Railtrack urged to share experiences

5 June 2002
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06 June 2002 | David Arminas

Railtrack is being urged by senior industry figures to share its experiences of supply chain partnering, despite its apparent failures with the approach.

"The relationship with its contractors is pretty bad," said Lord Berkeley, chairman of industry lobbyists the Rail Freight Group.

Berkeley, who is also on the board of Partnership Sourcing Limited (PSL), a forum set up by the Department of Trade and Industry and the Confederation of British Industry, was speaking at the launch of the fifth annual edition of PSL's Partnering for Profit, which details organisations' experiences with partnering.

Les Pyle, director-general of PSL, said Railtrack, which spends £3.5 billion a year on goods and services, had much to offer.

"I would like Railtrack to join PSL, as our members' combined knowledge can be a very effective catalyst to help companies build better relationships."

Les Mosco, Railtrack's supply chain director who was on the PSL board when he was head of purchasing at NatWest, said that he didn't rule out future PSL membership.

He told SM: "Railtrack is probably more advanced in its partnering experience than many companies, but we have had good and bad experiences.

"In some we have lost control, in effect becoming an equal voting member, which means we have lost the client's ability to hold the casting vote.

"In others, a shared reward structure has helped complex construction projects to come in on time and on cost."

SMjun2002

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