The search for innovation Begins

The notification of the successful framework providers is the opening salvo in this marathon.

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Congratulations to those who are through the first hurdle.

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This is where the real work begins

The word on everyone’s lips is “innovation”: given that the supply chain is only so deep, how much real innovation will there be?

What  is clear is that the supply chain is not infinitely expandable and it already has very noticeable stretch marks.

Innovation 1

The number of potential primes suggests that the first place to look for innovation will be in the decision by primes to focus their attention on particular lots whilst clearly paying less attention to others where they have been shortlisted.

Innovation 2

The second order of innovation will be seen when and if particular primes decide to throw their Lot in together – please excuse the unintended pun – and merge, synthesise , coalesce their prime offering. …..this will be a difficult one to get going… who makes the first move?

…..and great care needs to be taken to avoid the appearance of pincer or cartel action.

The need for concerted action is clear; for example; as a result of being in various consortia, a number of Primes now find themselves in more than 7 areas; the logical conclusion of which is that in some areas they will /may be competing against themselves (if they actually bid )…. .

Naturally however, where primes have an expansive agenda this will not be a deterrent they will be seeking visibility in new territories.

Innovation 3

The third order of innovation will be seen in the make-up of the supply chain in relation to its depth, its reach, its vibrancy and diversity.

The power of the supply chain

It is here that the real power and strength lies.

Indeed, those hoping to become subcontractors will be diligently and earnestly seeking the faces of the primes, in reality however, the power and the strength of the supply chain their delivery, expertise, their local knowledge and contacts is the single key ingredient.

The question is whether business development managers and directors of Primes know a good thing when they see it.

One of the key questions for potential subcontractors is whether they can present and represent themselves in a professional way, demonstrating added value, performance awareness and having expansive and realistic ambitions for delivery,

Speaking to the MD of two of the ‘leading primes’ it was explained that;

This is a new era of ‘Co-operatition’

Another MD explained to me that the real power was in the hand of the subcontractors but many seemed to be unaware of their centrality to the process and to the success of deliver.