We aim to lead the industry in quality standards. We invest in training and process improvements for our teams and our sub-contractors to ensure consistently high standards and to prevent any issues occurring. We make quality inspections throughout the build process.
Right first time
Getting things right first time reduces costs and is important from an environmental perspective as fewer mistakes mean less waste, fewer deliveries to site and homes that perform to the energy-efficiency standards we expect. Our quality processes cover both the homes we build and the products and materials used to build them.
How are we rated?
The independent NHBC CQR score measures build quality at key build stages. In 2023, our average score was 4.89 out of six (2022: 4.81) compared to an industry benchmark group average of 4.67 (2021: 4.6). We met our target to achieve at least a 4.5 rating in each regional business. 95.7% of build stages scored 4 or above in all regional businesses, exceeding our target of 94%. All our regional businesses exceeded our minimum target of 90%.
We rank second nationally against housebuilders that have more than 100 build stages (which excludes self build and very small housebuilders).
Our target for 2024 is for at least 94% of build stages to score 4 or above in all regional businesses.
Our approach was recognised by the NHBC Pride in the Job scheme which celebrates the role of site managers in building high quality new homes. The results are based on independent site inspections. We received 51 Quality Awards (2022: 62) and 13 Seal of Excellence Awards (2022: 15).
Roles and responsibilities
Build quality on site is overseen by our UK Head of Production, who works closely with our Group Customer Director. We have recruited Quality Managers across the majority of our regional businesses. They work closely with Production Directors, Customer Directors, site teams, contractors and suppliers to review performance and address quality issues. Our Group Management Team (GMT) of executive leaders overviews progress on our quality standards and quality KPIs. This includes a monthly review of progress at sites with quality improvement plans.
Our technical, safety and procurement teams review the quality of products used to build our homes.
Quality and customer service are integrated into our incentive schemes.
Quality at every stage
We embed our quality assurance processes at every stage of the build. Our approach includes:
Set clear standards
Build Quality Checklist: Used by our site teams to assess quality during construction. All items must be completed to the required standard before a home can have its HQI. We are digitising the checklist to help us monitor performance across business units and the Group.
Consistent Quality Approach (CQA): Ensures Site Managers, subcontractors, production and customer service teams have a consistent understanding of the finishing standards we expect. We have a version for customers to make it clear what they can expect from us. Most of our business units have a ‘CQA plot’ on each site where colleagues and sub-contractors can see what our finishing standards look like in practice.
Scope of operations for subcontractors: Sets our expectations for build quality and finishing standards. It is included in our framework agreement with subcontractors. Contracts also include our Customer Service Policy and requirement to deal with customer issues within agreed timeframes.
Design
Standard house types: These are designed to enable a consistent and simplified build process, with a standardised range of products and consistent features. This makes it easier to train our teams and trade subcontractors and monitor quality. House type designs are reviewed by our Group safety team to ensure they are safe to build and live in.
Engage and train
Training our teams: Training includes our Production Academy and training on our finishing standards for our Customer Relationship Managers. During 2023 we trained production teams on photographic records. Trade subcontractors attend training sessions run by our quality, site and safety teams, and by the NHBC.
Product training: At the start of each new site or build phase, product suppliers train our sub-contractors, site managers and quality managers on the correct installation of their products to ensure a quality build.
Inspect and audit
Photographic records: We submit photographic records at key stages of the build process. These are first reviewed internally by our production and quality managers and then by an external SAP assessor to confirm that homes are built as designed and to regulatory standards. Customers also receive a copy.
Product installation: Product suppliers carry out an on-site inspection to ensure products have been installed correctly and safely.
Home Quality Inspection (HQI): Every home must pass our HQI, carried out by our customer relations managers, before the customer can move in.
Pre-handover inspection by NHBC (CML check): Every home must pass this inspection before the mortgage lender will release funds
External quality audits: The NHBC (which provides new home warranties) carries out independent Construction Quality Reviews for each site twice a year, as well as inspections at key build stages. These check the quality of our build against the NHBC standards.
Monitor and improve
Improvement plans: We set a quality improvement plan for any sites not fully meeting our quality targets and work with commercial, technical and production teams to implement the actions. To drive continual improvement we regularly raise the minimum threshold at which an improvement plan is required. Progress on each plan is reviewed monthly by our GMT.
Data review: We review data from our inspections, audits and digital BQC to identify and address potential issues and trends.
Product quality and safety
When we specify a new product for use in our homes it must first go through a rigorous review process involving our safety, technical, sales, procurement and production teams.
We assess whether it meets our technical performance requirements (such as performance, durability and longevity, warranty, efficiency and ease of installation), whether it is safe to install, maintain and use, and whether it can be procured in sufficient quantities. Our Functional Interface Group, chaired by our R&D Manager, oversees research and trials of new products.
The products we use in our homes are manufactured and tested in line with relevant British and European Standards. In addition, most products have also undergone a third party independent assessment in line with the NHBC Standards – Material Requirements.
Contractors working on our sites, principal contractors and design contractors must obtain third party H&S accreditation to demonstrate they have an adequate HSE management system, training process and risk assessment.
Investing in the skills of our production teams
Our Academy of Production Excellence helps to upskill our workforce and keep improving our build quality. Participants, including our Assistant Site Managers, Site Managers and Production Managers, complete an NVQ at the relevant level, from construction site supervision to construction senior management. They can also complete technical courses developed by the NHBC and adapted to reflect our business on topics such as the NHBC warranty, effective snagging, defects prevention, site environmental management, leadership skills, commercial awareness and project management. We’ve also integrated development programmes to support progress to more senior roles and enhance our succession pipeline.
The Academy supports improved employee engagement and retention by providing clear career and development pathways for production employees. Since its introduction we have significantly improved our quality scores as determined by independent NHBC inspections.
There were 117 employees enrolled on the Academy of Production Excellence in 2023.