- The SCIRT Model (x)
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- Competitive Collaboration
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To manage the infrastructure rebuild following the Christchurch earthquakes, one of New Zealand's largest natural disasters, a new model was created, which utilised both competition and collaboration to drive performance.
The size and scale of the project - $2.2 billion and more than 700 projects over five years - necessitated the new approach.
SCIRT was based on an Alliance Agreement between national and local government and five civil engineering contractors, but was not a conventional alliance.
As with most collaborative relationship contracts, there was a "pain share/gain share" payment that was shared between the contractors and the clients. However, in a departure from usual alliances, the contractor delivery teams competed for the construction work, which was allocated according to performance in both cost and non-cost Key Result Areas (KRAs). Strong drivers were thus created for both competition and collaboration.
"Those companies who performed better were allocated more work," said SCIRT Executive General Manager Ian Campbell. "Delivery teams were paid a fee based on the target cost of work done. Poor performance therefore meant less fee earned; good performance increased the fee."
The difference between target cost (budget) and actual cost for each project was added to a gain share/pain share pot, a share of which (nominally 50% but variable depending on non-cost performance) was paid to (or paid by) the contractors at the end of the programme according to the amount of work each had done.
This encouraged collaboration because all contractors needed to perform to ensure an overall "gain" rather than "pain" result.
All contractors started out being allocated an equal amount of work; however, each company's share altered over the course of the programme.
Because all the contractors shared pain or gain, it was in all their interests to help each other deliver the best possible outcome.
Contractors typically understand how to compete better than how to collaborate, said Campbell, so achieving effective collaboration was the greater challenge. He says the devil was in the detail and while the concepts were simple, implementation was more difficult. However, he said on balance, "the value from both was more than could have been gained from one or the other alone."
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- The 10th Brunel International Lecture Series: Collectively we are Stronger
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The first Executive General Manager of SCIRT, Duncan Gibb, was appointed as the 10th Brunel International Lecturer in 2013 and made an honorary Fellow of the Institution of Civil Engineers (ICE).
The Brunel International Lecture was instituted in 1999 in memory of Isambard Kingdom Brunel, 1806-1859, one of the world's most respected engineers. His work revolutionised modern engineering. Each Brunel lecturer is chosen for their contribution to civil engineering.
Gibb's lecture described the SCIRT model, and explained that innovative ways of collaborative thinking and action are required to mitigate, prepare for and respond to crisis.
The lecture was delivered at more than 30 locations in 27 countries to engineers, planners, designers, developers and policy makers throughout 2014 and 2015.
In August 2015 Gibb presented his Brunel Lecture to an audience in Christchurch, New Zealand. The lecture is entitled Collectively we are stronger: Engineers generating collaborative solutions to strengthen community resilience post-disaster.
The video of Gibb's Christchurch lecture is available here: https://www.youtube.com/watch?v=YJwXdAs5pfE&t=3008s
- Tags
- , leadership, collaboration, innovation, disaster, Brunel
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- SCIRT Management Plans
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A set of Management Plans were developed during SCIRT's lifetime to intentionally guide the organisation. These plans were reviewed annually and updated as required. SCIRT's Programme Management Plan was the overarching plan that listed all the other plans and provided an overview of their contents.
The latest versions of the plans are attached below.
The Initial Alliance Agreement requested an Alliance Management Plan and a minimum of 10 supporting management and operational plans be developed prior to the start of SCIRT:
- Quality Plan
- Health and Safety Plan
- Environmental Plan
- Communications and Consultation Plan
- Transition Plan
- Work Packaging and Delivery Strategy Plan
- Procurement Plan
- Finance and Administration Plan
- Human Resources Plan
- Social Impact Plan
Additional plans were subsequently requested under the Alliance Agreement, so in September 2011 the first Management Plan Set was comprised of an overarching Programme Management Plan and 23 supporting plans:
- Administration Plan
- Asset Investigation Plan
- Construction Plan
- Design Plan
- Emergency Response Plan
- Environmental Plan
- Estimating Plan
- Financial Plan
- Health and Safety Plan
- Horizontal Infrastructure Rebuild Strategy Plan
- Human Resources Plan
- IRMO to SCIRT Plan
- KRA Plan
- Peak Performance Plan
- Procurement Plan
- Project Prioritisation Plan
- Quality Plan
- Risk Plan
- Schedule Plan
- Scope Plan
- Stakeholder Plan
- Utilities Plan
- Value Plan
Six additional plans were subsequently created as needs arose:
- The Internal Communication Plan was created in January 2013 in response to the difficulties encountered with communicating to a "virtual" organisation comprised of more than 50 different companies.
- The Central City Delivery Plan originated in December 2013 in order to mitigate the issues and risks associated with the infrastructure rebuild within the Central Business District (CBD).
- The Crisis Plan was developed in January 2014 to outline the communication response in the event of a major incident.
- The Fraud Response Plan was extracted from the Financial Plan and created in August 2014 as a standalone item to outline how to manage suspected fraud.
- The Close Down Activities Plan was written in June 2016 to document the wind up process.
- The Learning Legacy Plan was created in June 2016 to document the process of identifying and sharing learnings from the establishment and operation of SCIRT.
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- The Genesis of SCIRT
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At the beginning, there was an alliance. Multiple contractors collaborated with government agencies for the greater good of an earthquake-battered community craving a resilient rebuilt city. It was the genesis of SCIRT.
On September 4, 2010, as darkness still engulfed myriad towns, the first earthquake wave rolled across the Canterbury Plains west of Christchurch, liquefying land and breaking buildings but sparing lives.
The South Island's largest city was left reeling, badly bruised but still standing after the 7.1-magnitude quake and numerous aftershocks.
A few months later, on February 22, 2011, a fatal 6.3-magnitude earthquake thundered through Christchurch, leaving 185 people dead and escalating the damage to infrastructure by an order of magnitude.
The city rebuild suddenly morphed into a multi-faceted, massive task beyond the usual jurisdictions. And the government took an extraordinarily ambitious move into an interventionist model.
Facing a rebuild of immense scale and scope, the government sought value for money, a quick, effective and flexible response, and probity.
The destructive nature of the February quakes and bruising aftershocks required a high-level, innovative solution: a delivery vehicle capable of managing the huge scale and complexity of the infrastructure rebuild; an instant organisation; an entity that came to be named SCIRT (Stronger Christchurch Infrastructure Rebuild Team).
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- What is SCIRT?
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A brief outline of the challenges faced by SCIRT, along with the rebuild entity's successful initiatives and lessons.
A purpose-built organisation, the Stronger Christchurch Infrastructure Rebuild Team (SCIRT) rebuilt the publicly owned horizontal infrastructure of roads, retaining walls and bridges and the fresh water, wastewater and storm water networks damaged by the Canterbury earthquakes.
Glossary terms
- Stronger Christchurch Infrastructure Rebuild Team (SCIRT)
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- Alliance Objectives
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The SCIRT Alliance Agreement laid down a challenging and comprehensive set of objectives for the new organisation set up for the $2.2 billion rebuild of Christchurch's publicly-owned horizontal infrastructure following the February 22, 2011 earthquake.
Importantly, the 12 Alliance Objectives set the direction and expectations by central and local government of what SCIRT was required to do and to achieve as it tackled the biggest civil construction rebuild programme in New Zealand history.
While some of the Alliance Objectives, such as 'best practice' health and safety, protection of the environment and achieving the required quality would have been present in standard construction industry agreements, most of the objectives were created and written specifically for the Christchurch earthquake rebuild.
They dealt with subjects and requirements far wider and more comprehensive than standard commercial agreements whose objectives tend to be fairly narrowly defined and mostly to do with meeting time, cost, health and safety and quality requirements.
New Zealand was facing its biggest natural disaster in three generations so standard business objectives were not going to be sufficient to guide an alliance organisation tasked with a huge construction programme of uncertain scope in a post-disaster environment.
Some objectives were clearly politically and economically driven by the New Zealand Government demonstrating its commitment to rebuilding the second largest city in New Zealand. Others were aspirational, throwing down the gauntlet to an industry with an unenviable safety record to lift its game.