Tania Georges—U3229676

ABOUT
The Heathrow Airport Expansion was announced in October of 2016 by Secretary of State for Transport, Chris Grayling. It proposed construc on of a new runway that would be set to
boost connec ons with the surrounding regional airports as well as increasing access to the interna onal markets by way through people and business. The expansion will create opportu-
ni es for more than thousands of various new and exis ng career paths. Britain has easily one of the largest avia on networks worldwide. Being connected to over 100 other countries and
having over 370 different flight des na ons Heathrow had 268 million visitors in 2016. Heathrow Airport contributes a massive 22 Billion Pounds to the Bri sh economy every year. The
Heathrow Airport Expansion will follow those of the major airports in Paris, Amsterdam, Frankfurt and most recently in Dubai where as of 2015 is the worlds busiest airport surpassing
Heathrow. The privately funded expansion will include the addi on of a new runway and will allow for 260,000 new flights every year.

DESIGN & CONSTRUCT STRATEGY

Design and Construct is a procurement strategy that allows the appointed principal contractor to have responsibility over both the design of a project and the construc on. The benefits
of a Design and Construct Contract are that there is firstly a shorter project me as everything is coordinated by the principal. This also means there are less disputes of design and price, it
also adds the degree of price certainty. Although a Design and Construct is a very func onal contract there are s ll some downsides, these include that decisions can be made not in the
best interest of client but to save someone else me or money and the lack of input into design as well as quality .

DIVIDED CONTRACT STRATEGY

Divided Contract is a procurement strategy where there is no principal contractor, instead there are several subcontractors who get chosen directly by the client. The benefits of a Divided
Contract are that the client can appoint subcontractors who they believe are most suited to a package as well as nego ate to the price they agree with without having to do lots of back
and forth. In this type of contract strategy the designer is usually the supervisor, this means it can be very cost effec ve while s ll ensuring higher quality. A principal contractor will usually
charge approximately 10% of the project cos ng as a service fee, by having no principal contractor this fee is eliminated. The down fall to a Divided Contract strategy is that there is unfor-
tunately no price certainty un l the project begins to reach comple on stages. Divided Contract is a more flexible and fast moving strategy that holds the clients best interest and s ll en-
sures quality and cost effec veness.

WHAT IS VfM?
VfM is value for money. A combina on of func onality and life cycle costs. It is a very important procurement calcula on which combines the objec ve value and subjec ve value of a pro-
ject.

For the Heathrow Airport Expansion Project, the best procurement strategy that ensures the best VfM is the Divided Contract strategy . This is the cheaper procurement strategy that al-
lows for be er collabora on to meet the requirements and expecta ons of the project.

ENVIRONMENTAL VALUES
Environmental values are very important for sustainability and need to be considered in any and every construc on project. When environmental systems are monitored and there is eco-
logical integrity sustainability can be a ained. It is important to take in to account the impacts a project will have on its surrounding environment. For the Heathrow Airport Expansion
Project it is important to that the impacts that the expansion will have in the future many years from now are considered. By using renewable and recyclable resources in the project will
reduce the waste it produces and take care of the environment.

Other impact s include noise and air quality, biodiversity and water quality. Noise is a big environmental issue and local communi es have already put pressure on the government to re-
duce the noise pollu ons. Heathrow Development have created a ‘noise soundcard’ which splits the appraisal of noise, they have also taken into considera on that noise pollu on will be
reduced with a new fleet of aircra s that have quieter engines as well as other environmental benefits coming soon. Heathrow are s ll considering be er mi ga on in terms of air pollu-
on as the addi onal runway will create an increase of 25 million tonnes of carbon emissions a 32% increase. A public green space has been proposed by Heathrow to reconnect the areas
of high biodiversity that may be affected and allows popula ons to move freely and not be isolated . Heathrow is already working with environment agency regulators to ensure water
quality. As diversion of waterways is required, it has already been considered that there will be bigger and longer culverts for water diversion which will reduce flood risks , this is similar to
what already exists at terminal 5.