Global Procurement Program

Transcription

1 Global Procurement Program

2 Benefits Quality Cost Schedule T he PCL family of companies is ideally positioned to participate in world-wide procurement opportunities, delivering added value and cost savings to our clients. Global supply markets are evolving at an unprecedented pace. The most competitive offshore sources for many construction products are now concentrated in China, Southeast Asia, and Eastern Europe. In many cases, we can secure top-quality products from offshore suppliers more cost-effectively than from their North American counterparts. People Our entire project team evaluates a project s procurement needs and collaboratively decides if global procurement will be a benefit. If there are opportunities, we develop and execute a risk management plan for each product and integrate the activities into the construction plan. Experience Our internal specialists draw on the collective experience of our companies to identify the best practices and lessons learned that support effective global procurement. Coordination Working on behalf of our project teams, our internal specialists coordinate the activities of external global procurement advisors who possess the training, work experience, and language skills required to work effectively in their local markets. Success Our external advisors, or feet on the street, are responsible for offshore vendor management, inspection, logistics, and the many other activities essential to successful global procurement. They work with our internal specialists and our project teams to deliver the high-quality, cost-effective products required for our projects. The PCL family of companies is composed of a number of independent companies which operate in various construction markets or geographic areas.

3 CASE STUDY Abbotsford Entertainment & Sports Centre Abbotsford, British Columbia This multipurpose sports and entertainment facility features 7,000 fixed seats, twenty private suites, fifteen semi private boxes, and numerous club seats. Owner City of Abbotsford Construction Manager PCL Constructors Westcoast Inc. Construction Schedule June 2007 to March 2009 Challenge As neither the project team nor the installer had previously sourced stadium seating from this manufacturer, it was not well known whether they could attain quality and schedule requirements (any delays would have caused problems). PCL SOLUTIONS Audited the manufacturer to ensure they could meet the needs of the project related to quality, management, and schedule Resolved potential schedule issues with the manufacturer through collaborative meetings and continual monitoring Conducted a logistics review to deliver project success Stadium seating Key Benefits Significantly lower cost for products (than domestic options) Resolved schedule impact by early involvement with subcontractor and manufacturer Discovered and addressed all quality issues prior to shipping

4 Service In response to the dramatic increase in client demand for global procurement services, we have invested in advanced software systems and processes to support our internal global procurement program. A Proactive, Integrated Approach Using this software, we develop risk identification procedures to help clients determine if global procurement will benefit their projects. Next, we implement risk mitigation strategies to manage the procurement activities. This initial investment in risk mitigation pays huge dividends in project savings! Risk Management Effectively managed risk has a significant, positive impact on the project supply chain. We diligently apply our knowledge of and unique skills associated with global procurement to manage any risks associated with this service. Language Currency Quality Political Issues Labor Taxes Cultural Schedule Communication Differences

5 CASE STUDY Vancouver Convention Centre West Vancouver, British Columbia This waterfront development features 1 million square feet of convention space, 90,000 square feet of retail space, and 400,000 square feet of walkways, bikeways and public open space. The 6-acre living roof is the largest in Canada. This project has a LEED platinum rating as per the Canada Green Building Council. Owner BC Pavilion Corporation general contractor PCL Constructors Westcoast Inc. Construction Schedule March 2005 to March 2009 Basalt tile in main entrances Challenge There were concerns whether the basalt tile manufacturer could meet quality and schedule requirements, given the remote locations of their quarry and tile finishing plant, and their unsophisticated equipment. PCL SOLUTIONS Advisors in China audited the manufacturer to ensure their ability to meet quality and quantity requirements Continual dialogue and monitoring with manufacturer to ensure production and testing occurred according to plan Verified product specification compliance, as well as crating and packing, to ensure the product arrived at the jobsite intact Key Benefits Sourced top quality product at 25 per cent less than domestic manufacturers, equating to cost savings of approximately $400,000 Shortened installation schedule by more than a month though direct contact with tile manufacturer Product arrived on site without any transportation breakage

6 CASE STUDY Bravern Signature Residences Phase II Redevelopment Bellevue, Washington This redevelopment project consisted of adding twenty nine levels of condominiums (455 individual units). Owner Bravern Residential, LLC Construction Manager PCL Construction Services, Inc. Construction Schedule April 2008 to March 2010 Challenge Quality was the major focus as the curtain wall supplier was unknown with a limited portfolio in North America. PCL SOLUTIONS Required significant due diligence to thoroughly audit and confirm the supplier s technical capability Conducted comprehensive background checks of financials and past projects Put in place on-site representation to conduct quality assurance and quality control checks Reviewed lead times, logistics plans, and crating and packaging to ensure the product arrived at the jobsite intact Curtain wall Key Benefits Cost savings of approximately $6 million, equating to 20 per cent less than local market price Timely delivery of product according to original project schedule Discovered and addressed all quality issues prior to shipping, eliminating costly delays

7 Qualifications By continually identifying new vendors, the PCL family of companies and our clients are well positioned to benefit from the shift to a truly global marketplace. Value As we continue to identify quality offshore vendors, our costs are reduced and our product choices are substantially expanded. This larger field of suppliers brings with it the responsibility to source the highest quality to bring clients the best value. Quality Our internal specialists conduct on-site audits prior to awarding contracts. This hands-on approach continues from the purchasing to the production phase. Our project team also stays connected to the work (by way of the external advisor with reports, photos, updates, and frequent communications) to ensure products are manufactured correctly. Prequalification criteria for suppliers Lower cost supply Appropriate logistics and schedule plan Corporate investments in technology, training, education, and equipment to produce high-quality products

8 For more information on PCL s global procurement capabilities, please contact your local PCL operation....aspiring to be the most respected builder, renowned for: excellence leadership unsurpassed value Watch us build at PCL.com 06/11