The NHS in Wales - Constructing Excellence
The NHS in Wales - Constructing Excellence
The NHS in Wales - Constructing Excellence
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DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong><br />
CYNLLUN Oes: ADEILADU AR GYFER Cymru<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Designed for Life: Build<strong>in</strong>g for<br />
<strong>Wales</strong><br />
Patrick Riordan, Deputy Director<br />
Welsh Health Estates<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
What is the <strong>NHS</strong> <strong>in</strong> <strong>Wales</strong> do<strong>in</strong>g?<br />
• Integrated supply cha<strong>in</strong>s<br />
• Collaborative work<strong>in</strong>g<br />
• With<strong>in</strong> a Framework environment<br />
• Partners selected on capability (and cost<br />
competitiveness)<br />
• Long-term relationships (to support cont<strong>in</strong>uous<br />
improvement)<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Designed for Life :<br />
Build<strong>in</strong>g for <strong>Wales</strong><br />
Collaborative work<strong>in</strong>g environment<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Designed for Life :<br />
Build<strong>in</strong>g for <strong>Wales</strong><br />
Framework Manager<br />
Collaborative work<strong>in</strong>g environment<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Designed for Life :<br />
Build<strong>in</strong>g for <strong>Wales</strong><br />
Framework Manager<br />
<strong>NHS</strong> Trusts<br />
(15 No.)<br />
Collaborative work<strong>in</strong>g environment<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Designed for Life :<br />
Build<strong>in</strong>g for <strong>Wales</strong><br />
Framework Manager<br />
Project manager<br />
framework<br />
(3 No.)<br />
Supervisor<br />
framework<br />
(3 No.)<br />
<strong>NHS</strong> Trusts<br />
(15 No.)<br />
Cost advisor<br />
framework<br />
(3 No.)<br />
Collaborative work<strong>in</strong>g environment<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Designed for Life :<br />
Build<strong>in</strong>g for <strong>Wales</strong><br />
Framework Manager<br />
Project manager<br />
framework<br />
(3 No.)<br />
Supervisor<br />
framework<br />
(3 No.)<br />
<strong>NHS</strong> Trusts<br />
15 No.<br />
Cost advisor<br />
framework<br />
(3 No.)<br />
National Cost Advisor<br />
(1 No.)<br />
Collaborative work<strong>in</strong>g environment<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Designed for Life :<br />
Build<strong>in</strong>g for <strong>Wales</strong><br />
Framework Manager<br />
Project manager<br />
framework<br />
(3 No.)<br />
Supervisor<br />
framework<br />
(3 No.)<br />
<strong>NHS</strong> Trusts<br />
(15 No.)<br />
Supply Cha<strong>in</strong> Partners<br />
(3 No.)<br />
Cost advisor<br />
framework<br />
(3 No.)<br />
National Cost Advisor<br />
(1 No.)<br />
Collaborative work<strong>in</strong>g environment<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Designed for Life :<br />
Build<strong>in</strong>g for <strong>Wales</strong><br />
A typical<br />
Supply Cha<strong>in</strong><br />
Partnership<br />
Constructor (1No)<br />
Health Planners (3 No.)<br />
Architects (3 No.)<br />
Civil and Structural Eng<strong>in</strong>eers (3 No.)<br />
Build<strong>in</strong>g Services Eng<strong>in</strong>eers (3 No.)<br />
Plann<strong>in</strong>g Supervisors (3 No.)<br />
Cost Managers (3 No.)<br />
Build<strong>in</strong>g Services Subcontractors (3 No.)<br />
FM advisors (3 No.)
Designed for Life : Build<strong>in</strong>g for <strong>Wales</strong><br />
• Mandatory<br />
• Threshold level over £5m<br />
Framework Ground Rules<br />
• Initial Framework 4 years with option to extend by 2<br />
years<br />
• Regional frameworks to cover projects below threshold<br />
to be set up after 2 – 3 years<br />
• Implement ma<strong>in</strong> framework by June 2006<br />
• Welsh Health Estates to manage Framework<br />
Agreement<br />
• Trusts to enter <strong>in</strong>to contract with their selected partner<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Supply Cha<strong>in</strong> Partner<br />
SCP<br />
SCM<br />
Collateral Warranties<br />
Framework Agreements<br />
PM<br />
NEC3: Option C<br />
Target Contract<br />
National<br />
Assembly for<br />
<strong>Wales</strong><br />
S<br />
<strong>NHS</strong> Trusts<br />
Term Contract<br />
TCA<br />
Professional Services Contract<br />
National Cost Advisor<br />
Support Frameworks<br />
Designed for Life: Build<strong>in</strong>g for <strong>Wales</strong><br />
Contractual Arrangements<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
How we are organis<strong>in</strong>g ourselves<br />
Strategic Framework Board<br />
Framework Directors Group<br />
Key Account Managers Group<br />
Design & Construction Group Commercial Group Process & Procedures Group<br />
Work<strong>in</strong>g Group(s) Work<strong>in</strong>g Group(s) Work<strong>in</strong>g Group(s)<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Purpose of mak<strong>in</strong>g the change<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Designed for Life<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Designed for Life :<br />
Build<strong>in</strong>g for <strong>Wales</strong><br />
Capital Expenditure Budget for <strong>Wales</strong><br />
2004/05 £107 million<br />
2005/06 £146 million<br />
2006/07 £220 million<br />
2007/08 £309 million<br />
2008/09 £309 million<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Look<strong>in</strong>g back why was it necessary<br />
to make these changes?<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
<strong>NHS</strong> experience of the construction<br />
<strong>in</strong>dustry<br />
• Limited collaboration across the supply cha<strong>in</strong><br />
• Contractors and suppliers make no, or very little,<br />
<strong>in</strong>put <strong>in</strong>to design<br />
• Selection on the basis of lowest capital cost<br />
(usually on an <strong>in</strong>complete design)<br />
• Short term relationships<br />
• Adversarial contract<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Result<strong>in</strong>g <strong>in</strong> hospital projects that…<br />
• Cost more than budgeted<br />
• Are usually delivered late<br />
• Have poor functionality<br />
• Have no time or cost certa<strong>in</strong>ty<br />
• Are of variable quality<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
And result <strong>in</strong><br />
• Low profits<br />
• An <strong>in</strong>dustry vilified by clients and unable to<br />
attract enough good people<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
Our aims<br />
• Value for money<br />
• Certa<strong>in</strong>ty of delivery <strong>in</strong> terms of time and<br />
cost<br />
• Consistent delivery of quality <strong>in</strong> both<br />
design and construction<br />
• Cont<strong>in</strong>uous improvement<br />
• Better management of risk<br />
• Optimis<strong>in</strong>g the delivery of susta<strong>in</strong>able<br />
development<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
<strong>The</strong> proof of the pudd<strong>in</strong>g ……<br />
• Got off to a good start<br />
• First review <strong>in</strong> January<br />
• Key is to change culture<br />
DESIGNED FOR Life : BUILDING FOR <strong>Wales</strong>
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