Welcome MARCH 2013 ISSUE 190 £3.95 THE BUSINESS MAGAZINE FOR RAIL
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A front door to success
LOROL on transforming its stations
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Birmingham New Street Institute of Directors Customer movement Fourth Railway Package Onboard retailing Surveying technology
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Thanks to Rail Images for photographic assistance in this issue.
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Working smartly in station regeneration
by John Judge, founder and managing director of commercial and management services supplier, Judge 3D
N
etwork Rail is currently entering the final phase
of the National Stations Improvement Programme, which is due to be completed
in 2014. This has involved around £150 million worth of investment across a range of train operating station areas. In CP5 we can look forward to a projected investment of £3.25 billion to further improve Britain’s stations. So, how will the supply chain respond to this investment going forward? I believe Network Rail is in an excellent
position to benefit from the lacklustre economy. There is a tremendous opportunity for it to expect to see better value in the supply chain as it tenders these works. There is greater competition in the market
than there ever has been, and this is due to major contracting organisations and the supply chain having lost out on income in other construction sectors. Those in the station supply chain need to
avoid complacency. There are competitors who concentrated their efforts elsewhere and who are now looking to become active in the rail sector by pricing aggressively. The supply chain wants this work, is hungry
for this work, and it should respond positively and competitively as a result. This is superb news for Network Rail, but as a client, NR needs to be careful it does not contract at or below the market value, as this may lead to delays and disruption, and risks claims arising as a consequence. Even though the south east has often been
the centre for much of the recent historical station investment, CP5 sees quite a nice geographic spread of investment, and one would hope that the supply chains in regional areas will also benefit from the diversity in investment this time around.
I was personally involved in the Station
Regeneration Programme of the 1990s, which saw a £1 billion investment in improving the state of station environments throughout the UK. The reality is that customer expectations evolve, and with the pace of technology as it is, these expectations are changing rapidly. When we were delivering station regeneration in the 1990s, wi-fi was not even a term that was understood or recognised. Today people demand wi-fi as part of the infrastructure of their stations, or at least they expect it to be available.
I believe the market is also well-positioned
to respond to Network Rail’s continuing investment, which the construction sector badly needs. Yes, we have seen green shoots and signs that the tide is turning, but equally so, we’ve seen a threat of a potential triple dip recession. Therefore, the committed investment on this scale is to be much admired and embraced. For that reason, it’s essential the entire
supply chain responds to this opportunity by working smarter, quicker and more safely on the railway. It is also imperative that the planning and delivering of these projects is done well to avoid delays or increased costs, whether these be borne by the client or the supply chain, as fragile companies may not be able to sustain losses off the back of recent trading conditions. The continued investment from Network
Rail is to be welcomed and applauded. Likewise, the focus on the quality of what is being produced today has to be commended. Designs are refreshing, and, with a well-positioned supply chain that is eager to contribute to the continued improvements to the UK rail network, I suggest CP5 is a time to be positive and to welcome the opportunities and challenges that lie ahead.
Speciality Greases- making a point of being on time.
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your global specialist March 2013 Page 3
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