The socioeconomic challenge focusing particularly in the sme challenge
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The Socioeconomic challenge focusing particularly in the SME challenge. Ron Gorham – NDA’s Head of Supply Chain Optimisation and SME Champion.

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The socioeconomic challenge focusing particularly in the sme challenge

The Socioeconomic challenge focusing particularly in the SME challenge

Ron Gorham – NDA’s Head of Supply Chain Optimisation and SME Champion


NDA strategy is to create a healthy vibrant, dynamic, affordable and innovative supply chain to support our long term mission which requires alignment with all levels of the Supply Chain and with our numerous Stakeholders


Health of the supply chain
“Health of the Supply Chain” affordable and innovative supply chain to support our long term mission which requires alignment with all levels of the Supply Chain and with our numerous Stakeholders


The objectives of the study were to understand
The objectives of the study were to understand… affordable and innovative supply chain to support our long term mission which requires alignment with all levels of the Supply Chain and with our numerous Stakeholders

  • The impact of NDA Supply Chain Development Strategy & initiatives

    • Including approach to Collaborative procurement

  • The impact of increased concentration of spend on a small number of Tier 2 contractors

  • The health of the SME community

  • The potential impact of nuclear new build

  • Why some major contractors are not currently participating in the NDA Estate Supply Chain

Where possible, comparisons made with 2008 consultation


Our approach
Our Approach affordable and innovative supply chain to support our long term mission which requires alignment with all levels of the Supply Chain and with our numerous Stakeholders

OnLine

Teledepth

Face to face

Impartial review undertaken by ORC and V4 including conclusions and recommendations


It s hard to build relationships in the estate but once established they can be very rewarding
It’s hard to build relationships in the estate, but once established they can be very rewarding

Rewards

Drawbacks

Barriers

Relationship with SLCs


Next steps act and act soon
Next Steps: established they can be very rewardingAct, and act soon

  • Change is needed to achieve the NDA’s strategy and meet HMG’s targets

  • The level of co-operation from the supplier community indicates a desire for change on their part

  • Conducting such a significant programme creates an expectation of change

  • It takes time for changes to make a difference and to be seen to make a difference

  • Full report will be published shortly


Socioeconomic challenges
Socioeconomic challenges established they can be very rewarding


Each slc requires the support of our local stakeholders to operate
Each SLC requires the support of our local stakeholders to operate

  • Energy Act places an Socioeconomic obligation on NDA which we flow down to each SLC

  • Each SLC should consider the Socioeconomic aspects in its acquisition strategy and approach

  • West Cumbria is one of NDA’s priority regions

  • Socioeconomic obligations requires us and the SLC’s to procure sensitively

  • NDA and Sellafield have invested significant resources in Socioeconomic development

  • There are significant socioeconomic challenges with some of the current Sellafield contracts – particularly the DSA

  • The Governments “Growth agenda” also has socioeconomic opportunities


Sme challenge
SME challenge operate


Hmg s challenge
HMG’s challenge operate

  • Increase the proportion of HMG spend with SME’s to 25% by the end of the current Parliament

  • Departments and NDA required to set a stretching target and plan to meet the challenge

  • Target intended to reflect the benefits that SME’s bring to the UK economy including:

    • Growth

    • Value

    • Innovation

    • Performance

    • Fit for Purpose solutions


Nda s target and plan
NDA’s Target and Plan operate

  • 20% of the Estate spend with SME’s by 2015/16

  • Applies to NDA, its wholly owned subsidiaries and the SLC’s

  • Requires the support and help if the entire Supply Chain but critically the Tier 2 contractors

  • Many of our interventions are already underway:

    • Standardised and simplified PQQ’s

    • Single Estate portal – Contracts Finder

    • Standardised and simplified “Flowdowns”

    • National and Regional Supply Chain Events

    • SME steering committees

  • Two components to our plan

    • Data collection

    • Challenging our existing approaches


Current situation
Current situation operate

  • NDA plan and target published

  • Self assessment against the 7 “Conditions for Success” suggests we are at Amber

  • Good plans and progress but material challenges

  • Payment problems for SME’s are a particular issue

  • Each SLC is required to submit its plan and target by the end of June

  • Current projects suggest that we are at 11% across the Estate

  • Routine DECC Ministerial and Cabinet Office reports

  • NDA represented within HMG

  • Routine progress reports will be published and discussed.

    Significant SME and Localism overlaps but a material challenge to hit our target


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