In line with the long term refurbishment programme, PfH supported Pickering & Ferens to develop a five year approach to cyclical painting. Done right, intelligent procurement can provide a unique vantage point across a business. PfH helped Pickering & Ferens to take a wider view of their asset management costs, identifying sustainable options and ensuring they aren’t restrained by existing buying practices.
PfH worked with the association to develop a bespoke tender approach in partnership with its resident-led scrutiny panel. Not only did the tender have to reflect the phasing out of a five-year painting cycle for timber windows. It also had to accommodate the introduction of a seven-year painting cycle for timber items – such as fascias and fencing – on properties that have been fitted with new UPVC windows (in all areas except conservation and listed buildings). Additionally, the tender had to allow for reduced maintenance requirements.
PfH recommended a shift away from a traditional supply and fit approach in favour of two separate contracts for materials and labour. This separation enabled Pickering & Ferens to leverage improved materials rates via PfH’s Paint Supply framework with contractors bidding on a labour-only basis. This attracted smaller, specialist contractors who were highly skilled but cost-effective due to their size and local base – an important social value outcome for Pickering & Ferens.
As a result, the housing association will save 30% on the cost of paint materials – approximately £48,000 over the five year contract. Over 25.6% savings will be made on labour – approximately £141,000 over the contract lifetime. Overall, the new contract will generate £189,000 in cashable savings.
Non-cashable savings will be made by reducing the amount of time Pickering & Ferens’ staff spend putting contracts together and communicating to residents – something managed by the new contractors.
PfH also worked with the association to embed resident liaison and social value outcomes in the contract. This included weighting tender questions towards a supplier’s ability to involve Pickering & Ferens residents (many of whom are elderly and vulnerable) and also to meet high customer care standards.
For instance, suppliers were scored on how they would communicate with residents, deal with complaints and minimise inconvenience.
PfH weaved these considerations – as well as how suppliers would deliver social value such as job and training opportunities for tenants – into the process.
Pickering & Ferens, PfH and residents all scored the bids and two contractors were chosen.
The end result is an agreement that complements the landlord’s wider refurbishment programme, delivers substantial savings, maintains quality and supports the local economy.