Alliance model has become a key part of Finnish construction

The Finnish Transport Infrastructure Agency (FTIA) began exploring Project Alliance in the early 2010s, when major public projects were struggling with fragmented responsibilities and dispute-driven delivery dynamics.

The FTIA engaged PCI to help explore the strategic role alliancing could play in shifting industry performance, and to educate all sides of the industry — owners, contractors and consultants — on the principles and practices of alliancing.

This was more than a single project engagement — it was the introduction of an entirely new delivery model into a country with no prior alliancing experience, requiring Australian alliance principles to be carefully adapted to Finnish procurement law and EU regulatory requirements. The work culminated in PCI assisting the FTA to establish Finland's first ever alliance — the ~€110m L-K Rail Upgrade Project Alliance — which went on to be named Project of the Year in December 2012.

Building on that success, PCI supported the FTA to establish a second alliance shortly after — the €200m Tampere Tunnel Alliance — which later won the IPMA Global Project Excellence Award in 2018.  The model has continued to gain traction across Finland and by 2026, over 100 projects across multiple construction sectors has been delivered using this model.

PCI's role:

• Helped the FTA explore the strategic case for alliancing as a lever to lift industry-wide performance

• Educated owners, contractors and consultants across the Finnish infrastructure industry on the principles and practices of alliancing

• Adapted Australian alliance principles to fit the Finnish procurement context and EU regulatory framework

• Assisted the FTA in establishing Finland's first ever alliance, the L-K Rail Upgrade Project Alliance

• Supported the establishment of a second alliance, the Tampere Tunnel Alliance, building momentum for the model in the Finnish market

• Consulted and coached the Owner's team through the establishment of pure alliance arrangements, and authored the structure and content of documents used throughout the procurement phase

Outcomes:

• The L-K Rail Upgrade Project Alliance was named Project of the Year in December 2012

• The Tampere Tunnel Alliance went on to win the IPMA Global Project Excellence Award in 2018

• Alliancing has been widely adopted across Finland, with close to 100 alliances established by 2026 across horizontal and vertical infrastructure, hospitals, terminals and multi-functional schools, and expanding into O&M programs and services and systems applications

In the client's words:

"In 2010 we engaged Jim Ross from PCI to help build understanding of Alliancing in Finland and then to assist the Finnish Transport Infrastructure Agency to establish their first alliance... the second pilot project, Tampere Tunnel Project, won IPMA Global Project Excellence Award 2018. Since that time, the pure alliance model has been used in close to 100 projects — large infrastructure projects, hospitals, terminals, multi-functional schools — in Finland. PCI consulted and coached the owner's team for establishing pure alliance and also gave the structure and content to all documents used during the procurement phase. PCI provided us with excellent guidance and understanding, which have had tremendous impact on the Finnish construction industry."

- Pekka Petäjäniemi Division Director, Finnish Transport Infrastructure Agency

Lauri Merikallio Chairman of the Board, Vision Finland