Galliford Try Business Model Canvas

Galliford Try's key partnerships with government bodies and public sector clients are foundational to its operations. These include central and local government agencies, utility providers, and defense organizations, forming a substantial part of its revenue streams. For instance, in the fiscal year ending June 30, 2023, Galliford Try reported that approximately 70% of its revenue was generated from the public sector and regulated industries.

These relationships are often cemented through long-term framework agreements. These agreements provide a predictable flow of projects and necessitate deep collaboration on policy alignment, regulatory compliance, and the achievement of public benefit goals. This ensures a stable and consistent pipeline of work, allowing for strategic resource allocation and long-term planning.

Galliford Try's key partnerships extend to a diverse range of consultants and professional service firms, including architects, engineers, environmental specialists, and legal advisors. These collaborations are essential for providing critical design, technical, and regulatory expertise, ensuring projects are planned effectively, executed smoothly, and remain compliant throughout their lifecycle.

In the fiscal year ending June 30, 2023, Galliford Try incurred £171.3 million in administrative expenses, a portion of which was allocated to these vital external consultants. This investment highlights the company's reliance on specialized external knowledge to manage complex projects and mitigate associated risks, ensuring high standards of delivery.

Galliford Try excels in design and engineering, frequently integrating these services into comprehensive design-and-build projects. This means they develop all the necessary architectural, structural, and civil engineering plans, ensuring they align perfectly with client needs, all relevant regulations, and important sustainability targets.

This in-house design and engineering expertise is crucial for Galliford Try's ability to deliver projects that are not only of high quality but also built with sustainability at their core. For instance, the company's commitment to innovation in design contributed to their role in the £180 million redevelopment of the Royal College of Music, a project that emphasized modern, sustainable facilities.

Galliford Try's key activities also involve robust health and safety management, ensuring the well-being of its workforce and the public. This includes comprehensive risk assessments, ongoing training, and the implementation of strict safety protocols on all project sites. In 2024, the company continued to emphasize its commitment to safety, reporting a reduction in its Lost Time Injury Frequency Rate (LTIFR), demonstrating tangible progress in its safety performance metrics.

The company's approach to innovation is another core activity, focusing on developing and adopting new technologies and methods to improve efficiency, sustainability, and project outcomes. This includes investing in digital construction tools and exploring advanced materials. For example, in early 2024, Galliford Try announced its adoption of Building Information Modelling (BIM) across a wider range of projects, enhancing collaboration and design accuracy.

Financial management and risk mitigation are critical ongoing activities. This involves disciplined cost control, effective cash flow management, and the strategic selection of projects with acceptable risk profiles. Galliford Try's financial reporting for the fiscal year ending June 2024 highlighted a strong balance sheet and a disciplined approach to managing its project pipeline, contributing to its overall stability.

Galliford Try's operational backbone relies heavily on its extensive fleet of plant, machinery, and equipment. This includes everything from large excavators and cranes to specialized tunneling equipment and modular site accommodations, all crucial for delivering complex infrastructure and construction projects efficiently and safely.

In 2024, the company continued to invest in maintaining and upgrading this vital asset base. While specific figures for the entire fleet's value are proprietary, Galliford Try's capital expenditure in property, plant, and equipment for the year ending June 30, 2024, was £155.6 million, reflecting ongoing commitment to modern, capable assets.

To supplement its owned fleet and ensure access to specialized or high-volume equipment, Galliford Try maintains strategic partnerships with key suppliers. For instance, its ongoing relationship with Algeco provides access to a wide range of modular buildings and temporary site infrastructure, a critical component for establishing efficient and safe working environments on diverse project sites.

Galliford Try's key resources are multifaceted, encompassing its skilled workforce, substantial financial capital, extensive operational assets, proprietary digital tools, and a strong brand reputation. These elements collectively enable the company to undertake complex projects, maintain financial stability, and secure a consistent pipeline of work.

Galliford Try is dedicated to building a more sustainable future, with a clear goal of achieving net-zero carbon emissions in its own operations by 2030 and across all its activities by 2045. This commitment translates into offering clients lower carbon construction solutions, directly supporting their environmental targets.

Beyond environmental considerations, the company actively prioritizes social value in its projects. This focus ensures that Galliford Try’s work not only meets client objectives but also contributes positively to communities, reflecting a holistic approach to responsible development.

Galliford Try offers clients a reliable partnership, consistently delivering high-quality construction and infrastructure projects. Their operational efficiency and robust risk management ensure projects are completed safely, on time, and within budget, a significant differentiator in the market.

The company's extensive expertise spans diverse sectors including healthcare, education, and affordable housing, alongside crucial infrastructure work like highways and water management. This broad capability allows them to meet a wide array of client needs and leverage cross-sector synergies for enhanced project delivery.

Galliford Try's commitment to sustainability, aiming for net-zero emissions by 2045, and prioritizing social value in their projects, further enhances their appeal. They focus on building strong, collaborative client relationships, leading to value-based pricing and a significant portion of work secured through framework agreements.

Galliford Try actively gathers client feedback through various channels, ensuring continuous improvement in service delivery and project execution. This client-centric approach is a cornerstone of their 'Delivering Excellence' strategy, directly influencing how they refine their processes and enhance project outcomes to exceed expectations.

Galliford Try cultivates deep client relationships through dedicated project teams, long-term framework agreements, and comprehensive post-completion support, including facilities management. This client-centric approach, focused on collaboration and continuous feedback, underpins their strategy for delivering excellence and ensuring client satisfaction throughout the asset lifecycle.

Their commitment to client partnership is further demonstrated through collaborative risk management, fostering trust and leading to more predictable project outcomes. This integrated approach not only enhances project delivery but also diversifies revenue streams and promotes asset longevity.

Galliford Try's direct sales and business development teams are crucial for growth, actively engaging potential clients to forge relationships and uncover new project opportunities within key sectors. This proactive strategy is vital for securing new contracts and broadening the company's market presence.

In the fiscal year ending June 2023, Galliford Try reported a strong order book, underscoring the effectiveness of these teams in identifying and winning new business. The company's focus on sectors like infrastructure and building continues to yield results, with a consistent pipeline of work being developed through these direct engagements.

Galliford Try utilizes competitive bidding and tendering as a core channel, directly responding to client invitations for projects. This is supported by framework agreements and strategic alliances, particularly in sectors like water and highways, which ensure a steady pipeline of work. Their direct sales and business development teams actively engage clients to identify and secure new opportunities.

Industry events and trade shows serve as vital platforms for showcasing expertise and networking, while the corporate website functions as a digital storefront for project portfolios and company information. These channels collectively contribute to Galliford Try's robust order book, which stood at £3.6 billion as of December 31, 2023.

Private sector commercial and residential developers are a key customer segment for Galliford Try. This includes companies building offices, retail spaces, and various residential projects, from private rentals to affordable housing initiatives. Galliford Try's recent re-entry into the affordable housing sector, coupled with its work for blue-chip clients, highlights its commitment to serving this diverse developer market.

Galliford Try serves a diverse clientele, with a significant portion of its business stemming from government and public sector bodies. This includes national and local authorities requiring infrastructure, defense, education, and healthcare facilities. Their regulated utilities segment is also a major focus, encompassing water, highways, and environmental projects.

The company also engages with private sector developers for commercial and residential construction, including affordable housing. Furthermore, Galliford Try has a specialized presence in the custodial and judicial sector, building and maintaining secure facilities.

Their Facilities Management division supports both public and private clients with ongoing property upkeep, maintenance, and operational management, including a growing emphasis on decarbonisation efforts.

Administrative and overhead expenses are crucial for Galliford Try's operations, encompassing costs like salaries for corporate staff, office rent, and IT infrastructure. For the year ended 30 June 2023, Galliford Try reported administrative expenses of £109.1 million. The ongoing investment in and implementation of new Enterprise Resource Planning (ERP) systems, aimed at streamlining operations, also contribute to this cost category.

Galliford Try's cost structure is dominated by direct project expenses, including labor, materials, and subcontractors, which are intrinsically linked to project execution. The company's fiscal year ending June 30, 2023, saw revenues of £2.9 billion, with a significant portion allocated to these direct costs, highlighting the labor-intensive nature of construction.

Equipment costs, encompassing acquisition, rental, and maintenance, represent another substantial outlay, with capital expenditure on property, plant, and equipment reaching £112.9 million in the same period. Administrative and overhead expenses, including staff salaries and IT, totaled £109.1 million for the year ended June 30, 2023, with ongoing ERP system investments contributing to this figure.

Furthermore, significant investments in Research and Development, particularly in sustainable construction and digital technologies, are critical for future competitiveness. In 2024, R&D remained a strategic priority to enhance value and sustainability. Compliance with health, safety, and environmental (HSE) standards also incurs considerable costs, covering training, safety equipment, and environmental assessments.

Galliford Try generates revenue by offering continuous maintenance, repair, and comprehensive facilities management for projects they've built and for existing structures. This creates a steady, service-based income stream that nicely supplements their core construction work.

In the fiscal year ending June 30, 2023, Galliford Try reported that its Partnerships & Investments division, which includes many of its service-led activities, saw revenue grow to £1.2 billion. This highlights the increasing importance of these recurring revenue streams.

Galliford Try's revenue streams are diverse, primarily driven by construction contracts, framework agreements, and service-based offerings. The company also benefits from specialized divisions like water technologies and income from its Public Private Partnership (PPP) assets.