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BAA cuts framework deals

SUPER-CLIENT BAA is to slash the number of companies involved in its framework agreements when the deals start to come up for renegotiation next year, after being unable to supply sufficient work.

The airport operator also plans to simplify its much criticised framework assessment procedure - a key part of BAA's strategy for improving efficiency of its construction projects.

BAA group technical services managing director Simon Murray admitted last week that it had been over-optimistic about the workload it had on offer when it introduced its five year partnering framework arrangements in 1994.

'When we develop the renewals we have to ensure there is sufficient work for our framework partners to do. If we are going to put demands on people we have to provide them with substantial opportunities in terms of workload and opportunities to earn,' he said.

That will inevitably mean more reliable levels of work but for less companies said Murray, who currently has more than 40 consultants and contractors servicing BAA's annual capital expenditure of £642M.

Final decision on the number of framework deals will be taken after a review of the process over the next six months. This will also come up with a less time-consuming and costly way of 're-tendering' for the BAA partnering arrangements, Murray added.

Jackie Whitelaw

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