UNIVERSITY OF PORTSMOUTH 2025/THE STORY OF THE COMPETITION
| PERIOD 5: "'BuildCore Company' are the early pacesetters!" |
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After a period of intensive trialling the University of Portsmouth Enginuity 2025 Competition is underway,
with a competitive field of teams all battling for supremacy against their peers.
And so to the action, and all the teams made excellent starts, with the early pacesetters after
41% growth being "BuildCore Company" with 1,414 pts,
but they cannot rest on their laurels with the chasing pack close behind led by
"Hive Builders" and "Crew 5 Constructions".
However, it is early days, and there are sure to be plenty of twists ahead as the journey
through the Early Years unfolds.
The early signs are that the competition will be very competitive, with all the teams improving
their overall position in period 5. However, this was not unexpected. After being formed at the
beginning of period 1, overhead costs were incurred whilst the companies were being established, without
any profits being generated. The companies were now in a position to generate profits against a more stable
overhead base, and this was reflected in improved operating profits. Of course, growth will be impossible
without an effective strategy, and all the management teams have had time to think about this carefully, and
come up with a set of objectives to deliver business success for their stakeholders.
2024 proved to be another turbulent year for the UK. Politically there was a change of government in July
with the first Labour government since 2010, and Prime Minister Kier Starmer promising a 5-year plan of growth.
In the economy growth figures were better than expected with GDP growth of around 1%, helped by the Cost Of Living
crisis easing as inflation fell, and the Bank of England were able to cut the base rate from 5.25% to 4.75%
between August and November, and the green shoots of recovery are expected to continue in 2025 with projected GDP growth
of 1.6%, but continuing conflicts around the world add some uncertainty to these projections.
Further afield global real GDP grew by around 3.2 percent in 2024, and is expected to continue at this rate during 2025.
India remains the strongest performer among major emerging economies, with robust growth driven by domestic reforms and foreign investment.
However geopolitical factors, including changes in tariffs and industrial policies in the United States when President Trump takes office
in January 2025 could alter global forecasts with the potential for trade wars, and continued conflict in the Middle East and Russia's war
in Ukraine could trigger broader inflationary pressures.
League table at the end of period 5
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| PERIOD 6: "'BuildCore Company' extend their lead at the top" |
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After the impressive growth figures posted in period 5, not unexpectedly period 6 proved to be a much tougher quarter.
This was largely driven by the companies being unable to win as much work as they had previously, with the corresponding
reduction in forward workload and margin KPIs. However, impressively the majority of teams were still able to post positive growth figures.
At the top of the table 5% growth from "BuildCore Company"
moved them onto 1,490 pts, and extend their lead from
"Hive Builders", who remain second, with the chasing pack close behind led by
"The Builder" who moved up 3 places to 3rd.
The best performance in the round was an 8% improvement from
"The Executive Crew" that moved them from 9th to 5th.
At the wrong end of the table previous high flyers "Crew 5 Constructions"
fell to the bottom of the table after losing out on a key bid to the Chota Nagpur Group, and their
bidding team will be regretting not having a PLan B wih their bidding strategy in case they lost the 2 jobs they bid.
With KPI points hard earned it will become increasingly important that the management teams look very
carefully at every aspect of their business for potential improvements, and those that are most successful in
doing so should prosper the most. Two areas that the teams need particular attention are
Marketing strategy and Procurement (rival bidders), which are discussed in more detail below.
Marketing is possibly the area of the business that requires the most thought,
as there are numerous strategies that could be adopted. The market trend can only be gauged for one year ahead,
and not always accurately, and as marketing departments are expanded, the choices of where to direct the
marketing effort are wide ranging, by sector, country and job size. The task is not an easy one, but has
a major impact upon procurement options, and the future work undertaken, and ultimately on the long term
prosperity of the company.
Another important consideration is that rival bidders do not necessarily stick
with the same bidding strategy, and as time goes by they can change their strategy according to market conditions.
This makes it imperative that teams keep a close eye on the margins rival bidders are applying, and how they may be changing.
Evaluating these strategies could make the key difference between success in securing work, or not.
To complicate matters even further there may be UNKNOWN rival bidders, and the
only clues to these may be in the ENGINUITY NEWS NETWORK (ENN) for the period.
League table at the end of period 6
Improvements, or otherwise, during period 6
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| PERIOD 7: "'Tango Ltd' dancing their way towards the top!" |
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Period 7, proved to be one of impressive growth figures for nearly every team,
and none more so than for "Crew 5 Constructions" who hauled
themselves away from the foot of the table with an astonishing 15% improvement to move up 3 places,
with the "TITANS" moving in the opposite direction after a slight decline.
At the top of the table 2% growth from "BuildCore Company"
enabled them to retain top spot with 1,517 pts, but they will now be
looking nervously over their shoulders after their lead was drastically cut by "Tango Ltd",
who moved within 8 points after an impressive 10% growth that saw them climb 4 places, a rise matched by
"Sync Lab", who moved up to 3rd.
With 2 rounds to go it is now all to play for with most of the teams still in with a realistic
chance of the becoming the 2025 University of Portsmouth Champions.
IEWP = SUCCESS
A leading industry think tank have come up with a simple formula for running a successful construction
business.
- IDENTIFY new work
- EXPAND the infrastructure (capital base) of the company to take on more work
- WIN new work through competitive bidding
- PROFITABLY PROGRESS of the jobs won
It sounds so simple in theory, but in practice it is much far harder to achieve. Most teams prove to be more
than competent in the first two areas, identify new work and expanding the infrastructure, but the bidding
and successful job progression proves more challenging. Winning new work is not easy with so many known and
unknown rival bidders working in different sectors and locations, and progressing jobs through to successful
completion is hindered many things, such as finding suitable project managers, labour scheduling and overcoming the
many obstacles that can occur, such as delays caused by risks strking. Steady growth also requires replacing
work progressed with at least the same amount of work again, and this is often the hardest factor of all to get right.
The teams can take some comfort from knowing that many management teams in the real world also struggle for
consistent growth, and at least in the virtual world it is not critical, although it may feel like it at times!
Another essential part of running a successful business is being able to form an
effective Risk Management Strategy to keep the business as profitable as possible.
This can take a number of forms, firstly by building sensible risk contingencies into the original bids based
upon the likelihood and cost of the risks occurring. Secondly, and just as importantly is mitigating the
affects of any risks that strike through targeted investment into risk management companies, using a BIM model
if available, and employing the most suitable project managers to jobs in progress.
League table at the end of period 7
Improvements, or otherwise, during period 7
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| PERIOD 8: "A dramatic round sees 'Hive Builders' take the lead" |
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The penultimate round of the Competition saw a major turnaround at the top of the table,
and largely growth across the board.
"Buildcore Company" had led since the beginning,
but a period of zero growth saw surprisingly them slip back to fourth.
This opened the door for "Hive Builders" to storm 5 places
up the table and into pole position after 8% growth, the best posted in the round, and onto
1,562 pts.
"Tango Ltd" and "Sync Lab"
remain 2nd and 3rd respectively.
Amazingly there is just 65 points separating the top 6 teams going into the final round,
and it is going to be a tense finsh before the 2025 Champions are revealed, and
each of the teams will now be looking to finish strongly, with every decision counting in the final reckoning.
League table at the end of period 8
Improvements, or otherwise, during period 8
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| PERIOD 9: "An amazing final round sees 'The Executive Crew' crowned Champions!" |
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The final round of the Competition proved to be the most dramatic in recent memory.
"The Executive Crew" had never been higher than 4th,
but during period 9 they secured some major contracts to boost their forward workload and margin
that ultimately proved decisive as they stormed 7 places up the field with a stunning 26% improvement
to become the University of Portsmouth Enginuity 2025 Champions with an impressive finishing score of
1,748 pts. Congratulations to Ali and the team.
Behind the Champions all the way through the league table period 9 proved to be one of growth.
"Sync Lab" moved up one place to finish Runners Up after 13% growth,
and only 32 points adrift of the Champions.
Previous leaders "Hive Builders" dropped 2 places but still finished
a creditable 3rd, narrowly ahead of "The Builder" in 4th.
In the final analysis all 10 teams finished with far stronger, more sustainable companies than when they took over in period 5,
a testament to the skill and application shown by the management teams in what was a roller coaster of a journey through
one and a quarter simulated years of management.
League table at the end of period 9
Improvements, or otherwise, during period 9
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