Streets Ahead Contract Data Sheet Amey Hallam Highways Ltd (Amey) Produced by Commercial Services Managers of the Council’s External Spend Purpose This document is one of a series of documents produced by Commercial Services providing information on Sheffield City Council’s key Suppliers, the Services they provide and their performance in the delivery of those Services. AMEY: Streets Ahead Introduction Amey works with both public and private sector clients, supporting them to deliver services to the public more effectively. They increase the quality of services by introducing efficiencies and innovation to the processes and principles that underpin their service delivery. Amey operates across three principal sectors - Transport, Social and Environmental Infrastructure. The services they offer include: Consulting Services Amey offers a range of multi-disciplinary services to its customers, driving value across its asset portfolio. To organisation offers a whole-life approach to asset management, from advisory and design services, through performance monitoring, to ultimate management of asset operation and use. Highways Infrastructure Amey delivers a comprehensive highways infrastructure service to clients across the UK including local authorities, the Highways Agency, Transport for London and Transport Scotland. Waste Management Amey, as part of AmeyCespa, provides over 40 years of international, unparalleled experience in waste management, with an emphasis on pioneering new technologies. Environmental Services Connecting high quality environmental consultancy with whole life asset management, Amey’s environmental team delivers solutions to clients that demonstrate sustainability throughout the whole asset lifecycle. Rail Infrastructure Amey keeps the UK on track through bespoke engineering and whole life asset management of overground and underground rail networks. The Rail team is made up of diverse and highly skilled engineers, inspectors, examiners and project managers Transportation Services Amey’s in-house fleet and plant capability means it is perfectly placed to provide transportation facilities to its customers. Property and Facilities Management Amey provides a comprehensive range of facilities management services. The organisation delivers services to a large proportion of the government's estate, as well as to departments, agencies, non-departmental bodies and the private sector. Structures Management Amey delivers savings for its customers through whole-life asset management of their structures portfolio. The Structures team are experts with a proven capability in delivering asset management services across a range of structures. Produced by Commercial Services, Managers of the Council’s External Spend page 2 AMEY: Streets Ahead Introduction (cont’d) Amey’s parent company, Ferrovial, is one of the world's leading infrastructure companies, with a workforce of approximately 70,000 employees, and operations in more than 15 different countries. The Ferrovial business model focuses on integrated infrastructure management: ’design, build, finance, operate and maintenance projects (DBFOM). The company also focuses on sustainable growth, underpinned by a portfolio of high quality, long term businesses. This approach to sustainable development is starting to be recognised in financial markets. For the seventh consecutive year, Ferrovial has been included in the DJSI World and the DJSI STOXX, and for the fourth year in a row, it is part of the FTSE4Good index. Full description of services provided The Streets Ahead contract is a fence-to-fence approach to highway maintenance. The core services being provided are: Road and pavement maintenance Winter gritting and snow clearance Bridge and other highway structures maintenance Verge and landscape area maintenance Traffic lights and road sign maintenance Street lights maintenance Road drainage maintenance Street cleaning Street furniture maintenance including nameplate, bollards, safety fences, barriers and benches For more details on each of the highway maintenance services please click on the Streets Ahead web pages link below. Sheffield City Council - Streets Ahead Project In addition to the provision of core services, the Council can, where value for money can be demonstrated, request other services to be provided, such as highway improvement schemes funded by the Local Transport Plan. These are called the non-core services. Streets Ahead does not include the improvement or maintenance of the following: unadopted roads – e.g. private roads. The M1 and the Stocksbridge bypass (looked after by the Highways Agency) Rural footpaths (i.e. unpaved public rights of way), though they will continue to be maintained by the Council. Produced by Commercial Services, Managers of the Council’s External Spend page 3 AMEY: Streets Ahead Supplier details and operating base Amey Hallam Highways Ltd (Amey) Website: http://amey.co.uk Operational Depots: Olive Grove, Ecclesfield and Eyre Lane Amey’s main depot is Olive Grove. The Ecclesfield depot services the north of the city and forms part of Amey’s business continuity strategy in times of emergency. The depot situated at Eyre Lane supports the city centre street cleaning service. Key facts and figures Contract Period – 20 August 2012 – 19 August 2037 (25-year Contract Term) Contract Value – £2bn Amey will be undertaking significant improvement works to the highway network during the first five years of the Contract and thereafter maintaining the condition of the highway network and all associated highway assets. The diagram below depicts the scale of the highway maintenance service being provided. Streets Ahead improvements will consist of some (or all) of the following works, depending on what is required for your street: Replace street light columns and traffic signals including installing new LED lights Replace road-side trees (where existing trees are dead, diseased or dangerous) Maintain road drains (gullies and ditches) Improve the surface water drainage system Replace broken and misaligned kerbs Resurface roads and pavements Improve the condition of damaged verges Produced by Commercial Services, Managers of the Council’s External Spend page 4 AMEY: Streets Ahead Contract management governance arrangements Sheffield City Council has defined the best practice approach implemented for managing and developing its commercial relationships - the Intelligent Client Model. This is supported by a world class contract management approach developed by the Council’s Commercial Services Department. The ‘Intelligent Client’ is defined as the integrated roles, responsibilities, structures, processes and values that exist to ensure that Sheffield City Council manages and develops the delivery of services and systems, minimises risk and obtains value for money over the full life of the commercial relationship, defined by the legal agreement put in place between the Council and the Service Provider. The management of Sheffield City Council’s Contracts is supported by comprehensive governance arrangements in the form of Governance Boards. Strategic Partnership Board: This Board is about strategic direction, major developments and an oversight of the effectiveness of the Contract. It is not involved in the management of the Contract unless matters of a serious nature are escalated by the Management or Service Operations Boards. Management Board: This Board is about the performance management of the Contract and service provision. The Management Board has responsibility for ensuring that Performance Indicators are being achieved, risks are being jointly managed, the Payment and Performance Mechanism is being operated correctly, a high performance relationship and culture is being developed and maintained and that Contract variations, or issues are resolved. Service Operations Board: This Board is responsible for the ongoing performance and development of the contracted services within the specific service area. Where a Contract has a number of individual service areas, it may be appropriate to have individual Service Operations Boards for each service area. Produced by Commercial Services, Managers of the Council’s External Spend page 5 AMEY: Streets Ahead Contract management governance arrangements (cont’d) All Boards are controlled by Sheffield City Council. It is important that the Intelligent Client and Service Provider(s) are working in partnership, which is about performance and people. The ‘people’ elements are within the ethos and principles or culture and values which the Intelligent Client will establish, and are based on the following: Openness, excellent communication, mutual trust and sharing of information Developing agreed and clearly understood mutual objectives Commitment towards continuous improvement Resolution of problems in a constructive and collaborative way Working proactively to manage a relationship The Council’s Intelligent Client Model for contract management was used to inform the design of the structure of the Client team which now manages the Contract. The commercial section of the Client team, led by a Senior Contract Manager, provides best practice commercial contract management, working in collaboration with a large team of technical specialists who monitor service quality and assurance. The processes used to manage the contract are designed in accordance with the Council’s Contract Management Toolkit. The Contract is governed by the following joint Boards and associated Sub-teams: Strategic Board – Quarterly Management Board – Monthly Service Operations Board – Monthly Technical Sub-team Meetings - Monthly Commercial Sub-team Meeting – Monthly Streets Ahead Governance Meeting Structure.pdf Produced by Commercial Services, Managers of the Council’s External Spend page 6 AMEY: Streets Ahead Contract management governance arrangements (cont’d) Amey is required to submit a Monthly Monitoring Report which details performance and progress against programmes of work. The information in the Monthly Monitoring Report is discussed at the Service Operations Board Technical and Commercial Sub-teams, with issues escalated, as and when required, to the Service Operations Board. Payment is based on a number of different factors relating to Amey’s performance, progress against investment programmes and completed non-core services. Amey submit a Payment Report on a monthly basis which is discussed, and the monthly payment agreed, at Management Board. The Strategic Board’s Terms of Reference include monitoring the realisation of benefits, ensuring strategic alignment of the Contract objectives with the Council’s Corporate Priorities and discussing any issues which have been escalated through the governance structure. In addition to the above governance structure there is an internal Contract Board that meets every 2 months to review the contract. Key performance data Monthly Metrics: March 2013 Service: Immediate Response Grounds Maintenance No. of Requests for Service % Achievement within Contractual Timescales 10 100 % 1404 99.9% Street Lighting 51 98.1 % Structures 0 n/a Highways Traffic Signals/ITS 154 100 % Street Cleaning 66 100 % Service: Non-Immediate Response No. of Requests for Service % Achievement within Contractual Timescales Grounds Maintenance 26 100 % Highways 145 100 % Street Lighting 1538 99.7 % Structures 0 n/a Traffic Signals/ITS 338 100 % Street Cleaning 1061 99.5 % Produced by Commercial Services, Managers of the Council’s External Spend page 7 AMEY: Streets Ahead Key performance data (cont’d) Data is based on all enquiries received and processed by Amey, with the exception of enquiries falling under a grace period or subject to rectification by the DNO. Immediate Response figures are composed of Urgent Defects and Category 1 defects. Seasonal Metrics: March 2013 Service: Winter Maintenance : Oct Apr No. of gritting runs March 13 % completed on time % of Winter Maintenance gritting routes completed within contractual timescales 28 out of a possible 31 100 % Service: Grounds Maintenance No. of grassed areas being cut: n/a % completed on time % of standard grassed areas cut to the contractual standards n/a n/a Employment, apprenticeships and Corporate Social Responsibility Amey is working with the Council’s Employment and Skills team in relation to recruitment, ensuring the organisation coordinates recruitment drives with the appropriate employment agencies, targeting the hard to reach and long term unemployed in the city. In addition, Amey employs graduates from Sheffield University and is offering work experience placement for school age children. Apprenticeships Amey has established a bespoke Sheffield apprenticeship programme, designed to offer opportunity to people across Sheffield and the local region and supports the delivery of Sheffield City Council’s young people’s objectives. Produced by Commercial Services, Managers of the Council’s External Spend page 8 AMEY: Streets Ahead Employment, apprenticeships and Corporate Social Responsibility (cont’d) Amey has identified opportunities for apprentices across the service: Arboriculture Grounds maintenance Incident response Street lighting Carriageway and footway maintenance Customer care Administration Highways inspection Drainage maintenance Stock management Winter maintenance Structures maintenance Traffic signal maintenance Amey’s apprenticeship programme will provide NVQ qualifications to Levels 2, 3 and 4. The majority of apprentices will be employed directly by Amey, with the exception of apprentices accepted into the Apprenticeship programmes offered by Aggregate Industries and Henry Boot. The Council will continue to work with Amey to increase the number of apprenticeships being offered. Amey is working with the Sheffield College, CSkills and Telford College to develop NVQ courses that are relevant to Amey’s work and industry, while giving the apprentices a nationally recognised, accredited qualification that will provide a good grounding in the skills they will need within their career. Whilst Amey recognises that a small number of apprentices will want to leave at the end of their apprenticeship for personal reasons, it will aim to retain 90% of all apprentices. Amey’s vision for Corporate Social Responsibility is to deliver added value through the Streets Ahead Contract to improve the Economic, Social and Environmental well-being of the residential and business communities of Sheffield. It will do this by a mixture of engagement through the supply chain, directly through the Streets Ahead Contract, employee development, and philanthropy in terms of cash, time and resources. The philanthropic giving will be largely done through 3 schemes; Amey in the Community (1 days paid leave per employee for voluntary work), Amey Foundation (match funding of sponsorship raised by employees), and Amey Donation (e.g.7 x £1,000 pots for community groups in each Community Assembly area to bid for donations up to a maximum of £250). Amey donations, or support in kind, must demonstrate community benefit and an associated link to Amey’s business objective, with environmental and education commitments particularly helping disadvantaged groups taking priority. Produced by Commercial Services, Managers of the Council’s External Spend page 9 AMEY: Streets Ahead Buy local contributions Amey attends the Buy Local Summit and supports the local economy through the use of local suppliers which comprise 96% of their supply chain. Amey is a patron of the Sheffield Chamber of Commerce and Industry. http://www.hrmedia.org.uk/news/2012/nov/amey-buy-local-policy-praised-by-chamber Other useful links Streets Ahead Business Case: https://www.sheffield.gov.uk/roads/works/schemes/streetsaheadproject/procurement.html Project twitter feed:- @sccstreetsahead Produced by Commercial Services, Managers of the Council’s External Spend page 10