Successful supplier engagement day at Port Talbot

00:00
A lot of people here today.

00:01
Tell us a bit about what it's about.

00:03
Today is about engaging with supply chain who've been involved with us on the journey so far.

00:05
Give an up-to-date status on where we are on the journey, and also what work packages are going to be coming out that they contend for, and really engage with them and get them up to speed with how the project's going.

00:18
Yeah, a good overview.

00:20
Lots of people on stage talking about different aspects of the project, especially focusing around the electric arc furnace and infrastructure all around that.

00:27
You had a number of people up on stage talking about kind of the engineering works, but the thing that struck me was throughout your different people from Sir Robert McAlpine's presentations was about the standards that you're setting.

00:41
Every person stood up and talked about those standards. The gold construction standard, I can't remember exact terminology. That's really, really important to you guys, isn't it?

00:49
Yeah. Standards, especially doing works on site. We have our minimum standards everyone has to work to. We like to think we're above that. And so we never fall below it.

00:57
People come to work and are safe and sometimes go in a better condition if they have health medicals. And that is for us. It's all about managing people, making sure they're safe, making sure they're working safe, but also they understand what our requirements are.

01:15
And you said it's a massive project.

01:16
You said, you know, you want this to be, you know, number one in the country, but you want people to have fun while they're here.

01:19
But you said it was going to be hard work. You're setting the scene for numbers.

01:26
Would they be classed as subcontractors to Sir Robert McAlpine?

01:31
A number of contractors effectively coming to pitch for some of those work packages. Work contract works contractors will predominantly be between 3 and 4 for each work package.

01:38
They will be managed by ourselves McAlpine, but with you guys as an integrated team with Tata procurement.

01:47
Tata will procure those work packages on our advice, our recommendations, place the orders, and then we'll manage the work packages on site as part of the construction management.

01:57
From that we'll evaluate valuations for payments monthly applications, and then Tata will pay those works contractors direct.

02:06
Great opportunity for those contractors to understand the projects a bit more about yourselves today and meet some of the people.

02:13
What happens next?

02:16
Next we get the tenders out and we get the works priced.

02:20
And then we can start placing orders for the various work packages, whether it's piling, reinforced concrete work, structural steel.

02:24
There's been really good engagement today, and some of these companies have been involved with us on this journey so far.

02:31
A lot of them are local companies as well.

02:33
Yeah, a lot of Welsh employment and how we can transition from blast furnace steelworks to electric-arc works, and what that means for the supply chain, being involved and being proud and delivering the civil structure and building works.

00:00
Shankar, you open the session today.

00:01
Contractor engagement session.

00:03
How important are contractor accompanies to the success of this programme?

00:07
Look, while we can build the designs and we can conceptualise it, it is really the contractor base who will build this asset.

00:17
And we're not talking about an asset which is going to be here for five years or 10 years.

00:20
We are going to talk about the asset, which is actually going to lead us to the next level of transformation.

00:25
So they’re absolutely central to us.

00:28
And for us, it's existential to have them with us.

00:33
And I'm extremely happy to see that people not only from Wales, but from England, from Scotland, helping here to be a part of this journey.

00:43
And actually in this room there's a lot of positive vibe and gives me a good sense of confidence that this will really deliver on this project for this entire family here.

00:52
Now, of course, we appointed Sir Robert McAlpine only a month or so as the main works contractor.

00:57
They've hosted this session. They've set it up.

01:00
How pleased are you with the language they're using?

01:03
Extremely pleased.

01:04
In fact, if I go back to the journey of having Robert McAlpine, Sir Robert McAlpine as our partner, we brought in the value proposition that Sir Robert McAlpine will bring on this project.

01:21
It was not a costly decision.

01:23
It was a value-led decision.

01:26
It was a values-led decision also because we found that their approach to contractor employees, their approach to safety, their approach to transparency, their approach to working together as a team is very, very good.

01:46
That is what really struck me.

01:48
In fact, I never knew that some of the key people from SRM were actually from SRM till I came to know a little more in detail.

01:57
They were so integrated.

01:58
You know, Peter and Paul would be together almost in every session.

02:02
And I never knew Paul was from SRM.

02:06
It's only after that I came here that I got it.

02:08
So the messages that Paul and his team have conveyed today about the importance of the project, the importance of the contribution of the contractor and some of the very clear lines in the sand or red lines of what should not be done, was extremely well put together.

02:25
So I'm extremely pleased that they are part of our team.

02:28
They're working together.

00:00 I was just saying that,

00:00 you know, a key part of the contractor engagement day today was around health and safety.

00:04 It’s not just about engineering works.

00:06 You're leading that for a project.

00:07 How important is that to bring those contractors up

00:11 to the same standards, but had to have contractors on board

00:14 with what we're trying to do in terms of health and safety.

00:15 Well, I think Tim ultimately is the main objective.

00:18 I think what makes this project interesting is the construction

00:22 design management element of it Paul mentioned earlier.

00:25 Tata Steel normally hold all those duties under CDM, but this time,

00:31 because we haven't got the knowledge, skills and experience that SRM bring,

00:34 they will be undertaking our duty on our behalf.

00:37 So that creates interfaces.

00:39 Yeah.

00:39 Which not only we are interested in from a health and safety perspective,

00:43 but also, the Health and Safety Executive

00:46 and the competent authority are very interested in as well. Yeah.

00:49 Because we know how much of a challenge

00:50 it is to manage health and safety amongst our own employees.

00:53 But, I mean, this project could involve, I don't know how many contracting

00:57 companies, but, you know, 30, 40, 50, maybe more.

01:00 That's going to be one hell of a challenge, isn't that?

01:02 It certainly is.

01:03 And I think, in terms of managing those interfaces, is a key bit of what

01:07 this is about.

01:07 You know, and in terms of keeping that in control, but,

01:12 you know, the words again were mentioned on the slides.

01:15 Cooperation, communication and more communication and more communication.

01:20 So indeed, whilst we have a lot of it to do, you know, we will be

01:23 we will be reliant on you guys as well to actually help us gather.

01:27 Yeah.

01:27 And lots of the contractors here today will have had a line drawn

01:30 in the sand saying, listen, if you want to bid for this business,

01:32 these are the minimum standards. That's the right way of right isn't it.

01:35 Yeah, yeah.

01:36 Highest standards only.

01:37 I think ultimately at the end of the day, you know, construction

01:40 is an industry which historically in the UK kills people.

01:44 So, you know, 138 people last year and associated events

01:50 and 50 associated with work and predominantly

01:53 but not exclusively but predominantly around the construction industry.

01:57 And you heard it today we have structures nine meters high, you know, buildings

02:01 which we are actually altering, temporary works,

02:04 which is all part of making it safe and ensuring everybody is fully briefed

02:08 and knows exactly what they are doing is the most important thing of all.

00:00 Contractor engagement day today.

00:02 How important are contracts to you as a project engineer?

00:04 I think they're everything.

00:06 They're everything for the success of the project.

00:08 So, we've got great, contractor relationships with our existing supply chain.

00:14 Obviously, this is a bigger project for us.

00:17 So, we need more contractors on board.

00:21 And we're looking to, you know, take that relationship that we've,

00:25 we've got with our existing supply chain and find some new friends.

00:29 Yeah, yeah. But it gets very complex, doesn't it?

00:31 You have a lot of contracting companies, all with specific tasks.

00:36 Does that does that get bit like herding cats?

00:38 Well, that's part of the reason we've got Sir Robert McAlpine involved.

00:42 There are sort of, managing, contractor.

00:46 And they're there to help.

00:47 Bring everybody together, help manage the logistics,

00:52 help manage the safety of the site and bring that piece of work

00:56 and all those different contractors together to deliver the project safely.

00:59 Yeah. And of course, lots of these contractors.

01:01 You'll know already. You'll have worked with before.

01:03 Lots of the people within them will know the plant very well.

01:07 Some of them may even be recruiting former Tata Steel employees.

01:10 How much easier does that make your job?

01:12 It definitely makes our life easier.

01:15 We're not sort of limiting this to our existing supply chain.

01:19 So, you know, we're looking to to spread the net wider with this project.

01:24 So, you know, we're looking to

01:25 to see some, some new faces working on this project as well.