Procurement transforms minor works

A framework agreement for public sector building work is set to transform the manner in which minor works are procured and managed nationally.

Scape System Build, a company owned by six local authorities in the UK has devised the agreement which is worth up to AUD$1.5 billion.

The framework, which will let 'minor' contracts of up to AUD$3 million, expects successful bidders to demonstrate innovation in the supply chain.

“The agreement will adopt the principles of partnering through the development of longer-term relationships through the supply chain, integrated design and construction teams, shared risk/rewards and performance management. The partnering ethos will involve a partner selected for their capability and commitment to these principles,” the OJEU notice said.

Target cost setting, open-book accounting, shared problem solving, and a strong commitment to all aspects of continuous improvement will be included in the selection criteria, the document said.

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