Putting SMEs at heart of growth - Lillian McDowall

As the Covid-19 vaccine rollout continues the national focus is turning to a sustainable recovery.

Lillian McDowall, Senior Business Manager at public sector procurement authority SCAPE Scotland.

With Glasgow hosting the UN’s climate conference, COP26, this autumn, it’s a fantastic opportunity to demonstrate on the world stage how our country is taking the lead on creating a better socio-economic future post-Covid. Naturally, following a period of economic reset, construction and the public sector will be two of the crucial protagonists.

Construction is an indicator for the economy and acts as a catalyst for investment – creating positive and targeted outcomes for communities. With an increase in funding being channeled towards community facilities, infrastructure and social housing as part of the government’s recovery strategy, local authorities and public sector organisations have the opportunity to continue stimulating the economy and improving lives.

Those benefits go beyond just those using public facilities. The current boom in public sector construction activity is designed to support local businesses and supply chains. Along with ambitions to improve the nation’s green credentials, the themes of job creation and social value are currently front of mind for many people.

Fortunately, initiatives are already in place to ensure that communities and SME contractors are prioritised. For example, the Scottish Government’s Community Wealth Building (CWB) policy which we are aligned to as an organisation championing best-practice procurement for public sector construction. Key to this policy is ‘progressive procurement’ – prioritising local supply chains to support employment. Every project accelerated through our frameworks actively prioritise and continuously monitor SME spend to demonstrate the value that projects bring to the local community.

Local authorities align with these policies and are adopting the sort of best-in-class procurement and project management techniques that mean projects are delivered at pace, whilst meeting the needs of the communities they serve. For Scottish contractors aiming to make the most of this uptick in public sector building, this summer presents an opportunity for them to marry-up with the priorities of local authorities and make themselves next-to indispensable to achieving those aims.

For example, a recent study conducted by one of our construction delivery partners, Wates, found that achieving net zero carbon is the top priority for the majority of local authorities as part of their climate emergency plans. I know from working with city leaders and chief executives that hitting that net zero carbon target is of huge priority and one they are working tirelessly to achieve. Contractors, particularly those in the SME space, will need to support this increase in conscientious, sustainable investment and tailor their services to suit.

Our clients are already making good headway in this regard. The Dundee Waterfront Earl Grey Building, accelerated through SCAPE Scotland Construction and delivered by Robertson in partnership with Willmott Dixon, forms part of one of the country’s biggest urban developments – Dundee Waterfront – but still retains a local focus. 99% of spend on this project was placed firmly into the pockets of SMEs, and last year won a BCO Scotland award thanks to its strong environmental accreditation, aligning with Dundee Council’s needs.

Done right, we have a unique opportunity to develop a more harmonious economy in response to the recovery from Covid-19 – one that supports supply chains, local jobs, green ambitions and the needs and wishes of communities. Firms operating in and around the public sector will be the life blood of this and therefore crucial to a stronger Scotland in the future.

Lillian McDowall, Senior Business Manager at public sector procurement authority SCAPE Scotland