RAIL STRATEGY Network Rail’s David We look at some of the Waboso talks about key challenges facing the UK’s Digital firms as they contemplate Railway initiative digital transformation pages 12-13 pages 8-9 SPECIAL SUPPLEMENT 2018

Produced for the industry by the Association for Consultancy and Engineering Towards digital transformation MESSAGE FRO M THE EDITO R

Welcome to this Infrastructure Intelligence special Digital Transformation supplement which is looking at the challenges facing consultancy and engineering firms as they grapple with the business and organisational implications of ‘going digital’. In this special supplement, we speak to senior executives from the leading technology providers whose are assisting professional services firms on the transition to a more productive digital environment. They offer their insights and advice on how firms working in infrastructure should best respond to today’s digital challenges. We also focus on some key sectors, including transport, and look at how increasing digitalisation is creating major opportunities for all companies. We also examine the crucial role of the chief information officer (CIO) and highlight how it is evolving more and more to become a key leadership position in consultancy and engineering firms. This evolution, from being regarded as the old IT department ‘guardians of the systems’ to being a strategic business leader helping their firms thrive in the new marketplace, will be a key topic at the European CIO Conference series, which the Association for Consultancy and Engineering is organising. What’s clear from all the interviews and articles in this supplement is that Produced for the industry by the Association professional services firms operating in the infrastructure sector will need to for Consultancy and Engineering work smarter and more efficiently in the future to keep up with the pace of Infrastructure Intelligence change. Embracing digital is a business necessity that will transform the way firms 12 Caxton St, London SW1H 0QL work for ever. T: 020 7222 6557 www.infrastructure-intelligence.com Andy Walker , Editor: Andy Walker 07791 997602 [email protected] editor, Infrastructure Intelligenc e Reporter: Ryan Tute 07843 055210 [email protected] Commercial Director: Brian Nolk 020 7227 1882 [email protected] Contents Design and production: Andy Smith & Denise Bell 07968 588729 [email protected] Interview Transportation Leadership 3 Deltek’s Neil Davidson 5 Steve Cockerell 6 It’s time for CIOs talks about how firms from Bentley to reconsider should respond to the Systems looks at their role says challenge of digital the digitalisation Ramboll’s transformation of transport Torben Kjaer

Client focus 7 We talk to Cathal Produced by Victoria Street Capital on behalf of Corcoran, CIO of the the Association for Consultancy and Engineering, world’s busiest single 12 Caxton Street, London S W1H 0QL. runway airport The views expressed in Infrastructure Intelligence are not necessarily those of the Association for Strategy Consultancy and Engineering. 8 We look at some of the key Printer: CPG, 9-10 Orchard Business Centre, challenges facing firms as Sanderson Way, Tonbridge, Kent TN9 1QG. they contemplate digital T 01732 366666, [email protected] transformation 2018 subscription rates: £80 a year.

GET MORE FROM Project focus INFRASTRUCTURE-INTELLIGENCE.COM 10 Mott MacDonald’s Infrastructure Intelligence is published Mert Yesugey on how six times a year, but you can find more digital is improving content online. Our website infrastructure- efficiencies and intelligence.com is updated daily, with collaborative working two free e-newsletters a week. on the Thames Sign up at the website: scheme www.infrastructure-intelligence.com Follow us on twitter @infra_intel UK infrastructure Join the Infrastructure Intelligence group on LinkedIn 14 Why transforming Rail infrastructure means thinking digitally 12 Network Rail’s David Waboso talks about the UK’s Digital Railway initiative

2 SUPPLEMENT Interview Change management is key to digital transformation

Neil Davidson is vice president of enterprise at Deltek. He spoke to Infrastructure Intelligence about how firms should respond to the challenge of digital transformation.

What are the key digital issues that What does best practice look like? transformation to reflect that CIOs are now infrastructure professionals need to be Firms that have a real, well thought out much closer to the business and business considering? digital transformation strategy sponsored strategy. This reinforces the need for Digital transformation is at the forefront of from the top, by leaders who are change, shows leadership, and it’s essential every CEO’s agenda. Our recent Insight to communicating this clearly across the to drive that change throughout the Action report on the future of professional business is absolutely imperative for change business. Because digital is an initiative that services revealed that 81% of CEOs were and delivering it successfully. Firms that are organisations will start and continually unprepared for the risk of disruptive really investing in being best in class will evolve. So, the role is a crucial one. technology, so there is clearly an issue there also have a clear focus on project in terms of firms’ readiness to adopt digital management and efficiency of delivery and How are you working with firms technology. costs. A strong change management focus currently? There are three areas to this. Firstly, and looking at every angle in which to We are uniquely focussed on the there’s a basic understanding that digital achieve efficiency will be key. professional services market and transformation is about changing business consultancy and engineering firms in strategy, it is not simply an IT What are the common challenges particular. We partner with our clients to transformation. This needs to be at the facing firms? deeply understand their strategy, and help heart of everything. Second, firms need to There is resistance to change in them to deliver the digital backbone of start with what the client’s needs are. Our organisations so change management is their business. We make sure they survey said 49% of firms were unprepared becoming the number one skill that understand the cost of delivering to their to meet customer needs, so there must be a businesses need to be good at in a digital clients, that they are ruthlessly efficient in better dialogue with customers to find out world. People read about jobs being lost the projects they are running and can what their changing needs are for digital because of digital, but new jobs will also be deliver them with the right risk profile and services. Because the opportunity is there to created and leadership teams need to bring a high chance of success. Using the respond rapidly and companies need to people with them on the journey, to show specialist capability that Deltek brings, we embrace this. Finally, innovation is that change is happening but it’s a wonderful also facilitate innovations around extremely important. Having the right opportunity to grab that digital future. augmented intelligence and staff mobility innovation practices in the business to to ensure firms understand and accurately bring the right services to market at the What is the role of the CIO in digital forecast the workforce they need in three to right time is crucial. transformation four months’ time. The role is now often called head of digital What are clients demanding from the Where is the sector headed in the next organisations they work with? “Infrastructure five years? Clients are always looking for the best value There will be huge change, but we don’t yet and the best service and digital is opening providers need to know the technology that is going to shape up new and enormous possibilities. Clients establish a business that. It’s very much about agility. are demanding different ways of looking at Infrastructure providers need to establish a the service they receive and there is a trend model that can be business model that can be agile, that can away from billing for hours towards a more agile, that can change and respond to a very, very dynamic fixed fee, outcome-based model. Firms are environment. So, building a company that’s looking at recurring revenue models and change and respond built for change and built to be agile is clients are looking for certainty of outcome, to a very dynamic probably the best insurance policy against tight control of costs and making sure the the incredible digital disruption that we are service they receive is ruthlessly efficient on environment.” seeing and will enable firms to seize value and delivery. Neil Davidson, Deltek immense opportunities.

SUPPLEMENT 3

Digital transport

The Klang Valley Mass Rapid Transit One of the new system, Malaysia. tunnels. Going digital is not simply about leveraging the latest technology to meet current and future business and economic challenges, it’s about enabling different outcomes that will likely include increased capacity, reliability and performance, while reducing risk for stakeholders, says Steve Cockerell . Going digital in transportation

oday, a significant part of the digital by Microsoft Azure, providing a single projects. Team members leverage the same journey for many organisations location for storing, sharing and managing digital workflows outlined in PAS 1192 and T involved in creating and managing information for approximately one million Bentley’s CDE, moving beyond 3D our roads and railways is in embedding assets. The project remains on-time, on- modelling and 2D deliverables to enable building information modelling (BIM) budget and on-track to be the first major handover of digital as-built information to standards and procedures, via a common infrastructure project in the UK to fully operations. data environment, within their businesses. realise the value of BIM across the whole It is now widely accepted that when asset lifecycle. Better decisions and improved embraced by all, BIM methodologies can outcomes transform traditional project planning and Mass rapid transit in Malaysia Crossrail and MRTC are just two of many delivery – where data is unstructured and Malaysia’s Mass Rapid Transit Corporation excellent examples from around the world team members work independently – into a (MRTC) will be one of the first organisations that show how visionary transportation truly collaborative digital workflow and in Asia to leverage digital solutions owners and supply chains are embracing environment. However, while real-time throughout the asset lifecycle on its Klang digital technology today, to deliver sharing of structured information reduces Valley Mass Rapid Transit (KVMRT) system’s different and improved outcomes for the potential for time and cost over-runs on Sungai Buloh–Serdang–Putrajaya (SSP) line. tomorrow. projects, its true potential is far greater. The second of three planned lines, the SSP Why are they doing this? Because with Integrating technology within BIM’s Line, includes a total of 37 stations and a technology and innovation moving at digital workflows enables engineers to 13.5-kilometre underground section speeds never before witnessed, continuing simplify the delivery of complex projects. serving a population of around two million to work in the same way is no longer However, those same digital assets created people along its 52.2-kilometre corridor. enough. The organisations involved need during planning and design can enable Embracing digital technology is central solutions that enable them to deliver more informed decisions, boost reliability to MRTC’s vision of providing relevant, increased capacity, availability and and optimise performance of physical trusted information wherever and performance of existing and future assets throughout their operational life. whenever it is needed. As the major infrastructure assets. infrastructure project in Malaysia, it Every one of us is touched by Transforming travel across London requires the UK government’s BIM maturity transportation and technology. Every one Commonly recognised as a global exemplar, Level 2 be met on the project, more than of us is on a “digital journey”. It is how we construction of London’s Elizabeth Line by two years ahead of the Malaysian plot and navigate our route that will Crossrail Limited is now 80% complete. The Construction Industry Development separate us from our peers or competition. organisation continues to focus efforts on Board’s mandate for its use on government It will not be easy, but those organisations leveraging the advantages of digital with a digital strategy and who act technology through digital BIM workflows, decisively will flourish. Those who don’t including those outlined in the PAS 1192 “Organisations will struggle, fall farther behind and in suite of standards and Bentley’s connected with a digital extreme cases, risk extinction. data environment (CDE). It will likely require a profound shift of The visionary team at Crossrail realise strategy and who business and organisational activities, that while BIM provides it with a act decisively will processes, competencies and models for streamlined approach to the creation and those involved. Without it, however, we management of information during project flourish. Those will never fully realise the opportunities delivery, it can also ensure the efficient and who don’t will going digital in transportation can, and effective handover of valuable information undoubtedly will, deliver in the future. to the railway’s future owners. struggle. In 2016, Crossrail moved its CDE to a Steve Cockerell, Steve Cockerell is director industry marketing hybrid cloud-computing platform powered Bentley Systems road and rail at Bentley Systems.

SUPPLEMENT 5 The role of the CIO Time is right for all CIOs to reconsider their role Ramboll CIO Torben Kjaer speaks to Infrastructure Intelligence about how the individual tasked with leading a digital transformation programme needs to be a catalyst for change and provide clear direction moving forward. never took off because we have not built a “CIOs have a unique machine room and resourced it properly. So, a framework to get these ideas in place opportunity to would result in the company being much redefine their role more efficient and productive to make sure and make not only innovative ideas are produced but the outcomes too,” he says. themselves and the Kjaer also believes there has never been company more a better time for change and for CIOs to lead their companies towards a more successful. But they digital future. “CIOs have a unique need a long-term opportunity to redefine their role and make themselves and the company more approach so teams successful,” he says. “But to do so they need can see how the to articulate their wishes within a long- term approach so teams can see how the journey develops journey develops over the next five to ten over the next five to years. They need to build on action plans that will facilitate change and I’m a big ten years.” believer that these should be high level have had the pleasure to lead a innovation,” he says. “Our position is fairly plans,” says Kjaer. transformation programme from unique, we are amongst the few that have But Ramboll’s CIO also believes that a “Ilocal to global IT during the past four led changes across many business units in commitment to new technology will not and a half years and at a given point in time comparison to others within senior only result in new jobs and services but you could say we got to a point where we management teams. I think we come with a help bring through a new wave of younger thought that we made good progress and it very good cook book and we should make employees attracted to fresh opportunities. was finished,” says Kjaer. “I personally have sure that with the trust and confidence “If we embrace transformation from the seen a complete shift and focus in the role, hopefully gained that we lead with a clear top then new technologies embedded into I don’t think this needs to be done in the direction,” says Kjaer. companies will play an important role in same way everywhere but I think we are at a But despite all the progress being made branding us to new employees which will crossroads where the chief information in the digital agenda, the Ramboll CIO ensure we continue to get the skills to officer (CIO) must consider the way they play believes transformation will fail to happen make us the most outstanding firms in the the role and interact, so they take advantage if not properly resourced and backed. “I world,” says Kjaer. of the digital agenda and facilitate the think we have found the missing “Operations have to be smooth to be business side of technology,” he says. framework for innovation,” Kjaer says. successful and if they are not then this The role of the CIO is ever-changing “What we might have historically done is needs to be fixed before you start any according to Kjaer and he believes those in celebrate good, innovative ideas in year digital transformation journey. It’s the position have opportunities to deliver one, year two, year three, but sometimes imperative that a CIO has the trust and change where others can’t. “We have a we have looked back and thought what confidence of the business to be in the huge opportunity to become nurturers of happened to those ideas and maybe they position to lead,” he says.

6 SUPPLEMENT Client focus How digital is making Gatwick fit for the future network means they can now do that.” A pioneering trial is set to start this summer whereby the airport will use autonomous vehicles to create the “Uber of the airfield” and as a result reduce the need for such large vehicle fleets, emissions and saving on costs. “Gatwick’s 300 airside vehicles are stationary 90% of the time – as staff attend to aircraft and passengers – however our trial of electric-powered autonomous vehicles will soon allow workers to use them on our airfield,” Corcoran explains. “We think this trial is the first of its kind for any airport in the world and – if successful and scaled up – it could lead to airfield transport needs being met from a much smaller pool of autonomous vehicles,” he says. The process of change, while ensuring the airport remained 100% operational in just a period of 18 months, was always going to prove tricky but Corcoran has lauded collaboration between teams working on transformation. “Transitioning from old to new networks while keeping the world’s most efficient runway Cathal Corcoran , Gatwick’s chief information officer, operating was a delicate balancing act,” discusses how the airport has undergone a major he says. “HPE, the company that provided our digital transformation in a bid to improve the new network, had a strong team embedded experience for its 45 million annual passengers. on site throughout the transition and they worked seamlessly with Gatwick’s IT team s the busiest single-runway airport was becoming dated and taking up too to avoid any impact to the day-to-day in the world, Gatwick faces much staff time resolving issues. “As one running of the airport. The importance of Achallenges on a daily basis of Europe’s busiest airports and a critical how well the HPE and Gatwick teams operating at or near capacity most of the national infrastructure site, it was also worked together cannot be stressed time. With ambitions to expand, it’s vital vital that we installed a resilient, fault enough,” says Corcoran. those behind the airport’s digital tolerant network that could better cope But while the last few years have seen programme continue to embrace new with or adapt to disruption,” the CIO said. various technologies embedded into the opportunities to ensure the airport We have a talented, international IT team airport’s daily operations, the airport is remains at the forefront of aviation. at Gatwick and I want them to be not resting on its laurels and those Gatwick’s CIO Cathal Corcoran is the delivering the latest exciting innovations behind the digital transformation man responsible for leading the digital instead of sorting out issues. Our new programme continue to look at new agenda and is just over two years into the opportunities available. “We are role. He spoke to Infrastructure Intelligence transforming the way airport information about how embracing change has led to “It was vital that is communicated and will soon connect further efficiencies. “To enable our digital passengers to intelligent chat bots using transformation, we have just future- we installed a Facebook Messenger, Skype, and other proofed our entire IT network for the next resilient, fault popular apps,” Corcoran says. decade and it can now take advantage of “Other initiatives going live soon new, modern technologies for the benefit tolerant network include augmented reality wayfinding and of airport users – including more than 250 that could better superfast Wi-Fi for passengers. Behind the onsite businesses, 30,000 staff and 45 cope with or adapt scenes we are also using machine learning million annual passengers,” he said. to bolster security and develop passenger According to Corcoran, the need for to disruption.” journey mapping so gate staff can track late change became clear when there was a running passengers and send notifications realisation that the airport’s IT network Cathal Corcoran via a range of apps,” he says.

SUPPLEMENT 7 Digital transformation

Technology has revolutionised the engineering and Creating construction sector down the years. Today, the digital revolution is a digital changing how firms operate, presenting new challenges for state of companies as they strive to digitally transform their businesses. mind he growing pace of digital change is “What are those firms doing to create a massive impact but it’s one that needs to be affecting all businesses. In the roadmap to digitalise their processes, not measured, says Reed. “We see firms that are Tinfrastructure sector, new necessarily swapping analogue for digital, investing in the talent and technology and technology has the potential to usher in but really looking at what are the new ways defining how it will be implemented on new ways of working that can transform of working that the tools have enabled us to their projects and then those who are how infrastructure operates and the way it do. Transforming a business isn’t a side-line frankly very overwhelmed and feel that is designed and delivered. This digital activity, it needs an active role by leaders they don’t know where to start,” Reed says. transformation brings with it new because of the rate that technology is “For those firms that are inactive in this challenges for technology professionals – evolving the process,” Reed says. area we should stop to say: ‘what is keeping and all leaders in the sector- who will need According to Mert Yesugey, project you from moving forward with creating a to sharpen their focus on the issues that principal at Mott MacDonald on the digitalisation roadmap and even matter to keep pace with change. Thames Tideway project, it is critical for determining if technology is something Technology company Bluebeam has a firms to embrace digital transformation. “It you want to invest in,’” says Reed. key focus on enabling transformation in gives us an opportunity to try and test new Mert Yesugey sees efficiencies in the built environment. Its vice president of technologies, he says. “Technology plays a digitisation. “The modelling environment industry advocacy, Sasha Reed, says: “For part in everything we do and some are is bringing stakeholders together allowing digital construction professionals the more effective than others. On major them to view the same information,” he focus needs to be – what is the current projects, a lot of staff can get valuable says. “The ability to set up a virtual site state of delivering projects, experience of using new technology which within an office environment made up of communicating on projects and what is creates a legacy for the future. Staff leaving all the different parties involved means we that desired future state, whether that’s the Tideway project and joining HS2 can don’t have to send 25 different people on based on what clients and owners want or take a lot of 3D and BIM knowledge with site to look at something. Being able to the demands of the project timeline.” them to take it the next level. It’s all part of picture something in a collaborative the snowball effect which we took from working on the Northern Line extension “Transforming a business isn’t and Crossrail,” Yesugey explains. “Think beyond technologies a side-line activity, it needs an Javier Baldor, executive vice president at themselves and look into how international software company BST active role by leaders because Global, said: “It’s easy to get excited about digitisation will impact, and of the rate that technology is the latest technologies, but it’s important to potentially transform, your think beyond the technologies themselves evolving.”the process.” and look into how digitisation will impact, business as you know it.” and potentially transform, your business as you know it today. How do you need to change as a company – your processes, structure, all the way down to your core business model itself – to take advantage of these new technologies? Because if you just implement new technologies, without holistically assessing how your business needs to shift, you’re not realising the full Sasha Reed, potential of digital.” Javier Baldor, Bluebeam Increasing digitalisation is having a BST Global

8 SUPPLEMENT environment saves time,” says Yesugey. transformation,” Reed says. The most brought into the firm and then follow that There are some common challenges critical component we have learned is not paper trail,” says Reed. “Where paper is facing firms embarking on a digital necessarily the technology but the buy in printed, evaluate if it needs to be printed. transformation strategy. “Not knowing and trust of those leveraging the What is the cost and benefit of going where to start is something we hear often,” technology. Building trust and quick wins outside of that digital workflow into says Sasha Reed. “Just being so builds confidence and value in the process. paper? overwhelmed with all the technology that’s Then you create a groundswell of support “Instead of just assuming that available and all the workflow processes. for new approaches,” she says. everything should be digital, really The other issue is budget and talent – not So, what one piece of advice should understand the value to that project team only to be able to procure the technology firms contemplating a digital leap forward member for whichever medium they are but to have the talent who will define what follow? Remain focused says Javier Baldor. choosing at that point. Then, create a the key performance indicators are and “When considering a digital initiative, you digital flow of information from beginning how to measure whether the technology must keep your firm’s core in mind. The to end and start focusing pilot groups to they have invested in is even performing,” core of AEC firms is and has always been create those small wins you need, because says Reed. projects. With that in mind, how can you it doesn’t then take long for the rest of the In all of this, the role of the CIO in digital leverage your ecosystem of present and organisation to create momentum to push transformation is critical and the role is future technologies to create a digital through,” says Reed. evolving, from one focused on purely project centre that allows you to deliver “By creating those small wins today, we technology to a leadership position with better project outcomes in a more efficient have a better chance of really evolving the much greater scope. “The CIO needs to and integrated way?” entire way we look at project delivery in have a seat at the boardroom table,” says “Start with where the work happens, the next five years, but we won’t get there Baldor. “Typically, the business turns to the follow the paper and the process of if we don’t start to build trust with those CIO for implementing technologies to whatever information is being shared or individuals who actually do the work,” support existing practices. But the CIO who Reed says. will truly prosper is the one who not only Mert Yesugey says that leadership is manages the firm’s ecosystem of business “On major projects, a lot of crucial. “One thing I have experienced technologies, but also aligns that ecosystem staff can get valuable about firms looking to embrace digital is with the business’s current and future the need for it to come from top-down. It models and practices, to positively impact – experience of using new needs strong leadership from the people and even change – the course of the technology which creates a driving the strategy so a firm can start business.” embracing the digital future that the Bluebeam has spent the last 15 years in legacy for the future.” younger generation are looking to be the US market helping design and involved in,” he says. construction firms to manage digitalisation It’s clear that digital change will transformation. “The lessons that we’ve continue at pace and it will be vital for learned are you must start small with consultancy and engineering firms to stay tangible pilots and attack one part of the at the forefront of change. “We need to workflow at a time, implement technology, find ways to do more with less,” says create a feedback loop and be able to Yesugey, “and make better use of the tools measure what’s working and what’s not,” available to us and the ones that will be says Reed. available in the future that we don’t even “We now have some best practices that Mert Yesugey, know about yet. I think the mentality is have been created from working on digital Mott MacDonald the critical element here,” he says.

SUPPLEMENT 9 Project focus Embracing digital change on a major project

he £4.2bn Thames Tideway Tunnel Mert Yesugey , project principal at Mott MacDonald on scheme is being constructed to tackle Tthe problem of pollution in the , explains how a shift the and will prevent millions towards digital has improved efficiencies and a of tonnes of untreated sewage flowing into the Thames each year. It is the largest collaborative working environment between teams. infrastructure project ever undertaken by the UK water industry and will rid sewage Lessons and knowledge gained from insight into any problems and allowed to levels never seen for 250 years. previous major project work helped Mott clear visualisation of progress on a regular “The Thames Tideway project sets the MacDonald on Tideway. “There was a lot of basis. “By using the models, we could look standard for construction projects,” says learning from the Northern Line extension at the design in real time on a weekly basis Mert Yesugey, project principal at Mott programme and one thing we were quite and that built a lot confidence between MacDonald. “By utilising building keen to do was to bring all the parties parties because we were trying to get to information modelling (BIM) we were able together and use the principle of know each other and by focusing to a to produce 3D digital engineering models collaborative working,” Yesugey adds. single point in the model environment we and share with all parties which ultimately “A key decision was to put all our data could actually visualise the problems much drove collaboration based on up to date together providing access to key easier and talk through them,” the project information which was key to its success,” stakeholders and clients and from there we leader said. he says. could drive meaningful collaboration and The digital programme adopted not Mott MacDonald was tasked with work in the modelling environment,” he only drove significant change in process providing leadership on a digital strategy says. and culture, but also brought about within the planning and design stages on Technology used in the design process significant time savings which Tideway this UK mega-project. The firm was a lead of the tunnel provided teams with an aimed to achieving from the outset. designer for the CVB JV on the eastern “Working collaboratively in the model section contract from Chambers Wharf to environment allowed us to focus into any Abbey Mills, as well as a connection tunnel “Each Wednesday we got problems and we realised early on that we from to central London. together or had people Skype did not need to produce 2D drawings Yesugey claims that adopting a digital in and view models on because we were engaging so much in the agenda and prioritising a collaborative model environment and 3D,” Yesugey says. working environment was essential for all smartboards. This “We could do the same information parties. “We got together with the Tideway meant that at exchange and design assurance through client early on and asked how we can make the 3D models. By doing that we saved our engagement meaningful and use the point of quite a bit of time and there was a vision available tools and models to benefit us,” he submission we from Tideway to shave two years off the explains. “From this led to BIM Wednesdays programme and we supported that where each Wednesday we got together in a had collectively through our way of working. location or had people Skype call in and resolved all the “The client accepted our earlier designs view models on smartboards. This meant in the model environment only and I think that when we got to the point of issues.” that’s the first I am aware of in a major submission we had collectively resolved all Mert Yesugey, project within the UK, I think that provides the issues,” says Yesugey. Mott MacDonald a legacy for the future,” says Yesugey.

10 SUPPLEMENT

Digital railway Keep ing d igital Network Rail’s managing director, group digital railway, David Waboso, explains why changing the relationship between Network Rail and its supply chain partners is crucial to transforming the network.

ou could be forgiven for thinking that the recently published Digital YRailway strategy is solely about deploying new forms of signalling and train control on the network. Naturally enough the media headlines that followed focused on the potential passenger benefits of replacing the old trackside ‘traffic light’ signals with train control technology. Nothing wrong in that and it’s certainly true that introducing modern signalling systems is the key to unlock the much- needed additional capacity across the network and improve the performance of our railway, which is full to bursting on many of our busiest routes. And I am pleased to say we are making great strides to bring this about. We’ve come a long way in addressing “The scale of the challenge all the major risks and there have been facing Network Rail and the three important strategic developments: first, we have begun the process of fitting wider rail industry will the entire fleet of go anywhere freight require radical changes to trains with the technology to enable them to operate on a digital infrastructure; the way we interact. No second, working closely with our change is not an option.” colleagues in the Department of Transport, we are using the franchise process to ensure that new passenger Digital Railway is more than just rolling stock is manufactured as digital or technology improvement. It’s about at a minimum ‘digital ready’, allowing for delivering a change in approach to the way full conversion simply and cheaply in we do business with our supply chain future; and third, Network Rail has partners. The feedback from the supply announced – with the active endorsement chain is that the scale of the challenge of the Transport Secretary – that from CP6 facing Network Rail and the wider rail onwards all signalling renewals of life industry will require radical changes to the don’t have all the answers. We need to expired analogue systems will be digital. way we interact. No change is not an work collaboratively with our supply chain These are important building blocks option. partners and also encourage new entrants that will underpin the Digital Railway. But Introducing disruptive technology is to harness their expertise and help develop they are only half the story. challenging and clients must accept we solutions to deliver the best results for passengers. When I joined the Digital Railway programme I established the Early Contractor Involvement programme to find new ways of working with the supply chain and also to encourage disruptors to help us find solutions to difficult challenges. Working collaboratively in this way with Helping deliver better the supply chain has been very successful results for passengers. in formatting our plan and approach and is

12 SUPPLEMENT change on track

access required is also probably unsustainable. The supply chain recognises this and is committed to working with us to drive down the cost and level of disruption This will require innovative procurement based on whole of asset life and outcome based contracts. It will mean Network Rail becoming smarter at designing contracts, focusing on in-service performance and achieving outputs. Procurement that is too prescriptive reduces innovation and discourages new ways of working. An early example of this new approach to working with industry is the deployment of Resonate’s “Luminate” digital train management system on our Paddington to Bristol route. This isn’t just about the technology, but a novel form of contracting arrangement. It needs only a small upfront investment and is based a shared benefits agreement whereby the supplier will be rewarded if the new system delivers performance improvements and a corresponding reduction in delay compensation payments. This is just the beginning and we will see more of that kind of approach as our plans emerge in the months ahead. These are Left: The new Class Thameslink route. exciting times to be working in the rail 700 digital railway Below: A digital industry and we have a once in a generation train that operates signalling screen in opportunity to change the network for the with in-cab signalling the Thames Valley benefit of passengers and other users. But through central signal centre at we will only succeed if everybody comes London on the Didcot. together to make change happen.

continuing as we enter the delivery phase of Digital Railway. Our partners are involved with the programme’s joint design group which brings together a community of suppliers, with a wide range of skills and capabilities. This will allow us to draw upon a diversity of ideas and experience as we tackle a variety of challenges in renewing complex signalling systems. We face a bow-wave of signalling renewals with more than half of our major signalling assets needing to be replaced within the next 15 years. Achieving this level of signalling is unaffordable at the current pricing levels – and the level of

SUPPLEMENT 13 Infrastructure planning

The UK needs infrastructure which connects more people to more opportunities more quickly and more reliably. That means thinking digitally, says Josh Dickerson. Transforming UK infrastructure means thinking digitally

oads, rails and cables boost what we’ve got work better and what we It’s also important that we understand productivity by developing build deliver greater returns. what a national digital infrastructure is “Rnetworks and enabling How do we do this? We need our built and isn’t. Yes, it could be transformational, businesses and individuals to connect environment to generate data which but it won’t be a single project running at a more quickly, cheaply and efficiently,” so allows us to better understand how it consistent speed. It will involve says Robert Jenrick, the UK exchequer functions and how it’s used and to use that behavioural and cultural change and secretary to the Treasury with data to develop dynamic, real-time moving away from technological silos responsibility for infrastructure delivery. solutions which enhance their towards common technology standards (in Jenrick has much on his plate. There is performance both as economic arteries the same way, for example, that the HS2, which is now looming large on the and as physical assets. mobile communications industry did with industry’s agenda as work on the first leg The scale of the opportunity has been 3G and 4G). At the most basic level, we between Euston and Birmingham gathers alluded to by the National Infrastructure need mechanisms for data sharing; in the momentum and regions across the Commission in its exploration of potential longer term, a framework which drives country prepare for future stages of this for creating digital twins of the UK’s critical common standards. hugely ambitious project. We also have infrastructure (detailed in its Data for the Better methods for accessing and continuing investment in smart public good report). This is also what the sharing data will be critical to achieving motorways and the ongoing work of wave of technological developments the step-change in infrastructure organisations like Midlands Connect in known as ‘Industry 4.0’ can help us achieve performance that our economy needs. So making sure that strategic, cross-regional – a dynamically-managed physical will a fast, robust digital communications route networks have better links and fewer infrastructure which is more resilient and infrastructure. bottlenecks. responsive to changes in society and It will also be about public engagement Critical as physical infrastructure is – environment. – encouraging people to understand that if and it’s as important we invest in This is a huge, perhaps transformational they adopt behaviours which enable better protectors like flood defences as we do in opportunity. It touches on technologies use of infrastructure we can all gain and enablers like airports – there isn’t a single that are becoming more commonly known demonstrating that there are adequate project that will on its own solve the – artificial intelligence, machine learning, safeguards covering data and privacy. This regional productivity puzzle that plagues augmented reality, big data, internet of touches on everything from through- the UK’s economy. things, even blockchain – even if their ticketing to autonomous vehicles to the So, we need to stand back from potential is not yet fully understood. shape of the world around us and assumes necessary big bang projects and ask people will be willing to change some of whether there is something else we should their basic habits. also be doing to make our city regions “Better methods for accessing Whether it’s road, rail or digital match-fit for the future. This is where the and sharing data networks, we need infrastructure which networks Jenrick referred to above come connects more people to more in to play – the drive for a national digital will be critical opportunities more quickly and more infrastructure. to achieving reliably. And such an infrastructure will The need for a digital transformation of deliver best if we think digital first. the built environment goes beyond its the step-change ability to deliver a step-change to in infrastructure Josh Dickerson is an associate with Deetu, the productivity. It is a fundamental part of the data and technology development hub launched drive to reduce carbon emissions and performance.” by design engineers BWB Consulting and is a improve environmental sustainability. Josh member of the National Infrastructure Most of all, it’s an opportunity to make Dickerson Commission’s Young Professionals Panel.

14 SUPPLEMENT