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“Not everything that counts can be counted; and not everything that can be counted counts.” - Albert Einstein, Famous Genius. Why the Best Clients Get the Best Consultants. Presented by John Gamble, P.Eng. Canadian Public Procurement Forum Québec City 2011.
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“Not everything that counts can be counted; and not everything that can be counted counts.” - Albert Einstein, Famous Genius
Why the Best Clients Get the Best Consultants Presented by John Gamble, P.Eng. Canadian Public Procurement Forum Québec City 2011
Association of Consulting Engineering Companies (ACEC) • 500 firms collectively employing over 100,000 people • Firms can include engineers, architects, planners, scientists, etc. • Federation of 12 provincial and territorial associations • Strategic priorities: • Image and profile • Advocacy and government relations • Business Practices
What makes a consultant happy? • Interesting projects • Career satisfaction • Recognition for good work • Opportunity for innovation • Opportunity for fair profit • Good relationship with client
What makes a good business opportunity? • Return on investment (profit) • Return on risk • Opportunity to develop expertise • Opportunity for more business
What’s our mutual goal? • The right team for the right job • Realistic schedules and budgets • Fewer change orders and disputes • Better business relationship between parties • Better service, better quality & better value for taxpayers
A good procurement system… • Clearly defines objectives and scope • Evaluates what distinguishes proponents • Meaningfully delineates scores • Rewards proposals that add value • Uses a short list where necessary – Proposals are expensive • Considers project life-cycle • Focuses on best value – not lowest price
A bad procurement system… • Sees itself as an ends unto itself – rather a means to an end • Treats professional services as a commodity • Has vague/open-ended objectives and scope • Assumes all proponents are equal • Takes extended period to award • Is a charade to justify pre-decided outcome
A good agreement… • Clearly defines roles and responsibilities • Clearly defines deliverables and payment • Recognizes “owner’s risk” • Fairly shares risk and reward • Has a mechanism for project changes and allows for dispute resolution • Uses industry recognized language • Can be read and understood by humans
A bad agreement… • Is one-sided (in favour of either party) • Assumes insurance is a contingency fund • Claims intellectual property without compensation • Holds consultant responsible for events and action outside of consultants control • Is uninsurable
No agreement… • Is a really, really bad idea (for both parties) • Is a factor in 80% of insurance claims against architects and engineering firms
A good client… • Is firm and fair about expectations • Understands cost-benefit-risk relationships • Sees process as a tool – not an objective • Sees strategic value of consultants • Uses industry recognized documents • Will get good consultants
A good client… • Supports organizations like CPPC • Engages with its stakeholders Thank you!
Association of Consulting Engineering Companies of Canada 130 Albert St., Suite 420 Ottawa, Ontario K1P 5G4 Tel: 613-236-0569 info@acec.ca www.acec.ca Federation of Canadian Municipalities Sustainable Communities Website www.sustainablecommunities.fcm.ca