|
The story about King Xerxes is fascinating, and you should know it. Look. Some clients send an angry email when infrastructure fails. Others call their lawyers. King Xerxes had even a more ambitious escalation procedure. He whipped the sea. Yes. Apparently, the King was very ambitious, in general. He had bridges built across the Hellespont so his Persian army could cross into Europe. Until here… All good. The issue is that a storm destroyed the bridges. At the time, they did not have ACONEX or ANSARADA to torture you and trace responsibilities. So, Xerxes responded by ordering 300 lashes for the water, and chains to be thrown into it. Finally! Amazing! That’s it! Yes!! Finally, someone holding the weather accountable. Imagine being the project manager or the consultant assigned that task. “What do you do?” “Infrastructure dispute resolution.” “Interesting. Which firm?” “Mostly coastal.” Three hundred lashes. Very specific. Clearly, 250 would have been too lenient. And 350 would have damaged the relationship. You have to preserve collaboration. The sea’s response is unrecorded. I assume it continued being wet. Now, before you laugh too hard at Xerxes, think about how you manage your own projects. You put an obligation in a contract. You assume the asset will cooperate. Then, years later, reality does something deeply unprofessional. It turns up. The pavement needs work. The maintenance records contain gaps. And the people approaching handback discover that they have spent twenty years agreeing that everything must be in “good condition”… …without agreeing what that means. Excellent. One party means: “It works.” The other means: “It will keep working.” The engineer asks: “For how long?” The lawyers ask: “Would you like to discuss our rates?” And the Board asks: “Why wasn’t this sorted out earlier?” At that point, whipping the sea starts to look surprisingly competitive… even compelling. Well… In my unsolicited piece of advice of today, I think that there is a better option: Make the handback requirements work before you need to enforce them. Simple. Not rocket science. Define the condition. Understand the remaining life requirements. Agree how compliance will be demonstrated. Leave time to inspect, challenge and rectify. Because an asset approaching the end of a concession doesn’t become younger when you send it a strongly worded letter. Believe me. If that worked, I would write to my lower back. This is why I put together: ​THE ROOM: 9 Lessons For A Successful HandBack — A30 Montreal.​ Nine lessons using the A30 Montreal project as the case. For CEOs, Project Directors and Board members who would prefer to understand the handback problem while they can still do something useful about it. Get the nine lessons here. ​THE ROOM: 9 Lessons For A Successful HandBack — A30 Montreal​ You can prepare the handback. Or prepare the whip. I know which one I would put in the budget. P.S. If your handback strategy depends on everyone being reasonable in the final year, please remember: Xerxes probably thought he was being reasonable too. He gave the sea a very clear performance improvement plan. PD 1: If you liked this email, don't keep it in secret and forward it to a friend. They will thank you enormously one day. PD 2: If somebody has sent you this email and you want to receive emails like this yourself, visit vicentevalencia.com PD 3: If you want unsubscribe, click the link below. |
Weekly insights on how to perform when it matters | High-stakes decisions. Real situations. No BS. | 👇JOIN +2k readers 👇
There is a beautiful moment in every project. The green dashboard. That’s where all bosses and politicians that never came to visit start to get excited. The speeches are ready. Everyone important has found a clean high-vis vest. Even new boots… yes, now that there is no mood. Then somebody makes the unreasonable decision to use the infrastructure. Welcome to Heathrow Terminal 5. 27 March 2008. £4.3 billion. On time. Within budget. The sort of numbers that make a Board presentation...
Ah… Time flies and PPPs finally arrive to the end… like a terrible elected leader term… Getting your infrastructure back at the end of a concession sounds lovely. Like removing Pedro Sanchez from office. The debt is paid. The concessionaire leaves. You get the asset. Like collecting your car after lending it to a friend. Except your friend has had it for 25 years. And “the tyres are fine” means they are still technically round. Oups… Do you remember the terms of the return? 2018 Severn...
You know the IBM ad: “Nobody has been fired for choosing IBM”. Well… in procurement there are ads like that. “We didn’t just go for the cheapest.” Lovely. Everyone nods. Someone writes “quality” in the minutes. Your career feels protected. Unfortunately, the project hasn’t read the minutes. Take Scotland’s Parliament building at Holyrood. In January 1999, three final candidates were competing to become construction manager. Bovis came out comfortably ahead at interview. 82 points out of 100....