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June 2020

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“At a macro level it can no longer be acceptable

or practical for risk to be cascaded down the

chain, it must be shared; be it insurance risk,

liquidity risk, credit risk or reputation”

issues contribute to us facing a “Perfect Storm”,

and we are racing towards it, full throttle.

The firms who will survive this maelstrom must

first, and above all else, place real value on their

teams and their people. It is impossible to over

communicate in the current climate, particularly

with large swathes of the workforce being remote.

Whilst many sites are working, process

challenges, which were once easy to deal with

prior to the physical issues and remote working,

abound. Yes, existing tech is helpful to a point,

but construction is so far away from being a techdriven

industry. Organisations must prioritise

technological advancement throughout the supply

chain and, in order to achieve it, have the

available margin to make that significant

investment. Firms must show significant

resilience and prioritise our purpose, and

communicate that clearly to employees first, but

also clearly to clients and end users, and they

must have the relevant collateral to do so.

“The sector cannot

continue with a simple

‘win the job, do the

work, get paid, on to the

next’ attitude, hence

behaviour will be king”

At a macro level it can no longer be acceptable or

practical for risk to be cascaded down the chain,

it must be shared; be it insurance risk, liquidity

risk, credit risk or reputation. To survive, the

industry must work together and all risks must be

shared appropriately and proportionally through

the chain, with the client fully aware and bought

in. We must be fully invested in desired client

outcomes and the sector cannot continue with a

simple “win the job, do the work, get paid, on to

the next” attitude, hence behaviour will be king.

That behaviour should represent what your brand

stands for – to proudly carry like an Olympic

torch – to be there to assist and to actively

collaborate.

“The procurement

process must be based

around demonstrable

capability,

accreditation, safe

methods of working to

specific quality

standards”

Service over cost

Since there will undoubtedly be less money in the

chain, there is a huge risk of “value engineering”

requests, some of the results of which we have

tragically seen. Public body procurement must

lead the way here, where service is prioritised

over cost, and the whole supply chain is engaged

at the beginning. Frameworks where “cheapest

wins” are going to see contractors fail faster and

in a more widespread fashion when firms buy

work then cannot meet the liquidity requirements

and the resultant effect this has on the rest of the

chain. Value must be placed on specialist subcontractors,

not JCT contracts with dozens of

one-sided amendments.

We can, though, look at “whole life value” on

projects rather than the headline tender price, but

to do so, the supply chain must be engaged with

each other right at the very start for all to benefit

from one another’s expertise. Let’s be absolutely

clear, if a firm “wins” a tender with a price 10%

lower than everyone else’s, that should set off

alarm bells, and not be something to be

Complete Roofing Systems recently carried out works on

Stockport Grammar School installing a Bauder flex felt

system including an AP2 cap sheet and XF301 sedum

blanket.

celebrated as a saving on the job, since it is likely

to translate to a financial problem or other risk

item down the line. The procurement process

must be based around demonstrable capability,

accreditation, safe methods of working to specific

quality standards and the guarantee of following

manufacturer installation instructions where

systems work together rather than in isolation.

For a firm to survive going forward, it must

decline requests to amend a spec to save money

without empirical evidence that a whole system

can work with a cheaper element and, crucially,

with the components of the build which have

already been designed and meet relevant

standards. The sector as a whole must move

away from a transactional model and be far more

service based.

What is required to drive this change for the

benefit of all? Clear and pragmatic leadership

across all levels of the supply chain. Not just lip

service, which makes a flashy headline and an

increase in Twitter followers, but clear intent from

leaders at all points in the chain – we all have a

part to play. We will never have a better and more

urgent opportunity to do this.

Contact Complete Roofing Systems

01925 813554

www.completeroofingsystems.co.uk

JUNE 2020 TC 23

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