Severn Trent Water

Helping to deliver £6bn investment to water infrastructure

As part of a framework agreement with Severn Trent Water, we are helping to increase efficiency, standardise processes and generate savings for the company.

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Severn Trent Water Project summary


Severn Trent Water

Services provided

Project and programme management




UK and Europe

Project timeline

Start date

Project story

Since we were first appointed in 2008 to refurbish a depot in Derbyshire, our long-standing bond with Severn Trent Water (STW) has seen our experts deliver a steady flow of project management services within comprehensive programmes to improve the company’s office accommodation, depots and water and waste water infrastructure.

Our work has included project managing the development of STW’s new, state-of-the-art regional headquarters, plus cost appraisals and feasibility studies for other facilities. These included an award-winning new office and depot at Shelton, West Midlands, which led to the creation of a standardised, consistent design for STW, known as a ‘model depot’, which has led to the introduction of new ways of working, generated cost efficiencies and reduced construction time.

More recently, we have been awarded a 10-year cost and commercial management framework spanning three asset management periods (AMP5, AMP6 and AMP7). These are statutory periods for which water companies maintain and update their infrastructure. Totalling a capital expenditure cost of more than £6bn, the framework includes our work to improve procurement processes to help STW provide best value to its customers.

To bring efficiency, value and savings to the client, our people (seconded into STW’s commercial team) have been carefully evaluating data and costs with the company’s supply chain; conducting time and cost benchmarking exercises; and reviewing procurement routes, supplier prices, audit and assurance processes.

PROject stats

£6bn value of capital investment over duration of framework
30% reduction in energy use at Shelton offices and depot

points of note

Meeting the client’s needs

A dedicated framework director and framework manager oversee all our works for Severn Trent Water. This clear and transparent line of communication means the client’s unique needs are met promptly and carefully by our team.

Innovative tool

We have created an innovative tool that will enable the automatic calculation of the value of the asset delivered per pound spent. Used to monitor the performance of contractors – and with direct impact on their ability to claim incentive fees – the tool has also facilitated improvements to the implementation of standard products by contractors that STW needs to quantify and measure.

More efficient buildings

STW wanted to replace its existing facilities at Shelton with a strategic major depot, call centre and office. Our project managers conducted a feasibility study with costs and programme for different options. The benefits of the new building compared to its predecessor included a 30% improvement in use of space, a 70% reduction in document storage, and the introduction of a flexible working space to facilitate new ways of working.

Improving efficiency

As part of the framework, our seconded team is helping STW better understand its costs by developing a measure that can easily track improvements in efficiency – explained through cost data submitted by contractors as part of the final account of their project. We investigate, negotiate then recommend the costs to STW where necessary, bringing down the total amount paid to contractors.

Procurement savings

We identified and agreed standard products and determined how to improve the procurement of above and below ground assets, plant and construction materials totalling £400m. In collaboration with the main contractors we established strategic procurement strategies for each area of spend and created frameworks with the supply chain targeting savings of £50m across the full range of framework products.