Completing much more than surfacing through the Area 7 MAC

Client: AMScott / Highways Agency
Value: £4 million per annum
Duration: 10 years
Completion: June 2009

Tarmac's extensive involvement with schemes allows AMScott to supervise at "arms length" rather than have a constant presence to manage the works

As one of AMScott's first tier supply chain partners, Tarmac undertakes all aspects of motorway and trunk road maintenance work across Area 7. Tarmac is involved with each initial scheme design, production of budget costs, joint walk through inspections, the procurement of a supply chain, programming, managing and supervising the works and the preparation of hand-over documents. These procedures are the result of AMScott’s gradual appreciation of Tarmac's capabilities and have been continually developed since the start of the contract. 

Tarmac manages an average of 60 multi-disciplinary schemes per year, up to £500k in value, the content of which is wide and varied

Tarmac are typically allocated schemes that involve traffic management, cold milling, excavation, kerbing, drainage remedials, carriageway and footway surfacing and road markings. Other elements that have regularly been undertaken include signing, safety fencing, bridge deck waterproofing, carriageway recycling, street lighting, detector loops, geogrids and High Friction Surfacing.

The vast majority of works are undertaken during evening carriageway possessions. AMScott book the requisite Temporary Traffic Regulation Orders and Tarmac programmes and manages the workload to meet the agreed dates with up to five gangs working at any one time. To give the Client complete traceability of all constituent parts of the Works, Tarmac provides full testing and materials information, including as-built drawings.

Comment
"They [Tarmac] have a non adversarial approach to our working relationship and are flexible to change
and able to respond quickly to emergencies"
Stuart Powers Commission Director, AMScott (May 2007)

Our early involvement reduces risks, promotes value engineering and produces both accurate
programmes and budgets

From the outset of the contract in June 2002, AMScott recognised Tarmac's abilities to manage schemes over and above those originally envisaged and have gradually increased the scope and variety of allocated schemes.

Tarmac was initially appointed as the sole provider of carriageway surfacing and only allocated schemes of that nature. Within a short space of time however, Tarmac was being allocated and delivering schemes where surfacing works constituted only a small percentage of the overall works package.

AMScott's initial outline scheme designs are given to Tarmac to calculate an early budget price. Tarmac then recommends alternatives that improve whole life costs or provide better value, particularly with respect to pavement design and programming. 

Following Highways Agency (HA) approval the scheme is formally issued to Tarmac. Joint "walk and talk" meetings are then held to further discuss buildability, design and programming. Within two weeks Tarmac provide AMScott with a working programme, method statements, risk assessments and a price for the scheme.

Cost estimates of the initial early designs consistently align with the agreed final measure

Tarmac's early involvement has provided both the Client and AMScott with accurate cost forecasting and cost certainty.  It was a direct result of initial differences between budget prices and the prices submitted for approval that Tarmac was asked to contribute to initial design and costing matters. Since early 2003 no scheme has subsequently been refused issue by the HA on the grounds of cost.

Pricing of schemes uses base data rates submitted in 2002 and increased annually by RPI. All additional items that Tarmac has been required to price since award (predominantly civil engineering items) have been added to the original price schedule. Emergency works are valued on a cost plus basis.

To prove transparency of Tarmac's rates, AMScott undertake a random audit of five schemes, twice per annum, where actual costs are interrogated on a completely open book basis.

Market testing ensures best value and competitive rates

Additional schemes have been allocated to Tarmac as a result of market testing. Owing to the amount of civil engineering works done by Tarmac, AMScott are able to market test schemes by asking Tarmac and the first tier major civil engineering supply chain partner to each price individual schemes.

Tarmac has excellent working relationships and an unrivalled local Area knowledge

Since initial award Tarmac has used the same Contract Manager, as a single point of contact, supported by  a dedicated MAC 7 team. This has created strong working relationships across AMScott's management team at all operational levels, as well as HA personnel.

Our Contract Manager attends weekly programming meetings where all aspects of the contract are discussed and agreement made as to which future schemes will be allocated to each first tier supply chain partner.

By liasing with the respective Area Managers at AMScott's maintenance depots, Tarmac accommodates planned routine works into the scheme programmes. Co-ordination and management of these works is the responsibility of Tarmac.

Long term supply chain relationships ensure transfer of best practice techniques

Tarmac has consistently used the same integrated supply chain that includes both significant in-house resources and specialist companies.

Whilst nominated AMScott subcontractors generally undertake traffic management and street lighting operations (they price their work based on Tarmac's programme and proposed method of working), Tarmac do, at busy times, also undertake these activities using in-house resources.

Download:

Area 7 motorway and trunk road maintenance work MAC (pdf, 127kb)

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