Hendy review: Richard George
Group Managing Director, Rail and Transit Engineering, SNC-Lavalin
Firstly, I was struck by how ‘authentically Peter’ it sounded - I could hear him saying it all. It was refreshing to hear so much common sense and a solid, pragmatic management approach to dealing with the issues, rather than a theory of what ‘might’ be done one day.
It was also rooted in a solid grasp of the history of how we got here and the massive challenges of the growth required ahead. But having worked with him before, none of that was a surprise.
Secondly, I was reminded that whatever financial dynamic you set up, ultimately that is what you get back. There are specific financial dynamics that you plan to create - but there are also the inadvertent dynamics that emerge.
I once made a presentation to the emerging Rail Regulator, the emerging Franchise Office and the BR Privatisation unit, entitled ‘How to run your Franchise from the Bahamas’. It had the same theme - whatever dynamic is set up will come back at you in spades in the end.
The comment Peter made about the RAB mechanism, which implied that ultimately it didn’t matter how much was spent on a project it would be funded anyway, is no doubt simplistic - but at its heart is a dynamic that has been deeply unhelpful for management control.
Thirdly, I thought the relationship he described between a 30-year Strategic Plan and the context it provides to any ten-year Business Plan or five-year Control Period was spot on.
My comment on this would be that it must be a Strategic Plan owned by and created by Network Rail. There are all sorts of things that governments and departments can decide for you about context, structure and budgets, but ultimately the Plan, the Strategy and the Vision for an organisation must be owned internally - they are crucial elements of the unifying glue and engagement. If it is externally ‘delivered’, then the management, the staff and everyone associated are disempowered.
Finally, the part that made me smile the most: Peter’s insistence that the real customer is not the regulator, nor the Government, nor the TOCs, nor any piles of KPIs - but the guy “standing waiting for a train to Liverpool”. Quite!
Read the original interview: Hendy means business at Network Rail.
