Due diligence and the management of capacity - Programme Procurement in Construction - page 189

Capacity Management

Dos Don'ts

Intervene where appropriate/possible and enabled by
your contracting strategy

Infl uence where contractual intervention is not
possible/practicable
Upon identifi cation of a weakness, make a positive
intervention to avoid or mitigate the risk exposed

Monitor lead times vs award
Report risks as they materialise to appropriate owners

Prepare capability reports by exception
Review the fl ow-down of Balanced Scorecard and
other contractual obligations into lower-tier supply
subcontracts

References

Lythaby, M., and Mead, J., (2012) 'Supply Chain Management - Insolvency Management',
London 2012 Games construction project learning legacy paper, London, ODA.
OGC, (2008) Supplier Financial Appraisal Guidance , London, Offi ce of Government
Commerce.
PricewaterhouseCoopers LLP, (2009) PwC Analysis: UK insolvencies at highest level for
15 years . http://www.ukmediacentre.pwc.com/content/detail.aspx?releaseid=3083&n
ewsareaid=2&zip=true (accessed 8 September 2012).