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25 years of growth Spencer Group

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Spencer Group's brochure, giving an overview of the full business

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Page 1: Group Blueprint Brochure

25 years of growth

Spencer Group

Page 2: Group Blueprint Brochure
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A business success story

Spencer Group: 25 years of growth, innovation and achievement

The entrepreneurial engineering business that is now Spencer Group was founded by Charlie Spencer in 1989 from his then home in Anlaby, East Yorkshire, with just two employees. Mr Spencer, who is now the company’s Executive Chairman, has built the business into a leading specialist contractor across a wide range of industry sectors, with an annual turnover of £150 million and projects across the UK and abroad.

With headquarters in Mr Spencer’s home city of Hull and offices in London, Glasgow and Barrow upon Humber, Spencer now employs more than 400 people directly, as well as providing employment for scores of self-employed professionals and contractors.

1. Putting safety first – we operate a no-compromise approach to safety

4. Delivering excellence – we strive for excellence in everything we do

3. Thirst for knowledge – we challenge convention and encourage innovation

2. Respect all others – we respect our staff, our customers, our suppliers and the environment

Consistent values. Ambitious plans

In 2014 Spencer Group celebrated its 25th anniversary. It has achieved a great deal in that time – growing from scratch to a £150m pa turnover business; delivering amazing projects; conquering extraordinary engineering challenges; and developing an excellent reputation among clients and the wider community.

Underpinning all these achievements are Spencer’s values, which have remained consistent as the company has grown and are embodied in staff across the business. Those values will continue to guide Spencer’s ambitious plans for further growth and the company’s quest to be recognised as a flagship for the very best of British engineering.

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Engineering excellence

Spencer Group has an outstanding track record of delivering innovative multi-disciplinary engineering solutions across the energy, transport and industrial sectors, from initial design concepts through to construction, and specialises in logistically complex schemes. The company is recognised for excellence and innovation and has designed and built landmark structures across the UK, including the York Millennium Footbridge and Glasgow Science Centre Bridge.

Spencer has a division focused on the rail sector and is a principal infrastructure contractor for Network Rail and Transport for London. Spencer sets industry-leading safety standards and is highly trusted to deliver complex rail infrastructure projects.

Spencer also has substantial renewable energy activities. Flagship projects have included designing and building a

biomass reception, handling and storage facility at Drax Power Station in 2010 and, in the same year, a biomass rail-loading facility at the Port of Tyne, then the first of its kind in the world. In 2013 Spencer designed and constructed another rail-loading facility, at the Port of Hull, to support Drax’s conversion to produce electricity from sustainable biomass.

A world leader in high-level bridge works, Spencer has developed a unique gantry system to enable vital dehumidification work to prevent corrosion of cables on the Severn, Forth Road and Humber suspension bridges, as well as the Älvsborg Bridge in Sweden. Spencer is currently carrying out the largest retro-fitted bridge dehumidification project ever undertaken globally - on the East Bridge in Denmark, the third largest suspension bridge in the world and part of the huge Great Belt crossing.

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In-house Design Engineers and Architects

Spencer Group offers full in-house design and build services for our clients.

Seventy percent of the work Spencer undertakes is designed in-house across disciplines, with a full complement of civil, structural, M&E, building services and architectural design engineers.

Spencer deliberately challenge and stretch themselves, creating designs for diverse projects such as power station main stop valves (MSV), mobile radar, biomass material handling and industrial energy recovery projects. This breadth of knowledge allows exposure to different ideas, and promotes technology transfer from one industry to another.

A good design is critical, and a first principles approach is taken to every project to ensure that the engineering fundamentals are understood and optimised. This approach is supported by the use of the latest technology, with Finite Element Analysis (FEA) widely deployed as a design tool to guide decisions.

Spencer’s design team can provide in-house 3D modelling to optimise project

planning and coordination, whilst minimising cost. Their 3D design services are a valuable tool for the client when assessing project feasibility, and this assists collaborative working and minimises buildability problems. The service also ensures the client’s design aspirations are realised.

Spencer’s 3D modelling teams undertook structural design detailing on the Drax Rail Biomass Storage Facility project, modelling of mechanical systems and materials bulk storage analysis. Using 3D modelling software (inc. SolidWorks) the structural designs enabled Spencer to produce the required deliverables (e.g fabrication drawings) in a controlled and structured manner. Similarly on the Paisley Roof project, Spencer produced a concept design, to enable the completed works to be visualised. This enhanced the communication between the design and delivery disciplines in Spencer and with their client.

Spencer’s design process is run as a truly collaborative endeavour, accommodating client representatives and specialist services which enhance Spencer’s internal capabilities.

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Pioneering green energy technology

Energy Works will be the first facility of its kind in the UK, using a combination of innovative renewable energy technologies to produce electricity for use in homes and businesses. The main 25MW fluidised bed gasification process is recognised by the Department for Energy and Climate Change as an Advanced Conversion Technology and as such qualifies the generating station for green energy subsidies.

The project has been awarded a grant of almost £20 million from the European Regional Development Fund in recognition of the role it can play in:-

• Encouraging further innovation in this field;

• Reduction in CO2 emissions from conventional methods of electricity production;

• Diverting 250,000 tonnes of waste from land fill per year;

• Job creation;• Regeneration of the local area.

A key component of the scheme is a partnership with the University of Hull to provide two positions to the University for Postgraduate Study of renewable energy. An educational resource centre will also offer local small and medium sized enterprises and members of the public opportunities to learn about the importance of striving towards sustainable and renewable means of electricity generation.

Work began on Energy Works in 2010 with the identification of a suitable site in the industrial heartland of Hull when ADM’s Cocoa Mill was closed. The Hull City Council Waste Depot on Dalton Street was added to the development when this became available in 2012.

Planning permission for the facility was granted in October 2011. Since then the development team have worked hard to secure a grid connection to the site, run a procurement process to demonstrate the quality of the preferred bidder,

Spencer Group has taken on the role of project developer in an ambitious project to deliver a £150m environment-friendly power plant in Hull, which is due to begin construction in 2015.

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and negotiated numerous contracts dealing with key commercial aspects of the project, such as the supply of feedstock and consumables, operation and maintenance of the plant and sale of exported electricity.

M+W Group are the preferred bidder who will design and build the facility. Spencer will be working closely with M+W as a subcontractor, bringing its design, civil and mechanical handling expertise to bear in the construction of the plant.

Once a due diligence process has been completed, the development will move to financial close, which is expected by April 2015. Following a short period of detailed design, work will begin onsite, with commissioning scheduled to begin at the end of 2016 and commercial operation commencing in 2017.

£150m

180

65

2

Investment in the industrial heartland of Hull

Construction jobs

Permanent jobs

PhD students supported for renewable research

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Headquarters on the Humber

2011 saw a milestone in the company’s development when Spencer Group acquired the One Humber Quays office block overlooking the Humber on Hull Marina and made it the company’s headquarters. The company spent £500,000 fitting out the premises, using local suppliers and contractors, as well as its own workforce to carry out a series of modifications to reflect the company’s green credentials. Environmentally-friendly features include 70 solar panels on the roof.

Previously owned by regional development agency, Yorkshire Forward, the offices had been largely empty and regarded as something of a “white elephant.” Spencer’s acquisition meant the block was fully occupied for the first time, and it has since been freely offered for a host of business and community events, including receptions for Government Ministers and visiting VIPs.

Local and regional leadership

Spencer Group play a prominent role in the business and community life of the Hull and Humber region. Spencer is a Patron of the Hull and Humber Chamber of Commerce and a leading member of the Bondholders marketing organisation which promotes Hull and the Humber for investment and job creation.

Charlie Spencer is a member of the City Leadership Board which is driving forward the ambitious City Plan to transform Hull’s economic fortunes, with a target to create 7,500 new jobs within 10 years. Mr Spencer has a particular interest and involvement in projects aimed at making Hull the UK’s leading green city. He was a prominent member of Hull’s Green City Group, whose work has now formed a major part of Hull’s City Plan.

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Spencer Group operates at dozens of sites across the UK, many of these rail-related engineering projects working with Network Rail. At each site Spencer demonstrates its commitment to working positively with the local community to bring the fullest benefits of the project to local people and organisations, including staging “Meet the Contractor” days to enable as many local businesses as possible to be part of projects.

It is also Spencer policy for every major project to have a minimum of one apprentice employed from the local area, as well as at least one NEET. Spencer have built an extensive network of contacts at faculties of education and training providers across the UK, which ensures that they are excellently placed to provide local opportunities to local people.

By employing local apprentices and NEETs, Spencer are not only enhancing the communities within which they work, but are also preparing the future generation of their employees.

Kisen Ghedia was classed as a NEET when he was employed by Spencer as a Trainee Engineer, and was initially employed on a temporary basis. However, Spencer saw tremendous potential in Kisen and were keen not to let him go. A number of development opportunities have been afforded to Kisen, who has undertaken CITB Site Managers Safety Training Scheme (SMSTS) and is also pursuing professional membership of the Chartered Institute of Building (CIOB).

A good neighbour across the UK

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Awards and accolades

Spencer Group’s exceptional green credentials were recognised by being named Humber Renewables Large Business of the Year in the Humber Renewables Awards 2013. The following year Spencer claimed the Best Renewable Energy Project prize in the same awards, for the design and construction of a facility to support the conversion of Drax Power Station, the UK’s biggest electricity generator, to renewable fuels.

These awards are just two of the many accolades for Spencer’s achievements. Over the past two years it has been recognised at a host of prestigious awards events, including:-

• Winner, Transport Supplier of the Year, National Transport Awards 2014, for Spencer’s innovative, multi-disciplinary capabilities employed on several large and challenging rail projects.

• Winner, Best Large Project on Britain’s railways, Network Rail Partnership Awards 2014, for Spencer’s work on a major rail improvement scheme in Ipswich.

• Winner, Collaborative Working Award (with Medway Council, Atkins and Balfour Beatty), Network Rail Partnership Awards 2014, for the East Kent re-signalling project.

• Winner, Rail Infrastructure/Possessions Team of the Year, RailStaff Awards 2014, for the Gravesend Station re-modelling project.

• Winner, Best Large Project of the Year, Railway Industry Innovation Awards 2014, for the Gravesend scheme.

• Shortlisted in six categories, UK Rail Industry Awards 2015.

• Shortlisted, Temporary Works – Civil Engineering, British Construction Industry Awards 2014, for Spencer’s work dehumidifying cables on the Great Belt crossing in Denmark.

• Two Bronze Awards, Royal Society for the Prevention of Accidents Safety Awards 2014, recognising Spencer’s safety record and health and safety management systems on the Gravesend Station project and East Kent scheme.

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Encouraging tomorrow’s entrepreneurs

As a passionate believer in entrepreneurship, Spencer Group has committed funding to “Blue Sky” programmes run by Hull’s acclaimed youth development charity CatZero to inspire young people to set up their own businesses, and is a leading supporter and sponsor of Global Entrepreneurship Week in Hull. Furthermore, Spencer supports the Hull Youth Enterprise’s “Make £5 Blossom” scheme under which primary school pupils develop their entrepreneurial skills by creating business ideas to turn an initial £5 “loan” into a profitable venture.

Charlie Spencer is a leading member of Hull’s For Entrepreneurs Only group and,

with others, has given a great deal of his time to advise and mentor budding business owners and fledgling companies.

As a further demonstration of Spencer’s commitment to CatZero, which has helped hundreds of young people, not in employment, education or training (NEETs), into work or training to equip them for the world of work. The company has funded a full-time Catalyst Manager for a year from April 2015. This new role will offer one-to-one support to young people participating in CatZero programmes and create personalised development plans to help each young person to set up their own business.

Supporting the arts in the City of Culture

Spencer Group is also a leading supporter of culture and the arts in Hull. Spencer was among the funders of the 2013 Humber Street Sesh grass-roots music festival and provided, and prepared at considerable cost, a site next to the company’s Humber Quays headquarters to host major performances during Freedom Festival, Hull’s premier cultural event, in 2013 and 2014.

Spencer was also one of the 20 “Business Angels” that each pledged £17,000 towards the Hull City of Culture programme to demonstrate to the City of Culture 2017 judges how committed the private sector was to supporting the city’s bid. The pledges were highlighted as a significant factor in the success of the bid, which is transforming Hull’s image and will bring tens of millions of pounds of new investment to the city.

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Developing young talent

Spencer Group has a deep commitment to developing young talent, for the business and the engineering industry.

In 2014 Spencer forged a partnership with Hull College to hire 12 apprentices, the most in the company’s history. The recruits all started on the same day, after Spencer and the college worked together to create bespoke training programmes to develop the next generation of local talent for the company.

Ryan Walters, Construction Apprentice, commented, “Spencer Group has provided me with an excellent opportunity to build a career for myself and I am really excited about my future here. This apprenticeship allows me to experience all aspects of the business, which I think is great.”

Spencer intends to employ up to a further 10 apprentices in 2015 and has held a series of workshops to inspire Hull College students to join the company’s next intake of young talent.The company is also a leading business sponsor of the Ron Dearing University Technical College (UTC) in Hull, which aims to enable local young people to thrive in the digital economy and provide employers with the advanced technical skills they require.

Spencer will make major, practical commitments to the UTC, including significant input into curriculum development; providing one-to-one mentors; setting business projects for students; providing high-quality work placements; and guaranteeing job interviews at the end of their course.

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A corporate good citizen

• Spencer Group is regarded as an exemplar of corporate social responsibility. It has had Investor in People status since 2010 and is well known for the excellent terms and conditions its employees enjoy.

• Charlie Spencer is a supporter of the Living Wage campaign which promotes the adoption by employers of basic rates of pay significantly higher than the Minimum Wage. In 2013 Spencer became the first engineering business in the UK, and the first private sector employer in East Yorkshire, to become an accredited Living Wage employer. Since then Spencer has been an active advocate of ethical pay, conducting a series of interviews with local, regional and national media to promote the Living Wage campaign.

• It is Spencer policy to keep as much of the work on its projects within Hull and the wider region, meaning the money Spencer spends delivering contracts comes back into the local community. Spencer has a network of more than 20 supply chain partners from Hull and the East Riding who work regularly on the company’s projects in the region, across the UK and abroad.

• Spencer has signed up to support the Armed Forces Corporate Covenant as an armed forces-friendly organisation. The commitments of the covenant include actively seeking to support the employment of ex-servicemen and women and their spouses or partners.

• Spencer is also a member of Business in the Community and supports its ethos of companies making the fullest possible contribution to the wider community.

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Helping community causes and charities

Spencer Group and its staff have made many donations of cash and in-kind support, totalling at least £150,000, to community causes and charities over the past five years, including:-

• Raising £10,000 for Breast Cancer Care in just one week in 2010. The company pledged to paint one of its platforms being used as part of a project to dehumidify the cables on the Humber Bridge pink, if it could raise £10,000 for Breast Cancer Care within seven days. Staff raised the cash by taking part in events, including sponsored walks, bike rides and a bungee jump.

• Further donations totalling around £10,000 have been made to Breast Cancer Care since then.

• Since 2011 around £5,000 has been raised for the charity Action For Children, one of the UK’s leading providers of family and children’s support services, through various staff fund-raising activities, including dress-down Fridays.

• £1,300 has been raised for the BBC’s Children In Need charity and £2,600 for the BBC’s Comic Relief cause, again through staff fund-raising.

• Spencer made a donation of £1,000 towards a scheme initiated by Hull East MP Karl Turner to enable access to computer equipment for those on low incomes, to enable them to access benefits and look for jobs online.

• A donation of £1,000 was made towards improvements to the foundation unit of John Harrison C of E Primary School in Barrow upon Humber, near the Spencer premises in the village.

• Spencer hosted the launch event for the first Hull Marathon in 2012 and sponsored the section of the race around Humber Quays. The company also entered its own team of runners, raising funds for Action for Children.

• Spencer has given considerable support to the Hull charity, Doorstep, which provides accommodation and support for homeless young people. The company provided Doorstep with thousands of pounds worth of furniture for their new offices in Hull. Spencer also worked with Doorstep to develop its brand and create marketing materials to help raise essential funds.

• In another initiative, Spencer donated laptop computers to Hull’s Minerva project, which helps young offenders to resettle into the community after serving prison sentences of less than 12 months. Minerva has produced outstanding results in driving down re-offending among young people released from custodial sentences.

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Spencer Group

One Humber Quays Wellington Street West Hull, HU1 2BN

01482 766340 [email protected]