Transport for London (TfL) Streets Management

The business…

TfL Streets Management is responsible for the Transport for London Road Network (TLRN), which includes a 580km network of main roads, as well as all 4,700 sets of traffic signals in London.

Streets plays a critical role under the roads too, by ensuring effective coordination of the works carried out by utilities. This maintains services delivered to London while, at the same time minimises disruption to surface transport.

The management of the TLRN and the associated responsibilities of Streets, is one of the most challenging tasks in the world, as, on average, over 26 million trips are taken in London every day.

Streets had set up a 3-tier procurement approach for the maintenance and repair of the TLRN, as well as framework of contractors for large construction projects. Stewards have been used to deliver the ‘intelligent client’ role for TfL and Term Maintenance Contractors (TMC) were engaged to actually deliver the work, for routine and reactive maintenance.

What TfL are doing…

The Mayor’s Transport Strategy, the Gershon Efficiency Review and various internal analyses conducted by Streets themselves, prompted a detailed evaluation of the procurement approach employed by Streets. This concluded that the 3-tier system was inefficient and that a direct relationship between TfL (the Client) and the TMC (the Supplier) for the procurement of maintenance services would be more effective and more efficient for the public and TfL. The existing contractual relationship is due to expire at the end of April 2007.

The challenge was to decide upon the best fit procurement approach, re-design the procurement strategy, develop a benchmark contract based on output specifications and KPI’s (no similar contract has ever been put together before), re-structure the organisation to manage the new contracts, up-skill staff, manage the TUPE issues, and manage TfL and its existing and potential suppliers through the business transformation.

How Echopark is helping…

Echopark played a key role in the assessing and recommending the procurement options, and supported the bold and innovative option of designing a completely new procurement approach, worth £1.4 billion over 10 years (a 6+2+2 approach). The contract, based on NEC, but with multiple suppliers, uses an output specification and a set of KPI’s.
One of Echopark’s directors has now taken on the role of Business Transformation Manager to support the Business Change. The role includes:

Design and production the programme plan, taking into account 4 directorates across Streets, a very large and broad ranging stakeholder community including 33 Boroughs, significant BPR activities and the management of staff and external consultants.

Design and implementation of transition processes, development and endorsement of future processes, design of supporting IT systems functionality, design of transition and future organisational structure and governance, management of training, recruitment and TUPE issues, communications management

BPR and

Expert guidance in the management of OJEU and procurement process, including supporting the development of the PQQ, ITT, Output Specifications, KPIs, design of the Data Room (to facilitate a more effective tender process)

Supporting the financial and risk management of programme

Prepare each Directorate for ISO 9001 quality accreditation

The change and transformation efforts have been further impacted by the Traffic Management Act (TMA) which is due to come into force in 2007, although the Department for Transport (DfT) have revised the issue date for it several times. Echopark have taken these consistently changing goalposts and are designing processes to ensure easy transition for TfL and accommodation into the Change programme.

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