Successfully utilising SME Innovation in Major Projects

Michael Rinaudo - Sector Leader Defence 10 September 2014

3rd Annual Defence Support Services Summit

“...Australia  needs  to  take  a  long  hard  look  at  itself  and  move  away  from  tradi8onal  manufacturing....”  

“.....Australia’s  economy  is  now  in  its  third  wave,  built  around  industries  based  on  innova8on,  research  and  a  high  skilled  workforce”  

 Ian  McFarlane  –  Industry  Minister  (Financial  Review,  9  September  2014)  

Sitzler Pty Ltd One of the largest privately owned construction companies in the Northern Territory and an SME.

A collaborative and client-centred organisation focussed on building and civil construction.

Sitzler has been delivering successful projects since1976 from Darwin through to Adelaide and in the north of WA.  

Innova8on  and  the  SME  

•  What  is  Innova8on?  

“To  bring  in  something  new”  (Macquarie  Dic8onary)  

•  What  is  the  industry’s  percep8on  of  innova8on?  

•  What  defines  a  Small  to  Medium  Enterprise  (SME)?  –  Less  than  200  employees  (Commonwealth  Procurement  Rules)  

Defence  Innova8on  –  a  Client’s  Perspec8ve  

•  Efficiency  –  Design  –  Resources  –  Process  –  Opera8ons  (Whole  of  Life)  

•  Effec8veness  – Mee8ng  the  Requirement  

– More  capability  than  briefed?  

Key  Focus  Areas  of  DSRG/CFI  Branch  

•  Innova8on  in  delivery  –  Integrated  Project  Delivery  

•  3rd  Party  industry  rela8onships  are  cri8cal  –  Supply  Chain  – Building  Informa8on  Modelling  

•  Project  teams  that  can  collaborate  technically  

Communication Collaboration

Technology

Harnessing  Innova8on  

People  &  Structure  

Supply  Chain  

Tools  /  Technology  

Processes  

Tendering Design Delivery  Pre-

market

Applica8on  of  Innova8on  •  People  &  Structure  

–  Engagement  and  collabora8on  –  Communica8on  DSRG  /  Consultant  /  Contractor  /  Subcontractor  

•  Supply  Chain  –  Transac8onal  to  rela8onship  

•  Tools/Technology    –  Design  –  Informed  decision  making  

•  Processes  –  Contractual  rela8onship  flexibility  –  Flexibility  in  process  to  achieve  an  improved  outcome  

Tendering

Design

Delivery  

Pre-market

Single LEAP2 Larrakeyah & Robertson Barracks

Innovation in: • bathrooms, • Tilt up construction and •  Heritage adaptive reuse

Rapid Mobilisation

Project  Integra8on  –  Harold  E  Holt  Joint  Venture  (JP3029  Ph1)  

•  DMO  

•  GHD  •  US  Air  Na8onal  

Guard  

Future  Growth  for  the  SME  sector  

•  Engagement  and  collabora8on  across  the  spectrum  of  organisa8ons  in  the  sector  –  Client  /  Consultant  /  Contractor  /  Subcontractor  

–  Trust  and  informa8on  sharing  

– DEQMS  –  Subcontractors  are  key  to  project  success  

Innova8on  

DSRG  

Consultant  

Subcontractor  

Contractor  

Future  Growth  for  the  SME  sector  (Cont.)  

•  Innova8on  relates  to  the  whole  project  lifecycle  from  strategic  planning  through  project  development  and  delivery  to  the  asset’s  adap8ve  re-­‐use  or  re8rement  

•  SMEs  need  to  innovate  to  remain  compe88ve    –  Agility    –  A  larger  pool  of  SMEs  

•  Rela8onships  –  Industry  to  move  from  being  transac8onal  based  to  rela8onship  based  

Tendering

Design

Delivery  

Pre-market

 “The  defini8on  of  insanity  is  to  keep  doing  the  same  things  and  expec8ng  a  different  result”  

 Stephen  Covey  

Thank You