Finance & Commercial Flashcards
How imposed order on a commercial disagreement
Experience: TW and HA poor contractor performance, final accounts at HA, SRO for M25 DBFO cash back
Exploratory discussions to find out basics of the disagreement
Find and establish a common purpose
Determine realistic expectations, timescales and understand next steps of governance
Engage openly and frequently, use forcing mechanisms only if needed
Consider alternative dispute resolution and only into legal proceedings as last resort
How have you reached a major commercial agreement
Experience: led tenders of projects: £1.5b A14, £720m term contract and financial close of M25 DBFO
How: clarity of what is needed with a robust ‘should cost’ model, views of both parties best and worst case positions,
if a dispute: clear legal position on the contract and dispute resolution
A clear plan and engagement principles, format and duration of negotiation, timings and governance (for both parties)
How have you dealt with a difficult situation in Gov Finances
Eg HA/HE spend profiles and additional pinch point funding
Clarity of as is position, understand uncertainties and caveats
Clear of what action can realistically be taken, tracking and no surprises
Additional complication with + £250m for pinch points
Recognised ring fenced against new scope/outputs, whilst still vfm
Clarity on timescales, deliverability and flexibility
How have you worked with Treasury to gain approvals?
Resetting HE RIS1 112 major projects after 1 year
2a: progression with enabling works, with budget and timing reset
agree ToR/remit with Group and DfT Finance teams (+ Ministers?)
Plan, know timings, best/bottom line outcomes
Engagement, build relationships, get inside the tent,
progressive openness (care on how/when)
Wider engagement too: CO, IPA
Know respective governance, build consensus and reporting
How have you influenced Treasury to do something they didn’t want to do?
Eg +£250m outside of RIS1 for Op Stack solution
Private financing for 2 GMPPs: LTC (£5b) + A303 (£1.5b)
Compelling case: political or governance (MPRG) imperative
Utilise ALB and cross Dept to underpin: robust evidence and approvals
Gain Spads and Ministers support - letter or meetings
Build cross gov support if needed, leveraging IPA or OGDs (growth)
engage early with Treasury - clear on their requirements, timings
Gain consensus on effective outcomes and political wrapper
How have you come to an agreement with an ALB?
How will you advise the SRO on costs for a HS2 phase
ReSetting RIS1 with HE after 1 year
Inbuilt knowledge on multi projects with HA cost estimating
Project forward to HS2 Ltd: 2a - use of deep dives + bench Marking
Future capability Dev: DFT to be able to access own benchmarking
