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Contractor’s Column<br />
An Integrated Supply Chain<br />
where does the contractor fit in?<br />
Tony Burke, Managing Director at Avonside Group Services<br />
Similarly, organisations throughout the supply chain<br />
are looking creatively at security of supply and also<br />
ways in which they can align production resources. At<br />
face value this approach should be welcomed – but<br />
again, if this brings about conflict and disruption to<br />
the supply chain, and looks to fragment the way in<br />
which the industry operates, stripping resource rather<br />
than increasing it, then the long term impact will be<br />
disruptive rather than positive.<br />
The existing supply chain, of manufacturer, contractor<br />
and client, has worked well and served the industry<br />
over many decades. It has only failed to deliver where<br />
industry and government have in the past taken a<br />
short term view and allowed house building<br />
programmes to suffer on the winds of uncertain<br />
economic conditions.<br />
I would contend that this is not because of the way<br />
the supply chain operates, but that it has had to self<br />
regulate, with the loss and abandonment of a massive<br />
skills base that cannot be quickly or easily replaced.<br />
The existing route to market works best where an<br />
integrated approach is developed between all parties,<br />
sharing medium-term plans, working closely to<br />
accommodate new regulations and working standards<br />
and sharing expectations so that all parties can deliver<br />
and prosper together, In short, an interdependent<br />
existence.<br />
So whilst new innovation will always be welcomed,<br />
we should not look to make change for changes sake,<br />
but instead continue to invest in greater numbers and<br />
increased skills across all areas of the supply chain –<br />
nowhere more so than in the contracting sector where<br />
companies large and small provide the manpower to<br />
actually deliver the build programmes for new housing,<br />
The call to all other parts of the chain is to work with<br />
us, not against us. Keep us informed of material supply<br />
issues so that we can help manage the process with<br />
clients, and if, as looks likely, there is inflationary<br />
pressures coming into the supply chain, accept that<br />
those are legitimate cost rises, rather than squeeze the<br />
contractor who sits in between manufacturer and<br />
client; because the unfortunate consequence of such a<br />
change is likely to be a reduced, rather than an<br />
increased, contractor base to meet future demand.<br />
Enquiry 3<br />
So, a few months after the Brexit vote, the UK economy continues to defy the<br />
naysayers within the Westminster/City bubbles. Whilst the devaluation of Sterling will<br />
ultimately bring inflationary pressures to bear, Mr and Mrs Average Briton quietly go<br />
about their business as usual, with no discernable deterioration in consumer<br />
spending, which includes larger ticket items such as motor cars and even new<br />
houses.<br />
The UK Government, whilst saying little publicly about its intentions ahead of the<br />
Autumn Statement and, more tellingly, the Brexit negotiation stance, has been widely<br />
trailing the intention to prime the UK economy through a Keynesian approach that<br />
will include accelerated investment in UK infrastructure – including housing.<br />
Indeed, in the new housing arena we are starting to hear suggestions of some<br />
different approaches: some, such as the encouragement of modern methods of<br />
construction are not new, but to see some tangible evidence of a government policy<br />
that actively encourages this type of solution is to be welcomed. Other, more recent,<br />
suggestions, that we are to embark on a strategy to replicate the post war ‘prefabricated<br />
home building’, are particularly interesting, partially because it suggests a<br />
scheme of some scale, but also to hear how government anticipates building the<br />
supply chain that delivers such ambitions.<br />
As one of the many trades that make up the delivery element of any house building<br />
supply chain, roofing contractors have a key role to play. We have exercised the<br />
arguments and routes to new recruitment and training many times in this column,<br />
and elsewhere, over the last years, so it is not my intention to rehearse them again.<br />
Instead, I would like to explore what the role of the contractor should, or could, be, in<br />
an integrated supply chain.<br />
As the ‘jam in the sandwich’ between manufacturer and developer, we are the first to<br />
have to cope with issues such as supply shortage, although we are often the last to<br />
find out about any such problems – surely we can play a more positive role in<br />
managing this kind of issue; if we are part of the conversation we can be part of the<br />
solution.<br />
Enquiry 36<br />
Enquiry 5<br />
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