Two Data Centres, Amsterdam (2023–2025)
What was the client and the project?
Our Client is a specialist employed as a sub-subcontractor to undertake a €multi-million, security, CCTV & access control package, incorporating delivery, installation, commissioning and certification to two substantial new-build data centres located in Amsterdam with an 80week applicable construction programme.
What was the challenge?
Initially, commercially managing a project from a distance and ensuring compliance with the strict variation and delay notice stipulations; this via adoption of a Change Advice Notice procedure, to ensure the onerous time & money notification time-cap stipulations were met. Also protecting our Client from the increased risks of being a sub-subcontractor and thus ‘low down’ the contractual chain whilst undertaking a sizeable, critical, package of works.
What were the financial or operational risks?
- The end-user’s designers struggled to meet the Employer’s Requirements, resulting in significant piecemeal design development prior to our commencement on site.
- These ongoing design difficulties, combined with project progress delays resulted in security package on-site commencement being delayed, with four different start dates being proposed and then superseded over a 5month period.
- However, when we were finally instructed to commence, the project was still not ready for us, with significant further disruption costs & delays being incurred, particularly in the Admin block.
- The M&E (mechanical and electrical) contractor struggled to provide the required levels of MEWP (mobile elevated work platform) and spotter attendance.
- The M&E project programme was continually being revised but was typically outdated when issued.
- Ultimately every service’s sub-trade had to look after themselves and make the best of a really difficult project — elements of our Client’s installation were subject to rework after being tampered with and on occasions damaged by other trades, who were all ‘fighting’ for containment access.
- Delays & disruption were compounded when the stud-wall & door specialist ceased trading part-way through the project; our Client’s cabling had to be coiled-up and with significant return visits resulting and further damage to their installation occurring.
- On site labour installation costs escalated as the project ‘stumbled on’.
- The Admin block installation to each data centre was originally intended to be undertaken in 3months, ultimately overrunning by circa 9months.
- Our initial imperative was to protect our Client from being tagged ‘the weakest link’ in the contractual chain.
- Thereafter, we were focussing on ensuring we recovered our Client’s fair and reasonable entitlements.
What action did LMA take?
- LMA were involved with this project shortly following our Client being awarded their work package, circa 6months before our Client set-foot on site, an invaluable lead-in period, enabling us to ‘pick up’ the ongoing piecemeal design development implications.
- Regular communication and liaison with the site-team including their own subcontractor’s management personnel so that we got the facts straight from the workface.
- Providing contract-management guidance to our site-team throughout; basically, acting as the ‘playmaker’!
- Recording and notification procedures were agreed and implemented from the outset.
- Regular dialogue with the M&E contractor’s commercial team to ensure that we that the account was progressing.
Following this:
- Our Client used their best endeavours throughout in a bid to meet the end users’ requirements and achieved all ultimately agreed installation and commissioning key-milestones.
- Change Advice Notices (circa 130 of) were issued promptly.
- Delays were recorded.
- These records were incorporated into an extensive EOT & disruption narrative submission with and including supporting impacted baseline & as-built programmes.
- We held regular communication with the M&E contractor’s commercial team, with LMA adopting a collaborative negotiation approach throughout.
What was the measurable outcome?
The project was settled amicably to both parties’ mutual satisfaction, shortly after project commissioning completion.
This project demonstrates LMA’s ability to:
- To work successfully on a highly complex, ‘pressure cooker’ of a project, located in Europe.
- Protecting our Client’s interest both contractually and commercially in a high-risk project environment.
- To bring significant added value to a project team in the specialist subcontractor ‘niche’.
- Proving the old adage that ‘a good surveyor will cover his costs’.
It is a clear example of the benefits in employing LMA from the outset; particularly for specialist subcontractors when they may be considering undertaking a particular project that has the potential to take them outside of their comfort-zone.