling an integrated and collaborative delivery model

Carrying out a maturity assessment and implementing an outline delivery model with all stakeholder engagement starts the enterprise on the right footing.

A) Organisation structure, leadership and goals must be aligned with the strategic intent to implement a delivery system.

B) A project is the culmination of strategies developed outside and inside the project environment.

C) Successful facilitation of planning, design, production, and delivery often requires external guidance to maintain alignment and guard against poor behaviours.

Key Considerations

• Evaluation (Maturity Assessment; Strategic Roadmap).

• Leadership, vision, and mutual trust of people who work together as a team and share good and bad news openly and honestly.

• Outline Delivery Model Design.

• Implementation Plan.

• ID Organisational Leaders.

• ID Change Agents.

• ID Senior Stakeholders.

• ID Delivery Partners / Key Contractors / Key Stakeholders (Who can influence change?).

• People are intentionally designed and/or engaged in an effective project delivery organisation.

• People are used to and committed to lean thinking and practices that leverage BIM to build virtually and make off-site fabrication and reliable on-site workflow possible.

• Establish concurrent and multi-level; early contributions of knowledge and expertise; information openly shared; stakeholder trust and respect.

• Suppliers are in a competitive environment. ‘Catching the wave’ of a new approach will be attractive if they are convinced of its longevity in the marketplace – a first mover advantage in securing work will be an enabler to focus their engagement.

• Embed ‘Golden Production Threads’ in procurement.

• Behavioural conditioning & ongoing assessment – change the people or change the people.

Stage 5 – Creating the Integrated Delivery Enterprise

Systems and processes need developing to allow transparency and consistency of expectation and reporting across the programme areas, focusing on cost and schedule verification and commercial assurance. Trust & Verification.

A) Establish operational position – Target Cost Environment.

B) Contractual assurance.

C) Schedule Management – QSRA.

D) Phase/area and interface management.

E) Production control/productivity improvement.

F) Construction delivery.

G) Implementation of the principles of lean construction and design for a target cost output, and where appropriate operation and maintenance.

Key Considerations

• Implementation planning.

• Change management.

• Detailed design.

• Organisational leaders.

• Delivery teams.

• Wider stakeholders.

• Delivery networks.

Stage 6 – Maintaining the Enterprise Network for Five Years before construction commences (Preparing)

Monitoring performance, learning from experience, and implementing improvement through lessons learnt radically increases reliability and productivity.

A) The practices and behaviours ingrained in the supply chain need to change to align with a delivery system, and the engagement approach needs to enable and support this.

B) Successful facilitation of planning, design, production, and delivery often requires external guidance to maintain alignment and guard against poor behaviours.

Key Considerations

• Awareness and alignment within the wider network.

• Maintaining wider internal organisational understanding of integrated delivery.

• Developing communities within the network.

• Organisational ‘champions’ with the network.

• Change agents (pan-supplier networks).

• Developing long-term supplier relationships.

IPD – service offerings, peer reviews, secondments

IPD is prepared to offer a range of suitably experienced personnel as required by the needs of the project. These we would see as a mixture of people, on secondment through a number of models, both on site and online. A potential mixture of personnel, on retainer, full time, and part time to help supplement the UKAEA team.

Below is a consideration of the potential scope areas for IPD to lead or supplement. These resources would be provided based on our Schedule of Rates and accompanied timesheets.

Collaborative Delivery Model Design

• Develop the conceptual design of an effective delivery model.

• Implement the model e.g., Integrated Client Teams or Integrated Deliver teams.

• Detailed design of elements of the delivery model as required.

Reset Programme Management

• Further develop the high-level Reset Roadmap.

• Create a detailed change management plan using programmatic thinking to identify the scope and value add of future phases of work.

• Establish baseline quality assessment of the reset schedule.

• Design, develop and implement a programmatic approach to schedule quality/reliability improvement.

• Monitor progress and report.

• Design, develop and implement production management systems.

Systems Integration

• Ensure the project is perceived as being the integration of a system of systems rather than a logically linked schedule of construction and testing activity.

• High level review of all systems and interfaces.

• Review of the capabilities to manage the project as a system of systems.

• Identification of any gaps and recommendations for the way forward.

• Provision of specialised systems integration support if required.

Project Governance Design and Implementation

• Detailed definition of the key governance bodies including Terms of References, information flows and decision-making mechanisms.

• Support and shadowing of key governance body chairs for 3 months.

• Augment and integrate human-centric data with existing project performance data to provide fresh insight and shape decision making using the MeetingQuality platform and the power of AI.

Advisory Board

• Support the development of a nonexecutive panel that when requested can provide a broader industry experiential view on how a decision should be made or a matter should be dealt with.

• Advise on Assurance activities along with matters that may otherwise lead to dispute or poor execution of the project.

• Ensure there is a hard link to Governance Design and implementation.

Cultural and Behavioural Change

• Agreement of the full set of supportive behaviours fully aligned to the UKAEA Values.

• Identify key Behavioural Performance Metrics that can be used as part of the Project Governance and decision making.

• Agreement of the means of assessing and reporting of the metrics.

• Implementation of the Meeting Quality platform to provide human-centric data.

• Monitor and report on Behavioural Performance Metrics.

Capability Assessment and Development

• Development of a strategy to assess the current and future capability of the project to deliver its objectives.

• Assess the capability of selected functions within UKAEA and existing partner organisations.

• Develop the necessary development paths, mechanisms, materials and support necessary for capability development.

• Develop an Academy based model and apprenticeships for development of the necessary capabilities.

• Develop Communities of Practice to ensure the sharing of knowledge across the project.

Leveraging of Experience

• Development of a strategy to leverage the expertise and experience of all staff on the project at multiple levels.

• Implement the chosen solution and tie into the capability development plan.

• Identify the value add of developing a progressive Learning Legacy of the project as it progresses.

Benefits and Performance Management Framework

• Identification of the original project benefits from the business case and agreement of how the projected delivery of these can be incorporated into the project reporting.

• Identification of key performance measures and metrics to monitor the delivery of the project against.

• Supporting the measuring and reporting of performance metrics.

Information and Data Strategy

• Carry out a high-level Digital Systems and Data Review and identify gaps.

• Develop a project data strategy.

• Carry out a project data maturity assessment.

• Identify project data improvement opportunities such as progress reporting within built data validation.

• Assess the opportunities for data driven risk analytics and end to end project assurance using data and AI.

Branding and Communication

• Review the current project brand and implications on the project in terms of stakeholder support, attraction, retention etc.

• Assess the current UKAEA strategy and performance in terms of conveying a positive UKAEA brand.

• Develop a strategy to improve the project brand including the identification of benefits.

• Support the necessary changes.

Schedule Management

• Construction and management of a Development Wide Integrated Programme.

• Report of Development Wide Key Interface and Strategic Delivery Milestones.

• Independent view of schedule quality, reliability, risk and opportunity, DCMA [Defence Contract Management Agency, US Dept. of Defence] 14 Point Schedule Analysis and QSRA [Quantitative Schedule Risk Analysis] reviews.

• Crystallising opportunities and testing them to bring forward to change control.

• Trust and verification of time elements of change control, including challenging ITC Contractor programmes and extension of time claims.

Project/Phase /Area and Interface Management

• Ensuring phases under construction do not compromise future delivery.

• Construction engineering advice to permanent works designers.

• Advising on offsite manufacture and design for manufacture and assembly (DfMA).

• Ensuring construction methodology and access is considered and, where necessary, addressed in the design.

• Advising on schedule, sequence and developing opportunities to reduce time and cost.

Production Control/Productivity Improvement

• Understanding and interrogating current ITC Contractor productivity/reliability performance levels and their likelihood of delivering to schedule – clearly understand with actual field data how we’re doing and where we’re going.

• Understanding the blockers to production and working with the ITC Contractor on driving implementation of solutions to remove constraints and improve productivity – understand what’s going wrong and help improve the process/make ready needs to better productivity rather than ‘throw money at the problem’.

• Ensure best practice Lean Construction techniques are being properly implemented i.e., collaborative planning, production management, productivity improvement – ensure the ITC Contractor is using the best tools/processes/techniques to ensure UKAEA is getting value for money.

• Help identify opportunities to go faster / be more effective and ensure the EITC Contractor leverages /makes sure opportunities in the field are delivered and the ITC contractor is providing the optimum environment for the trades to perform.

Construction Delivery

• Programme Wide Integrated Logistics and Constructability of Key interfaces.

• Construction engineering advice to permanent works designers.

• Challenging ITC contractor to optimise sequence of work and deliver shorter work schedules.

• MEP review of trade contractor performance and management of performance expectations in the MEP across project /areas.

• MEP review of DfMA strategy and recognition of its delivery or not within a project/area context.

• Support or supplement existing HSEQ Teams as required to ensure standards are met.

Project Assurance

• Develop a strategy for Assuring the project using The Three Lines Model, or equivalent, as a basis.

• Identify Short term assurance activities to support ongoing Reviews, Stage Gate Reviews etc.

• Assess the necessary capability and capacity and provide support where necessary.

• Two specific forms of Assurance are detailed below.

Contractual Assurance

Establishing the ITC Contractor’s contractual baseline is fundamental, and understanding and ensuring that all contractors/suppliers are meeting their obligations and providing the deliverables stated in their respective contracts is paramount.

Ensuring contractual awareness, compliance and delivery is essential in protecting the UKAEA interests. Having a central, virtual repository of contract documents available for reference by the UKAEA team is essential to facilitate transparency and understanding of obligations.

Commercial Assurance

Our approach would be to work with the UKAEA team and support the development of a systematic solution that enables the Client team to become self-sufficient (or continue to support should that be necessary) in their approach to commercial assurance.

Fundamental to ensuring that the programme of works has a robust commercial strategy delivering commercial assurance, is the examination, interrogation and if necessary, intervention to avoid unnecessary cost (waste).

Once this is established, IPD personnel, supplemented with selected competent individuals from other existing consultancies and working with the existing UKAEA teams, would undertake regular inspections and checks around cost, as described in cost verification and assurance, but also considering the value aspects of commercial performance, ensuring process compliance, system utilisation and robust challenge of change whilst giving due consideration to robust and relevant lifecycle commercial aspects.

This process would include the necessary analysis of applications for payments, certifications, fee calculations and payment etc. to ensure high standards of commercial governance is being applied and appropriate compliance with contractual obligations and client processes are adhered to.

Risk Management

Establishing a robust risk management toolset of evaluating and implementing procedures to reduce or remove the impact of risk on the project is crucial. This involves creating a risk management process that allows project managers to proactively identify, monitor and mitigate risks before they become issues, when it is too late.

Our experience in standing up robust risk management tools and visualisations will enable the project to create efficient, consistent and transparent process to mitigate real risk, with clear actions and accountability.

Operational Position – Target Cost Environment

Systems and processes need developing to allow transparency and consistency of expectation and reporting across the programme areas, focusing on cost and schedule verification and commercial assurance.

Now that procurement is substantially complete in many areas, the challenge for the programme is to deliver effective and appropriate cost management.

The assurance and validation model relies on select consultants acting as an integrated part of the UKAEA team to demonstrate a clear commitment to provide high quality people, with the correct moral compass. These professionals must be focused on adding value to the project, identifying anomalies and driving out unnecessary cost – either through valid disallowable criteria, i.e., quality, or those costs outside that permitted in the schedule of cost components – as well as working collaboratively within contractor teams, to identify unnecessary drivers of cost (waste) and eradicate inefficiencies in their systems and processes.

The approach must be a data-centric, systematic approach to verification and validation using technology to supplant traditional resource-based models, and machine learning and algorithms to map and to codify data, ready for secondary and tertiary analysis and verification.

Through the application of technology delivering enhanced data presentation and analysis, a compact team is able to deliver a higher quality service with leaner but highly competent resource.

The UKAEA strategy, in this respect, must be to codify and analyse 100% of the EPC contractor cost data monthly (or more frequently), and use a risk-based approach, segment the data, and undertake secondary (deep) and tertiary (deeper) analysis and verification, based on the presented data’s risk characteristics. Providing assurance of this requires independent experienced overview and challenge in areas such as design, construction methodology, production control and schedule for delivery.

Service Offering Description

Strategy, portfolio, policy & Governance advice

Project development

Design, manufacture & Delivery strategies

Procurement leadership & Transaction management

Project delivery support & Integration

Risk & opportunity Management

Commercial leadership & Management

Programme, schedule & Production management

Contract dispute & expert witness

Due diligence

Successful projects that deliver real benefits stem from sound policy supported by robust investment decisions.

A well-defined project is essential to success. Many project failures can be traced back to poor project definition.

Effective delivery of projects starts with the selection of the strategy appropriate for the context of the project and the market conditions at the time of its delivery.

Each procurement and transaction needs to be tailored to the specific infrastructure context, objectives and the capabilities of the client’s team.

Project leaders understand that even the best developed plans are likely to require change. Considered advice, to support decision making in the face of these changes, is essential to success.

Although disciplined risk and opportunity management is fundamental to success, it is often overlooked.

In the search for leaner delivery of projects, disciplined cost planning, forecasting and management are essential.

Development, opportunity & risk analysis of programmes / schedules; Detailed analysis of productivity, success & failure analysis.

Defensible expert advice means understanding the relevant contract terms and the factual circumstances in each case rather than relying on the application of formulaic methods.

Detailed review and analysis of projects, programmes and alliances.

APPENDICES

1. Appendix One - Unlocking Value Through Integrated Project Delivery 2. Appendix Two - MeetingQuality

Appendix One Unlocking Value Through Integrated Project Delivery

ABOUT IPD

Integrated Project Delivery (IPD) was formed to offer Client-side advice and support for major and complex infrastructure and construction projects.

We strongly believe that the way that the industry typically delivers projects is not sufficiently focussed on the Client’s interest and offer an alternative approach that brings teams together to outperform expectations and consistently deliver better results.

In Introducing IPD, we set out an overview of the business, how we work and how we add value. Here, we talk in more detail about the challenges Clients are facing in construction and infrastructure, the Integrated Project Delivery Model from which our approach has evolved and the benefits of an Integrated Client Team (ICT).

THE CHALLENGE FOR CONSTRUCTION AND INFRASTRUCTURE

Global technological backdrop

Companies investing in social, commercial, energy and transport infrastructure face unprecedented challenges and opportunities brought about by fi ve major trends in society:

1. Big problems

The problems the UK construction industry is trying to solve with new infrastructure have become larger, more complex and dependent on support from national government, local government and neighbouring communities

2. Robustly networked environments

As we transition from the Industrial Age to the Information Age, advanced information and communication technologies have given everybody unprecedented powers to create, process and share information

3. Ubiquitous data

The industry must deal with massively increased volumes of data and information

4. New forms of organisation

In business, politics and the community, networks are replacing hierarchies and organisations are becoming decentralised

5. Changing and aging demographics

Workforce expectations on conditions and working practices are changing. Due to a lack of innovation and investment, the industry is losing the competitive battle to attract top talent

New approaches are needed

Historic and many current approaches to planning and delivering investments in infrastructure are no longer fi t for purpose:

Business plans are designed to obtain funding for projects rather than to give a true envelope of requirement, resulting in a lack of direction and governance in design and delivery

Common commercial practices create barriers between the people running projects and the knowledge holders or suppliers that deliver the design, manufacture and construction. They impede the flow of accurate information from workfaces to the centre, create layers of disjointed information and act as a barrier to unlocking innovation

Project management practices are cumbersome and unable to process the large volumes of information generated on projects in the time available to allow informed decisions

Centralised project management teams struggle to make sense of evolving situations, develop appropriate corrective actions and communicate them to the team

CLOSING THE PRODUCTIVITY GAP

The UK construction industry has a track record of poor productivity leading to overruns in time and cost, and poor quality delivery.

In early 2017, McKinsey & Company identified that $1.6tn of additional value could be created through higher productivity, meeting half the world’s infrastructure need. Later the same year, the UK’s Office for National Statistics reported the following productivity opportunity.

McKinsey also identified seven key areas for productivity improvement, each with potential improvements aggregating to a possible 27-38% cost saving opportunity.

Construction can improve productivity by taking action in seven areas (McKinsey)

How to achieve change

The UK construction industry will not solve these problems by making incremental changes to existing organisations and practices that traditionally work in silos driving self-interested, self-orientated goals. Nor will we achieve it by ‘cherry picking’ best practice initiatives in isolation.

Instead, project teams should direct their resources towards a new approach, one that integrates organisations who share knowledge, harnesses capabilities, processes and information flows, and offers strong governance and decision-making.

ALLIANCING HIERARCHY

Unlocking Value – commercial considerations as a key enabler

UNLOCKING VALUE

Unlocking maximum value can be achieved by fully deploying the Integrated Project Delivery Model: a delivery system that seeks to align interests, objectives and practices, even in a single organisation, through a team-based approach. It drives our business and offers solutions to many of the challenges our Clients face.

This approach can also assist in delivering other forms of contract, including JCT, NEC and NEC Alliancing, FIDIC and PPC 2000. Our team has experience in all these forms.

INTEGRATED DELIVERY MODEL

CO-LOCATION

COMMON INFORMATION PLATFORM

As the Covid-19 period has demonstrated, co-location does not need to mean the same physical location; technology has evolved to allow teams to work collaboratively in virtual spaces as if side-by- side

All disciplines work as one business unit, creating faster delivery times, lower costs, avoiding disputes and providing a more reliable process for the entire team – which includes the owner. The model combines ideas from integrated practice and lean construction to solve several problems in contemporary construction such as low productivity and waste, time overruns, quality issues, and conflicts during construction among the key stakeholders of owner, designers and contractor.

Unlike the design, procure and build project delivery method which typically places the contractor in the leading role on a building project, the IPD Model is a concept where the entire building team including the owner, design team, general contractor, engineers, suppliers, and subcontractors work collaboratively throughout the construction process.

THE IPD MODEL

The introduction of the Integrated Project Delivery Agreement begins to get to the heart of addressing the inefficiencies and historic poor production challenges that exist within the construction industry. It brings together all the necessary knowledge, skills and expertise in a manner that ensures that individual needs and behaviours are in alignment with project goals.

This Agreement is evolving, however, it generally contemplates the owner, the architect and/or the engineer and the contractor all entering one contract and functioning as a cooperative and collaborative team to design and construct the project with shared risks and rewards. This process and alignment should happen as early as possible in the project to ensure maximum returns.

Key aspects of the Integrated Project Delivery Agreement:

Early involvement of key participants

Rapid prototyping of design options using BIM as a platform, with commercial appraisal and decision-making running in parallel

Shared risk and reward

Collaborative decision-making and control

Jointly developed and validated project goals

Implementation of the principles of lean construction and design for a target cost output, and where appropriate operation and maintenance

It is fundamental that the team leaders understand and buy into the fact that all the above elements are necessary to unlock full potential value.

An integrated team

Shares knowledge, not just information

Leverages each other’s capabilities and skills

Helps every team member do their best

Learns and improves together, not just individually

Displays transparency and honesty as key behaviours

Delivers ‘best for project’ responses to problems

It needs people who have:

Leadership, vision, and mutual trust who work together as a team, and share good and bad news openly and honestly

Intentionally designed and/or engaged in an effective project delivery organisation

Used and are committed to lean thinking and practices that leverage BIM to build virtually and make off-site fabrication and reliable on-site workflow possible

Team members must see themselves as partners who either win or lose together, and not as individual representatives of their home companies.

Fragmented, assembled on ‘just-as-needed’ or ‘minimum-necessary’ basis, strongly hierarchical, controlled

Linear, distinct, segregated; knowledge gathered ‘just-as- needed’; information hoarded; silos of knowledge and expertise

Individually managed and transferred to the greatest extent possible

Individually pursued; minimum effort for maximum return; (usually) fi rst-cost based

Paper-based or 2 dimensional

Encourage unilateral effort; allocate and transfer risk; no sharing

For highly complex projects in particular, where no one business can hope to achieve a detailed understanding of the whole, the Integrated Project Delivery Agreement is a more effective than other forms of contract, while offering the opportunity to more clearly and comprehensively define, measure and monitor project results.

Successful management of major, complex design, procure and construct programmes requires a variety of skills including project planning, development, design, scheduling, cost management, contract law, and excellent communication and relationshipbuilding skills.

Teams

Process

Risk

Compensation / reward

Communications / technology

Agreements

They are seldom found in a single consultant or contractor and are even less evident in individuals or businesses that work in a silo, but they are necessary for effective project leadership to improve the performance of the team, while integration of skills can be facilitated by an external professional facilitator.

To be most effective, the team composition needs agility. As the project moves forward it may require different skillsets at different stages, and the team may require further training. It is also important to bring a facilitator on board or appoint one on a rolling basis.

Key project stakeholders, assembled early in the process, open, collaborative

Concurrent and multi-level; early contributions of knowledge and expertise; information openly shared; stakeholder trust and respect

Collectively managed, appropriately shared

Team success tied to project success; value-based

Digitally-based, virtual; BIM levels 3 - 7

Encourage, foster, promote and support multi-lateral, open sharing and collaboration; proactive risk management, mitigation and sharing where appropriate

“Coming together is a beginning, staying together is progress and working together is success.”

Henry Ford

It is critical to progress the the Employer’s Requirements (ER’s), subsequent design definition and solutions, and the beginning of the Operations and Maintenance (O&M) Manual in a timely manner. If these tasks are left until later in the process and or reverseengineered to match the design, their usefulness as incentives for dialogue and quality measurement indicators is lost.

THE INTEGRATED CLIENT TEAM

Project 13 provides a template for creating an integrated project enterprise to deliver new infrastructure. There are several critical details that must be resolved when establishing the enterprise:

Selection of strategic partners to join the owner’s key staff in forming the core of the enterprise

Commercial relationships with the strategic partners to ensure that the enterprise operates as an integrated and aligned entity

Appointment of key people to lead the enterprise based on ‘best for role’ basis

Commercial relationships with suppliers that align their interests with the owner and the enterprise and that ensure timely availability and transparency of the suppliers’ production systems and current production information

The integrated project enterprise can be drawn from Owner, Key Advisors, Key Suppliers, and Integrator. These parties come together formally to create the Integrated Client Team – which may be called a specific name appropriate to the project, but for the purposes of this document is called the Integrated Client Team (ICT).

Characteristics of an Integrated Enterprise

Consistency for efficiency/ integrate to operate. Do our mandated systems provide efficiency?

Or do we want contractor systems that integrate upstream?

Single integrated Client team (uniform in approach and process)

Main works contractors are on point for delivery (avoiding man marking and duplication)

Leadership at all levels (decision making pushed appropriately down to where it needs to be made)

Assure to ensure (the delivery partner model provides robust compliance through defi ned process)

Client will lead on stakeholder management and will set the communication strategy

INTEGRATED CLIENT TEAM ROLES

The Integrated Client Team (ICT) operates as a single entity where individuals self-identify as the Client. A typical ICT will have the following roles.

Client

Provides a small core team in key leadership roles and some areas of retained specialist knowledge.

Delivery Partner

Provides most of the project and programme management functions. This includes backfill of Client roles where needed and a range of services.

Technical Partner

Retained to provide access to critical technical expertise, particularly in design governance.

Commercial Partner

Provides dedicated independent commercial and cost management at programme level throughout the project lifecycle and within each works package as a separate contract.

Delivery Partner

IPD often works as a Delivery Partner for Clients, creating and integrating the ICT for all project phases, including health & safety, technical, commercial, governance and delivery advice.

We often provide some of the core leadership within the ICT, playing a leading role in managing the delivery on a cross-programme basis as well as facilitating and resourcing Package, Finance and Commercial Director roles if required.

The Delivery Partner role covers the following stages of the project lifecycle:

Preparation for the delivery phase including key contract development

Futureproofing and preparation for future technologies

Supporting procurement of main works or trade contractors

Integrating how the project is to be delivered operated and maintained, into what is being designed

Overseeing mobilisation of main works or trade contractors

Construction delivery

Commissioning into operation, integrating the design to meet buildability and operational and maintenance economies as well as Client goals

Technical Partner

The Technical Partner completes the preliminary design, procurement support, specifications, and then assists in pulling together Main Works Contract Scope before the Delivery Partner is appointed.

The Technical Partner is responsible for developing the programme and integrated testing and commissioning plan, and then assuring coordination with the contractors’ plans to successfully deliver the project into the operational phase.

The Technical Partner must embrace both how the project is to be delivered and consider operation and maintainability issues in the design execution.

While the Delivery Partner provides systems, processes and resources to inspect, witness and assure delivery against these assurance plans, the ongoing Technical Partner services will primarily focus on providing technical and systems engineering support along with several other residual functions.

Commercial Partner

The Commercial Partner is active across all phases of project delivery, working in collaboration to provide consistent cost and commercial advice.

The Commercial Partner leads on commercial and contract management while the Delivery Partner supports the Client in the commercial mobilisation of the main works contractors.

In addition, and if requested, the Delivery Partner can help develop the project contract management plans and provide support in contract and cost management.

STAKEHOLDER ALIGNMENT

In order to establish the Integrated Project Delivery Model, projects will usually follow a series of process steps from conception to close out to develop and form the integrated processes and information flows that align with the business plan. This integration should extend to all other processes used to deliver the project, to ensure timely flows of accurate information. It requires several levels of business planning:

Strategic Business Plan – sets out the business case, defines the outputs and outcomes to be achieved and can be revised to accommodate changes in circumstances

Dynamic Master Plan – defines the elements of work, the relationships between them, the overall schedule and the cost plan. It must be flexible enough to be revised quickly when circumstances change

Production Systems – for each element of work based on standard production modules and with arrangements for planning and measuring production on site

Information Architecture – common to all of the processes it should enable the flow of information throughout the team in real time

INTEGRATED GOVERNANCE AND DECISION MAKING

Recent problems on several high profile infrastructure mega-projects show what happens when project teams fail to detect and respond quickly enough to events or to changes in circumstances. Effective governance of projects is based on a shared awareness of the status of the project and delegation of responsibility for decisions to the appropriate level. This requires:

Information – about production and about the project environment to be provided to all parties in real time using common information architecture

Sense-making – a process that receives information, analyses it to understand the current situation, compares it with the plan and develops options for corrective actions. It should operate at all levels in the command and control system

This needs to happen across the levels of planning:

Clarity of responsibilities and authority levels – for adjusting plans and actions to respond appropriately to situations that arise. These adjustments should be made at the lowest possible level in the project organisation to encourage autonomous action

PROJECT DELIVERY PROCESS

From our experience of delivery process and organisations, we understand that no one size will fit across a portfolio. We therefore design and promote platforms agnostically to avoid limiting Client choice while fulfilling their needs and integrating with their wider programmes.

Strategies developed outside the project environment

Standard products

Standard processes

Digital technology

Integrated supply networks

Integrated production system

Key enabling activities for a product platform

Creating the right enabling environment

Developing long term supplier relationships

Establishing the right governance and empowerment levels

Strategies developed in the project environment

Design for Manufacture and Assembly (DfMA), Operation and Maintenance (O&M)

Optimised Logistics

Lean Production Management

Developing high performing teams

INTERNAL AND EXTERNAL ORGANISATION AND PROJECT DECISION-MAKING

Building the case for a Collaborative Delivery Model

Strategic evaluation of integrated models

Initial decision to adopt integrated delivery principles

Strategic Business Case

Owner Executives

Key Stakeholders

Organisational Leaders

BUILDING STRATEGIC COMMITMENT

Awareness and alignment within wider network

Maintaining wider internal organisational understanding of integrated delivery

Developing communities within the network

Organisational ‘champions’ with the network

Change agents (pan-supplier networks)

MAINTAINING THE ENTERPRISE NETWORKS

Evaluation (Maturity Assessment; Strategic Roadmap)

Outline Delivery Model Design

Implementation Plan

Organisational Leaders

Change Agents

Senior Stakeholders

Delivery Partners

Enabling a Collaborative Delivery Model Internal Strategy & Decision-making

DEVELOPING AN IMPLEMENTATION PLAN

Implementation Planning

Change Management

Detailed Design

Organisational Leaders

Delivery Teams

Wider Stakeholders

Delivery Networks

CREATING THE INTEGRATED DELIVERY ENTERPRISE

Commit to Preferred Delivery Model

CREATING THE RIGHT ENABLING ENVIRONMENT

Creating the right enabling environment for a product platform can only be achieved through the integration of nine key strategies. The IPD team champions these strategies in all its work and has the skills and experience to develop, deliver and mature them.

Initial decision to adopt integrated delivery principles is crucial for a sustainable enterprise.

Embedding these principles in the business model by securing executive support sustains the enterprise.

Carrying out a maturity assessment and implementing an outline delivery model with all stakeholder engagement starts the enterprise on the right footing.

Successful facilitation of planning, design, production and delivery often requires external guidance to maintain alignment and guard against poor behaviours.

Developing the product and process platform to be agile is critical for a sustained business model in this environment.

A project is the culmination of strategies developed outside and inside the project environment.

Organisation structure, leadership and goals must be aligned with the strategic intent to implement a delivery system.

Early engagement of relevant knowledge is critical and enables the design to be driven by the delivery system requirements (the ‘how’ drives the ‘what’).

Monitoring performance, learning from experience and implementing improvement through lessons learnt, radically increase reliability and productivity.

The use of technology to visualise, communicate, practice, gather and simplify data is a fundamental enabler. Using a digital twin is a key component.

The practices and behaviours ingrained in the supply chain need to change to align with a delivery system and the engagement approach needs to enable and support this.

Ensuring the right governance

STANDARD PRODUCTS

Digital product catalogues allowing component, sub- assemblies and assemblies to be digitally integrated within common information structure

DFMA/O&M

DfMA Strategy adopting Manufacturing Agnostic Design (MAD) optimising safety by design and off-site construction and considering Operation and Maintenance (O&M) from concept stage

OPTIMISING LOGISTICS

Configuring optimal manufacturing and assembly processes, with logistic centres and on line delivery systems

DIGITAL PROTOTYPING & OPTIMISATION

Digital twins enabling integrated information management, prototyping, visualisation, and digital rehearsal of build and operation

INTEGRATED PRODUCTION SYSTEM (PLATFORM DELIVERY)

Integration of key strategies to enable platform delivery

STANDARD PROCESSES

Development of standard processes and standard work to optimise commonality and repeatability through all aspects of delivery

INTEGRATED SUPPLY NETWORKS

Reconfiguring supply networks for Product Delivery and DfMA within an integrated assembly process

DEVELOPING HIGH PERFORMING INTEGRATED TEAMS

Development and maintenance of high performing integrated delivery teams, including strategic partners and suppliers

LEAN PRODUCTION MANAGEMENT

Adoption of production control tools and techniques to drive reliability and productivity through all stages of delivery

Enabling the right environment

Although the Integrated Project Delivery (IPD) Model is a collaborative project delivery method, the owner has a specific and fundamental responsibility to set and align the expectations of all owner stakeholders.

The alignment process will involve selecting an appropriate IPD Model structural and business agreement from various options, choosing an initial IPD Model contract agreement, and identifying genuine issues that must be considered when developing the IPD Model agreement.

In most instances, the internal alignment process will lead directly to the creation of an owner/project tailored IPD Model agreement that can be used to support the team selection process.

The IPD Model agreement will need contract models or ‘clause configurators’ that support supplier engagement across the project supply chain.

Our view is that establishing the right environment for a programme of works is a prerequisite for success and part of that environment is created by the contracts, which in turn, drive behaviours. Properly drawn contract clauses create better behaviours that:

improve communication provide incentives for doing what parties have said they will do while creating more value give parties a full understanding of the Client’s goals

Examples of major key aspects differences between a transactional/traditional contract and an IPD Model collaborative contract are shown below.

1 Scope The Main Contractor often defi nes their interpretation of scope through a schedule of work

2 Specification Recommended and arm’s length standards to be achieved

3 Cost Fixed within scope limits

4 Time Fixed within scope limits

5 Risk & Reward Risk devolved/assigned to other parties and can be unclear: reward is often one-sided

The scope defi nition is co-created

Designed for an outcome

Procured for an outcome: a ringfenced profi t pot increases incentive to focus on reducing cost

With more effort expended on completing higher percentages of design before work commences, risk is reduced and therefore the outcome is more certain

Open book: profi t increases as cost is reduced through profi t share, hidden contingencies are removed and replaced by an openly managed cost base, parties rely on each other to perform and transfer of scope is based on the greater project good: in the case of risk realised or change the Client agrees to pay for the variable costs but not the profi t. Risk is openly managed and assigned to the parties best able to control the risk

The common denominator in moving from transactional to collaborative contract forms is that better definition of scope is created prior to construction commencement. As a result all parties have clear alignment with Client requirements.

In collaborative contract forms extant/unassigned risks are accepted by the Client, allowing the main contractors or suppliers to reduce contingency allowances within their pricing. This in turn encourages a focus on the elimination of waste resulting in cost reduction.

A proportion of the cost reduction finances a shared reward pot which is distributed to enhance participants profi ts.

This approach works because:

Suppliers are in a competitive environment. ‘Catching the wave’ of a new approach will be attractive if they are convinced of its longevity in the marketplace – a first mover advantage in securing work will be an enabler to focus their engagement.

Success is contagious. It is important to acknowledge and celebrate achievements. Creating a positive environment is an attractor to suppliers and the successes can be marketed by them to assist their business to develop.

A collaborative environment assists in staff retention whereas transactional contracts often drive conflict increasing staff attrition rates.

COST REDUCTION & PRODUCTIVITY IMPROVEMENT

According to the 2018 industry report, Construction Disconnected, the evolution of data presents opportunities and challenges for the industry:

96% of all data currently goes unused in the construction and infrastructure industries

13% of working hours are spent looking for project data and information

8% of firms have what they call realtime, full project management systems that allow dashboard reporting

A risk of integrating of existing and new systems is that in some legacy systems data is superficial and transactional in nature, not transformed into useful information to help users make better decisions.

If a data management system does not properly consume and publish high value production data with sound provenance, the risk is that teams will work in transactional modes, use outdated or incorrect information, proliferate detrimental conditions (service conflicts, duplications, erroneous data, and gaps), revert to incompatible silos of work efforts, and ultimately increase the adversarial relationships that conventional processes guarantee.

IPD has extensive experience and use of proven, innovative software tools to support integration and automation between legacy systems, align disparate supply chain systems and leverage the significant data that is produced.

We advise that the ICT needs to set the target within its team to improve/maximise efficiency and effectiveness of business and project process using open source/APIenabled management software platforms such as Microsoft Azure.

This requires focus on four key areas:

1. Identification of early risk detection through predictive analytics

2. Tracking equipment

3. People and productivity measures

4. Integrating software platforms and developing real-time insights and dashboards

We regularly include open source/APIenabled management software in our data management and decision-making machine learning platforms.

Benefits to construction and infrastructure from big data management

Operations planning – optimised production planning allows for improved profi tability, better asset utilisation and full transparency

Process optimisation – increased yield and product quality, combined with reduced production costs

Supply chain management – full control of the complete supply chain allows just in time delivery, traceability and reduced inventory

Logistics – tracking products in transit for location, temperature and vibrations, secure product availability and quality throughout the whole logistic chain to the end customer

Digital infrastructure – an integrated communication and computing infrastructure allows asset and operational data to be accessed visualised and analysed for improved performance

Asset management – asset health predictions improve availability and reduce maintenance cost

Mobile workforce – connectivity and mixed reality technologies enable offsite manufacturing and onsite assembly and increased workforce performance thanks to improved communication and information sharing across operations

Health and safety – analysis of alarms, video analytics and mobile information to the workforce all improve the safety for workers and environment as well as planning and situational awareness

Cost management – capture of high-quality data enables real-time KPI and cost validation

Operation and maintenance – capturing data and feeding the design with these analytics

Our team has extensive, front-line experience of applying the Integrated Project Delivery Model systems and skill-sets. We understand the behavioural, physical, technical and contractual challenges and barriers to implementation and how to overcome them. We understand how to adapt and configure these systems/skills individually and as a collective matrix to support complex projects, mega-projects and/or businesses.

OUR ROLE

With the Government driving change across the industry post-Covid and a wider expectation on the sector to improve, IPD has the proven experience, capability and capacity to respond.

We provide independent assessments and advice directly to Clients. We optimise Clients’ resources before supplementing with our own. We join teams at programme inception to help shape projects for success, or during execution when challenges become apparent. We invest time listening to Clients and understanding their businesses, projects and aspirations as well as the challenges they are facing and the opportunities they could exploit.

We support Clients in three different ways:

1 Guidance

An overview role with day-to-day steering

2 Hands-on

We become part of the Client’s team(s) to drive a better outcome

3 Turn-key

We stand in the Client’s shoes having agreed parameters up front

We readily partner with existing teams or trusted specialist professional consultancies to enhance delivery of complex solutions while maintaining a single point of contact for the Client.

Above all we reinforce our Clients’ ability to maintain control of every aspect of their project – from cost, programme and delivery to quality and safety.

Within these options we undertake a range of roles, sometimes starting in one and migrating to another as the project evolves.

Complex projects and medium to large portfolios are particularly well suited to the Integrated Project Delivery Model approach, with integrated materials management, information and data management technologies (including 4D) all leveraged to improve outcomes.

As a Key Advisor or Integrator, IPD enables efficiencies across Key Suppliers, regularly sitting as part of the owner’s core team or at the round table Integrated Client Team (ICT) forum.

We can also provide a mixture of thought leadership and commoditised services such as information system architecture to successfully enable the sustainable environment of main contract delivery and create a legacy of processes for future Client projects.

Appendix Two MeetingQuality

About MeetingQuality

• MeetingQuality is a cloud-based tool that quantifiably measures the effectiveness of meetings, the engagement of key stakeholders, the health of projects and multiple other aspects.

• MeetingQuality technology generates additional insights to improve individual and organisational outcomes. It measures individual and team performance, key achievers and influencers, Course Correction, Culture, Risk Appetite, Board Effectiveness, Business Relationship Compatibility, Strategy, and Gender Diversity Feedback Comparison. MeetingQuality encourages appropriate Workplace Behaviour, discerns Customer Intention, links Cluster Groups

• Since its inception in 2012, MeetingQuality has become a predictor of Project Success Probability, Organisational Culture, Key Performance Indicators and Customer Experience. It is a growing global meetings feedback platform, applicable across and between all business types

• MeetingQuality has a number of International PCT Patents with a number pending.

• MeetingQuality uses three indicators to measure, predict and remediate project problems that can arise from individual team interactions.

• MeetingQuality uses a number of forms of data analytics and AI to carry out sentiment analysis, create visual representations of feedback etc.

• Feedback is anonymous and securely stored on MeetingQuality servers, not on an organisations servers. 1

Why MeetingQuality

● Advanced AI and behavioural analytical tools applied to measuring and shaping projects.

● Use of 4 AI Engines (Watson, Microsoft Machine Learning, ChatGPT and similar [Bard, Claude] and our deep learning models)

● Continuous measurement with real time results

● Forefront of behavioural thinking as applied to projects with multiple PhD thesis

● Forefront of Meeting Science thinking with current research in conjunction with Dr Joe Allen (the foremost researcher in Meeting Science) from Utah University

● IP Protection with US Complete Standard Patent 17/051,492 receiving a notice of allowance received 10 May 2023. European, Australian and Singapore pending.

● Simple to install. Does not require the assistance of the customer’s IT team or servers

● Highly flexible. MeetingQuality is a platform which is specifically written to add or subtract measurements quickly

● Proven track record. The company was started in 2014 with major clients in the UK and Australia

● GDPR and CCPA (California Consumer Privacy Act) compliant

The benefits of adopting and using MeetingQuality and newPM®

● Multiple inter-related and layered benefits primarily for the team leader (e.g. Programme Director)

○ Real-time insights on multiple aspects of the project and the opportunity to intervene and assess the impact on the team, process and decisions to improve the chances of success

● In addition:

○ Individual team member – opportunity to share openly / be heard, better understand others perceptions

○ Team – basis for open discussion

○ Organisation – opportunity to identify issues early and ensure action is taken to increase confidence of success

● Specific use cases

○ New projects – ensuring projects are set up and functioning effectively from the start

○ Projects of concern – identify underlying issues and have a means of assessing the improvement interventions

○ Development of Steering Groups (or similar governance bodies) - where perceptions are critical to understand and a need to encourage positive behaviours

Example MeetingQuality elements (Projects elements)

● Quality of the meeting

● The contribution of other team members

○ Indicator of the quality of relationships (not typically introduced if there are existing issues within the team)

● Perception of the Vision and Probability of Success of the project*

● Assessment against key performance metrics*

○ Typically covering hard and soft aspects of the project

● The productivity and sustainability of the working practice*

○ Also the impact of remote or office working

● The profile of the team

○ Including Personal assessment and Observed from other team members

● The feedback from the team

○ Providing the opportunity to assess Emotions and visually present this through Emojis, Wordclouds and Picasso

How MeetingQuality Works

• MeetingQuality is easy to set up as it requires only an additional email to be added to the meeting invitation

• At the start of a meeting or workshop each attendee is sent an email with a link to the ratings sheet.

• People are given typically 24 hours after the end of the meeting to provide the ratings and feedback.

• Individual anonymous contributions are quantified and other analysis carried out and an automated report is sent to all attendees at the end of the 24 hour period.

• The MeetingQuality Partner uses the attendees report materials and additional more extensive analysis from the MeetingQuality Portal to create a report which is then talked through with the client and actions agreed (example below).

Examples output from an existing client

newPM - augment and integrate human-centric data with existing project performance data and reporting to shape decision making in real time to predict project outcomes

Multiple short videos explaining what newPM is at www.teamanimation.co.uk If you would like to discuss the value of piloting on our projects, please contact donnie@teamanimation.co.uk.

Shape and enhance decision making

Augment and integrate with existing controls data to provide fresh insight in particular around risk and variance - newPM

Benefits from current UK IPA Pilot on the Transforming Infrastructure Performance Programme

● Opportunity for people to share anonymously

● Better individual and collective understanding of the team

● A basis for open dialogue within the team

● A near real-time snapshot of sentiment, perception and suggestions

● Insights identified and evidenced and monitored over time

● Trends identified, actions agreed and impact monitored to improve our ways of working and productivity

● Early / lead indicators for what may cause risk, issues and variance to what we are delivering

The opportunity for UKAEA

● The human or people dimension covers the, as yet, untapped data stream that is either not considered, used in a limited way or the value understood on projects, in particular mega-projects

● Through advances in data analytics and the now easy availability of AI tools there is an opportunity to mine this stream of “dark matter” data to provide project team members, leaders and sponsors insights to aide their decision making and therefore improve project delivery and critically productivity as people will be able to achieve more from less effort through greater insight, improved relationships etc.

● The intention is to use the feelings and perceptions of people that are often strong “lead indicators” for variance and risk around key “hard” project performance metrics such as budget, schedule, benefits etc

● There are multiple use cases for professionals that will benefit from the use of human centred data that can improve how we:

- collaborate at the relationship, team dynamics or organisational culture level

- take into account the diversity of thinking and approaches (again at an individual, team or cultural level) to improve our structures and processes around the delivery of projects

- predict the impact that aspects such as bias, psychological safety and self-interest as well as the 2 previous points have on the decisions made around how we define success – timescale, costs, benefits etc.

● Ultimately aiming to predict and allow us to simulate and test outcomes on projects that will help decision making on major projects.

● We have built on the functionality and insight offered by MeetingQuality to now integrate human-centric data with existing project performance data and reporting to shape decision making in real time to predict project outcomes -