Changing scandinavia's culture of construction through partnering

NCC AB 1

Changing Scandinavia's Culture ofConstruction through Partnering

Background, Why, What and How

John Thorsson, Partnering Manager

NCC Construction Sweden AB

+46703 243 755

[email protected]

2014-05-15

Title and content

Here’s Sweden

9.4 million people.

3rd largest country in the European Union by area.

173,860 square miles to the surface in the European Union by area.

Population density of 54 inhabitants per square mile

Mostly concentrated to the southern half of the country.

85% live in urban areas.

Stockholm is our Capital city.

Industries: Iron and steel, precision equipment (bearings, radio and

telephone parts), wood pulp and paper products, processed foods, motor

vehicles.

Companies such as: ABB, Electrolux, Ericsson, LKAB, H&M, AstraZeneca,

Skanska, Swedish Match.

NCC Construction Sverige AB 22014-05-15

http://en.wikipedia.org/wiki/European_Union

Click on the picture

John Thorsson

NCC Construction Sverige 3

Partnering Manager,

NCC Construction Sweden.

Changing the culture of construction

through collaboration

2014-05-15

Title and content

Construction at first sight



Industry, Company, We, Me, responsibility

NCC Construction Sverige AB 5

Ad

vers

ari

al

Co

lla

bo

rati

ve

Fro

m p

rese

nta

tio

n b

y

David

E.

Haw

kin

s, IC

W

2014-05-15

NCC Construction

Figures and background on partnering



Fragmented construction marketin the Nordic regionMarket shares, sales 2013

NCC AB 7

Source: Euroconstruct and NCC

Others, 72%

Skanska, 6%

NCC, 7%

Veidekke, 3%

Peab, 5%

Lemminkäinen, 2%YIT, 2%MT Højgaard, 1%JM, 1%

AF Gruppen, 1%

Total

Roughly $125 billion

2014-05-15


Product mixNCC Construction Sweden

NCC Construction Sweden AB 8

Offices,

12%

Shopping centers,

7%

Other,

13% Infrastructure,

19%

Housing,

18%

Industrial and

processing plants, 19%

Share of net sales in 2012

Earthworks,

13%

2014-05-15

NCC Construction Swedenvolume in partnering

36 % av

NCC Construction

Sweden turnover

9

2%

14%

25%

33%

2004 2006 2008 2010 2012

2014-05-15

From England to Sweden

~1999

Denmark

SwedenEngland 1998

10

~2003

USA

2014-05-15

Sharing

Paying it forward!

11

2%

14%

25%

33%

2004 2006 2008 2010 2012

36%

NCC Construction Sweden volume in partnering

2014-05-15

Why?


Because it makes senseOur goal and vision

NCC:s vision is to renew our industry and provide superior sustainable solutions

NCC Construction Sweden is the market leading construction company everyone wantsto cooperate with and work for.



Partnering addsvalue

NCC Construction Sverige 14

Long-term acceptable profit. (no

black holes, no sky-limit profits)

Better customer relations and

customer understanding

Today’s and tomorrows co-

workers want to collaborate

Higher employee job satisfaction

Livning our values (Honesty,

Respect, Trust, Pioneering Spirit)

Safer project delivery

2014-05-15


Everyone benefits (Clients)

Access to competence

A better end product

Project finished on time

Right product at the right cost

Effective use of resources

A better working climate

Higher customer satisfaction in all

that we measure.

NCC Construction Sverige 152014-05-15

What?


Title and content

Traditional contracting

Standard ContractAB or ABTFinancial

model


Title and content

Support and enable the culture you want for your project

Contract

Financial Model

Collaboration


Start with analyzing which behaviours you want to see in your project.

Then make it possible for people to work that way.

2014-05-15

Title and content

Difference between co-operation and collaboration


Co-operate

Collaborate

2014-05-15

Title and content

This is where we focus on adding value through collaboration

Degrees of co-operation/collaboration


x

x

x

x

o

o

o

o Traditional contracting

x o

xxx

ooo Close co-operation

xx

x

x

o o

o

o Collaboration

xo

xo

o

oxx

Partnering

2014-05-15

Title and content

Employees

Good partnering and pre-requisites


Client

Employees

Partner company

(NCC eg.)

”Project Ltd”

SG

MT

ProdDesign

Partnering fac.

Project assignment

2014-05-15

How?


Title and content

Project Ltd. approach

23

• No one knows everything and if we

gather sooner we will gain more than if

we get together later.

• People working for one another, pulling in

the same direction, will inevitably

produce better results.

• People who trust one another will work

better together.

Common goals

Common

organisation

Common

economy

Focus on best for

project

Collaboration

Partnering is a form of collaboration in the construction

industry where the key players solve an assignment together

in an open dialog with focus on what’s best for the project.

2014-05-15


Project Ltd. approach


Workshops

Training

Partnering Charter

Continuous improvement

Joint risk management

Open books

Partnering Performance Index (PPI)

2014-05-15

Title and content

PPI – PartneringPerformance Index

This shows us

where we’re at

right now


PPI - Partnering Performance Index©

1. Vi har gemensamma mål i projektet 7,0

2. Jag upplever att alla i projektet arbetar mot samma mål 7,0

3. De gemensamma målen vägleder mig i mitt dagliga arbete 7,2

4. Målen är väl kommunicerade till alla parter i projektet 6,9

5. Partneringdeklarationens genomsyrar projektet och vägleder oss 7,0

6. Det finns ett tydligt organisationsschema för projektet 8,2

7. I projektet hålls det regelbundna och strukturerade möten 8,5

8. All relevant kompetens finns representerad i projektorganisationen 8,6

9. Beslutsprocessen kännetecknas av öppen dialog mellan projektets parter 8,2

10. Styrgruppen består av personer som alla aktivt stöder projektet i ord och handling 5,5

11. Jag upplever att det finns transparens i projektets ekonomi 8,0

12. Den ekonomiska informationen är lättillgänglig och förståelig 6,9

13. Det ekonomiska upplägget gynnar projektet 7,9

14. Vi arbetar på ett strukturerat sätt med att hantera risker och möjligheter i projektet 7,3

15. Parterna är överens om hur eventuella justeringar av kostnader, budget, riktpris

eller motsvarande ska gå till6,5

16. I projektet uppträder vi på ett ärligt och uppriktigt sätt 7,4

17. Vi visar varandra respekt i ord och handling 7,1

18. Jag har förtroende för de personer jag arbetar med 8,7

19. Jag kan vara trygg om jag kommer med dåliga nyheter 9,0

Övr

20. Jag har en positiv känsla av att arbeta i det här projektet 9,1 9,1

7,6

Mål

Org

anis

ation

Ekonom

iV

ärd

eringar

7,0

7,8

7,3

8,0

Projekt: SnigelnSvarsfrekvens: 91%Mätperiod: feb 2013

Se även projektspecifika frågor, sid 2Mätning 3

0,0

2,0

4,0

6,0

8,0

10,0

PPI - mätning 1 (nov 2012)

PPI ochdelindex

målnivå

0,0

1,0

2,0

3,0

4,0

5,0

6,0

7,0

8,0

9,0

10,0

1 2 3

nov-12 PPI

nov-12 PPI

2014-05-15


Making use of the possibilities

26

Partnering

ProfitabilityCustomer

value

Employees

NCC Construction Sverige AB2014-05-15

Changing scandinavia's culture of construction through partnering

Engineering

Transcript of Changing scandinavia's culture of construction through partnering