Decisions

When the decision crosses disciplines

Some decisions cannot be handed to an engineer or to a commercial manager, because the difficulty sits between them.

01 / THE DECISION

What decision are you facing?

These are examples of the situations the practice is set up to examine. You do not need to arrive with the question fully defined — establishing the right question can be part of the engagement.

Decision journey: We are approaching a renewal or close-out. The question is: We are approaching a contract renewal, extension or close-out and need an independent commercial position. What must be established: Asset condition, Maintenance performance, Strategic options and lifecycle cost, Contractual obligations, Commercial exposure, Operational requirements and readiness, Governance and evidence. These are read by Asset & Maintenance Advisory, Contract & Commercial Advisory, Operational Readiness & Transition and Cross-cutting, and converge on one independent synthesis: One independent view is documented: the position, the evidence that supports it, and the limits of that evidence. A marked boundary follows, at which the adviser’s work ends. Below it the decision belongs to the client. Two courses of equal standing follow: continue, leading to O&M Cost Model Assurance and Maintenance Regime Review; or conclude, leading to Commercial Close-out Review and Operational Readiness Assessment. Each is a separate engagement, commissioned separately.

The question

“We are approaching a contract renewal, extension or close-out and need an independent commercial position.”

What must be established

Asset & Maintenance Advisory 
  • Asset condition
  • Maintenance performance
  • Strategic options and lifecycle cost
Contract & Commercial Advisory 
  • Strategic options and lifecycle cost
  • Contractual obligations
  • Commercial exposure
Operational Readiness & Transition 
  • Operational requirements and readiness

Cross-cutting

  • Governance and evidence

Some evidence is read by more than one practice. That is the point.

Independent synthesis

One independent view is documented: the position, the evidence that supports it, and the limits of that evidence.

Advice ends here.


The decision does not belong to the adviser.

The decision

The decision belongs to the organisation making it. It is a commercial judgement, taken by the people accountable for it.

Either course

Continue

renew · extend · re-bid

Renewing, extending or re-bidding means defending a forward position: what the asset will cost to keep, and whether the arrangement will hold.

Conclude

close out · transition

Concluding means closing a record and handing a function over: what is owed, what is carried forward, and whether the receiving organisation is ready.

Decision journey: Our internal teams disagree. The question is: Something is going wrong technically and commercially at the same time, and our internal teams disagree about which it is. What must be established: Asset condition, Maintenance performance, Contractual obligations, Commercial exposure. These are read by Asset & Maintenance Advisory and Contract & Commercial Advisory, and converge on one independent synthesis: Technical and commercial evidence are considered together to establish where the positions differ, why they differ and what the combined evidence supports. A marked boundary follows, at which the adviser’s work ends. Below it the decision belongs to the client. The work that may then be commissioned is: Maintenance Regime Review, Contract Performance Review, Independent Senior Review. Each is a separate engagement, commissioned separately.

The question

“Something is going wrong technically and commercially at the same time, and our internal teams disagree about which it is.”

What must be established

Asset & Maintenance Advisory 
  • Asset condition
  • Maintenance performance
Contract & Commercial Advisory 
  • Contractual obligations
  • Commercial exposure

Independent synthesis

Technical and commercial evidence are considered together to establish where the positions differ, why they differ and what the combined evidence supports.

Advice ends here.


Decision journey: We are bidding an O&M concession. The question is: We are bidding an O&M concession and need a cost and risk model that will survive diligence. What must be established: Maintenance strategy, Strategic options and lifecycle cost, Commercial exposure, Operational requirements and readiness. These are read by Asset & Maintenance Advisory, Contract & Commercial Advisory and Operational Readiness & Transition, and converge on one independent synthesis: One senior view: which assumptions are carrying the position, and which of them will not survive challenge. A marked boundary follows, at which the adviser’s work ends. Below it the decision belongs to the client. The work that may then be commissioned is: O&M Cost Model Assurance, Maintenance Regime Review. Each is a separate engagement, commissioned separately.

The question

“We are bidding an O&M concession and need a cost and risk model that will survive diligence.”

What must be established

Asset & Maintenance Advisory 
  • Maintenance strategy
  • Strategic options and lifecycle cost
Contract & Commercial Advisory 
  • Strategic options and lifecycle cost
  • Commercial exposure
Operational Readiness & Transition 
  • Operational requirements and readiness

Some evidence is read by more than one practice. That is the point.

Independent synthesis

One senior view: which assumptions are carrying the position, and which of them will not survive challenge.

Advice ends here.


The decision does not belong to the adviser.

The decision

The decision belongs to the organisation making it. It is a commercial judgement, taken by the people accountable for it.

Decision journey: We need an independent senior view. The question is: We need an independent senior view before a board or funder decision. What we would examine: Technical evidence, the engineering or asset evidence relevant to the decision; Commercial evidence, the contractual, financial or commercial position relevant to the decision; Operational evidence, the operational implications and constraints. Existing evidence is considered across the relevant disciplines and tested together rather than in isolation. These converge on one independent synthesis: We challenge and reconcile the available evidence to identify what is known, what remains uncertain and which assumptions are carrying the decision. A marked boundary follows, at which the adviser’s work ends. Below it the decision belongs to the client. The work that may then be commissioned is: Independent Senior Review. Each is a separate engagement, commissioned separately.

The question

“We need an independent senior view before a board or funder decision.”

What we would examine

  • Technical evidence The engineering or asset evidence relevant to the decision.
  • Commercial evidence The contractual, financial or commercial position relevant to the decision.
  • Operational evidence The operational implications and constraints.

Existing evidence is considered across the relevant disciplines and tested together rather than in isolation.

Independent synthesis

We challenge and reconcile the available evidence to identify what is known, what remains uncertain and which assumptions are carrying the decision.

Advice ends here.


The decision does not belong to the adviser.

The decision

The decision belongs to the organisation making it. It is a commercial judgement, taken by the people accountable for it.

02 / WHAT THIS MEANS FOR COMMISSIONING

The examination above is common to every course. What changes after the decision is what is commissioned next.

Each course leads to different work. Those are separate engagements, commissioned separately. Establishing the position first is what makes it possible to commission the right one rather than all of them.

Experience relevant to these decisions is set out separately.

All six defined engagements

Next step

Discuss a decision you’re facing