Construction Sector

Your organisation is improving build quality, reducing costs and has a great customer centric approach. Our intricate knowledge of the Strategic Supplier market means we can optimise their performance across all key construction related service areas.

We know the Strategic Suppliers in the Construction Sector marketplace, really well:

  • Their strengths. The key attributes of each Strategic Supplier and what internal client disciplines you will need to have in place so they can achieve your outcomes and objectives, quickly.

  • Their challengesComplex service delivery does not always go to plan. We can advise you on what diligence your team can put into place to assure these Strategic Suppliers deliver to your expectations.

  • Their contractual constraints. We know what most Strategic Suppliers will accept contractually, what they will not, and why. Our ‘Optimise’ process assures you can overcome these constraints and be fully contractually protected for fit for purpose services.

Your key expectation you should have from Strategic and Complex Supplier Relationships:

  • Optimum value in service and solutions deliveryThese specialist suppliers represent themselves as ‘experts’ in their disciplines. Recent case law determines you can often rely on the supplier’s represented expertise to drive maximum value for money in your service delivery, even if your contract terms are ambiguous in terms of their responsibilities.

Benefits of using BPG to facilitate your Strategic Supplier Relationships

  • We know what practices work really well. Having optimised over 500 complex supplier relationships, we have deep expertise of trust building in relationships. We also have proven template documentation, including procurement structures, service requirements, agile fit for purpose contracts, implementation and operating governance, along with expertise in what actions you need to avoid to make sure your strategic supplier relationships achieve your outcomes, quickly.

Key Considerations when Construction Companies enter into Complex Supplier Relationships

How the BPG 'Optimise' Process delivers great Strategic Supplier Relationships

The BPG ‘Optimise’ Method is evidenced from over 500 complex supplier relationships. It shows there are 8 characteristics present in every successful complex relationship. We can help you successfully implement these quickly to improve service innovation, supplier relationships and drive down BAU costs.

Click here to see how the ‘Optimise’ process can help you drive maximum value in your strategic supplier relationships.

Some of the Strategic Suppliers we have detailed knowledge of

  • 1 2 eFile
  • 12Pay Ltd
  • 4PS Construction Solutions Ltd
  • Able CIS – Internet
  • Accentra Technologies Ltd
  • Access UK
  • Accomplish Systems
  • Acister Ltd
  • Adminsoft Ltd
  • Advanced
  • Annata Ltd
  • Benchmark Software Ltd
  • Beoley Mill Software Ltd (BMS)
  • Bright Pay
  • Builder Books Ltd
  • Business Micro Systems (NI)
  • Capium Ltd
  • Carval Computing Ltd
  • Causeway Technologies
  • CIS Management Ltd
  • Civica UK Ltd
  • Clear Books
  • CliP IT Solutions Ltd
  • CODA
  • Commercial Software Limited
  • Compact Software Ltd
  • Consilium Technologies Ltd
  • Construction Industry Solutions
  • Construction Management Software Ltd
  • Cyberaid Ltd
  • CyberQube Ltd
  • Cyberscience Corporation
  • Datafile Software Ltd
  • DC Software
  • Efile Ready Ltd
  • ENAPPS
  • Eque2 Ltd
  • Evolve iMS Ltd
  • Evolved Software Studios Ltd
  • Forbes Computer Systems
  • Gabem Management Ltd
  • Hartigan Software
  • iB Solutions
  • IFS UK Ltd
  • Information Systems Associates Ltd
  • Integrity Software Systems Ltd
  • Intex Software
  • IRIS Software Group
  • JNC Solutions Ltd
  • Kalamazoo Security Print Ltd
  • K Corp Software
  • Maxima Information Group
  • Mercurius IT
  • Merit Software
  • Moneysoft Ltd
  • My Digital Accounts
  • MyPAYE Ltd
  • Onyx Computer Systems
  • Optimise Systems Ltd
  • Oracle Corporation
  • Oxford Software
  • Paycircle Ltd
  • Payroll Business Solutions
  • Payroo
  • PayRun.io Ltd
  • Pegasus Software Ltd
  • ProspectSoft Ltd
  • Qtac Solutions Ltd
  • Payroll Manager (V)
  • Payroll Bureau (V)
  • Payroll Specialist (V)
  • Quality Management Software Ltd
  • Redsky IT
  • Summit 2000 
  • SAA Consultants Ltd
  • Sage (UK) Ltd
  • SAP AG
  • Sapphire Construction Software Ltd
  • Sicon Ltd
  • Specialized Application Workshop and Software Mill LLC
  • Staffology Payroll
  • Star Computers Ltd
  • TAS Software
  • Technology One
  • Trimble Inc
  • Ty-com Business Systems Ltd
  • Wealden Computing Services Ltd
  • Whiz Solutions Ltd
  • Xero (UK) Ltd
  • Xperience Group
  • Zeel Solutions
  • Zeraxis Ltd

The Behaviours you should expect from a 'Good' Strategic Supplier Relationship

  • Objectives being met
  • Critical friend supplier
  • Inherent commercial trust
  • Sustained collaboration and innovation
  • Reduced service cost
  • High reputation with your peers
  • Internal team aligned
  • Services always aligned to outcomes
  • Flexible/agile contract structure
  • Evidenced based results

Typical Complex Supplier Relationship hurdles faced in Construction Companies

We’ve dealt with optimising over 500 complex supplier relationships. More than 50% of complex supplier relationships experience misunderstandings between client and supplier over your requirements and expectations.

If the right foundations are not in place to drive maximum value, you may experience:

  • Additional charges and costs for ‘misunderstood expectations’
  • A lack of understanding of contractual roles and responsibilities
  • Governance and performance escalation not clearly delineated
  • Senior client executives not being clear on their expectations and dynamics of the relationship
  • Not enough investment by senior executives in the resourcing or skills of the client supplier management team
  • Loss of key in-house expertise to the supplier (inadvertent staff poaching)
  • Employee resistance to new working methods from the supplier
  • Clashes of culture between client and supplier staff and so forth.

Operational challenges faced by Construction Companies

The Construction Industry is a key driver of the economy in the UK and the rest of the developed world. It often ranks in the top 5 of being the largest and most dynamic. In turn with other sectors, the construction industry faces major changes, including:

  • Skilled Labour Shortage. Increasing numbers of projects means the industry remains heavily dependent on manual labour. An ageing workforce, a lack of younger people joining construction, coupled with strong growth, means good labour is thin on the ground. 
  • Rising Cost of Raw Materials. It’s common to bear the risk of cost changes due to fixed price contracts and speculative home construction. Land and raw material costs can change rapidly. This can leave you with less leverage, and costs adversely impacted between the time the project commences and when it ends.
  • Slow Invoicing and Payments. Regulating cash flow is often a challenge. Progress payment schedules can help outline what is expected at different phases of the project and determine when each phase of the project is considered complete. Without regular progress payments you can have too many resources tied up in one project, which often adversely impacts cash flow.
  • Undercapitalisation. It is not uncommon to underestimate capital requirements to pursue the most profitable projects. Working capital is critical to the success of every construction project and companies.
  • Business Planning. It is critical that you have a clear perspective of your cash and manpower to help you not to overestimate or underestimate your capabilities. You should map out the details of all your project stages to stay on track.
  • Inappropriate Safety Training. Safety training can be a challenge as demand grows in the industry. Companies can sometimes reduce training as they try to improve profitability, putting them at risk of incurring heavy losses due to increased insurance and litigation costs caused by building non-compliance.
  • Technology Adoption. Technology has transformed the construction industry. It plays a key role in both day-to-day operations and when competing for projects. Construction technology includes cloud-based software, mobile, wearable, IoT technology and estimating technology. 
  • Uncontrolled Growth. One of the greatest challenges is to plan for foreseeable growth and tracking it so that it doesn’t get out of hand.
  • High Insurance Costs. Most contractors today pay high premiums for various types of insurance. This includes; general liability for construction delays and defects, and accidents. The ever-increasing insurance costs can be a crippling overhead when competing for work. 
  • Legacy IT Systems. Some state-of-the-art software options have substantial cost-saving potential, if organisations can overcome the internal challenges of the legacy IT systems they use. 

What stage are you at in your Strategic Supplier Relationship?

New Relationship

You’re procuring or contracting and you need it to work really well.

Existing Relationship

You’re in a partnership that could be working better.

Broken Relationship

It’s gone wrong. You need help to exit a relationship early and safely transition to another.