Last week, Network Rail set out its five-year SME strategy. We break down what that means for SMEs, and the opportunities it will bring them to win more work in today’s briefing called Too Long, Didn’t Read – which essentially gives you the information you need quickly, without the need to sift through webpages and documents.
Overview
In the last financial year alone, approximately 3,000 SMEs benefitted from £1.29bn worth of business, with more than 70% of the 4,285 suppliers directly contracted by Network Rail being SMEs.
For Control Period 7, the new strategy highlights Network Rail’s commitment for the remainder of CP7. We have also included the Network Rail Supplier Guide for you to use – this is also available for download in our Intel section on the Rail Industry Connect website.
As a publicly funded organisation, Network Rail is bound by UK procurement legislation which states how it spends money to ensure it is done on a fair, open and transparent basis.
The thresholds below are the minimum values of procurements that trigger the application of the Utilities Contracts Regulations 2016:
£426,955 – For supply and service contracts and design contests
£5,336,937 – For works contracts
The Strategy
The strategy is based on the SME Action Plan in 2019, which focused on six key areas:
- engagement
- pre-procurement
- procurement
- contract management
- innovation
- supplier management
In CP7, Network Rail will work with partners closer than before, with principles focused on:
- Improving the SME Supply Chain Experience – focusing on integration and participation
- Empowering SME Growth – making it easier for SMEs to find opportunities
- Fostering Competitive Strength – focusing on driving innovation and competition on a level playing field
What that means is:
- More transparency – including more supply chain networking events – look out for those published on railindustryconnect.co.uk
- More usage of SMEs – with more reporting of SME use
- Procurement streamlining – including a review of the process and hosting procurement process workshops to support SMEs
- More resources for engagement – including a refreshed webpage for SMEs on the Network Rail website, and better communication.
The Supplier Guide
The Supplier Guide also contains what Network Rail will procure from SMEs, the lengths of time it takes to bid for contracts, the process, and some myth busting.
With more than 10 years of experience in writing rail bids and winning work, I am also available to provide support to SMEs to support their bid processes. Contact me to find out more.
Alongside the supplier guide, we’ve also included a link to the Procurement Pipeline, and the Contract Register, which provides details on all national contracts and frameworks, as well as specific contacts for each particular contract.
Key actions for SMEs
For those not working with Network Rail before, there are five key areas that you need to enact if you are to get on board:
- Register on the procurement portal, BravoNR
- Check if the goods, services or works you supply are on the Railway Industry Classification List (RICCL)
- If the goods, services or works you supply are on RICCL, register on the RISQS system to become an audited supplier
- Check BravoNR and the Network Rail procurement pipeline for opportunities to bid on projects. Contact information for buyers and additional information will be provided
- Familiarise yourself with Network Rail standards relevant to the procurement. You can register for access to these standards via this form. Access to the Standards is free of charge.
SME Champions for ongoing improvements
There are also SME champions included in a Network Rail national network. These champions will encourage ways in which Network Rail improves engagement and transparency to SMEs. Their details are included below:
- Eastern: Luke O’Brien
- North, West & Central: Lisa O’Toole
- Scotland: Mark Lawson
- Southern: Jon Roan
- Wales & Western: Marta Stanulewicz
- Route Services: Tom Alcock
For any other questions, Network Rail recommends emailing them directly: suppliercommunications@networkrail.co.uk