Packaging and contracting strategies - Programme Procurement in Construction - page 73

Project A Project B Project E Project F

Project C Project D Project G Project H

Figure 4.5 Diagram of eight projects arranged in two groups of four.

Of course in reality there are many strands, both contractual and physi-
cal, that link projects within a programme, so that it is important to
consider the implications of the effect that projects have on other
projects in an interlocking programme.

Programme clusters

According to Cornelius et al . (2011), a programme clustering model may
be used to facilitate the development of procurement strategies for both
construction works and design. The use of clustering, combined with a
standard set of contract solutions, allows control of the contracting
process to remain at programme level and breaks down complex projects
into more manageable steps.
On a diverse programme with many contracts involving many fi rms,
there is a need to combine projects to make them capable of being
managed and to simplify the overall supervision of the vast array of
work in different locations. Otherwise the work of overseeing a large
programme becomes far too complex to manage, coordinate and control.
Programme complexity can be overcome by clustering projects; for
example, clusters were developed to apply to all Olympic capital works
projects both on and off the Olympic Park.
Cornelius et al . (2011) describe two types of cluster: namely, service
clusters and construction clusters. Service clusters, according to Cor-
nelius et al ., are used to supply products to all projects, such as street
lighting, materials like concrete or timber and even security on all build-
ing sites. These provisions are not considered to be clusters in their own
right, as they are used only to service the fi rms undertaking the actual
construction work.
The second type, construction clusters, combine construction projects
in the same location or close proximity that could benefi t from contrac-
tors collaborating. The clustering approach is suffi ciently fl exible that