Capital Works Procedures Review

Client - Southern Rural Water

Location - Southern Victoria

Contract Period - November 2013

Project Overview and Scope

To prepare for the next round of regulatory review Southern Rural Water engaged Hunter H2O to review their capital works procedures with a view to improving both their business cases for capital expenditure and to provide greater certainty to the rate of spend. The outcome of this review was development by Southern Rural Water of a new capital procedures manual, better development of business cases and ultimately a greatly improved performance on actual expenditure compared to budget.

Key Success Factors

Key factors that contributed to the success of this project include:

  • Discussions specifically focusing on capital procedures were held with a cross section of Southern Rural Water personnel from the Chief Executive Officer to junior staff.
  • Workshops were held focusing on business case development including the need for well understood service levels and economic assessment of project options. Timelines for approvals and actual project implementation were also addressed in the workshops to ensure participants addressed this issue in their business cases.
  • A sample capital works procedures manual was provided to Southern Rural water to guide development of a specific Southern Rural Water capital procedures manual. A senior project manager at Southern Rural Water was tasked with developing a manual which was subsequently adopted.
  • Hunter H2O brought to this assignment the ability to relate to a cross section of employees of an operational organisation, real experience of business case and service level development as well as technical knowledge of project timelines that would not be available to other management consultants.
  • The feedback on our performance was excellent.
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