COLLABORATIVE BEHAVIOURAL ASSESSMENTS The Emerging Norm

Georgina Murphy, MCIPS, Managing Consultant, BTTC

1. What are Collaborative Behavioural Assessments (CBAs) and how did they come about?

A CBA is a formal process to observe and evaluate the collaborative behaviour of a prospective proponent team as part of a procurement process. There are variations in the ways in which CBAs are delivered but, at their core, they consist of a series of tasks or exercises undertaken jointly by the Proponent and Client. Tasks are designed to enable representatives to show collaborative behaviour. These types of assessments are critically important to relational or collaborative contracts where the project’s success is dependent upon effective collaboration. It should be noted that the CBA is the launching pad to establish and embed collaborative working and is the first important step in a wider programme of practical skill development to enable a collaborative approach. CBAs in isolation do not equate to a finished product of a high-performing, collaborative team. Collaborative contracting, or relational contracting, started in Australia in the 1990s and has since travelled to Europe and North America. These contracts paved the way for businesses in traditionally adversarial industries to do business with a shared goal, financially incentivizing collaboration, and risk sharing. In the UK, CBAs were first undertaken in the early 2000’s; they gained popularity when they were used to select delivery partners for the London Olympics, since which they have been used to support the procurement of alliances and other collaborative contracts. In Canada, Metrolinx adopted the process for the first alliance contract for Toronto’s Union Station Enhancement Project (USEP) in 2020 and has since been using it on multiple procurements.

2. What are the key factors that are most important in delivering a successful CBA?

This process is different from a traditional procurement exercise in which the technical response is a binary “goodor-bad”, or the commercial response demonstrates varying levels of value for money. The nuance and identification of effective collaboration takes time and is a skill that is honed over time. The integrity of the CBA is paramount in our delivery, for the protection of the client organisation, and in the interest of the proponents; fairness and consistency are crucial to preserve the integrity of the process.

With that in mind, a recent exciting and successful project that BTTC supported was the East Harbour Transit Hub (EHTH) via Metrolinx. There were three proponents, each undertaking two days of assessment. I believe that the standout feedback was the Independent Fairness Monitor passing comment on the level of consistency that BTTC was able to implement throughout the process.

Another success factor is the commitment to follow through on the behavioural development, once in contract. As previously mentioned, it is not a ‘once- and-done’, but rather a skill to be developed across leadership and project teams together with the supply chain. The UK’s A14 National Highways Project collated data on 360-degree KPIs; contracts that were behaviourally procured out-performed those that were not behaviourally procured by an average 8.63% across all KPIs.

3. What are some of the challenges and opportunities of using CBAs?

The common challenge with CBAs, (and collaboration in general) is a willingness to collaborate but having an overall limited understanding of what collaboration is beyond ‘motherhood’ terms. Translating collaboration into tangible, measurable success is the overarching opportunity; however, the main blocker is commitment to the level of investment required—and I’m not talking about just financial. The time commitment required to understand, the commitment of self-reflection to implement that understanding, and a willingness to change behaviours, do not come easily. I’m sure many people are familiar with the ‘that’s the way we’ve always done it’, but collaboration takes courage to disrupt normal ways of working, and it takes a true leader to not only adopt the concept but to enact the behaviours that demonstrate collaboration.

4. What are the best types of projects to benefit from CBAs, and how are they being utilized in Canada?

CBAs are best utilized in the procurement of relational or collaborative contracts. Due to the time and financial investment from all parties, a contract that incentivizes and supports collaboration is where you see the most value. Contracts across Canada follow this same trend. Toronto’s Union Station Enhancement Project—a large, complex project that required a long-term relationship over several years—was the first Alliance in the transit industry in Canada, and the procurement process included a CBA. As a rule, contracts that are high value, complex, and involve a high level of risk, are the ones that benefit the most—with some lower value contracts that have particularly complex stakeholders.

5. What do you see as being the future of collaborative contracts and approaches?

Over 20 years since their introduction, collaborative contracts continue to be recommended in Australia and UK. The market’s appetite for taking on high-risk, fixed-price contracts has significantly reduced in recent years, indicating that collaborative contracts are here to stay. Already, on the TransPennine Route Upgrade, and the A14 Highways projects, we are seeing variations of a CBA being implemented further into the supply chain, and with success already evidenced, I anticipate that trend will continue.