Construction programme could save billions for businesses

The construction industry could benefit by billions of pounds by following the principles of the Rethinking Construction programme, a new report published today has claimed.

Launching 'Demonstrating Success through Rethinking Construction', trade minister Nigel Griffiths urged more firms in the industry to adopt the agenda behind the initiative.

The report documents the progress of all 374 active and completed Rethinking Construction demonstration projects.

It shows that if just one third of the industry applied the principles of Rethinking Construction to their projects: client construction costs could be reduced by £1.4 billion; the cost of accidents could be reduced by £1.2 billion; and organisations could deliver an additional £446 million in profit.

Mr Griffiths announced that the Rethinking Construction organisation would now be known by a new name - Constructing Excellence. The move reflects the merging of the DTI's Construction Best Practice Programme with Rethinking Construction. He also announced the appointment of Professor Dennis Lenard as Chief Executive of the new organisation.

Mr Griffiths, the Construction Minister, said: "Over the last four years, these projects have consistently outperformed the industry average.

"Organisations that regularly participate in demonstration activities have achieved more predictability on cost and time and greater productivity, as well as being almost three times safer, being more environmentally friendly, having fewer defects and achieving higher customer satisfaction.

"There's a clear business case for adopting the principles behind the programme."

Praising the £83 billion contribution of the construction industry to the UK economy, Mr Griffiths added: "This vital industry has the potential to power us past our competitors as third biggest economy in the world within a decade. I urge more firms to take up the Rethinking Construction agenda."

(GMcG)