LAING AND AMEC made margins of up to 14% on the twoMinistry of Defence prime contracting trials, one of which - the Wattisham training facility - opened this week. Other results from the project, according to Clive Cain, quality director at client Defence Estates, were:
70% labour efficiency (best practice is 54%)
60% reduction in substructure costs
25% reduction in construction time
Zero materials wastage.
The results beat or match the targets set by Sir John Egan in Rethinking construction. They prove, according to Cain, that 'supply chain management can only be done through single point responsibility. This is the way forward for clients'.
Laing's trials at Wattisham and a second training centre at Aldershot managed by Amec, are part of the Building Down Barriers initiative, with prime contracting as the procurement process. A 'prime contractor' works with the client and end user to take a project from concept to operation via a chain of suppliers assembled and managed by the contractor.