‘Clients should engage with the journey towards contractor regulation’

Will Mann: Congratulations on the new role, Ayo. As someone who has worked client-side, what do you think are the biggest issues for clients today?

Ayo Allu: Economic viability is central to every project and so clients are understandably apprehensive about the level of financial commitment necessary for a project to achieve approval.

The availability of skilled labour also significantly affects costs, as does a project’s sustainability credentials.

Clients share many of the same pressures as contractors, but often feel them more keenly because they must also respond to funders and stakeholders. Long-term pipeline visibility remains a concern for clients as the ability to plan for five, 10, or even 15 years into the future is essential for stable development planning.

Clients are now much more aware of the long-term management implications and costs associated with buildings.

Will Mann: What examples of “good practice” would you highlight among clients?

Ayo Allu: In my view, it is “behaviours” that truly set apart good clients. Having collaborated with developers, funders, large and small organisations, the most admirable behaviours I have seen are from clients who take ownership of the entire project life cycle, including building operation. This entails being engaged not only during the viability and initial procurement stages, such as land acquisition and planning, but also throughout the project management and delivery phases, monitoring outcomes from beginning to end.

Often, this stems from a strong interest in the final product, whether they are retaining the asset or are directly accountable for its maintenance.

A good example is a company called UPP, a provider of on-campus student accommodation. They implement an end-to-end, transparent procurement process and incorporate these principles through long-term partnerships with contractors, focusing on building safety decisions, initiating early supply chain design and verifying designer competence, long before the Building Safety Act was introduced. This behaviour was motivated by institutional funding requirements and the necessity to instil confidence in long-term asset owners, managers and funders.

Another is the Earls Court Development Company, which focuses on early engagement and strategy setting and uses highly skilled internal staff, who hold strong awareness of the practical elements of project delivery and work in tandem with their appointed specialists to bring forward a solution. As an informed client, they recognise the importance of de-risking complex projects and take active steps to achieve it.

The Department for Education establishes standards and maintains maximum control over project outcomes by clearly articulating their construction goals, reaching early agreement with designers and delivery partners with pre-defined PCSA input, accurately budgeting for build costs and inflation, and taking time to develop a set of standard specifications. This supply chain strategy facilitates consistent delivery outputs and has significantly boosted school building volumes across the UK – a lesson for affordable housing procurement perhaps?

Will Mann: Are there are any clients you see doing interesting work in the AI and digital space?

Ayo Allu: I’ve worked with two AI companies in recent years.

Consigli AI is a Norwegian company that entered the UK market a few years ago. The pre-construction process can span several years, yet their tools, leveraging AI, showcased significant savings in time and materials used, enhanced design accuracy, and reductions in resource requirements.

Kope.AI is a software platform designed for offsite construction that integrates tangible and available construction products into digital design models. It offers automated assembly planning, material take-offs and the ability to attribute prefabricated products directly to design models. By entering various parameters, the system generates multiple compliant solutions that can be sent to an established supply chain. The benefits are accuracy, speed, enhanced quality and reduced risk to project delivery.

Any apprehension I have regarding AI lies in its effect on skills and resource allocation within the industry. If our education systems are preparing individuals for roles that are likely to be disrupted by the digital tools we are increasingly using as an industry, we open the door to social and economic misalignment. It is crucial we understand this interface and that governments work with education providers, AI developers and industry practitioners to strategise accordingly. 

Will Mann: How do you plan to build on CIOB’s client work to date that Mike Foy has led on?

Ayo Allu: The client strategy has gone from strength to strength since it was launched in March 2023, focusing on a set of umbrella themes that we frequently revisit to ensure we remain focused on what matters to the industry: project delivery; quality and safety; sustainability, net zero and whole life; contracts and procurement; and the regulatory landscape. We know the strategy is working, so we will continue our programme of engagement through round tables and promotion at client shows and in the media and online. We are also seeing real progress with embedding clients into the CIOB, which is our long-term aim.

Will Mann: What do clients get from plugging into the CIOB client strategy?

Ayo Allu: The CIOB client strategy helps to clarify an acceptable approach to standards, ethics and best practice, and offers clients resources which will enhance their own skills and enable them to take greater control of their projects.

It connects them to the expert knowledge and experience of our 39 client champions across the UK and internationally, and amplifies the client voice within the industry, which is crucial for improving shared outcomes.

It also highlights the value of appointing CIOB professionals (companies, consultancies and individual members) to projects.

Will Mann: What would you most like to hear from clients as you take on the chair role?

Ayo Allu: The building safety regulator has been in place for several years now and, despite some of the initial challenges, the majority of industry practitioners have begun to increase their focus on accountability, competence, and transparency.

I’d like to see clients actively engage in the journey towards contractor regulation, and the recent consultation for the proposal of a single regulator.

Enhancing their skills is no longer a choice; clients must collaborate with competent/accredited contractors and work together in fulfilling regulatory requirements.