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Olimpic &

Paralimpic Games


RLB were appointed to manage venues and infrastructure budgets and costs for all temporary venues and overlay requirements from August 2007.

This covered some 26 competition venues, athletes villages, international broadcast and press centres, training venues, transport hubs and numerous non-competition venues

RLB committed senior cost management executives into LOCOG to provide the highest service levels possible and this resulted in the development of a strong team of event cost experts who worked closely with LOCOG management to control and reduce costs at all stages from earlyoverlay design through to removal of overlay post games.

Feasability overlay estimates

At an early stage, with only limited venue block plans and venue accommodation requirements, RLB provided high level, but meaningful, feasibility estimates of venue temporary overlay.

Using their database of overlay costs from previous games.

Using experienced and expert staff who had the knowledge and experience to make cost allowances for items not detailed on drawings or venue scoping documents at this early stage of the process, thereby ensuring the early stage estimates were robust with minimal scope gaps and appropriate levels of contingency.

Being able to cost model the standard elements of the overlay enables anomalous elements and identify risks early on.


With their extensive cost database of previous games RLB were able to benchmark the common elements of the overlay against similar projects. Again, this greatly assisted the focus of LOCOG and the design team on the more venue specific anomalies and risks.

Overlay Cost Estimates

As the scope and design information developed, RLB were able to produce progressively more detailed overlay cost estimates using their own cost planning and estimating software.This allowed them to analyse the costs by venue, by functional area, by commodity and by quantities.

The development of a cost plan at this more detailed level formed a baseline cost and scope that was then used as a basis for change management and risk management.

Their understanding of venue functionality allowed them to intelligently discuss scope with the other key functional areas of Sport,Technology, Broadcast, Press,Transport, Security,Ticketing, Catering, Cleaning and Waste in order to identify potential scope gaps within LOCOG's other functional area budgets based around delivery priorities.

Budget Setting

Using their feasibility cost estimate and benchmark information they assisted LOCOG to set realistic budgets and targets that were signed off at Board level.

These budgets included site enabling works, temporary overlay commodities for seats, tents, cabins, toilets, power, lighting, safety systems, service connections, perimeter security fencing, CCTV , FF&E, Look and Wayfinding , Test Events, consultant fees, utility expenditure, workforce and appropriate levels of contingency

Financial Reporting

Once the baseline estimate was agreed and signed off, RLB liaised with LOCOG's finance team to establish tailored cost reporting formats to suit LOCOG's particular requirements and reporting protocols.

Cost reports were also able to be tailored to suit the requirements of different third party stakeholders and funders.

A key part of our cost reporting was to produce monthly cost reports that included the current estimate compared against the budget, identify changes in the month, identify key risks and opportunities and report on expenditure to date.This discipline of cost reporting enabled corrective action and key decisions to be made based upon an up to date and accurate cost status.

Change Management

As soon as the baseline cost estimate was established, another key action was to create and implement an effective change management process.

Again senior RLB executives liaised closely with LOCOG to set up the change management process to identify and value design development and scope change. This formed a critical part of controlling costs from an early stage by enabling LOCOG to make informed choices and reduced scope creep as the venue overlay design progressed.

Value Engineering

RLB were involved at the heart of a number of key value engineering initiatives...

Including venue rationalisation, model venue exercises, venue specific value engineering and operational planning. Some of these initiatives, especially venue rationalization, helped to save the Olympic Delivery Authority (ODA) significant costs , for example through moving sports into existing venues thereby saving the ODA the cost of a new or temporary venue.

Their event knowledge and supplier knowledge also introduced more cost effective solutions to some particular venue design challenges.

For example, the use of a temporary 'Field of Play' solution at the Equestrian venue saved cost on more traditional cut and fill options and minimized the impact upon the environment.


RLB developed the financial risk management process using three point estimating and simulation techniques to calculate a realistic and specific project contingency requirement.

This process identifies the financial risk in order of priority and magnitude and helps focus the project management teams on the key issues requiring resolution.

Supply Chain Assessment

Through our involvement at many other major international sports events over the past two decades, we have gained considerable knowledge of the event supply chain.

Our industry and market knowledge assisted LOCOG to identify and assess competent and capable suppliers and contractors to tender for and deliver their temporary overlay requirements.

Commodity Procurement

RLB worked alongside LOCOG's in-house procurement team to support them with overlay knowledge and tender documentation.

Producing the preliminary requirement for the Invitation to Tender.
(This details all of the site requirements, management of the project, site obligations and restrictions).

Advice on contractual terms and conditions.

Producing pricing templates and rate card schedules.

Checking scope of tenders against the venue requirement.

Identifying scope gaps within tender

Preparing comparable Pre Tender Estimates.

Analysis of tender returns.

This input proved vital in helping LOCOG procure robust contracts that could be effectively controlled during site installation.


Once contracts were awarded RLB supplied Contract Managers seconded into LOCOG to administer the supplier contracts and control and monitor the suppliers and contractors during design development, off-site manufacture, installation, operational maintenance and removal.

A key part of this is ensuring compliance with contract terms and scope and controlling variations.


Lastly, RLB and the Overlay Contract Management Team were responsible for agreeing final accounts with suppliers and contractors ensuring that only authorised costs were paid and that LOCOG achieved value for money.

Successful financial close of some 250+ venue overlay contracts totalling more than ₤ 600m was effectively achieved prior to December 2012, only three and a half months after the closing of the games.

Successful financial close of some 250+ venue overlay contracts

totalling more than ₤ 600m was effectively achieved prior to December 2012, only three and a half months after the closing of the games.

2016 KTS GLOBAL. All rights reserved

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