Hitachi JV with Bombardier
Transport for London (TfL) invited five prequalified bidders to submit tenders to supply 250 trainsets for the New Tube for London (NTfL) programme to modernise rolling stock, infrastructure and signalling on London Underground’s (LUL’s) Piccadilly, Waterloo & City, Bakerloo and Central lines. Bids were due from Alstom, Siemens, Hitachi, CAF and Bombardier in September 2016, with the contract expected to be awarded in autumn 2017 and the trains to enter service from ‘the early 2020s’. At an estimated cost of between £1bn and £2·5bn, the trains would be ‘designed and built’ to be future-proofed, to serve London for around 50 years, including the capability for fully-automatic operation. They would feature improved accessibility and safety features including walk-through carriages, wider doors, and improved cooling systems. Hitachi Rail Europe (HRE) prequalified to respond to the tenders for the rolling stock. IPEX Consulting (IPEX) was engaged by the HRE commercial team to ‘run the documentation’ (Bid Quality and Production) for the Bid Manager and to harness the knowledge and experience within the extensive Hitachi business and address the detailed requirements of the TfL Invitation to Tender (ITT).
HRE is growing fast and faces exciting challenges with existing projects to resource alongside the pursuit of new business, as well as channelling the might of the technical and production expertise in Japan through the UK-based technical, commercial and project delivery organisation. With multiple opportunities for new rolling stock to pursue, HRE recognises the importance of developing consistent and project-specific bid material for the UK and mainland Europe without losing any of the strengths within Hitachi’s deep heritage and track record in train building and delivery. The preparation and presentation of bid responses that respond as competitively as possible to the letter and the intent of the technical, operational and commercial requirements of the clients requires sensitivity to the cultural and organisational stresses within a transitioning organisation as well as considerable rolling stock bidding experience. HRE needed highly experienced and professional bidding expertise to help resource the team to manage, guide and deliver bid management, and to flex and adapt as the needs of the in-house organisation develops. In addition, HRE forged a late joint venture with Bombardier Transportation to combine the technical solution and through-life support credentials of the two companies.
IPEX deployed a small team to analyse and interpret the complex ITT documentation and the learning and clarification afforded by the early engagement with TfL and to reach into the HRE and wider bidding team to pull forward the most appropriate thinking and delivery capabilities into HRE’s response and help to ensure compliance with the ITT requirements and the wider “undefined client’s requirements”. The IPEX team facilitated and coordinated cross-cultural development of high quality responses to achieve target scores, and authoring and amending technical responses and delivery plans where required, thus ensuring a consistency of response. IPEX also deployed extensive industry and bidding experience to bring creative challenge and enhance the bid submissions through the independent internal review processes. Professional Project Management expertise was used to establish successful delivery structures for components of the bid development, including evidence and verification.
HRE’s successful introduction and ongoing delivery of the CL395, along with current builds of the Intercity Express Programme (IEP), its variants and the AT200, supported by its extensive pedigree of Rolling Stock and Network Systems from its Italian-based operations, ensure that HRE is a formidable, highly respected and competent train builder and maintainer for the UK market. However, TfL is a new market for HRE, and IPEX has used its own extensive global rolling stock delivery, bidding and LUL domain knowledge experience, to help marshal HRE’s extensive experience to align with LUL’s expectations and the operational approaches of HRE’s wider bidding partners, particularly JV partner Bombardier. IPEX’s embedded industrial and change management knowledge has enabled considered and valued understanding of HRE’s transitional nature and its resultant specific needs to deliver high quality bids and products through this period of change, through multi-site agencies within the company. The lessons learned from the NTfL bid process have the potential to strengthen and increase the success of HRE’s UK and Global bid management function.