About Us. An introduction to Network Rail

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1 About Us An introduction to Network Rail

2 London King s Cross 02

3 Contents 04 A better railway for a better Britain 06 Network Rail in numbers 08 Our structure 10 Our routes 12 The national framework 14 Who s who at Network Rail For more information visit networkrail.co.uk 03

4 A better railway for a better Britain Every day, more than 4.6 million train journeys are made in the UK. People depend on Britain s railway for their daily commute, to visit friends and loved ones and to get them home safe every day. The railway is crucial to Britain s prosperity. It connects people with jobs, goods with markets, and stimulates new housing and economic growth. The railways are the economic arteries of the nation. We run the safest major railway in Europe. At the same time, Britain s railway is Europe s fastest growing, with the number of rail journeys doubling in the last 20 years and forecast to increase by another 40% by It is a growing industry, which offers not only prosperity and connectivity at home, but opens export opportunities for British businesses overseas. Network Rail owns and operates Britain s railway infrastructure; that s 20,000 miles of track, 30,000 bridges and viaducts and thousands of tunnels, signals, level crossings and points. We also manage rail timetabling and operate 19 of the largest stations. Our role is to provide a safe, reliable and efficient railway, while growing and upgrading the network to better serve passengers and freight. Through our Railway Upgrade Plan, we are delivering 130m of improvements every week. Working in partnership as one railway, alongside the Government and industry, we are making a 50bn investment, spreading opportunity across the country. This means more trains, and services that are faster, more reliable and more comfortable. This is the biggest and most ambitious upgrade the network has seen in over 150 years, and our great people are delivering it. Safe Reliable Efficient Growing We have reduced train accident risk by 38% in the last five years 38% reduction in number of incidents causing delays between 2007/8 and 2017/18 We have driven down the cost of operating and running the railway by 40% per passenger kilometre in the last ten years By 2021, there will be 6,400 new train services a week running across the country 04

5 Birmingham New Street Network Rail is a public company, answerable to the Department for Transport (DfT) and Transport Scotland. Our customers are the companies that pay to use our infrastructure to provide passenger and freight services. While the majority of our funding comes from Government, we are increasing our partnerships with third parties and generating funds from our commercial estate to reinvest in the railway. The Office of Rail and Road (ORR) is an independent safety and economic regulator of the railway. The ORR makes sure we meet the needs of our customers, passengers and freight users, as well as being a good neighbour to the 22 million people living or working within 500 metres of the railway. 05

6 Network Rail in numbers 4.6m train journeys taken every day Safest major railway in Europe Second highest levels of passenger satisfaction in Europe (after Finland) 38%reduction in number of incidents causing delays between 2007/8 and 2017/18 130m spent every week on improvements for passengers through our Railway Upgrade Plan 170,000 extra seats into major cities across the UK by 2019 new carriages 7,000 by , extra services a week by 2021

7 38,000 employees 117,000 jobs supported through our supply chain 2,000 apprentices trained in the last 10 years 22% of the UK s entire infrastructure spend is delivered by Network Rail. We are Britain s biggest builder. Some of our major projects return 4 of economic benefit for every 1 invested 15,000 projects are taking place across the UK to renew and improve the railway 4,000 98% companies in our supply chain, 2,500 are SMEs of our supply chain spend is with British companies 07

8 Our structure Network Rail is customer focused. We run the company through devolved route businesses that understand how to meet customer needs. We operate in a matrix structure, which means we work collaboratively across functions. This structure is made up of nine route businesses, group functions and route support services. Eight of the route businesses manage and run the railway network in a defined geographical area and work closely with local train operating companies to deliver the best service possible for their passengers. The ninth route operates nationally serving freight and long distance operators. Routes are integrated, customer focused, business units Group Functions Corporate Core Chief Executive Office and Executive Committee, Finance (including Risk and Internal Audit, NCB), Property, Corporate Communications, Legal, Corporate Services and Human Resources Anglia London North East and East Midlands London North Western Scotland South East Wales Wessex Western Freight and National Passenger Operators Undertakes core corporate and group activities including business strategy, functional policy making and assurance System Operator Industry wide coordination of those activities required to optimise the overall use of the network for the benefit of all users Technical Authority This is the Safety, Technical and Engineering Directorate Policies, standards, new technology, benchmarking, lateral learning, competency frameworks and health and well-being Route Support Route Services Directorate Supply Chain Operations, IT, Business Services, Contracts and Procurement, Network Rail Consulting The provision of services, agreed by the routes to allow them to benefit from economies of scale and the optimisation of critical resources Group Digital Railway The industry-wide programme accelerated digital modernisation of the railway, plus associated route services Infrastructure Projects Develop, design and deliver enhancement and other large complex capital projects for the routes 08

9 Edinburgh Waverley As part of our matrix structure, our critical central functions support our nine route businesses; these are the System Operator, Technical Authority, Route Services, Infrastructure Projects and Digital Railway. In addition to these, there is a small corporate core that covers activities such as business strategy, functional policy, legal and corporate assurance, and communications. The matrix structure has been designed to make sure that our routes are supported by a national framework. This allows us to deliver in a fair and competitive way for our customers across the UK. Network Rail is changing In 2014 a matrix organisation was put in place at Network Rail, moving from a centralised organisation to one comprising devolved businesses operating within a national framework. At the same time, we set out our plan to increase the capacity of the railway using digital technology, and we completely reformed our performance management systems, introducing transparent scorecards to best serve our customers and taxpayers. In 2016, we launched our transformation plan, Delivering for our Customers. This sets out how Network Rail would transform to be a public sector organisation that behaves like a private sector business. This plan set out our strategy to become a business driven by being customer focused and cost competitive, with an improved commercial capability to attract private investment. The plan also demonstrated how we would improve our safety culture, be caring and collaborative, and focus on the critical task of increasing capacity to accommodate passenger growth. You can read more about our transformation here: 09

10 Our routes Our nine customer focused route businesses run the railway. They operate, maintain and renew infrastructure to deliver a safe and reliable railway for passengers and freight customers. Each route is a large, complex business in its own right, employing thousands of people and responsible for billions of pounds of expenditure every year. They are run by a managing director and a senior leadership team who are accountable for effectively and efficiently delivering for customers and key stakeholders. These outcomes are made visible through route and customer scorecards. In Scotland, the route and the train operating company form an alliance, Scotrail. The aim of this partnership is to improve the railway in Scotland for customers by working better together. Both the route and the train operator work to achieve common objectives, they are led by a single managing director, who is a member of the Executive Committee and reports to our Chief Executive. More about who s who at Network Rail on pages Did you know? Based on turnover, number of employees and expenditure, Network Rail s routes are the equivalent of many FTSE 250 companies 10

11 Network Rail Routes Anglia London North Eastern and East Midlands (LNE&EM) London North Western (LNW) Scotland South East Wales Wessex Western Freight and National Passenger Operators (FNPO) 11

12 The national framework Our critical central services which support the nine route businesses are formed of group functions and route support services. The group functions include the System Operator, the Technical Authority and the corporate core which provide key capabilities such as co-ordination and optimisation of the network as well as common standards. The route support services deliver economies of scale, are accelerating digital modernisation of the railway and deliver large capital projects for the routes. This framework enables the routes to operate as an integrated system, where the needs of all of our customers and stakeholders, irrespective of location, are treated in a fair and transparent way. Did you know? Our Group Digital Railway function is enabling the accelerated introduction of a digital railway, working with our Infrastructure Projects team and with route businesses. 12

13 System Operator The System Operator is an impartial and expert function which leads on the long-term planning of the network on behalf of the industry. Their role is to decide how to best use the scarce capacity we have and how we best invest to create new capacity while providing insight on where capacity constraints may emerge. Technical Authority Our Technical Authority (Safety, Technical and Engineering Directorate) provides the routes with a common set of rules and standards including rules on technical and safety related matters, as well as expertise in specialist areas. It also provides the routes with access to technical resources to support improvement and solutions to systemic issues. Infrastructure Projects Infrastructure Projects (IP) increases capacity on the network for passengers by developing, designing and delivering enhancements and large complex projects on the routes behalf. IP s specialty is delivering projects in a live railway environment, working and building in an exacting, choreographed way to complete as much work as possible in small access windows when trains aren t running. We have made it easier for third parties to invest in the railway and for other project delivery companies to work on the railway in order to drive innovation, reduce costs and directly benefit passengers and taxpayers. Group Digital Railway Digital Railway is a huge industry change programme, driven by a central team tackling Britain s rail capacity crunch by accelerating the digital modernisation of the railway. This will allow more services to run on the existing infrastructure than is currently possible. The Digital Railway programme is critical to Britain s success in the future. Route Services Route Services offers the services and activities that all the route businesses are likely to need, at a competitive cost, and to their overall benefit. In a multibusiness network, it makes efficient economic sense to have, for example, one IT department, one financial invoicing centre, one logistical business and to manage procurement so that economies of scale can be leveraged. Key to ensuring that these services remain cost competitive is our focus on a market competitive, do or buy mind-set. 13

14 Who s who at Network Rail Executive Committee Mark Carne Chief Executive Susan Cooklin Route Services Director Graham Hopkins Group Safety, Technical and Engineering Director Phil Hufton Managing Director, England and Wales Alex Hynes Managing Director, Scotrail Alliance Jo Kaye Managing Director, System Operator Caroline Murdoch Group Communications Director Francis Paonessa Managing Director, Infrastructure Projects Alison Rumsey Group HR Director David Waboso Managing Director, Group Digital Railway Jeremy Westlake Chief Financial Officer Did you know? 38,000 people work at Network Rail. Keeping Britain moving and building a better railway for the future is full of challenges and our people are some of the most committed and dedicated in the country. 14

15 Route Managing Directors Meliha Duymaz Anglia Rob McIntosh London North Eastern & East Midlands (LNE&EM) Martin Frobisher London North Western (LNW) John Halsall South East Andy Thomas Wales Becky Lumlock Wessex Mark Langman Western Alex Hynes Scotland Paul McMahon Freight and National Passenger Operators (FNPO) Our Board Sir Peter Hendy CBE Chair Mark Carne Chief Executive Jeremy Westlake Chief Financial Officer Rob Brighouse Non-Executive Director Richard Brown Non-Executive Director Sharon Flood Non-Executive Director Chris Gibb Non-Executive Director Silla Maizey Non-Executive Director Michael O Higgins Non-Executive Director Mike Putnam Non-Executive Director Bridget Rosewell Senior Independent Director 15

16 Network Rail Limited 1 Eversholt Street London NW1 2DN Tel networkrail.co.uk Company number: Registered in England and Wales For more information, please contact publicaffairs@networkrail.co.uk

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