Industry consultation of the proposed procurement strategy planned by Network Rail for its renewals and minor enhancements work in the Eastern region in Control Period 7 (CP7) is set to take place later this month.
Following on from sector engagement last autumn, the rail operator is to set out details of how it is planning to procure work in the region for the five year period from 2024. The call for industry input has been called for after Network Rail said that it plans to procure the work differently in CP7 compared to the current CP6 contracts with a focus on adopting a multi-discipline rail system approach. Network Rail said that the aim is to create a flexible system “with a focus on productivity, great efficiency, and passenger and freight users’ outcomes”.
The online event is set to be hosted on Teams on 26 January and will set out Network Rail objectives for CP7 for the four routes in the region – Anglia, East Coast, East Midlands and North & East routes. The work included in the renewals and minor enhancements procurement will include structures, earthworks and buildings, electrification and plant and signalling and telecoms.
Network Rail has said that it is aiming to “establish a world class supply chain that builds long-term mutually beneficial relationships and encourages joint strategic development”. The new procurement strategy has five focus areas (see box) that are designed to create highly collaborative relationships, integrated ways of working that incentivise and flexibility in contracting and work allocation.
The organisation has said that this new approach is essential for it to provide a safe, reliable, efficient and sustainable railway but it wants supply chain involvement in the change.
Contract notices relating to renewals and minor enhancements under the new procurement strategy are expected to be published on 31 March.
Five focus areas for CP7 procurement
- Rail system approach: This means working across traditional disciplines and supply chain organisations in a collaborative way to create efficiencies, solutions and harness innovation. Outperformance is incentivised.
- Capability: enable investment in people, technology and equipment
- Productivity: standardise and productionise what we procure (packaged work and reduce variances), drive down cost of indecision and drive out layers of inefficiency
- Sustainability: drive the implementation of Network Rail’s sustainability strategy, champion social value, and consider the impact on suppliers, local economy, and environment
- Behaviours: early and closer engagement, create trust and transparent approach, focus on relationships
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