Wates Group: Improving Construction
The Latham (1994) and Egan (1998) reports into the construction industry reflected change already underway in the Wates Action culture change programme.
The Wates Action Improving Construction Programme was the next phase of the company’s development; founded upon cultural change, focused on operational improvement.
Dave Stitt was appointed National Programme Manager in January 2000, leading nine regional managers and reporting to Board through Rod Bennion, Managing Director.
Process:
- Right First Time – to establish collaborative on site team working and deliver defect free projects
- Supply Chain Management – to ensure the right suppliers were engaged and supporting defect free delivery
- Technical Training – to make sure Wates staff had a sound understanding of good practice in trades common to the projects
- Coaching the Coaches – to provide a cadre of internal coaches and facilitators to handle collaboration workshops and interventions
- Benchmarking – to measure and track improvement and delivery
Remarkable Results:
- The programme revolutionised the Wates way of working putting the company in the vanguard of industry improvement – the exemplar “Egan” organisation.
- Site profitability up 257%; loss making projects down 76%; defects down 27% and waste eradication on target for £5m saving in 2001 – a 30% reduction.
- Wates won the Construction News 2001 Quality in Construction Award, the Achievement Through Innovation accolade for the Wates Action Improving Construction Programme and was runner up in the Supreme Award category.
Since then, Wates turnover has grown from £380m to £1.53bn while the number of staff has almost quadrupled to 4,000.
I am passionate about the construction industry and challenging it to raise its game. At the heart of this needs to be a commitment to stronger collaboration at all stages in the value chain. The Improving Construction Programme helped to deliver this change for the Wates Group and through Dave Stitt’s leadership, yielded excellent results. Indeed, it contributed to building a foundation for significant growth of the Wates Group in subsequent years.
James Wates CBE, Chairman Wates Group, CITB and Tomorrows Company