Client Care - Part II

Client Care for RICS APC Candidates – Part II

1        Introduction

Embarking on a construction project involves a series of meticulously planned steps, each crucial for its success. Among these, site investigation stands as the cornerstone, offering insights into the complexities and possibilities of the chosen location. As per the RICS 'Black Book,' site investigations encompass various facets, from geotechnical assessments to environmental considerations, all regulated by pertinent UK legislation. Let's delve into how these investigations unfold and their significance in mitigating risks, maximizing opportunities, and ensuring exemplary client care throughout the construction process.

This blogpost delves into the following titles:

• Site investigation

• Feasibility studies

• Procurement reports

• Project programme

• Communication strategy

• Key Performance Indicators

• Stakeholder management

2        Site investigation

Site investigation is a vital step in assessing potential risks and opportunities associated with the construction site. RICS ‘Black Book’ provides detailed guidance on conducting site investigations, which should include geotechnical, environmental, and topographical studies. [1]

In the UK, legislation such as the Environmental Protection Act 1990 and the Town and Country Planning Act 1990 mandates that site investigations must consider environmental impacts and land suitability. [2]

As a construction professional, you should be able to plan and carry out a site investigation, and interpret and present the findings and recommendations to the client. You should also be able to identify and mitigate any risks or issues that may arise from the site investigation, such as soil contamination, groundwater pollution, or heritage protection. For example, if the site investigation reveals that the site is located in a flood-prone area, you should advise the client on the appropriate flood prevention and drainage measures, and obtain the necessary permits and approvals from the relevant authorities.

To illustrate this, let's consider a real-life example of a client who wanted to develop a residential complex on a former industrial site. The site investigation included the following activities:

• A geotechnical survey, which involved drilling boreholes and taking soil samples to determine the soil properties, such as the bearing capacity, the moisture content, and the compaction level.

• An environmental assessment, which involved testing the soil and water samples for the presence of any hazardous substances,  such as heavy metals, asbestos, or hydrocarbons.

• A topographical survey, which involved measuring the elevation and contours of the site, and mapping the existing features, such as buildings, roads, utilities, and vegetation.

• A hydrological study, which involved evaluating the water sources, flows, and levels on and around the site, and assessing the flood risk and the drainage requirements.

• An archaeological investigation, which involved excavating and documenting any artefacts or remains that may have historical or cultural value, and consulting with the local heritage authorities.

• A planning review, which involved reviewing the zoning and development regulations and policies that apply to the site, and identifying any restrictions or opportunities for the project.

The construction professional conducted and coordinated the site investigation, and reported the results and recommendations to the client. The construction professional also addressed any risks or issues that emerged from the site investigation, such as the need to remediate the soil contamination, to design a suitable foundation system, and to obtain a planning permission for the project.

3        Feasibility studies

Feasibility studies are essential for evaluating the practicality of a proposed construction project. They assess technical, economic, and legal viability, ensuring the project is sustainable and compliant with current regulations. RICS guidance notes state that feasibility studies should include a thorough analysis of project requirements, risks, and opportunities. [1]

The Building Regulations etc. (Amendment) (England) Regulations 2023 in the UK require feasibility studies to ensure compliance with the latest building standards, particularly regarding energy efficiency and carbon emissions. [3]

As a construction professional, you should be able to conduct and manage a feasibility study, and present the findings and conclusions to the client. You should also be able to advise the client on the best course of action, and support the client in making an informed decision. For example, if the feasibility study shows that the project is technically feasible, but not economically viable, you should suggest alternative solutions, such as reducing the scale, changing the materials, or increasing the revenue streams of the project.

To illustrate this, let's consider a real-life example of a client who wanted to renovate and extend a hotel in a seaside town. The feasibility study included the following elements:

• A design analysis, which involved developing and comparing different design options, and selecting the most suitable one, based on the client's brief, the site conditions, and the aesthetic preferences.

• A cost analysis, which involved estimating and comparing the capital and operational costs of each design option, and determining the breakeven point and the return on investment of the project.

• A benefit analysis, which involved estimating and comparing the potential benefits of each design option, such as the occupancy rate, the customer satisfaction, and the brand recognition of the hotel.

• A market analysis, which involved researching and analysing the supply and demand of the hotel industry in the area, and the strengths and weaknesses of the competitors.

• A demand analysis, which involved forecasting and projecting the future demand for the hotel services, based on the demographic, economic, and social trends, and the seasonal variations.

• An impact analysis, which  involved assessing and quantifying the positive and negative impacts of the project on the environment, the community, and the stakeholders.

The construction professional performed and supervised the feasibility study, and communicated the results and recommendations to the client. The construction professional also advised the client on the optimal design option, which was to renovate the existing hotel and add a new wing, with a contemporary style and energy-efficient features. The construction professional also helped the client to secure the funding and approval for the project.

4        Procurement reports

Procurement report also plays an important role in achieving the highest level of quality possible for client care. A procurement report is a document that outlines the strategy and plan for procuring the resources and services required for the project. The procurement report may include the procurement method, the selection criteria, the tender process, the contract terms, and the risk management plan, depending on the size and nature of the project.

As a construction professional, you should be able to write and present a procurement report and advise the client on the best procurement approach. You should also be able to follow the relevant RICS guidance notes and UK laws regarding the procurement process, such as the RICS (2019) Invitation to Tender, the RICS (2019) Complaints Handling, and the RICS (2019) Insurance. For example, if the project involves public funds, you should comply with the Public Contracts Regulations 2015, which set out the rules and procedures for public procurement in the UK. [4], [5], [6], [7]

To illustrate this, let's consider a real-life example of a client who wanted to build a new school building for a primary school. The procurement report included the following sections:

• The procurement method: the construction professional recommended the design and build method, which involved appointing a single contractor who would be responsible for both designing and constructing the school building, under a fixed price and a fixed time contract.

• The selection criteria: the construction professional defined the criteria for selecting the contractor, such as the technical competence, the financial stability, the previous experience, and the social value.

• The tender process: the construction professional described the steps and the timeline for inviting, evaluating, and awarding the tenders, such as the pre-qualification questionnaire, the invitation to tender, the tender evaluation, and the contract award.

• The contract terms: the construction professional specified the terms and conditions of the contract, such as the scope of work, the payment schedule, the quality standards, the variations and changes, and the dispute resolution mechanisms.

• The risk management plan: the construction professional identified and analysed the potential risks and opportunities associated with the project, such as the site conditions, the design errors, the delays, or the cost overruns, and proposed the mitigation and contingency measures, such as the insurance, the bonds, and the warranties.

The construction professional prepared and delivered the procurement report to the client and guided the client through the procurement process. The construction professional also ensured that the procurement process was fair, transparent, and compliant with the RICS guidance notes and the UK laws.

5        Project programme

The project programme is a critical management tool that outlines the sequence and duration of activities necessary to complete a construction project. According to the RICS ‘Black Book’, a well-structured project programme should facilitate effective project delivery and enable the monitoring of progress against key milestones. [13]

UK law, particularly the Housing Grants, Construction and Regeneration Act 1996, requires a clear programme of works to be established, ensuring that all contractual obligations are met and that the project is delivered on time. [14]

For example, a construction professional working as a project manager for a residential development project may use a Gantt chart to show the project programme to the client. The Gantt chart would indicate the start and finish dates of each activity, the dependencies between them, the critical path, and the allocated resources. The project manager would review the project programme with the client at regular intervals, such as monthly or quarterly, and report on the actual versus planned performance, highlighting any deviations, delays, or risks. The project manager would also seek feedback from the client and address any concerns or queries they may have. If any changes are required to the project programme, the project manager would obtain the client's approval and document them accordingly.

6        Communication strategy

A communication strategy is a plan that defines the purpose, audience, message, method, frequency, and evaluation of communication for a project. It helps to ensure that the right information is conveyed to the right people at the right time and in the right way. A communication strategy also helps to build trust and rapport with the client, as it demonstrates the construction professional's commitment, transparency, and responsiveness. Therefore, it is important to develop a communication strategy with the client at the beginning of the project and to implement it consistently throughout the project lifecycle. This way, the client can be involved and consulted in the decision-making process and be aware of the project's achievements and challenges. [9]

For example, a construction professional working as a quantity surveyor for a commercial refurbishment project may use a communication matrix to show the communication strategy to the client. The communication matrix would specify the purpose, audience, message, method, frequency, and evaluation of each type of communication, such as emails, meetings, reports, presentations, or surveys. The quantity surveyor would follow the communication strategy with the client and ensure that the communication is clear, concise, accurate, timely, and respectful. The quantity surveyor would also seek feedback from the client and measure the effectiveness of the communication using appropriate indicators, such as satisfaction, understanding, or engagement.

7        Key Performance Indicators

Key Performance Indicators are essential metrics used in the construction industry to measure the success of a project against its planned objectives. RICS guidance notes suggest that KPIs should be SMART: Specific, Measurable, Achievable, Relevant, and Time-bound, ensuring they provide a clear benchmark for performance. [10]

In the UK, the Construction (Design and Management) Regulations 2015 emphasize the need for measurable standards in project delivery, which aligns with the use of KPIs to assess compliance with health, safety, and environmental standards. [11]

For example, a construction professional working as a building surveyor for a heritage restoration project may use a balanced scorecard to show the KPIs to the client. The balanced scorecard would include four perspectives: financial, customer, internal, and learning and growth. Each perspective would have specific objectives, measures, targets, and initiatives that relate to the project's goals and the client's requirements. The building surveyor would collect and analyse data on the KPIs and present them to the client in a dashboard or a report format. The building surveyor would also review the KPIs with the client and discuss any actions or recommendations to improve the service quality and value.

8        Stakeholder management

Stakeholder management is the process of identifying, analysing, engaging, and managing the people or groups who have an interest or influence on a project. It helps to ensure that the project's objectives and outcomes are aligned with the expectations and needs of the stakeholders and that any potential conflicts or issues are resolved or mitigated. Stakeholder management also helps to create and maintain positive and productive relationships with the stakeholders, especially the client, who is the primary stakeholder of any project. Therefore, it is crucial to conduct a stakeholder analysis with the client at the planning stage of the project and to update it throughout the project lifecycle. This way, the client can be informed and consulted on the stakeholder's views and interests and be involved in the stakeholder engagement and management activities. [8]

For example, a construction professional working as a design manager for a mixed-use development project may use a stakeholder map to show the stakeholder analysis to the client. The stakeholder map would identify the key stakeholders of the project, such as the end-users, the local community, the authorities, the contractors, or the consultants. The stakeholder map would also assess the stakeholder's power, interest, attitude, and influence on the project and classify them into different categories, such as supporters, influencers, neutrals, or blockers. The design manager would develop  and implement a stakeholder engagement and management plan with the client, which would define the objectives, strategies, methods, and responsibilities for each stakeholder group. The design manager would also monitor and evaluate the stakeholder feedback and satisfaction and report on them to the client.

9        Conclusion                    

In navigating the intricacies of construction projects, from feasibility studies to stakeholder management, adherence to established protocols and legislation is paramount. Each phase, meticulously executed and documented, ensures the project's trajectory remains aligned with its objectives and upholds the highest standards of client care. By leveraging real-life examples and insights from RICS guidance notes, construction professionals can adeptly steer projects towards fruition while safeguarding against potential pitfalls, ultimately fostering trust and satisfaction among clients. Through unwavering dedication to excellence, compliance, and client-centric practices, the construction industry continues to forge ahead, transforming visions into tangible realities while prioritizing the needs and expectations of those it serves.

10   References

1.       RICS Standards and Guidance. Available at: https://www.gov.scot/publications/construction-procurement-handbook/pages/2/

2.       Chapter 2: Creating the Project Brief - Construction Procurement Handbook - gov.scot. Accessible at: https://www.gov.uk/guidance/design-and-building-work-meeting-building-requirements

3.       Design and building work: meeting building requirements - GOV.UK. Accessible at: https://www.gov.uk/guidance/design-and-building-work-meeting-building-requirements

4.       RICS (2019) Invitation to Tender. Available at: https://www.rics.org/uk/upholding-professional-standards/sector-standards/real-estate/invitation-to-tender/ (Accessed: 10 November 2020).

5.       RICS (2019) Complaints handling. Available at: https://www.rics.org/uk/upholding-professional-standards/sector-standards/real-estate/complaints-handling/ (Accessed: 10 November 2020).

6.       RICS (2019) Insurance. Available at: https://www.rics.org/uk/upholding-professional-standards/sector-standards/real-estate/insurance/ (Accessed: 10 November 2020).

7.       Public Contracts Regulations 2015. Available at: http://www.legislation.gov.uk/uksi/2015/102/contents/made (Accessed: 10 November 2020).

8.       RICS (2016) Stakeholder Engagement and Management. Available at: https://www.rics.org/globalassets/rics-website/media/training--events/conferences-seminars/stakeholder-engagement-and-management-webinar-series/rer-stakeholder-engagement-managment-slides-july-fa-1.pdf (Accessed: 10 November 2020).

9.       RICS (2017) Effective Communication. Available at: https://www.rics.org/globalassets/rics-website/media/upholding-professional-standards/sector-standards/real-estate/effective-communication-rics.pdf (Accessed: 10 November 2020).

10.    RICS – Construction Security and Performance Documents. Accessible at: https://www.rics.org/content/dam/ricsglobal/documents/standards/construction_security_and_performance_documents_1st_edition_rics.pdf

11.    RICS QS & Construction Practice Information (Black Book). Accessible at: https://www.rics.org/profession-standards/rics-standards-and-guidance/sector-standards/construction-standards/black-book

12.    RICS Standards and Guidance. Accessible at: https://www.rics.org/profession-standards/rics-standards-and-guidance

13.    Pinsent Masons (2013). Programmes of works and construction contracts. Accessible at: https://www.pinsentmasons.com/out-law/guides/programmes-of-works-and-construction-contracts