Procurement Process For London 2012 Olympic

Published Date: 02 Nov 2017

INTRODUCTION

The proper completion and succession of a Contract Procurement assignment related to the London 2012 Olympic Games,

As a Project Manager who needs more idea about the client�s requirements, administrative procedures to deal with all types of procurement strategy, standard forms of contracts, and related supply chain management activity, critically appraise alternative forms of procurement and forms of contract and cost effective of the certain construction project and administrating the contract.

To perform these tasks I used mostly internet finding, tutorials, and websites. I hope the given details should fulfill my assignment.

The London bid winner of the bidding 2012 Olympic games. The international Olympic committee and London Olympic committee of the Olympic Games aim for the construction of buildings, new venues, bridges and infrastructure development to achieve the landmarks, the Olympic stadium host the athletics events as well as opening and closing ceremonies (The guardian, 2013).

The stadium having 80000 over-all seats for audients, 25000 permanent seats in lower raw and in upper raw 55000 seats.

2. PROJECT HISTORY

In 6th of July 2005, the London was selected for the 2012 Olympic Game. The IOC offered LOC for Olympic Game with a draft technical specification for OGI in March, 2006. The London 2012 Olympic game originated team was initiated in April, 2006. The team was directed by the LOCG and other organizations such as ODA, office for ESRC, Greater London Authority, LDA, Government London Executive, Development for Communities & Local Government and BOA (The National Audit Office, 2013).

The OGI specification & to access the proposed indicators for London 2012 Olympic Program aim was undertaken to study from May to August, 2006.

The study was submitted & Discussed at the OGI Seminar in July, 2006. There are four people attended by �OCOGs�; Turin, IOC, Beijing and Vancouver & London. The draft OGI technical manual covers that the revised indicator list was issued by the ICO in December, 2006. The schedule for the London 2012 Olympic Game form 17th July � 12th August 2012, there are seven years period to build every program to make Olympic se to host about 205 countries to take part in 300 happenings (Burohappold, 2013).

Authority has been established to take care of and Deliver the project to the reality in 2006, the ODA acted as the owner of the project, to be in charge for the construction buildings and infrastructure as listed below with estimated cost of �9.28 billion.

1. Olympic Park

2. Olympic Village

3. New Lee Valley White Water Centre

4. Eton Dorney Venue

5. Weymouth & Portland Venue

Figure 01 � London 2012 Olympic 3D View

Source: http://visual.ly/london-2012-olympic-venues-part-1-olympic-park

3. PROGRAMME PROGRESS FOR OLYMPIC 2012 GAME

3.1 DESIGN STAGE

For the period of groundwork of the Olympic Park site, the designs for other sites already started. Unique design strategy was essential by the ODA to be appropriate period for the greatest event.

The ODA inspected and applied extensive range of consultation with many local groups and many program investors in order to reflect some themes on the design, like accessibility, sustainability, security, confidence and health & safety whole to society areas.

The Master Plan originally accepted in 2004 and it has revised in 2006 to reduce the Olympic Park size (Olympic Development Authority, 2013)

3.2 PLANNING STAGE

The key constraint of the Project critical Planning strategy is to achieve the construction package on unchangeable end date. That�s make the ODA concentration on bringing the project on time and on budget.

The overall time schedule for the ODA�s program as shown on figure 02

Figure 02 � ODA Overall time schedule

Source: http://www.sel.org.uk/uploads/ODA-Procurement-Policy-Full-Document.pdf

The construction planning program faced three main encounters.

1. Implementation the construction program on time.

2. The chief interdependencies over 70 separate projects within the Games

3. The various stakeholders that influencing the programme.

3.3 CONSTRUCTION STAGE

40,000 construction workers was required by completing venues for the 2012 Olympic Game

Olympic park, the first production gain consent was the Stadium, and then rest by the Aquatics Centre.

Off the Park, Building work was started 6 months before on the developments at Weymouth & Portland.

For the rest year, construction taking place completely on the further sporting venues, and Olympic Village & non-sporting venues.

The construction work begun for the other spots in the Park and most of the plots of the Olympic Village. While the developments to Weymouth and Portland completed, and was the first venue to be ready for use.

After the second year of the construction, the Olympic Park had been renewed, and erections of the structure works of the venues has been finished and the developments at Eton Dorney over

At the final year of the building of all venues has been accomplished, and ready to hand over for test the events.

The Velodrome accomplished in February 2011. The new substation has been done and the all infrastructure operative, distributineing built.

3.4 MAIN CONSTRUCTION FOR THE OLYMPIC GAMES

ODA has set out in advance the milestones concerning the past two years it has planned to reach for various steps of the project (Government Olympic Executive, 2013).

The milestone of the project as listed below;

Milestone � 1

Construction of the Olympic Stadium

Construction of the Aquatics Centre

Construction of the Velodrome

Construction of the International Broadcast Centre/Main Press Centre

Construction of the Handball and Basketball Arenas

Construction of the Lee Valley White Water Centre

Construction work on Eton Manor and Royal Artillery Barracks

The external structure of the Olympic Village

Construction of all permanent bridges

Construction work at Stratford Regional Station

CHAPTER � 02

1. VARIOUS ORGANIZATION INVOLVED

The Olympic Board directing Group includes of senior officials of the five key Project Stakeholders as follows;

1. The Olympic Delivery Authority

2. The London Organizing Committee of the Olympics Games

3. The Greater London Authority

4. British Olympic Association

5. The Government (MPA, 2006)

Source: (House of Commons, 2013).

2. KEY ACTIVITIES AND INVOLVEMENT ORGANIZATION

The figure 03 shows the 2012 Olympic programme key activities and involvement organizations.

Figure 03 � London 2012 Olympic programme

Source: http://www.publications.parliament.uk/pa/cm201213/cmselect/cmpubacc/526/526.pdf

3. OTHER ORGANISATION INVOLVED

3.1 All of the following stakeholders were involved on the 2012 Olympic Games (Refer to Appendix � A)

3.2 There are many firms (Supply chain) have been involved (Refer to Appendix � A)

3.3 There are some firms involved as construction products suppliers (Refer to Appendix � A)

3.4 And there are some Organizations supported the process of in importing resources, expatriates, and business support services (Refer to Appendix � A)

CHAPTER � 03

1. FINANCING STRUCTURE FOR OLYMPIC 2012

The �11.3billion needed for London 2012 came from �9.3billion of public sector funding and two billion from the LOC of the Olympic and Paralympic Games (Government Olympic Executive, 2013).

1.1 THE OVERALL VIEW OF THE LONDON 2012 COST

The overall view of the London 2012 program cost stated in the below mentioned table 01 as follows;

Table 01 � The overall view of the London 2012 cost

Source: https://www.gov.uk/government/uploads/system/uploads/ attachment data/file/78439/DCMS GOE_QR_Dec_2011.pdf>

1.2 SOURCES OF FUNDING

1.3 ODA ANTICIPATED FINAL COST

The ODA Anticipated Final Cost (AFC) breakdown as shows on the below stated table 02

Table 02 � ODA Anticipated Final Cost

Source: https://www.gov.uk/government/uploads/system/uploads/ attachment_data/file/78439/DCMS GOE_QR_Dec_2011.pdf>

1.4 FINAL COST

The London 2012 building final cost �8.921billion, its mean the �377 million under the budget (Government, 2013).

CHAPTER � 04

1. PROJECT PROCUREMENT STRUCTURE

The specific new construction of Olympic stadium, the project leadership has been established, and then the procurement method will be accepted, to the main procurement strategy pathway of Traditional method, the method is complete Architect control over design and construction of London 2012 Olympic Game (Olympic Development Authority, 2013).

1.1 ANALYSIS OF PROCUREMENT PROCESS FOR LONDON 2012 OLYMPIC

The ODA Started Procurement Policy that specified the Best Quality and Value for Money for Procuring Contracts for London 2012 Olympic and Infrastructural Development. The ODA selects a modest method to procure an integrated Design & Build Contract terms for the Construction, Completion, Maintenance, Testing and Licensing of 2012 Olympic Game (Government, 2013).

Figure 04 � Assessment of best value

Source: http://www.sel.org.uk/uploads/ODA-Procurement-Policy-Full-Document.pdf

1.2 PACKAGING STRATEGY

ODA used the fundamental of Packaging strategy, as procurement strategy, this simplifying the procurement requirements into packages to be put to the market and will assist to build as shown on figure 05

Figure 05 � Packaging Strategy

Source: http://www.icevirtuallibrary.com/content/article/10.1680/cien.2011.164.5.34

Implementing this system has make supply chains grows the potential, suppliers from many categories registered on the system, All has submitted via the system there;

* Profile

* Expertise

* Quality management statement

* Health and safety policy

* Insurance levels

* Financial history

Due to the wide number of contracts, ODA applied the multi-tiered supply chain, by making;

* ODA contracts directly with the first tier contractors

* The First tier contractors contract with tier two,

* The tier two contracts with tier three, .etc.

CHAPTER � 05

1. MAIN FORMS OF CONSTRUCTION CONTRACT

The ODA anticipated that the full New Engineering Contract revision 3, NEC3, will comply for the �9.3 billion 2012 Olympic Games program (Institution of Civil Engineers, 2013).

2. THE NEC3 CONTRACTS

The NEC3 contracts used by ODA as stated in table 03

Table 03 � NEC3 Contract and Option

Source: http://www.icevirtuallibrary.com/content/article/10.1680/cien.2011.164.5.34

The NEC3 suite of contracts was selected because it provided the following key attributes in response to ODA�s requirements.

* A flexible approach, providing a range of contract solutions relative to the level of design information available and the procurement option being considered.

* The pro-active management of risk as an inherent and fundamental element of the entire contract forms.

* Take suitable additional assurances to protect contract delivery, such as parent company guarantees or vesting certificates

* Establish alternative supply arrangements.

3. ELECTRONIC TENDERING

The ODA depended on the e-Tendering and saved much operational. The using of web based technology for tendering increased the level of organisations interaction and respond (Olympic Development Authority, 2013).

The following figure 06 shows the e-Tendering / e-procurement Process Chart

Figure 06 � e-Tendering Process

Source: http://www.sel.org.uk/uploads/ODA-Procurement-Policy-Full-Document.pdf

CHAPTER � 06

1. CONSTRUCTION TECHNOLOGY CHALLENGES

By considering the 2012 Olympic Games as the one of Europe�s biggest construction program, this improves the pressure on delivery the program on time (National Audit Office, 2013).

2. CHALLENGES ENCOUNTERED

The most challenges encountered the construction technologies as listed below;

1. Tight time schedule

2. Wide various projects

3. Technical Planning

4. Contractual disputes

5. Logistics management

6. Efficient renewable energy supply

7. Sites Clearance and demolitions (200 building demolished)

8. 52 Existing underground Power lines networks (to be avoided)

9. Removing/replacing the Contaminated Soil

10. Low carbon concrete

11. Contractor�s experience

12. Monitoring and managing all the projects

13. Climate change

14. Waste management

15. Biodiversity

16. Health and Safety

17. Local communities

18. Wide Stakeholder and communication channels

19. Transportation and mobility

20. Access

21. Employment and resources

22. Environment standards

23. Efficient energy supply

24. The enormous Materials resourcing management

25. Noise controls management

Source: (Government Olympic Executive, 2013).

CHAPTER � 07

1. HEALTH AND SAFETY ACHIEVEMENT

The Olympic Park workforce at 12, 000 and a total of 30, 000 persons will have functioned on the development. Over careful planning, implementation of schemes with a supported line record and clear control (Institution of Civil Engineers, 2013).

2. PROGRAMME OVERVIEW

The health and safety programme is governed by the ODA board and through its executive and delivery partner CLM through to the supply chain as shows figure 07

Figure 07 � The London 2012 health, safety and environment programme

Source: http://www.icevirtuallibrary.com/content/article/10.1680/cien.2011.164.5.46

3. ODA�S HEALTH AND SAFETY SYSTEM

The components of ODA�s health and safety system as follows;

* Business case, design brief, construction specification, HS & E

* Procurement, pre-qualification questionnaire, invitation to tender, evaluation process

* Contract, works instructions

* Design and CDM coordinator integration

* Pre-commencement planning, including reviews of health, safety and environment plan and detailed method statements (where applicable)

* Works delivery, project and programme management

* Health (Park and Village Health)

* On-line reporting: incidents, accidents, monthly scorecard

* Worker engagement

* Assurance programme

* Site communications

* Leadership programme

* Reporting: performance including accident frequency rate, achievements and issues, forward plans

Source: (Safety & Health Practitioner, 2013).

The Tier One contractors were expected to use their own Health and Safety Environment systems and so were their suppliers

Figure 08 � The Details of the London 2012 management structure

Source: http://learninglegacy.london2012.com/documents/pdfs/health-and-safety

The assurance team identified HS&E priorities three months ahead of the work. This was achieved through the following figure 09 & 10

Figure 09 � Regulation of HS&E performance

Source: http://learninglegacy.london2012.com/documents/pdfs/health-and-safety

Figure 10 � The HS&E processes

Source: http://learninglegacy.london2012.com/documents/pdfs/health-and-safety

CHAPTER � 08

1. CONCLUSION

* The ODA has succeeded the goal line by �377m under budget (refer to financial brief).

* The ODA has reached accident 0.17 reportable accidents per one million working hours.

* 1.8 km of sewer tunnels underneath the Olympic Park.

* The ODA has succeeded the goal line on time by delivering venues for the 2012 Olympic Game.

* Employed 20% of the cumulative workforce employed.

* The ODA is reducing carbon emissions from the built environment in the Park by 50% by 2013.

* 7.75 km of drinking water networks build.

* The ODA designs that met the necessities of the Games by take full advantage of legacy benefits & reduced waste.

* The ODA has provided spots that combine talent with functionality.

* 8000 unemployed and economically quiet people engaged.

* Around 46000 experienced workforces made.

* 5 new bridges connect Olympic Stadium to rest of the Park.

* The ODA, 10.5 km of heating & cooling networks builds.

* The ODA fulfilled that 10000 new homes will have a clean, green energy supply after the 2012 Olympic Games.

* 8.35 km of waterways build around the Park.

* 30 new bridges and underpasses built.

* The ODA has satisfied for protecting the environment as 90 present of the materials from construction, demolition and excavation works left over for reused or recycled.