| Market | High Suitability | Low Suitability |
|---|---|---|
| Public sector market size |
Large - £several billion per annum |
N/A |
| Supply capacity |
Pinch points exists in different regions -Supply is sensitive to changes in demand |
N/A |
| Degree of competition | N/A |
Considered adequate |
| Predictability of demand |
Wide variations in demand |
N/A |
| Substitutability of skills |
Critical to project success |
Potential for some substitutability between projects |
| Statutory obligations |
Infrastructure needs |
N/A |
| Government policy initiatives |
Major programmes in place - Health, Education, Highways |
N/A |
| Implementability | Support from Key suppliers | Potential for some Key stakeholders to oppose work |
| Approach | High Suitability | Low Suitability |
|---|---|---|
| Board level support and ownership of this programme | Top of the Office authority to proceed On-going participation in the process Ministerial oversight | N/A |
| The market has synergy with your business objectives | Compatible with strategic objectives | Qualified support from major departments |
| Programme appropriately organised and resourced for this market | Extensive consultation with supply-side Establishment of Construction forum |
Non-public sector projects excluded |
| Required to establish an understanding of demand and supply and to propose ways to improve competition and capacity in this market | Access to demand profilesData collection systems established | Non-public sector data excludedVery large projects may bias findings |
| Deliverables | High Suitability | Low Suitability |
|---|---|---|
| Public sector spend and demand profile for the supply side | Comprehensive survey of major construction programmesActual expenditure and projected demand plans | N/A |
| Recommendations for a better market approach | Active support from key stakeholders Implementation taken forward by key stakeholders | Lack of full appreciation of characteristics of the market |
| Structures/groups for taking forward recommendations | Market management group establishedSenior people participatingHigh market visibility | N/A |
| Outcomes | Likely | Unlikely |
|---|---|---|
| A more responsive market for the public sector requirements | Scoped for addressing capacity issues Levers for change exist Demand / Capacity model | N/A |
| Less dependency of public sector on a small number of suppliers | Improved lead-time planningInnovative ideas from supply side | N/A |
| Better interchange between key stakeholders | Better early two-way communications | N/A |

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Page last updated: 2008-10-20