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Contract Award Notice

Smart Motorways Alliance and Associated Works

  • First published: 21 August 2020
  • Last modified: 21 August 2020
  • Version: N/A
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To record your interest or obtain additional information or documents please find instructions within the Full Notice Text. (NOTE: Contract Award Notices and Prior Information Notices do not normally require a response)

Contents

Summary

OCID:
Published by:
Highways England
Authority ID:
AA38103
Publication date:
21 August 2020
Deadline date:
-
Notice type:
Contract Award Notice
Has documents:
No
Has SPD:
No
Has Carbon Reduction Plan:
N/A

Abstract

Highways England has appointed a partner to be accountable for the programme-wide management activities within the production hub function over the term of the Alliance Agreement (10.5 years) and thereafter to oversee completion of works called off under lots 2 and 3. Such works expected to complete within 2 to 3 years of expiry of the term of the Alliance Agreement.

The production management partner will act as a catalyst for integration and collaboration between all seven alliance members (six partners and Highways England) within the production hub while providing capability in the service areas specifically related to delivery control and coordination and investing in the capability and competence development of Highways England to enable a programmatic approach that supports realisation of the intended benefits of an Alliance Model. The outcomes of the production hub function include the following, as a minimum:

1) business integration — managing and integrating resources from multiple companies to create and sustain effective and efficient programme delivery;

2) delivering services within the production hub in a leadership or supporting role as required;

3) Programme Management Office to enable delivery plan to be successfully delivered safely, to time, cost and quality and with robust change control;

4) supply chain management strategy — facilitate delivery of collaborative procurement hub, category management and wider supply chain performance;

5) technology and information strategy — facilitate and deliver technology architecture strategy to enable efficiency single source of the truth;

6) logistical management and scheduling — facilitate delivery of strategic co-ordination of plant material and resources across inventory storage and manufacturing assembly to smooth resource levels and effective sequencing;

7) people strategy — support alliance board and develop recruitment, skills and retention strategy to drive high performing culture;

8) continuous improvement, innovation and best practice identified at the scheme level and shared across the programme to support consistently high performing and continuously improving teams in both design areas and in all three construction areas;

9) commercial management — facilitate delivery of effective cost, commercial and financial management function to the alliance;

10) communications — lead effective communications strategy and business reporting management;

11) governance and risk management — provide effective risk controls to facilitate operational and strategic delivery;

12) quality management and assurance — provide an effective quality management system and controls to maximise operational efficiency;

13) business change and innovation — provide catalyst for business opportunities and deliver effective project management to successfully implement change.

The specific resources and structure will be reviewed annually to reflect needs of forward design and build works programme.

Full notice text

Contract award notice

Results of the procurement procedure

Section I: Contracting entity

I.1) Name and addresses

Highways England

The Cube, 199 Wharfside Street

Birmingham

B1 1RN

UK

Telephone: +44 0000000

E-mail: smpprocurement@highwaysengland.co.uk

NUTS: UK

Internet address(es)

Main address: https://www.gov.uk/government/organisations/highways-england

Address of the buyer profile: https://highways.bravosolution.co.uk/web/login.shtml

I.4) Type of the contracting authority

National or federal agency/office

I.5) Main activity

Other: Highways construction schemes and upgrade of roadside technology and associated road assets

Section II: Object

II.1) Scope of the procurement

II.1.1) Title

Smart Motorways Alliance and Associated Works

II.1.2) Main CPV code

45000000

 

II.1.3) Type of contract

Works

II.1.4) Short description

Highways England has appointed six partners to create the Smart Motorways Alliance (‘SMA’) over a 10.5 year period, including a mobilisation and a further period to complete outstanding works.

One partner shall provide production management services (Lot 1), two partners shall be digitally enabled designers (Lot 2) and three partners shall undertake on-site assembly and construction role (Lot 3). The alliance will develop, design and build multiple road schemes under a single alliance contract. Partners will operate from a centralised production hub to co-ordinate delivery.

The alliance will increase lane capacity on all parts of the strategic road network through embedding technology and converting hard shoulders to all-lane running. Where required, the alliance will also deliver associated works to co-ordinate wider HE programme of works. The alliance may also support HE deliver the wider autonomous and connected vehicles road implementation strategy.

II.1.6) Information about lots

This contract is divided into lots: Yes

II.1.7) Total value of the procurement

Value excluding VAT: 4 500 000 000.00  GBP

II.2) Description

Lot No: 1

II.2.1) Title

Production Management Partner

II.2.2) Additional CPV code(s)

71500000

71520000

71521000

71530000

71541000

79418000

II.2.3) Place of performance

NUTS code:

UK


Main site or place of performance:

ENGLAND — National.

II.2.4) Description of the procurement

Highways England has appointed a partner to be accountable for the programme-wide management activities within the production hub function over the term of the Alliance Agreement (10.5 years) and thereafter to oversee completion of works called off under lots 2 and 3. Such works expected to complete within 2 to 3 years of expiry of the term of the Alliance Agreement.

The production management partner will act as a catalyst for integration and collaboration between all seven alliance members (six partners and Highways England) within the production hub while providing capability in the service areas specifically related to delivery control and coordination and investing in the capability and competence development of Highways England to enable a programmatic approach that supports realisation of the intended benefits of an Alliance Model. The outcomes of the production hub function include the following, as a minimum:

1) business integration — managing and integrating resources from multiple companies to create and sustain effective and efficient programme delivery;

2) delivering services within the production hub in a leadership or supporting role as required;

3) Programme Management Office to enable delivery plan to be successfully delivered safely, to time, cost and quality and with robust change control;

4) supply chain management strategy — facilitate delivery of collaborative procurement hub, category management and wider supply chain performance;

5) technology and information strategy — facilitate and deliver technology architecture strategy to enable efficiency single source of the truth;

6) logistical management and scheduling — facilitate delivery of strategic co-ordination of plant material and resources across inventory storage and manufacturing assembly to smooth resource levels and effective sequencing;

7) people strategy — support alliance board and develop recruitment, skills and retention strategy to drive high performing culture;

8) continuous improvement, innovation and best practice identified at the scheme level and shared across the programme to support consistently high performing and continuously improving teams in both design areas and in all three construction areas;

9) commercial management — facilitate delivery of effective cost, commercial and financial management function to the alliance;

10) communications — lead effective communications strategy and business reporting management;

11) governance and risk management — provide effective risk controls to facilitate operational and strategic delivery;

12) quality management and assurance — provide an effective quality management system and controls to maximise operational efficiency;

13) business change and innovation — provide catalyst for business opportunities and deliver effective project management to successfully implement change.

The specific resources and structure will be reviewed annually to reflect needs of forward design and build works programme.

II.2.5) Award criteria

Quality criterion: Quality / Weighting: 70 %

Quality criterion: Price / Weighting: 30 %

Price / Weighting:  30 %

II.2.11) Information about options

Options: No

II.2.13) Information about European Union funds

The procurement is related to a project and/or programme financed by European Union funds: No

II.2.14) Additional information

Lot value is for guidance only. The value will be subject to the programme scale and agreed resources profile across the alliance partners, which will vary depending upon ability for HE, design and construction partner's ability to self-deliver. A package order will be issued to confirm resource need, with resources embedded in a centralised production hub.

Lot No: 2

II.2.1) Title

Digitally Enabled Design Partner

II.2.2) Additional CPV code(s)

71000000

71250000

71300000

71311210

71320000

71322500

71510000

II.2.3) Place of performance

NUTS code:

UK


Main site or place of performance:

ENGLAND — National.

II.2.4) Description of the procurement

The digitally-enabled design partners will provide outline and detailed civil engineering design for smart motorway schemes. They will be accountable for delivery of the project control framework stages 1-7, including:

• principal designer for allocated schemes,

• design knowledge management,

• surveys (supported by supply chain and on-site assembly partner),

• environmental assessment and design,

• statutory and consent management,

• maximising use of digital design including building information modelling (BIM),

• providing designs solutions to meet scheme needs,

• promoting industry practice for road design.

As an alliance partner, the design partners will promote and lead the standardisation and use of digital solutions to reduce the need for bespoke design and maximise efficiency. They will develop and apply a consistent approach to design whereby standardised SMP designs are developed for use across all on-site assembly areas to drive efficiencies across the value chain.

The design partners will promote and manage the utilisation of the HE promoted ‘Rapid Engineering Model’ system to better inform designs, while standardising the methods and running digital rehearsals implementing a cyclical dynamic, where processes and capabilities are tested to deliver right first time, optimised on site assembly. The supply chain is critical to developing the flexibility, efficiency and speed to deliver the right product efficiently.

Design partners will provide resource and expertise to deliver centralised production hub activity to maximise alliance objectives and delivery of efficient programme. As part of the contract award, the two alliance design partners will provide personnel to sit within the production hub and shall appoint representatives to the Alliance Board with a mandate to deliver all SMP schemes.

The design partners' are assigned to one of two UK regions (North and South).

The alliance contract includes a work allocation procedure.

II.2.5) Award criteria

Quality criterion: Quality / Weighting: 70 %

Quality criterion: Price / Weighting: 30 %

Price / Weighting:  30 %

II.2.11) Information about options

Options: No

II.2.13) Information about European Union funds

The procurement is related to a project and/or programme financed by European Union funds: No

II.2.14) Additional information

Lot value represents the optimistic maximum forecast if the complete Smart Motorways Programme is fully funded over the 10-year term.

Lot No: 3

II.2.1) Title

On-site Assembly Partner

II.2.2) Additional CPV code(s)

45000000

45100000

45233000

45233100

45233130

71000000

71250000

71300000

71311210

71320000

71322500

71510000

II.2.3) Place of performance

NUTS code:

UK


Main site or place of performance:

ENGLAND — National.

II.2.4) Description of the procurement

The on-site assembly partner is responsible for constructing highways infrastructure, including the provision of traffic management and testing and commissioning of any infrastructure as part of handover to highway operational teams. Using in-house and supply chain resource to deliver schemes, interfacing with other partners to support efficient and safe design with predictable cost and schedule outcomes. They will have specific responsibility for delivery for the following specific activities:

• principal contractor for allocated schemes,

• site mobilisation and site logistics,

• site safety and temporary works,

• Integration and co-ordination of roadside technology to connect to Highways England Traffic Management System,

• site surveys,

• environmental assessment and design,

• asbestos surveys,

• management and delivery of construction activities,

• site performance control,

• site level engineering,

• installation and technology commissioning,

• commission and handover management,

• customer service and external stakeholder management.

On-site assembly partners will provide resource and expertise to deliver centralised production hub activity to maximise alliance objectives and delivery of efficient programme. It will specifically lead and promote usage of off-site construction activity. They will work with alliance partners to standardise construction materials, methods and design to maximise productivity and innovation.

On-site assembly partner's have been assigned to one of three UK regions (North, Midland and South).

The alliance contract includes a work allocation procedure.

II.2.5) Award criteria

Quality criterion: Quality / Weighting: 70 %

Quality criterion: Price / Weighting: 30 %

Price / Weighting:  30 %

II.2.11) Information about options

Options: No

II.2.13) Information about European Union funds

The procurement is related to a project and/or programme financed by European Union funds: No

II.2.14) Additional information

Lot value represents the optimistic maximum forecast if the complete Smart Motorways Programme is fully funded over the 10 year term.

Section IV: Procedure

IV.1) Description

IV.1.1) Type of procedure

Competitive procedure with negotiation

IV.1.3) Information about a framework agreement or a dynamic purchasing system

The procurement involves the establishment of a framework agreement

IV.1.8) Information about Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: Yes

IV.2) Administrative information

IV.2.1) Previous publication concerning this procedure

Notice number in the OJ S:

2018/S 234-533871

Section V: Award of contract

Lot No: 1

Title: Production Hub Partner

A contract/lot is awarded: Yes

V.2 Award of contract

V.2.1) Date of conclusion of the contract

12/05/2020

V.2.2) Information about tenders

Number of tenders received: 4

The contract has been awarded to a group of economic operators: No

V.2.3) Name and address of the contractor

Fluor Ltd

01274885

Farnborough

UK

NUTS: UK

The contractor is an SME: No

V.2.4) Information on value of the contract/lot (excluding VAT)

Total value of the contract/lot: : 225 000 000.00  GBP

V.2.5) Information about subcontracting

Section V: Award of contract

Lot No: 2

Title: Digitally Enabled Design Partner

A contract/lot is awarded: Yes

V.2 Award of contract

V.2.1) Date of conclusion of the contract

12/05/2020

V.2.2) Information about tenders

Number of tenders received: 4

The contract has been awarded to a group of economic operators: No

V.2.3) Name and address of the contractor

Jacobs UK Ltd

02594504

Wokingham

UK

NUTS: UK

The contractor is an SME: No

V.2.4) Information on value of the contract/lot (excluding VAT)

Total value of the contract/lot: : 675 000 000.00  GBP

V.2.5) Information about subcontracting

Section V: Award of contract

Lot No: 2

Title: Digitally Enabled Design Partner

A contract/lot is awarded: Yes

V.2 Award of contract

V.2.1) Date of conclusion of the contract

12/05/2020

V.2.2) Information about tenders

Number of tenders received: 4

The contract has been awarded to a group of economic operators: No

V.2.3) Name and address of the contractor

WSP UK Ltd

01383511

London

UK

NUTS: UK

The contractor is an SME: No

V.2.4) Information on value of the contract/lot (excluding VAT)

Total value of the contract/lot: : 675 000 000.00  GBP

V.2.5) Information about subcontracting

Section V: Award of contract

Lot No: 3

Title: On-site Assembly Partner

A contract/lot is awarded: Yes

V.2 Award of contract

V.2.1) Date of conclusion of the contract

12/05/2020

V.2.2) Information about tenders

Number of tenders received: 6

The contract has been awarded to a group of economic operators: No

V.2.3) Name and address of the contractor

Balfour Beatty Civil Engineering Ltd

04482405

London

UK

NUTS: UK

The contractor is an SME: No

V.2.4) Information on value of the contract/lot (excluding VAT)

Total value of the contract/lot: : 360 000 000.00  GBP

V.2.5) Information about subcontracting

Section V: Award of contract

Lot No: 3

Title: On-site Assembly Partner

A contract/lot is awarded: Yes

V.2 Award of contract

V.2.1) Date of conclusion of the contract

12/05/2020

V.2.2) Information about tenders

Number of tenders received: 6

The contract has been awarded to a group of economic operators: No

V.2.3) Name and address of the contractor

Costain Limited

00610201

Maidenhead

UK

NUTS: UK

The contractor is an SME: No

V.2.4) Information on value of the contract/lot (excluding VAT)

Total value of the contract/lot: : 360 000 000.00  GBP

V.2.5) Information about subcontracting

Section V: Award of contract

Lot No: 3

Title: On-site Assembly Partner

A contract/lot is awarded: Yes

V.2 Award of contract

V.2.1) Date of conclusion of the contract

12/05/2020

V.2.2) Information about tenders

Number of tenders received: 6

The contract has been awarded to a group of economic operators: Yes

V.2.3) Name and address of the contractor

Morgan Sindall Construction and Infrastructure Ltd

04273754

London

UK

NUTS: UK

The contractor is an SME: No

V.2.3) Name and address of the contractor

BAM Nuttall Ltd

00305189

Camberley

UK

NUTS: UK

The contractor is an SME: No

V.2.4) Information on value of the contract/lot (excluding VAT)

Total value of the contract/lot: : 360 000 000.00  GBP

V.2.5) Information about subcontracting

Section VI: Complementary information

VI.4) Procedures for review

VI.4.1) Review body

See details at VI.4.3

See details at VI.4.3

UK

VI.5) Date of dispatch of this notice

17/08/2020

Coding

Commodity categories

ID Title Parent category
71000000 Architectural, construction, engineering and inspection services Construction and Real Estate
71250000 Architectural, engineering and surveying services Architectural and related services
71530000 Construction consultancy services Construction-related services
71541000 Construction project management services Construction management services
71520000 Construction supervision services Construction-related services
45000000 Construction work Construction and Real Estate
45233130 Construction work for highways Construction, foundation and surface works for highways, roads
45233100 Construction work for highways, roads Construction, foundation and surface works for highways, roads
45233000 Construction, foundation and surface works for highways, roads Construction work for pipelines, communication and power lines, for highways, roads, airfields and railways; flatwork
71500000 Construction-related services Architectural, construction, engineering and inspection services
71521000 Construction-site supervision services Construction supervision services
71320000 Engineering design services Engineering services
71300000 Engineering services Architectural, construction, engineering and inspection services
71322500 Engineering-design services for traffic installations Engineering design services for the construction of civil engineering works
71311210 Highways consultancy services Civil engineering consultancy services
79418000 Procurement consultancy services Business and management consultancy services
45100000 Site preparation work Construction work
71510000 Site-investigation services Construction-related services

Delivery locations

ID Description
100 UK - All

Alert region restrictions

The buyer has restricted the alert for this notice to suppliers based in the following regions.

ID Description
There are no alert restrictions for this notice.

About the buyer

Main contact:
smpprocurement@highwaysengland.co.uk
Admin contact:
N/a
Technical contact:
N/a
Other contact:
N/a

Further information

Date Details
No further information has been uploaded.

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