Breadcrumbs
Home ›
News & Events
›
Webinars
...
›
Managing risk post-COVID: Achieving rapid mobilisation and rethinking construction supply chain
-
Webinars
- Innovation in construction
- How to deliver broader outcomes in construction
- Presenting Tōtika – streamlining health and safety pre-qualification
- The Reform of Vocational Education and the construction sector
- How digital tools can grow your construction business
- How to reduce carbon emissions in the construction sector
- Managing risk post-COVID: Achieving rapid mobilisation and rethinking construction supply chain
- Enabling behaviour and culture change in the construction sector
- Reflections on 2020 show a united sector
- The role of diversity in the construction sector
- Mental wellness in the construction sector
- Rapid Mobilisation Playbook Webinar summary
- Construction Risk Management
Managing risk post-COVID: Achieving rapid mobilisation and rethinking construction supply chain
Mobilising projects rapidly can get people into jobs sooner and have a positive impact on society, the economy and the environment. This webinar explored current successes and barriers to rapid mobilisation across the sector.
On this page
Webinar video
This webinar was recorded on 9 June 2021. It includes speakers from the Construction Sector Accord, Tactical Group, Civil Contractors New Zealand and the New Zealand Construction Alliance.
Video Transcript
This video is a direct recording of the webinar, which includes footage of the speakers as they talk. There is also video footage provided by the represented companies interspersed throughout this webinar.
Audio
Gordon Harcourt
Tēnā koutou, tēnā koutou katoa. Nau mai, nau mai haere mai ko Gordon Harcourt ahau.
Welcome to this Construction Sector Accord webinar, I'm Gordon Harcourt and the new communications lead for The Accord, I'll be hosting these webinars. If I look a wee bit familiar, probably because I did the "Fair Go Show" for quite a few years.
So, rapid mobilisation across the sector. Today's webinar, were looking at current successes, were looking at barriers to kicking projects off using the "Rapid Mobilisation Playbook", managing contract risk post COVID-19. Terrific lineup of speakers from The Accord, from Tactical Group, Civil Contractors New Zealand, The New Zealand Construction Alliance.
First up, Andy Cochrane, leader of the Beacons Work Stream for The Accord. Kia Ora Andy.
Andy Cochrane
Kia ora, Gordon and thanks very much for the introduction.
So, back in March 2020, the sector came together through The Accord to develop a plan to deal with the impacts of COVID-19 on the industry. The COVID-19 response plan was developed and split into three phases.
Firstly, maintain, which was about ensure the industry could survive the lockdown. We did this by setting clear expectations on payment times and how contracts should be treated to ensure the impact on businesses was minimised. We also provided feedback to ministers on how the wage subsidy and other support measures would be needed to keep cash flowing in the industry.
Phase two was restart, which was all about getting people back to work safely in a level three and then a level two environment. We partnered with bodies across industry to establish clear protocols, safe working on site in a level three and a level two environment.
And finally transform, which was about using stimulus money to refocus the sector on high-performance and on building back better. The transform phase was all about moving at pace. Money being poured into projects would not help the wider industry if it was going to be tied up in red tape. It was a perception the procurement rules would be needed to be ripped up because that was perceived to be the main barrier to projects moving quickly. But when we spoke to people across industry, we found that they would actually have been examples in New Zealand, with people coming together to deliver projects at pace, and usually events had followed a crisis. Government procurement rules are actually a flexible framework that still allow people to move quickly. So for example, following the Christchurch in Kaikoura earthquakes, alliances were pulled together that brought the right expertise into a single team with a clear purpose, and with the authority required to move quickly.
So across the country we have people with experience of working in this environment. And their experiences where the projects usually got held up because of issues with governance, decision-making, consenting. Another issues that are internal to a project as opposed to procurement and time spent engaging with the external market. But there were tricks that some projects learned on how to speed up parts of the process. The culture role was to capture those learnings and put them into a format that could help people to understand what they needed to do to move quickly yet safely, through each project phase. RACOM were commissioned to pull those different lessons together and we engaged extensively across industry to make sure those different perspectives were taken into account.
The Playbook was launched in July in 2020 and it was issued to chief executives of government agencies while also being promoted across industry through The Accord. It was downloaded over a thousand times in the first few weeks, and it continues to be a popular tool for people across the sector. I thought summarised some of the key lessons at different phases of the project that will set your project up for success.
So, firstly right at the very outset during the due diligence phase, while you're assessing your agency's readiness and capability to rapidly mobilise, is important to create or enable an organisational culture of urgency by challenging your current approaches to project delivery. Next, when developing your governance sketch and establishing levels of authority for approval, be aware of what and when decisions are required and ensure that your senior leaders are prepared to provide quick responses or feedback to the project team.
Collectively, our governance team should understand the key elements of the rapid mobilisation and their roles in helping the project to go faster. Teeth to this will be an SRO with experience in delivering complex projects and ideally with experience of delivering up heads. Next, when developing your project brief and establishing the project's outcomes, make sure the team is clear on what it is trying to achieve with the project. Clarity at this stage will help make sure that that flows through to clarity for tenders and in the contract itself.
Next, when working out what delivery model you'll use, make sure you choose the one that fits with the risk profile of your project. The delivery model should fit nicely with your procurement strategy as well. So then when engaging with the market, you will need to find the right balance between having your project scope and requirements sufficiently designed and engaging early through.... Sorry, engaging early enough to allow the market's expertise and feedback to inform the project. Ahead of a tender you should test the market's appetite and availability for the work and collect feedback about the proposed risk allocation and delivery model.
And finally, when agreeing a contract, try to use the standard terms and minimise the addition of special conditions as much as possible. This will help you make sure that the risk allocation is fair and reasonable and that the market is willing and able to deliver your project. So we're gonna hear from a few others today about how they put rapid mobilisation into practise to support the country's economic recovery from COVID-19.
So, where do we stand right now? Arguably, we're still in the transform phase, trying to take this opportunity of increased focus and increased spending on construction infrastructure to deliver on The Accord's objectives of creating a more productive, sustainable and more resilient industry. The government has signaled a strong desire to see environmentally sustainable construction practices be put into place to support New Zealand's climate change commitments. This means government projects in particular, we'll look to take the lead in using sustainable products like engineered wood, innovative practices like offsite manufacturing, and prefabrication. And of course, the all-important measurement of embodied and whole of life calibre. Expect to see government projects prioritise this as an outcome in the coming months.
But our ability to move quickly and use sustainable products such as timber, has been complicated by supply... Supply chain issues, which have at least partly been caused by a slow down in knowledges during the COVID lockdown. This has exacerbated the lack of resilience in our supply chains that we already knew about and it's causing people to replace the just in time planning with just in case which is more focused on resilience.
The Accord recently commissioned a survey on supply chain issues in the sector. The report will be published soon but draught findings indicate that most responders notice the shortage of materials and supplies resulting an escalation in the cost of materials. People are attributing shortages to worldwide shipping issues and delays in manufacturing as well as delays at New Zealand ports. Respondents said that the materials most affected were structural and non-structural wood products. And it was already having an impact on their ability to complete projects to time and to budget. This doesn't look like it will go away anytime soon as construction business is expecting that the shortages will most likely become worse in the next few months, or be about the same, under the situation will not necessarily improve in the next six months.
Beyond materials, the results also indicate that a lack of experience or skilled staff is also having a detrimental impact on projects. So how do we, as an industry, rise to the challenge of resolve in New Zealand's housing crisis and infrastructure deficit in this very challenging context? Well, firstly, these impacts will add pressure to current projects, potentially causing commercial issues. The Accord will soon be putting out advice for clients on managing COVID risks in projects. The guidance does not put forward one single right answer given that risk exposures will differ by project and by contract. Instead, our guidance promote sound risk management practices and transparent conversations about which party is best placed to control, provide for, and manage the different risks that might eventuate. Many clients are already proactively inserting COVID clauses into contracts to assure the contractors that they will be able to claim for the time and cost of COVID related impacts to the project, which is pleasing to see and will avoid contractors having to inflate their prices to manage these risks themselves.
The increased cost of materials has also presented insignificant conventional issues. For example, contractors being unwilling to lock in material prices for 90 days or requesting payments in advance. Clients will have to consider a supplier's ability to manage these risks according to their cashflow. Projects in a pre-tender phase we'll need to be having conversations early about likely lead times of potential cost increases. The risk allocation metrics that will be provided with our guidance, should be a useful tool to support these collaborative discussions on risk.
There are some behavioural factors that are exacerbating the current situation, such as the inevitable toilet roll style, panic buying, and stockpiling of materials. To combat this, we're encouraging firms across the industry to sign up to The Accord Network. by joining the network businesses will get a better understanding of the practices and behaviours that we expect should bring about culture change in the industry and create an industry that people are proud of, the one that can deliver for New Zealand.
In the longer term our survey respondents feel that more manufacturing and our processing should be happening in New Zealand. Increasing our domestic capacity, as well as resolving our skills shortages will be helped by a clearer, a more certain pipeline of upcoming work which is a key initiative for The Accord. Similarly, our people development work stream is about to initiate a long-term skills strategy, which for the first time we'll bring leaders from across industry together, to allow us to identify the skills we need to develop to set us up for the future.
Achieving better outcomes for New Zealand will require us to think differently about how and where we build as well as how we use our existing assets. We will need to be open to new thinking, which will be enabled by opening our doors to a more diverse workforce at all levels of our organisations. We'll need to embrace technological developments, to understand how we can better use information and data. The Accord is here to help join the dots between many initiatives across industry that are trying to break down some of the barriers to change and to help share good practice where we find it.
On that note, I will hand it back to Gordon who will introduce our next speaker and I hope you enjoy the rest of the webinar. E noho rā.
Gordon Harcourt
Thanks, Andy. Nice introduction to the webinar topic today.
Next up, Jordan Reynolds. He's the general manager New Zealand and director for Tactical Group. Thank you for joining us, Jordan.
Jordan Reynolds
Yeah, hi there. Thank you very much for having me along today and really keen to be part of this important conversation.
Gordon Harcourt
So, Jordan, building on what Andy spoke about earlier, a few questions for you about using the "Rapid Mobilisation Playbook". Do you think the playbook has helped get projects moving more quickly?
Jordan Reynolds
Well, the "Rapid Mobilisation Playbook" has provided I think two key sets of things. One, is a great set of high-level principles and guidelines that anyone can engage with at a high level, no matter what project you're doing. And secondly, a really detailed set of templates and tools that you can actually use to give effect to those. And I think a few examples of things that I think really give effective that in terms of the guidelines to encouraging parallel work streams.
So bringing procurement process and earlier with contract models like ECI, using fast track design process. So, moving forwards with your design while you're going through review of your previous milestone. So kind of running with those parallel work streams is one of the examples of where I really see it given effect in a tangible way to projects.
Gordon Harcourt
Have you got any examples of the playbook being used in practice? How has it helped?
Jordan Reynolds
As a project advisory and project management consulting firm, I think the playbook has actually been quite useful for us in a range of ways. So as a consultancy, when starting new projects particularly with new clients, going through the stages of assessing their readiness, their capability and maturity and ability to move fast, were very expected timelines and outcomes, has been really important to us having a really good and frank conversation around what level of support they're likely to need and what options to move fast they're actually going to work for themselves.
I've found that front-end advisory in the playbook really useful as a bit of a process map. Secondly, some really specific stuff around the guidelines on mobilising quickly, particularly around parallel working. Again, so, we're getting that design acceleration process in place where you are set up to keep the design pumping while you're reviewing for last milestone and parallel. Get in early stakeholder and the interphase management with other organisations and around your project upfront early and explaining to our clients how this differs from a classic project has been really useful.
So, being able to use those example timelines and schedule them out in Microsoft project or your Gantt chart and show the difference of what the compression means to how they might normally deliver it has been really useful and yielded some really good results for us and our clients.
Gordon Harcourt
Any areas you're still seeing challenges to rapid mobilisation in the sector?
Jordan Reynolds
Absolutely. So, rapid mobilisation is first and foremost really reliant on buy-in at all levels in the project organisation, of course. So your governance, your sponsor, but also from stakeholders and the supply chain too. The risk profile for everybody and all of those aforementioned parties included, increases exponentially when we pick up the pace in a major way. So it's really important that we get the planning and controls framework right together in the beginning.
So, in particular, I think risk management, specifically identification and allocation of risk is something that's continuing to be a barrier to not just planning to deliver rapidly but successfully doing so with a good positive outcome for everyone involved. So I think that's an area where we as an industry have some more ground to cover together.
Gordon Harcourt
Looking specifically at managing risk now, what's your advice on the best way to allocate risk?
Jordan Reynolds
Well, firstly, I think it's really important to note that all of our contracts just as they exist are a form of risk allocation. It's a way to contract out a bunch of services and allocate who's liable and responsible for what components of it. But the view we don't often take is that that's what they do when we're preparing them. We use them as a tool to progress the project through key gateways and milestones and get things happening.
So using a risk allocation table is a really good step change and step up towards allocating risk and what I believe is a more fair and transparent manner, that enables either a good negotiation if you're working on a collaborative contract model or alternatively a really good and genuine tender from the supply chain, depending on whether maybe you're working off a more traditional responsive contract model. But, I think it's really important to know that, it's important that you do this early in the process. And secondly, you align it with your risk register. So if you're allocating different risk items than those that exist in your risk register, you really want to have a look at that and see if you can correlate them better.
The risk allocation process, if you think about it this way presents a really good opportunity to scenario play what could happen and how you and your supply chain collectively, might respond to it. And I guess a final point and it's a bit of a passion point for me, risk allocation. So, I'm adding more points as I go but, risk allocation goes further than just the owner and the supplier. So don't be afraid to add more people to that table as fits your project in your organisation, in your local context. So who's gonna operate the asset when it's finished? It might not be the project owner. How was the acceptance and defects, or who's gonna work around that? Do you have any interfacing projects in the area or asset owners who might be impacted?
Depending on the model, where does a designer fit into? Their risk profile might not be the same as the contractor so don't be afraid to take the conversation wider than just builder and owner and map that out too, in a transparent way. So lastly, it's a mindset, not just a process. So, it's a shift from using the contract as your core function to allocate risk, to having a transparent and open conversation about it.
Gordon Harcourt
Are there any risks in trying to start too quickly?
Jordan Reynolds
Well, sometimes the sense of urgency overtakes us and we move too fast without undertaking adequate planning and getting the right structure and buy-in in place before we rock it off. And it kind of comes back to the old army added of hurry up and wait. When you're trying to all move really fast but you don't have the right structures and systems in place to enable it, everyone feels like they're rushing around but nothing's happening. Or even worse you, progressed relatively far down the track and something major stumbles you up causing a larger time or cost delays then, what would have happened if you did it the old fashioned way?
So I think an experience key things that often get missed when you're going to try and move fast and they have the biggest downstream impacts, missing the stakeholder engagement piece. So if you look at your stakeholder matrix that you might prepare in an academic sense with those high interest and high influence stakeholders, those are the ones whose impact on your ability to proceed is going to increase greatly when you're trying to proceed incredibly quickly. Alongside that, your risk of putting them off side and putting them in a conflict of mindset with the project increases too, because they might not feel engaged or even have had the opportunity to be engaged in a timeframe that works for them.
Remember, it's not in everyone's best interest to move really fast here. So, it's really important that we put extra effort and focus into it regular and early stakeholder engagement and let them know that we're moving fast and get their buy-in to the story as to why, if you can. And secondly, from a controls and project management perspective, having a really clear baseline and project plan in place before we shoot forwards.
So when moving quickly, we need to be extra clear on what the baseline scope, cost, time and outcome expectations are but also have the right systems in place to change, manage for change that might happen to those things. So, changes of extra likelihood when you're moving fast. So scope change, or cost change or time change. Whereas, your ability to have agility in your decision-making has reduced and decreased because you're moving fast. You don't have the time to go for those typical gateways and approval processes you might normally deal with. So you need to extra force on what that system looks like and to map it out upfront and get everyone to take it and see where they fit into that picture.
Gordon Harcourt
Thank you very much, Jordan, really appreciate you sharing your wisdom, particularly around being open and transparent during the tender process and collaborating with key partners, really, key points there.
Next up, Peter Silcock, Chief Executive of Civil Contractors New Zealand. Welcome, Peter.
Peter Silcock
Good afternoon, and thanks for the opportunity to be here.
Gordon Harcourt
Thanks Peter, and Civil Contractors NZ represents the interest of around 600 member organisations in civil engineering, construction, general contracting.
Peter, there's clearly concern in the industry around contracts. In particular, I wanna hear from you today on the review of the NZS 3910 contract, which for those who aren't intimately familiar with it, is the contract underlying at least 75% of non-residential construction in New Zealand. So, Peter, the review where it at?
Peter Silcock
Well, the review is just getting underway, really. We've done a scoping project already with standards New Zealand involving clients, contractors, engineers, all sorts of professional service organisations as well who are get involved in the contract. So, we're just getting started at the moment, really.
Gordon Harcourt
And what sparked the review? What are the key issues?
Peter Silcock
We're moving forward of course as an industry and with The Accord I think there are certainly different expectations about the way we work together. So the contracts are really important basis of that. The NZS 3901 hasn't been reviewed since 2013. So there's been a lot of legislative change and also obviously, that are changing in the way we want to work together and the contract needs to reflect that. And that's the primary reason for the review.
We're seeing a lot of special conditions being attached to NZS 3910 and that does not build trust, it adds to cost. It impacts on things like productivity, even when people have to sift through those special conditions. So, amending clauses within NZS 3910. So, if we do a review, the aim of the review is to actually get the, get the contract more up to date with where the industry wants to be.
Gordon Harcourt
Who commissioned the review?
Peter Silcock
Well, the scoping process has been commissioned by the Construction Industry Council. We're just working through the process of who is going to commission the review, the substantial review. I just wanna point out that Construction Industry Council had the support of a number of government agencies in initiating the scoping. We're all very interested in getting this project underway as quickly as we can.
Gordon Harcourt
So why is the NZS 3910 review so important?
Peter Silcock
The review of 3910 is important because it creates the foundation for the industry. It's the contract that's most widely used for commercial and infrastructure projects in New Zealand. And therefore, it's really important that we all have a good understanding of what that contract contains.
The special conditions that get attached to it obviously make that quite difficult because special conditions can change from contract to contract. And that requires, you know a lot of work on behalf of the industry. I think the sort of changes that we're looking at in this review are going to be around legislative change but also around how the industry wants to behave and reflecting, I guess, the principles of the Construction Accord.
Gordon Harcourt
Once it's done, once the review is over what difference would it make to the sector?
Peter Silcock
I think the main thing will be that the contracts are better understood by people. And that's a really important issue. I think there is a lack of understanding at the moment because each contract is really different because of the special conditions that are attached. So we're hoping to get more consistency that will enable participants in the industry to build up their knowledge about how the contract works and hopefully, that results in better relationships.
Right from the word go, right through to the end of the project and better relationships definitely mean, from our point of view anyway, Civil Contractors better relationships mean that we're gonna get better outcomes in terms of the infrastructure we build, the commercial buildings we construct.
Gordon Harcourt
Thanks for your time, Peter. Of course, we'll be looking for the results of the reviews. Seeing what changes can be made to provide greater contract consistency.
Next up, Paula Evans, Chief Executive of the New Zealand Construction Alliance. Thank you for joining us, Paula.
Paula Evans
Thanks so much for having me and for inviting us along today. It's a great opportunity for us.
Gordon Harcourt
Paula, the New Zealand Construction Alliance was born from some of the challenges, the difficulties facing the construction sector. What is the alliance? Why was it formed?
Paula Evans
New Zealand Construction Alliance is an alliance or partnership of nine commercial construction companies up and down New Zealand, covering all of the regions. It was born out of the need to be able to deliver national contracts, but keeping it local. So keeping it in the regions, keeping the labour in the regions and looking after and growing their capabilities.
One of the partners was offered a job that covered all of New Zealand. There were 16 sites to rebuild them. They've done a great job in their region and when yep, we can do it and then thought, "Hang on. The reason we do what we do so well is because we are in our region, our local supply chain, we manage all of that so well. So how could we find companies like ourselves that could help us and a national delivery of projects?" And that's where we came about. So, now, yeah. Partnership of nine covering all the regions.
Gordon Harcourt
So, you kicked off in 2018, you've got three years on the clock, what improved in that time and what challenges are still out there?
Paula Evans
Yeah, well, it was, as you said, it was born, you know, born in 2018, on the back of, we got a, Ministry of Social Development rollout to upgrade all of their offices up and down New Zealand. So what we have been able to do and what has improved we started off with three partners when I came on board and I've been able to reach out to the regions and find the culturally aligned partners in each of the regions to join the alliance and to help us deliver that project.
So, as that project's grown, our processes have grown and the simplicity of working together has really, really built. Still labour workforce is a real challenge especially in a lot of the smaller regions and with one of our founding principles, which has all of our partners must employ their own labour workforce and commitment to apprentices. We're committed to that growth and helping it but it is still a real challenge. So, that would be one of the biggest challenges.
Gordon Harcourt
You mentioned you believe in a hyper local approach to the construction supply chain. Tell us more, what does that mean?
Paula Evans
Yeah, well, I think, you know, certainly and that was where the foundation of NZCA came from, and that was around those trusting strong relationships in the regions, is about keeping it local. It's looking after your local subcontractors and keeping a real family and community feeling to the business. And that certainly, yeah it's a really, really big part of what we do.
You know, we at NZCA would never dictate or try and control our partners supply chains in the regions. We're not about national supply deals or things like that for products as we really support our partners having those strong relationships in the region and looking after the local people.
Gordon Harcourt
What are some of the specific challenges you're seeing in terms of contract risk?
Paula Evans
Well, this was one of those questions that when I knew that we were going to be doing this interview that I went out to my partners and how are they finding it and what are the greatest challenges. It's certainly around the risk allocation and how much risk main contractors continue to take on. And, you know, the more main contractors agree to some of these clauses that they're uncomfortable with that they don't take them out, that they don't exclude them, that this risk continues for the industry.
Another big risk at the moment is fixed pricing and we're in a very an unstable, uncertain market with supply chains and products coming in and price increases. We've had dramatic prices across the market and there was always room in the contracts to allow for that especially if the longer contracts and all that being paused for time, like say, for example, with COVID, a lot of contracting stopped for a period of time and yet the same conditions are still in place as before. And the other one is around zero risk appetite from Citron and... Local government around consenting risks, accounting for leaky buildings and earthquake risk and free water.
So there's quite a few different factors. Most of the partners that of sort of summary of what they all felt, but it certainly is that the amount of risks that the main contractors are taking on and just being able to share that.
Gordon Harcourt
Thank you, Paula, fascinating approach. Some questions now for all our speakers.
First for Jordan, what tools in the playbook have you found the most useful?
Jordan Reynolds
So, my answer to that is I think it's a balance of the principals and guidance level inputs and very works makes it a bit of a one-stop shop. Whether you're a organisation that delivers billion dollar or $500 million projects day in, day out or you're an organisation that's delivering $200,000 to $3 million minor capital works programmes, there's something in there that you can engage with, whether it's mindset level or guidance level. And balanced to that sort of second side of that seesaw is the tools and templates that are there. And sometimes it's about picking a couple of them that compliment you and your organisation and rounds out your suite of kit that you have available. And sometimes it's, you know grabbing the whole swag of them.
But in my experience, I think the ones that I've seen really add tangible impact pretty quickly to help people see the project and how it starts moving. As far as example timeframes at the backend of the playbook, which give you some sort of high-level rule of thumb, timeframe and milestone indications that you can kinda use to put together a really quick Gantt chart and get people talking. They might not be perfect and they're not intended to be but they're definitely a quick starter when you're looking to get something together in a rapid sense for rapid mobilisation, of course. But also the mobilisation checklist is something really useful to go through, even if your whiteboard it or not working strictly from the template, it's a great conversation piece. That's the value in it.
Lastly, if a risk allocation table which we talked about a little bit earlier, it's really useful because it's super accessible. And if you need to bulk it out and add more to it, you can. These templates have had in a base sense, that are accessible no matter your project size. But don't be afraid to start playing with them and building on them to make sense for your level of complexity and scale. I think the willingness to do that and ability to do that was what makes it quite adaptable.
Gordon Harcourt
Next one for Peter. What are you seeing as the biggest risks in managing construction contracts?
Peter Silcock
The largest risk that I see is that particularly contractors don't fully understand the contract that they're signing up to. And that might sound unusual, but with each contract being different and sometimes a hundred or more pages of special conditions, altering conditions within the contract, that creates real problems with interpretation. And often people don't make their connection until that is a problem within the contract. So, I think that's a big risk.
What adds to that risk of course is, the short period of time that often some of air contractors are given to actually consider the contract. So, the team to comes out and within two or three weeks they need to have put a credible bid on that project. And that doesn't allow a lot of time to understand hundreds of pages of special conditions. It doesn't allow a lot of time for them to look at the real risks within the contract and how they might mitigate those risks.
Gordon Harcourt
Last question is for Paula. You've got nine partners across New Zealand. Are you seeing the same risks countrywide or are they more regionalized?
Paula Evans
Well, this is another question that I went out to the partners and had a talk to them about. Certainly there's some common challenges across all of New Zealand. Labour and workforce and skill, keeping skilled staff, staff retention and things like that, certainly they're everywhere. And as the main centres are really picking up again not feeling it as much as the smaller regions.
Another area, certainly for the Hawke's Bay they've got real issues with James Hardie and plywood supply. So, different regions are starting to run out of different products or will be headed at different times. But, certainly, it's around staff retention, getting good staff, the challenges with immigration, stopping people coming in and being able to keep our workforce moving and keeping up with the contract and the works that's there. So, that's a really big one staff retention and and keeping the next generation coming through.
Gordon Harcourt
Thank you to all our speakers. Some excellent korero there.
Thank you for joining us. Hope you enjoyed this webinar. If you've got any questions please use the Construction Sector Accord email that you see on screen or visit the website. And I hope you'll be back for the next in a series of towards high performance webinars.
I'm Gordon Harcourt, mā te wā.
Getting the construction sector moving
As part of the Construction Sector Accord’s Towards High Performance webinar series, experts from across the industry discussed rapid mobilisation across the construction sector, current successes and specific areas still facing challenges in getting projects moving quickly.
Speakers covered a variety of key issues including uptake and practical use of the Rapid Mobilisation Playbook; how to deal with post-Covid lockdown risk; managing contractor risk; and the current review of NZS 3910 Conditions of Contract for Building and Civil Engineering Construction.
Key speakers
Andy Cochrane - Director, Beacons, Construction Sector Accord
Andy shared how the Construction Sector Accord’s three-year Transformation Plan is helping to achieve rapid mobilisation. He discussed uptake of the Rapid Mobilisation Playbook that was developed by the Construction Sector Accord, in collaboration with New Zealand Government Procurement, to help fast-track government construction projects.
Jordan Reynolds - New Zealand General Manager and Director, Tactical Group
Tactical Group is a strategic advisory and delivery consulting firm focused on property and infrastructure projects in Australia and New Zealand. Jordan discussed rapid mobilisation and shared his experience using the Rapid Mobilisation Playbook, including why it has been useful post-COVID lockdown.
Peter Silcock - Chief Executive, Civil Contractors New Zealand
Civil Contractors represents the interests of more than 600 member organisations – including large, medium-sized and small businesses in civil engineering, construction and general contracting. Peter talked about managing risk in construction contracts and the current review of NZS 3910 Conditions of Contract for Building and Civil Engineering Construction – the underlying contract for at least 75% of non-residential construction contracts in New Zealand.
Paula Evans - Chief Executive, New Zealand Construction Alliance
NZ Construction Alliance (NZCA) was born out of the challenges facing the New Zealand Construction industry. It is a partnership of nine regional construction companies providing nationwide construction coverage through local delivery. Paula focused on contract risk and specific areas that are still facing challenges across the sector.