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Cost Saving

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Project Project

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Cost Saving and Strategic Improvement Programme

Client: London Underground

Project Overview
Following a directive from the London Underground Board of Directors, the Station Upgrade Programme was required to save £131m from the budget over the 8 year programme of works. London Underground commissioned CPC to provide a composite team to work with the Director of Projects to identify and develop tangible opportunities to reduce costs with the Station Upgrade Programme.


CPC’s Role
CPC were tasked with the following:

  • To identify £131m capital efficiencies over the eight year budget within the stations upgrade programme
  • To deliver the cost savings required but also deliver a programme of strategic improvements to ensure that the cost savings are sustainable into future years
  • To conduct detailed project reviews supported by desktop research and trend analysis covering the 255 projects within the portfolio
  • To involve top management and LU staff to ensure the improvements are embedded into the delivery organisation

Client Benefits
LU received the following benefits:
  • Identification of £175m of efficiencies within the programme, exceeding the target by over £40m.
  • £64m quick wins realisable in years 1 and 2 without making whole scale changes to project delivery.
  • Improvements in procurement processes resulting in efficiency savings of £24.5m.
  • Removal of unnecessary risk amounts for redistribution amongst other projects, releasing previously “locked” finances.
  • Recommendations for implementation of appropriate portfolio risk management – reducing individual project interventions in the future.
  • A detailed implementation plan to deliver sustainable strategic improvements.
  • Cultural transformational change across the stations upgrade programme.
  • Closer co-ordination between departments leading to improved Project and Programme Management.

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