Topic: Supply chain

By Myrna Rickards
March 19th 2025

Trends in major project procurement Full Report

 

It is not only the UK government that is linking increased spending on infrastructure to growth and addressing key economic, environmental and social challenges.  Across the globe there is ever growing demand for new energy sources for use in new locations, achieving climate resilience, addressing social mobility and urban renewal and all within a context of digital transformation.

As noted in other recent MPA events, funding is a key enabler for this increased spending (Developing new funding models for major infrastructure, 16 January 2025).  But, there is little value in having funding if those who will design, develop and deliver the required infrastructure cannot be sourced and put to work.  This is particularly the case for major projects where the supply base is often global and is able to pick and choose where it wants to deploy its resources.  In simple terms, it is increasingly as case of a “sellers’ market”, so how do project clients secure the resources they require within financial and regulatory limits.

This full-day seminar will explore at trends in the procurement of goods and services for major projects both within the UK and globally.  It will address:

  • Global Perspective – what trends in procurement can we see in other markets that may have relevance here in terms of adoption and/or impact in securing appropriate suppliers for UK projects?
  • How a major project client is securing innovation, productivity gains and greater certainty in delivery through procurement.
  • Legislative changes within the UK and how this could impact supplier landscape from a supplier perspective.
  • The supplier landscape, including constraints, market shaping, market creation opportunities, change in balance of power (sellers’ market).
  • How clients can address the challenge a changing power-balance and still ensure responsible procurement addressing wider social and environmental considerations.
  • Implications of the increasing use of AI in procurement for example:
    o If all bidders use similar AI how do we know what they can do rather than the AI says they can do?
    o AI tools reviewing bids generated by AI.
    o Could choice decline as bidders just focus on those bids where they’ve a higher probability according to the AI?

The exploration of these topics will also provide a foundation for another full day seminar in November on the ‘Rise of the Delivery Partner’ as a particular global trend that is being increasingly adopted within the UK.

By Myrna Rickards
March 19th 2025

Trends in major project procurement Highlight Report

 

It is not only the UK government that is linking increased spending on infrastructure to growth and addressing key economic, environmental and social challenges.  Across the globe there is ever growing demand for new energy sources for use in new locations, achieving climate resilience, addressing social mobility and urban renewal and all within a context of digital transformation.

As noted in other recent MPA events, funding is a key enabler for this increased spending (Developing new funding models for major infrastructure, 16 January 2025).  But, there is little value in having funding if those who will design, develop and deliver the required infrastructure cannot be sourced and put to work.  This is particularly the case for major projects where the supply base is often global and is able to pick and choose where it wants to deploy its resources.  In simple terms, it is increasingly as case of a “sellers’ market”, so how do project clients secure the resources they require within financial and regulatory limits.

This full-day seminar will explore at trends in the procurement of goods and services for major projects both within the UK and globally.  It will address:

  • Global Perspective – what trends in procurement can we see in other markets that may have relevance here in terms of adoption and/or impact in securing appropriate suppliers for UK projects?
  • How a major project client is securing innovation, productivity gains and greater certainty in delivery through procurement.
  • Legislative changes within the UK and how this could impact supplier landscape from a supplier perspective.
  • The supplier landscape, including constraints, market shaping, market creation opportunities, change in balance of power (sellers’ market).
  • How clients can address the challenge a changing power-balance and still ensure responsible procurement addressing wider social and environmental considerations.
  • Implications of the increasing use of AI in procurement for example:
    o If all bidders use similar AI how do we know what they can do rather than the AI says they can do?
    o AI tools reviewing bids generated by AI.
    o Could choice decline as bidders just focus on those bids where they’ve a higher probability according to the AI?

The exploration of these topics will also provide a foundation for another full day seminar in November on the ‘Rise of the Delivery Partner’ as a particular global trend that is being increasingly adopted within the UK.

By Jonathan Norman
March 15th 2022

Reimagining Global Supply Chains Full Report

We are living in a world of continuous change – increasingly uncertain and volatile. To address our critical social and environmental needs for a healthy and sustainable future, we all need to take positive action. We also have increasing expectations to deliver project benefits at a faster pace, bringing innovation and while being consistently reliable. Our project libraries are overflowing with policies and guidance and our lives and ways of working being redefined by new technologies and digitisation. For major projects the challenges and questions posed cannot be under-estimated – the operating models we have may not fit our future needs. The client and supplier relationship that delivers capital investment is key, so what do major project leaders need to consider and how can we best redefine our supply chains?

 

By Jonathan Norman
March 15th 2022

Reimagining Global Supply Chains Highlight Report

We are living in a world of continuous change – increasingly uncertain and volatile. To address our critical social and environmental needs for a healthy and sustainable future, we all need to take positive action. We also have increasing expectations to deliver project benefits at a faster pace, bringing innovation and while being consistently reliable. Our project libraries are overflowing with policies and guidance and our lives and ways of working being redefined by new technologies and digitisation. For major projects the challenges and questions posed cannot be under-estimated – the operating models we have may not fit our future needs. The client and supplier relationship that delivers capital investment is key, so what do major project leaders need to consider and how can we best redefine our supply chains?

In this seminar we will discuss key themes relating to supply chains including, what are projects seeing as the pandemic comes into its third year? How can we mobilise major projects at pace to address critical needs? How should projects consider geopolitical issues such as protectionism versus free trade? What are the benefits of a global versus local supply chain? How can clients and suppliers best collaborate to achieve Net Zero? Do we need to rethink our contractual models if we want resilient, sustainable and diverse supply chains?

Successful organisations are adapting at pace to deliver projects in this rapidly shifting landscape – reimagining the way they work and operate now and in the future. In this event, we will hear from major project professionals from UK government, academia, client organisations and suppliers who are reshaping supply chain strategies to be ready for the needs of tomorrow’s major projects – aligned to the Association’s three landmark objectives of sustainability, diversity and capability building.

We are delighted to have Ruth Todd, Chief Commercial Officer, HS2 confirmed to chair this event, who, prior to joining HS2 in 2021, led the COVID-19 Vaccine Task Force programme to deliver coronavirus vaccines for the UK.

Please note that this will take place as a PHYSICAL EVENT. Should COVID restrictions prevent this from taking place in person, we will make arrangements for the event to be broadcast via ZOOM.

 

By Jonathan Norman
April 4th 2019

Selecting the Right Contracting Model for Effective Delivery of your Major Projects Full Report

Paul Foster, Chief Executive, Sellafield Ltd confirmed to Chair this event. The proposition that contract choice is a major factor in success or failure of the delivery of major projects has become a truism. This seminar is an opportunity to explore in detail 2 key questions about this vital aspect of major project delivery: • What drives decision making on contract choice within client organisations and how can it be improved? The type or model of contract to be used is one of the major planks of a client organisations’ procurement strategy. It defines and shapes the relationships through the life of projects, blocking or enabling productive collaboration with delivery partners. How does practice differ across public, private and regulated sectors, different governance arrangements and with different levels of project complexity and organisational capability? • Does the market (do we/I mean clients here?) dictate contract choice too heavily? Given the importance of contract choice for project success should early contractor involvement be used more effectively to give the supply chain a voice in contract selection? How can this work in practice? At the extremes, supply chain organisations’ exposure to the risks inherent in particular contract models has been cited as a factor in high profile corporate failures. Such failures have a direct and highly visible impact on customers, creating huge operational and reputational risks for clients. Would contractor involvement in contract choice also improve the sustainability of the supply chain?

By Jonathan Norman
April 4th 2019

Selecting the Right Contracting Model for Effective Delivery of your Major Projects Highlight Report

Paul Foster, Chief Executive, Sellafield Ltd confirmed to Chair this event. The proposition that contract choice is a major factor in success or failure of the delivery of major projects has become a truism. This seminar is an opportunity to explore in detail 2 key questions about this vital aspect of major project delivery: • What drives decision making on contract choice within client organisations and how can it be improved? The type or model of contract to be used is one of the major planks of a client organisations’ procurement strategy. It defines and shapes the relationships through the life of projects, blocking or enabling productive collaboration with delivery partners. How does practice differ across public, private and regulated sectors, different governance arrangements and with different levels of project complexity and organisational capability? • Does the market (do we/I mean clients here?) dictate contract choice too heavily? Given the importance of contract choice for project success should early contractor involvement be used more effectively to give the supply chain a voice in contract selection? How can this work in practice? At the extremes, supply chain organisations’ exposure to the risks inherent in particular contract models has been cited as a factor in high profile corporate failures. Such failures have a direct and highly visible impact on customers, creating huge operational and reputational risks for clients. Would contractor involvement in contract choice also improve the sustainability of the supply chain?

By Manon Bradley
August 25th 2018

Client Model drivers

Following the 2017 study into client models used around the globe the Association commissioned a further study to consider the drivers of different client models and their impacts.

By Jonathan Norman
May 16th 2018

How do SME’s get involved in major projects? Full Report

The pressure on obtaining resources to deliver major projects is increasing. The current unfolding political environment will challenge the availability of all resources, skills and tradespeople. Most recently the news of the move into liquidation of Carillion PLC and the impact of that on their vast supply chain of SME’s, create added pressure on a fragmented sector.

Meanwhile, one of the Governments’ objectives is to encourage the use of Small and Medium-sized Enterprises (SMEs), and wants to work with more small businesses across the UK, who are seen as the ‘lifeblood’ of the economy. By 2022, the government plans that one third of its spend on goods and services will be with SMEs, either directly or through supply chains.

Many major programmes already identified are in the planning stage and in the near future will require specialist trades, innovation and delivery expertise. The breadth and range of skills and knowledge required is impressive – from heritage and restoration skills required to bring iconic Palaces back to life; to ‘digital technology’ skills set to transform our aging infrastructure.

In a sector, known for its fragmented supply base, how can Tier 1 Suppliers; Major Contractors and significant Joint Ventures; formed to be able to accept the management of the risks associated with the delivery of major Programmes and Projects, harness the wealth of industry knowledge and expertise currently sitting with Tier 3 and 4 SME’s?

How do SME’s actively showcase their ability to innovate, problem solve, or simply provide the skills and services necessary to deliver the major projects of the present and the future?

How can SME’s be engaged within major projects in a way that maximises their intellectual and skill-based contribution but offers a level of commercial protection?

This seminar is recommended for contractors, consultants, manufacturers and SME’s to hear how SME’s can make a difference to your major projects.

By Jonathan Norman
May 16th 2018

How do SME’s get involved in major projects? Highlight Report

The pressure on obtaining resources to deliver major projects is increasing. The current unfolding political environment will challenge the availability of all resources, skills and tradespeople. Most recently the news of the move into liquidation of Carillion PLC and the impact of that on their vast supply chain of SME’s, create added pressure on a fragmented sector.

Meanwhile, one of the Governments’ objectives is to encourage the use of Small and Medium-sized Enterprises (SMEs), and wants to work with more small businesses across the UK, who are seen as the ‘lifeblood’ of the economy. By 2022, the government plans that one third of its spend on goods and services will be with SMEs, either directly or through supply chains.

Many major programmes already identified are in the planning stage and in the near future will require specialist trades, innovation and delivery expertise. The breadth and range of skills and knowledge required is impressive – from heritage and restoration skills required to bring iconic Palaces back to life; to ‘digital technology’ skills set to transform our aging infrastructure.

In a sector, known for its fragmented supply base, how can Tier 1 Suppliers; Major Contractors and significant Joint Ventures; formed to be able to accept the management of the risks associated with the delivery of major Programmes and Projects, harness the wealth of industry knowledge and expertise currently sitting with Tier 3 and 4 SME’s?

How do SME’s actively showcase their ability to innovate, problem solve, or simply provide the skills and services necessary to deliver the major projects of the present and the future?

How can SME’s be engaged within major projects in a way that maximises their intellectual and skill-based contribution but offers a level of commercial protection?

This seminar is recommended for contractors, consultants, manufacturers and SME’s to hear how SME’s can make a difference to your major projects.

By Jonathan Norman
February 28th 2018

Global trends in client models in major projects Highlight Report

Findings and case studies from exclusive research by the Major Projects Association into client models will be discussed at this exciting seminar on 28th February. Interviewing clients from Australia, Canada, India, Kosovo, Saudi Arabia, Sweden and the UK, the research highlighted important trends and lessons emerging in client models for major project delivery. Some of these world leading clients including Sydney Water, the Swedish Transport Administration (Trafikverket) and National Grid will share their experiences at the seminar.

Findings from the study identified a range of client models from light client approaches with extensive use of outsourced delivery functions, to deeply integrated expert clients delivering major programmes of work using centralised support functions and pop up project teams.

Despite the very different challenges, projects and programmes faced by clients, some common issues and themes emerged in the report. In some cases, the highly politicised project environment has led to a push to accelerate delivery and is driving outsourcing of delivery functions and creation of light client models particularly for immature organisations. In other cases, mature clients are seeking to obtain the perceived benefits of greater private sector involvement and accelerate delivery using the London 2012 Olympic strategy of employing a delivery partner to take on all programme and contract management functions.
At the same time, the need to strengthen programme and project management expertise is also a key issue for clients who are doing this both through strengthening of internal capacity and hiring in consultants to deliver these services.

A prioritisation of customer requirements is another driver for major projects and clients are taking the needs of customers into account earlier meaning additional resources are brought in to client models earlier, leading to new roles within client organisations.
The event will also discuss how clients are working with their supply chain and setting up their models to incentivise the best possible project performance from their partners.

This half day seminar will be offered as a webinar for Major Projects Association members and is intended to be useful for professionals from across the major projects environment, from client organisations to their partners and suppliers. There will also be a campaign held through our Knowledge Hub and attendees will be asked to complete a survey.