Cost and Performance Management - Phase 2

Project Objectives and Scope

One of three property construction projects resulting from the analysis done in Phase 1.

The key objective for this project is to conduct a brief assessment of potential and then develop specific cost and performance measures designed to allow “like for like” comparisons. The project will include a definition of measures, clarification of terminology and the development of a model set of measures.

The resultant measures will form a basis for positive driving change across the SW through comparisons of projects on a like for like basis.

Anticipated gains from the project

As LA’s in the region return performance data a database of information will be created. This will allow target setting, comparison and estimating to be viewed on a regional basis. As later phases of the project develop more interrogation of the data will reveal best practice and in turn allow demonstration and sharing of learning based on hard performance data. Hard performance data may be used to identify / generate funding and support in the future.

80% of top-tier authorities (12 out of 15) in the region have agreed to subscribe to this work in 2006/07. With an estimated regional spend of £250m per annum, of which 50% is “addressable spend”, we are projecting cashable savings of £1.2m in 2007/08, and about 3% in cashable savings - £3.65m pa - from 2009/10. Similar amounts of non-cashable savings are also predicted.

Wider implications and anticipated gains if it were successfully rolled out

This is already structured as a regional programme with the benefits of consistency and reduced duplication of approach. This programme also informs the work of the national Construction Workstream, in which we have taken a national lead on this item. We anticipate roll-out to authorities in other regions from 2007/08 onwards.