The UK rail industry needs to develop “a core of supply chain managers” to reduce inefficiencies in its operation, according to a government-backed report .
The rail value for money study, chaired by Sir Roy McNulty, and out yesterday recommends a programme of training, secondments and professional development at all levels of the industry to improve skills. “This should include a basic introduction to supply chain management at all levels to improve industry awareness, and the long-term development of a core of supply chain managers to become the procurement leaders of the future,” the report said.
The report puts forward a wide range of recommendations focused on creating an industry environment which encourages cost reduction, changes which deliver new efficiencies, and mechanisms to drive implementation.
The report also made recommendations designed to make it easier for companies to become approved suppliers, through the introduction of a supplier assurance framework.
It is estimated that implementing these recommendations could deliver savings between £700 million and £1 billion annually by 2019.