NEW ROAD MAINTENANCE MODEL IN FINLAND – 2014 PILOT PROJECT

3rd International Conference on Road and Rail Infrastructure (CETRA 2014)

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Title NEW ROAD MAINTENANCE MODEL IN FINLAND – 2014 PILOT PROJECT
 
Creator Pekka Pakkala; Ramboll Finland
Katja Levola
 
Subject Performance Based Maintenance Contracts (PBMC), outsourcing, maintenance and contracting
 
Description Finland is testing a new model for Performance Based Maintenance Contracting (PBMC) for roads in 2014. In Finland, PBMC have been used for about thirteen years and the market is very competitive, driven by lower costs, and quality needs improvement. Continued pressure towards efficiency and reduced costs are approaching the limits and a new model is needed to increase the quality and provide incentives for contractors. An internal road agency steering group was assigned the task to develop a new model for maintenance that would be appropriate for Finland. The “alliance model” has been tested in some countries, but there are limited results and the alliance model may not be appropriate for Finland. This new model is titled “Program Managed Performance-Based Maintenance Contracts” and has similarities to the alliance model, but is much simpler. Since the model is presently under development, the objective of the paper is to discuss the development, procurement, and preliminary findings.
The tendering of this model is in early 2014 and details are not known at the time of the writing this abstract, but preliminary finding will be available for the conference. The new model introduces possibilities for improved quality, services, and provides a better opportunity for risk sharing.
 
Publisher CETRA 2014
 
Contributor None
 
Date 2017-02-28 16:45:40
 
Type Peer-reviewed Paper
 
Identifier http://master.grad.hr/cetra/ocs/index.php/cetra3/cetra2014/paper/view/416
 
Source CETRA 2014; 3rd International Conference on Road and Rail Infrastructure
 
Language en
 
Rights <p>Authors who submit to this conference agree to the following terms:<br /> <strong>a)</strong> Authors retain copyright over their work, while allowing the conference to place this unpublished work under a <a href="http://creativecommons.org/licenses/by/3.0/">Creative Commons Attribution License</a>, which allows others to freely access, use, and share the work, with an acknowledgement of the work's authorship and its initial presentation at this conference. <br /> <strong>b)</strong> Submitted full papers will be published in the book of proceedings "Road and Rail Infrastructure II" as well as in digital form (on a CD). Conference organiser is allowed to publish author's names, institution and country as well as the paper abstract on the conference web site.</p>
 

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