CONFIDENTIAL
055377
MDHIAN 7023
ATTACHED TO THIS, WHEREAS GEC HAD NEVER BROUGHT ANYONE TO ANY SENIOR SITE MEETING IN ANY COMPARABLE POSITION. SECONDLY, HE HAD CONCLUDED THAT GEC WERE NOT PUTTING SUFFICIENT MANAGEMENT RESOURCES INTO SURVEILLANCE OF THEIR SUBCONTRACTORS. GEC'S LATEST REPORT ON THIS SHOWED CONSIDERABLE IMPROVEMENT BUT THEY STILL MIGHT NEED TO ALLOCATE MORE MANAGEMENT RESOURCES TO BE PUT IN THE SUBCONTRACTORS PLANTS TO KEEP UP THE CONSTANT EVALUATION OF QUALITY AND DELIVERY. THIRDLY, GEC HAD FAILED TO KEEP UP WITH DESIGN SCHEDULES AND THE PROJECT WAS FREQUENTLY DELAYED BY THEIR FAILURE TO DELIVER DRAWINGS
ON TIME.
6. OF ALL THE EQUIPMENT PROBLEMS, THOSE AFFECTING THE DAVY MORRIS CRANES WERE GIVEN THE MOST PROMINENCE AND APPEAR THE MOST SERIOUS. THE ORDER IS WORTH MANY MILLIONS OF POUNDS TO DAVY MORRIS. MODIFICATIONS ARE BEING MADE ON THE GROUND TO THEIR CRANE NOT YET ASSEMBLED. THE SAME MODIFICATIONS WILL HAVE TO BE MADE TO THE NO 1
CRANE ALREADY IN PLACE.
7. ON THE DAY FOLLOWING THE DAYA BAY VISIT, 30 NOVEMBER, I MET WITH SIR R DAVIDSON IN MY OFFICE TO DISCUSS THE SITUATION WITH MRS BARNSLEY OF THE CTU ALSO PRESENT. HE SAID THAT ON HIS RETURN HE WOULD DO EVERYTHING POSSIBLE TO IMPROVE PERFORMANCE WHERE THERE WERE GENUINE PROBLEMS. HE SAID IT WOULD BE USEFUL IF I COULD CONTINUE TO KEEP VERY CLOSELY IN TOUCH WITH STONES AND ASKED THAT I SHOULD VISIT THE SITE AT REGULAR INTERVALS AS OFTEN AS WAS PRACTICAL AND SAID HE WOULD ENSURE THAT I WAS KEPT FULLY BRIEFED ON THE EFFORTS BEING MADE BY GEC ALSTHOM. I SAID THAT I WOULD IN PARTICULAR ALSO TRY TO GET ALONGSIDE NUTWELL THE PROJECT MANAGER FROM BECHTEL WHO I HAVE ALREADY ARRANGED TO SEE ON HIS NEXT VISIT TO HONG KONG. I TOLD SIR R DAVIDSON THAT I WOULD ALSO RECOMMEND
THAT SOMEONE VERY SENIOR FROM DAVY MORRIS COME OUT QUICKLY.
8. I SUGGEST AN EARLY VISIT FROM A SENIOR DAVY MORRIS REPRESENTATIVE. NOT ONLY WOULD THIS ENSURE THAT THE MODIFICATIONS NOW BEING MADE ON THE SITE TO THEIR CRANES WERE FULLY IN ACCORDANCE WITH THEIR OWN PROPOSED SOLUTIONS, BUT, JUST AS IMPORTANTLY, IT WOULD DEMONSTRATE THE SERIOUS WISH TO RESOLVE THE PROBLEMS. IT IS VERY CLEAR THAT AT PRESENT NO ONE OF IMPORTANCE ON THE SITE HAS ANY CONFIDENCE IN THEIR CRANES. I ASSUME THAT DAVY MORRIS WILL IN ANY EVENT SEND PEOPLE OUT FOR THE FURTHER TESTING TO TAKE PLACE AT THE END OF THE MONTH, BUT AN EARLIER VISIT AND AT A SENIOR LEVEL IN MY VIEW WOULD ALSO BE VERY VALUABLE.
9. IT WAS CHASTENING TO SEE ONE OF OUR LARGEST COMPANIES HANDLING
3
PAGE
CONFIDENTIAL
.: