Proposed NWC General Works and Major Works Business Plan Process

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Proposed NWC General Works and Major Works
Business Plan Process
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Explanation Major Works
Explanation Major Works

•  
• Repairs and maintenance costing over 50k per
  project covering
• Reservoirs
• Embankments and Culverts
• Dredging
• Water Supply
• Major moving structures
• Centrally prioritised and delivered through the
  national framework contract (May Gurney)
• Responsibility of the Operations/Technical
  Director
• National average spend - 25m per annum
•  

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Explanation General Works
Explanation General Works

•  
• Day to day maintenance, repairs and risk
  management
• - Minor repairs costing less than 50,000
  (e.g. lock gates)
• - Planned Preventative Maintenance
• - Vegetation Management
• Customer Service lockkeepers, sanitary
  stations, signage, etc.
• Inspections
• Planned and delivered locally through the direct
  labour force and contract under the direction of
  the Waterway Manager
• Responsibility of the Operations/Technical
  Director
• National Average Spend - 55m per annum

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Stage 1 Setting of National Targets
Priorities
Stage 1 Setting of National Targets
Priorities
October

• Executive Directors consider macro income and
  expenditure forecasts
• Finance Director issues target allocations to
  Directors

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Stage 2 Setting Operations Targets Priorities
Stage 2 Setting of Directorate Targets
Priorities
October

• Operations/Technical Director confirms national
  standards, performance targets/priorities for
  General and Major Works
• Operations/Technical Director issues target
  allocations to national Major Works team and each
  Waterway Manager

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Stage 3 Preparing draft Major Works Plan
Stage 3 Preparing draft Major Works Plan
November - December

• National Team adjust existing 2/3 year plan in
  light of target allocations
• Meet with waterways to explain and discuss
  national and local priorities
• Needs and views of Local Partnership fed into
  process by Waterway Manager
• Programme prepared that addresses priorities and
  is deliverable within financial year
• Programme submitted - to waterways for
  information/comment
• - to Operations/Technical Director for
  approval

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Stage 3 Preparing draft General Works Plan
Stage 3 Preparing draft General Works Plan
November - December

• Waterway Manager discusses local needs/priorities
  with Local Partnership and local management team
• Liaises with Operations/Technical Director and
  other Waterway Managers on national priorities
  etc.
• Waterway Manager submits local business plan
  including commentary on risks to
  Operations/Technical Director for approval

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Stage 4 Preparation of draft National Plan for
Trustees
Stage 4 Preparation of draft National Plan for
Trustees
January

• Operations/Technical Director considers Major and
  General Works Plans, agrees modifications and
  adjustments in light of comments and feedback
• Submits Major and General Works Programme budgets
  to Finance Director
• Finance Director consolidates all plans into a
  draft National Business Plan
• Draft National Business Plan submitted to
  Trustees for comment

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Stage 5 Revisions/Refinements to National
Local Plans
Stage 5 Revisions/Refinements to National
Local Plans
February - March

• Executive reconsiders Local and National Plans in
  light of feedback from Trustees
• Operations/Technical Director reconsiders GW and
  MW Plans in light of Trustees feedback and LWP
  comments
• LWP invoke right to meet Operations/Technical
  Director if major concerns remain in respect of
  Business Plan

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Stage 5 Approval of National Local Plans
Stage 5 Approval of National Local Plans
March

• Executive adjusts National Plan and resubmits to
  Trustees
• LWP Chairmen have right to submit comments
  directly to Trustees
• Trustees consider final draft Plan for approval
• Executive confirm National and draft Plans to
  business (or continue review of Plan until
  Trustees approval received)

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Steady State Allocation - 125m
Steady State Allocation - 125m
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Minor Works Steady State Comparison
Steady State Comparison

  2011/12 Business Plan '000 Steady State Model '000 Variance '000
Steady State Direct Cost        
Repair, PPM and Inspections    
Intermediate Repairs (aqueducts bridges locks bank protection) 13,860 13,317 (543) 104.1
PPM (bridges locks sluices weirs) 3,771 7,140 3,369 52.8
Inspections (Annual Principal Length Reservoirs) 2,370 2,265 (105) 104.6
  20,001 22,722 2,721 88
     
Amenity/Customer Service/Other    
Vegetation 6,245 11,553 5,308 54.1
Facilities 1,719 2,939 1,220 58.5
Litter and antisocial behaviour 1,609 2,154 545 74.7
Water control 1,319 1,422 103 92.8
Other (volunteering manning structures towpath management fencing access management etc.) 9,298 16,997 7,699 54.7
  20,190 35,065 14,875 58
     
Total Steady State Direct Costs 40,191 57,787 17,596 70
     
Steady State Indirect Costs    
People not directly attributable to specific works (includes 20 operational staff as productivity rate set at 80) 9,598 16,366 6,768 58.6
Operational Plant, Craft and Equipment (maintenance fuel depreciation) 5,162 8,802 3,640 58.6
Operational Buildings (repair insurance utilities depreciation) 1,661 2,832 1,171 58.6
Total Steady State Indirect Costs 16,421 28,000 11,579 58.6
         
Total Steady State Costs (excl Major Works) 56,612 85,787 29,175 66.0
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Average Steady State Spend by Waterway 2011/12 -
5.2m
Average Steady State Spend by Waterway 2011/12 -
5.2m
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Operational Focus 2011/12 - 56.6m
Operational Focus 2011/12 - 56.6m
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HQ and Central Services
BW HQ and Central Services
Total HQ and Central Service cost - 30.9m
HQ Central Service cost supporting Operations
- 21.8m
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Major Works 4 year planned expenditure
Major Works 4 year planned expenditure
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Major Works focus Year 1 and 2
Major Works focus Year 1 and 2
Year 1 2011/12 16.2m
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Overview
Explanation General Works

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• Operations focus to manage risk, prioritise
  expenditure, increase productivity and efficiency
  to deliver effective customer service
• Open to suggestions for improving best value for
  waterways from local/national stakeholders