Procurement Routes & Social Value Flashcards
What is a procurement route?
It is the process that defines the roles, responsibilities, and contractual relationships between the client, contractor, and consultants in delivering a construction project.
What are the 5 key procurement routes?
- Traditional (price in advance)
- Design and Build
- Management
- Cost Reimbursement
- Partnering/Framework/Alliancing
What is ‘Procuring for Value’?
It’s a strategic approach that prioritises social, economic, and environmental value — not just cost — across the lifecycle of the built environment.
What is social value in procurement?
Social value refers to the added community benefit achieved through procurement, like creating jobs, apprenticeships, local labour, sustainability, health & wellbeing, and supporting SMEs.
What legislation promotes social value in UK procurement?
The Public Services (Social Value) Act 2012 — requires consideration of economic, social and environmental well-being in public contracts.
What is the Construction Playbook?
A government policy document (2020, updated CP2 2022) setting out 14 key procurement principles, including social value, early supply chain engagement, frameworks, and collaborative delivery.
What’s the risk of focusing on lowest-price tendering?
It encourages a ‘race to the bottom’ — leading to poor quality, adversarial relationships, delays, and unsafe buildings.
What is the Value Toolkit?
A suite of tools that helps embed value-based decision-making into construction projects. It includes:
* Value Definition
* Delivery Model Selection
* Procuring for Value
* Ongoing Measurement
What is a practical example of social value in action?
North West Construction Hub (NWCH) – a public sector framework prioritising local labour, apprenticeships, net zero carbon, early contractor involvement, and fair pay.
What’s the difference between cost-based vs value-based procurement?
- Cost-based: Chooses the lowest price
- Value-based: Assesses wider benefits (quality, sustainability, community outcomes, lifecycle performance)
What does the Hackitt Review say about procurement?
Procurement ‘sets the tone’ of a project. A focus on low cost at the start creates unsafe outcomes and poor relationships.
