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What can CCG do for the Local Government Client? Steve Vickers General Manager Birmingham City Council. Public Sector Overview. Public Sector construction procurement = 40% Approx £14bn spent by English Local Authorities Approx 73% of projects over budget
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What can CCG do for the Local Government Client? Steve Vickers General Manager Birmingham City Council
Public Sector Overview • Public Sector construction procurement = 40% • Approx £14bn spent by English Local Authorities • Approx 73% of projects over budget • Approx 70% of projects over programme • Need to respond to National Procurement Strategy • Need to respond to efficiency agenda
The Traditional Approach • Tender Sum– a wild guess carried out to two decimal places • Successful Tenderer– a contractor who is wondering what he left out • Completion Date– the point liquidated damages begin • Liquidated Damages– a penalty for failing to achieve the impossible • Quantity Surveyors– people who go in after the war is lost and bayonet the wounded • Lawyers– people who go in after the Quantity Surveyors and strip the bodies
Key Drivers for L.A.’s • To strengthen Client Leadership • To modernise Procurement • To deliver Improved Services • To deliver Sustainable solutions (environmental, social, economic) • To improve efficiency
Why CCG? • Ability to support leadership – 2012 commitments • Demise of LGTF – CCG is natural home • Help improve services – Demonstration projects • Knowledge transfer – public/private, repeat/occasional