A new era for Major Projects

1. A new era for Major Projects David Haimes Director – Regional Investment Programme November 2018

2. A new era for Major Projects - why?

3. The relationships we have with suppliers are critical to success • Highways England has ambitious objectives set to modernise, maintain and operate the SRN. • We want to attract and work with the best in supply chain – especially in such a competitive market. • So, what are the opportunities for the suppliers and what are we doing do attract the best from the industry?

4. The journey together Simple Collaboration A systematic and structure approach to managing the future. Integrated Functions Simple Collaboration….. Laying the foundations for a sustainable and successful future. High Performing Enterprise Enterprise Management Portfolio Management Capability & Maturity Project Management efficient delivery predictable delivery benefits focus value driven

5. Ambition themes Four key interrelated themes to drive our ambition. Targeted initiative linked with a common goal, vision and timeline Strategic themes for Delivery

6. Highways England’s routes to market Complex Investment Programme (CIP) Asset Delivery- Operations Smart Motorways Alliance (SMP) Regional Delivery Partnership (RIP) • Regional lots • Six year contract • Initial packages awarded at initial competition • Future allocation based on performance • Large scale projects over £1bn • Stakeholder complexity, multi-party relationships require collaborative working • National alliance [in development] • Integrating client & supply chain into one organisation, aligning delivery behind a common goal • Modularised and standardised to deliver increased efficiency Contracts & Framework • New Asset Delivery (AD) Model • Expected to deliver the majority of the maintenance/ renewal programmes

7. So what is different?

8. “Improving links between Highways England’s outcomes and supplier rewards, drives better value for money.”

9. You said, we listened.

10. Partnershipsto delivery success HIGHWAYS ENGLAND AS A CAPABLE OWNER CLIENT PROJECT TEAM . SPONSORSHIP ‘A successful project will be one that realises at least the benefits expected when the investment decision was made’ DELIVERY TEAM SUPPLY CHAIN PARTNERS AS TRUSTED DELIVERERS

11. Complementary and shared focus BENEFITS & VFM CUSTOMER FOCUS OUTCOMES OUTPUTS CLIENT PROJECT TEAM TIME COST QUALITY PROGRAMME EFFICIENCY CHANGE H&S STAKEHOLDER MANAGEMENT PROJECT SCOPE PROJECT DIRECTION SPONSORSHIP DELIVERY PROJECT MANAGER INNOVATION

12. “Changing road scheme delivery using long term integration, improves benefits and eliminates waste.”

13. How is this going to be different?

14. Highways England imperatives linked to performance

15. Highways England is leading a step-change in the industry. We are responding to market and customers demands: • We are challenging our suppliers to buy better and buy local, and we are rewarding them for this. • We are encouraging innovation and best practice from across suppliers where they regularly come together, share knowledge and support each other through our Centre's of Excellence. • We place emphasis on social impact and supporting government employment strategy by providing regeneration development opportunities as well as opening opportunities for local and regional commercial entities. • We are doing this through rewarding suppliers who employ, upskill those from within communities and through encouraging them to do business and buy within their regions North West East • 2 or more Delivery Integration Partners responsible for, • design from option selection to consents and into construction. • Incentives aligned with our outcomes. • Future schemes allocated based upon demonstrable performance • Delivery Integration Partners work transparently with their supply chain, designers and our category management specialists Midlands East South West South East

16. Our Ambition for Collaboration Working truly collaboratively as a fully integrated team and with key stakeholders we will meet the challenge of delivering RIS and improving customer experience and staff wellbeing whilst achieving industry recognition for excellence. By capitalising on the diversity and strengths of the amazing people in our different organisations; enabling them to thrive; challenging the ‘norm’ and deliver optimal solutions; to the delight of our customers. IMPROVE PERFORMANCE & OUTCOMES CUSTOMERS SAFETY DELIVERY

17. Highways England have people and capacity development at heart

18. The capacity and capability challenge Commercialand procurement arrangements Mobilising Delivery 13

19. Wrap up

20. Our ambition of becoming ‘Client of Choice’ • We have considered the ‘voice of the suppliers’ and the needs of the regions we serve. • The new way of engaging suppliers and procuring products and services is a ‘win-win’ for regional economies, the environment, us, and our suppliers alike. • Ultimately, together we will help Highways England achieve its customer imperatives by improving: customer satisfaction, safety and delivery of road improvements. • Typically 2 Technical Advisors, responsible for • route option selection and providing assurance over the design and construction. • Incentives aligned with our outcomes. North West East • 2 or more Delivery Integration Partners responsible for, • design from option selection to consents and into construction. • Incentives aligned with our outcomes. • Future schemes allocated based upon demonstrable performance • Delivery Integration Partners work transparently with their supply chain, designers and our category management specialists Midlands East South West South East

21. Questions?