AGENDA ITEM: C1
MEETING:
DATE:
SUBJECT:
RSSB Board Meeting
08 January 2015
Railway Industry Supplier Approval Scheme Stewardship Report
Chris Fenton
John Abbott
SPONSOR:
AUTHOR:
1.
Purpose
This paper is the 2014/15 stewardship report for the Railway Industry Supplier
Approval Scheme (RISAS). The paper summarises the operational performance of
the scheme over the past 12 months and identifies issues and opportunities to be
addressed over the next year.
2.
Background
2.1
RISAS was authorised by the RSSB board in May 2006 to undertake the assessment
and certification of suppliers of critical products and services, initially for rolling stock.
The scheme was set up by members in response to the Cullen Public Inquiry
recommendation (see Annex A) and is consistent with International Accreditation
and Conformance Certification requirements.
The scheme is based on competent third party assessment bodies (RISABs Railway Industry Supplier Assessment Bodies) being appointed by RSSB to assess
candidate suppliers’ capability to meet industry’s specification. The scheme also
includes formal arrangements for monitoring, feedback, appeals and continuous
improvement.
An overview of the scheme is contained in Annex A.
3.
Operational performance
3.1
Under the direction of the RISAS board, the scheme is designed to efficiently support
Safety Management System (SMS) holder management of supply chain risk though
the rigorous assessment of critical suppliers’ capability to reliably meet contractual
requirements. The operational scheme management and accreditation of RISABs to
deliver this, continues to be provided by RSSB, with the resulting assessment from
this process recognised by all rail clients. This serves to reduce the need for
duplicate audits and frees clients to focus on ‘added value’ supplier performance
management, including measures to address culture, behaviour and teamwork.
Today there are 61 RISAS certified suppliers against 128 modules, representing over
75% of the rolling stock heavy maintenance market, whilst 96% of suppliers whose
certification was due to expire, have gone on to renew over this period. During the
year the scheme has delivered the following:

Agreement with the Rail Industry Supplier Qualification Scheme (RISQS) board
to cease Link-up audits of traction and rolling stock components to avoid
duplication

Continuing engagement with TOCs through the ATOC Engineering Council and
its Supply Chain Forum, with their intent expressed to mandate RISAS
application, wider and deeper than at present
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
AGENDA ITEM: C1
Commissioned an independent review of the scheme model to assess the
fitness for purpose of its approach and application, whilst separately,
opportunity has also been taken to learn from benchmarking with other
industry sector representatives, e.g. Sellafield and JCB.

Introduced scheme metrics on a pilot basis with a representative sample of
RISAS suppliers, designed to enable on-going assessment and improvement
of performance

Developed a new module to respond to industry’s request to expand the
scheme’s scope, notably in relation to GSM-R and its supply chain.

Amended procedures to remove barriers to enable entry of new suppliers
Further information on the development of the scheme can be found in Annex B and
C.
3.2
Progress is broadly in line with the RISAS Business Plan which sets out milestone
targets for development of the scheme by supplier and product module and the
scheme has gone some way to meeting the intent of the Cullen Public Inquiry
recommendation that led to the scheme’s creation. However, it is clear that much
remains to be done and therefore the industry needs to move forward with
implementation of the proposed strategic direction as explained in the separate board
paper on today’s agenda. What is apparent is that the capability of RISAS is going to
continue to be required to assess safety critical suppliers and that there is potential
for it to take a wider role in this respect and already stakeholders are recognising this
and seeking an extension of the scope of products and services it currently covers.
3.3
Following Railcare Limited, a key supplier to the industry, having entered into
administration towards the end of 2013 and it being purchased by Knorr Bremse, the
scheme was tested in terms of its ability to address this kind of challenge.
Maintenance of RISAS certification had been stated by the Administrators as being
key to the sale of the company as a going concern at that time, whilst going forward
the scheme’s Accreditation Agency (AA) and the responsible RISAB ensured that the
efficacy of this certification was maintained following the acquisition, despite
significant redundancies being announced at that time.
Following the transfer of responsibility on point of sale to the new owners and
integration of the company into their organisation, formal RISAS re-assessment was
completed early in 2014 and working with them, the RISAB continues to monitor the
situation.
3.4
Concerns over the performance of another supplier were also investigated by the
scheme’s Accreditation Agency (AA) during this period, with the role and
performance of the responsible RISAB and their management of the supplier’s
approval found to be a contributory factor in this instance.
The situation was closely monitored and an action plan put in place with the RISAB to
resolve this. The response from the RISAB, however, was ultimately deemed to be
unsatisfactory and the AA took over direct involvement with the supplier in the role of
‘RISAB of last resort’. Working to address the issues of concern, the AA maintained
the efficacy of the supplier’s approval throughout and following the expiry of the
accreditation of that RISAB, the AA has overseen a new RISAB satisfactorily taking
over this responsibility, enabling the AA to then stand down.
3.5
As reported to the board previously, the RISAS board initially led industry’s response
to concerns raised by the BSI’s Axle Bearing Committee in relation to an increase in
bearing failures recorded over the last 3 years.
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AGENDA ITEM: C1
The review that was undertaken stated that the RISAS assessment process was
basically sound, but a number of improvement opportunities were identified which
have been accepted by the RISAS board. These are now in the process of being
addressed.
3.6
RSSB undertook an internal audit of the RISAS scheme during this period using an
independent resource and whilst there were a number of relatively minor concerns
raised, the overall conclusion reached was that the scheme is well managed.
3.7
The RSSB Scheme Management and Accreditation Agency budgets for RISAS
delivery in 2014/15 was maintained at the 2013/14 level of £201k, a small cost
relative to the overall cost to industry of assurance and the criticality of the
equipment.
4.
Issues and opportunities
4.1
Entities in Charge of Maintenance (ECM) and UKAS
European legislation has been developed in the form of ECM to implement consistent
procedural controls in each member state for the maintenance of freight vehicles
which can be ‘touched’ by many parties during a single journey across Europe. ECM
is being implemented in GB under the governance of the ORR and the board were
previously advised that scope exists to use the RISAS approach both in this context
and in the event its adoption is extended to passenger operations. The board are
invited to note that RISAS scheme product group SO1 which has already been
applied to ROSCOs, meets these requirements.
Following the approach by the ORR in October 2013, UKAS is to take on the
responsibility for ECM delivery, with the ORR confirming at that time that it would
regard RISAS as providing suitable functionality to support UKAS in delivering this
obligation. The scheme’s AA engaged with UKAS and the ORR in respect of this
development and it has now been formally confirmed that RISAS will be the technical
resource acting on behalf of UKAS in awarding certification under ECM requirements
going forward. The AA is continuing to work with UKAS on agreeing the details of this
arrangement.
4.2
Procurement and logistics suppliers
Third party suppliers of procurement and logistics services play an important role in
the provision of rolling stock spares. Many of the products and services they provide
to industry are of a critical nature and can import significant risk. This has therefore
been identified as a prime example of where RISAS has a part to play in assuring
suppliers’ capability in meeting industry’s specification for this service.
An assessment module has now been developed and its first application is to be
used in the assessment of a key supplier early in 2015 and then extended to others
offering this service to industry thereafter.
5.
Stakeholder engagement and support
5.1
The RISAS board has been determined to enhance engagement and to make sure
that the current capability of the scheme is understood and properly utilised by SMS
holders. It has continued to work closely with all stakeholders in order to achieve this,
continuing with the issue of quarterly RISAS newsletters to publicise scheme
performance and developments.
5.2
Liaison has also continued to take place with ATOC’s Engineering Council (EC) and
Supply Chain Forum (SCF) and the Freight Technical Committee (FTC) representing
the buyer/supplier community membership in order to ensure their requirements are
taken into account in scheme operations, delivery and future scoping of the scheme.
RSSB Board Meeting Final: 08 January 2015
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AGENDA ITEM: C1
Whilst the FTC is looking for RISAS to consider assessment of wheel lathes, ATOC’s
EC has recently confirmed its intent to:

Work closer with and increase its engagement with the scheme

Mandate RISAS wider and further than at present

Support direct assessment of tier 2 suppliers

Reinforce the need for improved supplier relationship management post
RISAS certification

See more transparent reporting of assessment findings
6.
Business Plan for 2015/16
6.1
The RISAS board is developing a new business plan commencing in April 2015. The
plan is expected to address the following:
a) Maintenance of the effective operational delivery of the current scheme.
b) To act on the recommendations of the independent scheme model review, which
is currently underway.
c) To action the recommendations of the wheelset axle bearing report.
d) To progress with continuous improvement and maturity of the scheme model in
accordance with the ORR’s RM3 model in this respect.
e) To develop the functionality of the scheme to meet the additional requirements of
stakeholders and an increased scope.
f) To continue to work with ORR and UKAS to efficiently meet ECM requirements.
g) To obtain UKAS accreditation.
h) To work with the RISQS board and industry to develop and implement new
supplier assurance arrangements for rail.
i) To act as the ‘client group’ for the ‘T1070’ research project, working on the
‘enhanced quality standard’ for GB rail and the development of risk based
assurance arrangements, designed for every commodity procured by GB rail.
j) To continue with stakeholder engagement and support, targeting potential new
RISAS suppliers.
k) To maintain the scheme’s risk register and mitigation actions, including resource
sustainability.
6.2
As referenced in a separate paper on today’s board agenda, the RISAS board
recognise that coordinated plans are now required for the development and
implementation of new supplier registration, qualification and assurance arrangements
to efficiently and effectively support the modern rail industry. If supported by the board,
work to develop these new arrangements as described therein will commence in
conjunction with the RISQS board and is expected to see the 2 schemes converge to
provide an integrated and risk based control framework to support both buyers and
suppliers. These plans will include defining the role to be played by RSSB, resource
requirements and the appropriate means of funding.
7.
Recommendations
7.1
The board is asked to:

NOTE the significant developments over the last 12 months and the
intended direction of its new plan during 2015.

SUPPORT the RISAS board’s approach to continue to work with the
ORR and UKAS to define the role of RISAS within the ECM regime.
RSSB Board Meeting Final: 08 January 2015
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

AGENDA ITEM: C1
ENCOURAGE greater use of RISAS by duty holders.
SUPPORT continued good engagement of duty holders with the RISAS
board to ensure that needs are met in support of SMS compliance.
RSSB Board Meeting Final: 08 January 2015
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AGENDA ITEM: C1
Annex A
Cullen Recommendation 24 states that:“Suppliers of products or services of a safety-critical kind for use on, or in
regard to, the railways of Great Britain should be required to hold an
accreditation as a condition of being able to engage in that activity”
RISAS is organised as follows:-
RSSB Board Meeting Final: 08 January 2015
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AGENDA ITEM: C1
Annex B
RISAS Business Plan Supplier Targets
Chart 1: Growth of New Suppliers
Chart 2: Growth Suppliers’ scope of approval
(A description of Product Groups is contained in Table 1 of Annex C)
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AGENDA ITEM: C1
Annex C
RISAS Certified Suppliers
Table 1: Scheme Product Group Listing
Code
Product group name
M01
M02
M03
M04
M05
M06
M07
M08
M09
S01B
S01C
S01D
S01E
S04B
S04C
S04D
S04E
Running Gear
Brakes and Pneumatics
T&RS Mechanical Equipment
T&RS Electrical Equipment
T&RS electric traction equipment
T&RS diesel traction equipment
T&RS Transmission
Trainborne safety/ monitoring equipment
Doors and Windscreen Equipment
Procurement of Vehicle System Maintain & Overhaul
Procurement of vehicle Mileage based overhaul
Procurement of vehicle Time based overhaul
Procurement of Vehicle System Modification
Delivery of vehicle System Maintenance & Overhaul
Delivery of vehicle Mileage Based Overhaul
Delivery of vehicle Time Based Overhaul
Delivery of vehicle System Modification
Table 2: Suppliers newly certified in the past 12 months
Suppliers
Newly
Certified (in
the past 12
months)
Company
Northern Rail Ltd - Newton Heath
TMD
Progress Rail Services
Railway Vehicle Engineering Ltd
Vagonoremonten zavod-99
AD/Kolowag
RSSB Board Meeting Final: 08 January 2015
Number
of
product
groups
Product Groups
3 S04B, S04D,
S04C
2 M01, M07
3 M07, M05, M01
1 M01
Certification
Start Date
05/12/2014
19/12/2013
10/11/2014
27/02/2014
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AGENDA ITEM: C1
Table 3: Suppliers re-certified in the past 12 months
Company
Alstom Transport UK Limited - Parts &
Modernisation
Axiom Rail
Bochumer Verein Verkehrstechnik GmbH –
Bochum
Bombardier - Ilford
Faiveley Transport Ltd - Birkenhead
Faiveley Transport Ltd - Tamworth
Firth Rixson Metals Limited
Knorr-Bremse Rail Systems (UK) Ltd
Knorr-Bremse RailServices (UK) Ltd Wolverton
L H Group Services Ltd
C
Certification renewed in past 12 months
Bombardier Transportation GmbH
BONATRANS GROUP a.s.
CAF, SA
David Brown Gear Systems Ltd
Eversholt Rail (UK) Ltd
LUCCHINI RS S.p.A.
Masteel
Merseyrail Electrics 2002 Ltd
Nippon Steel & Sumitomo Metal Corporation
Northern Rail Ltd - Allerton TMD
Pullman Rail
Riley & Son (Electromec) Ltd
Swasap pty ltd
Taiyuan Heavy Industry Railway Transit
Equipment Co.,Ltd
Unipart Rail
Voith Turbo GmbH & Co.KG
Wabtec Rail Limited
Wabtec Rail Scotland
ZF Services UK Ltd
RSSB Board Meeting Final: 08 January 2015
Number
of
product
groups
Product Groups
Certification
Start Date
1 M05
19/05/2014
1 M01
1 M01
31/03/2014
28/05/2014
4 M03, M09,
S04C, S04D
1 M01
1 M01
1 M01
2 M01, M07
4 S01D, S01E,
S01C, S01B
3 M02, M08, M03
6 S04E, M09,
M08, M05, M04,
M02
1 M01
3 M02, M09, M08
3 M07, M05, M01
27/06/2014
4 M01, M06, M05,
M07
1 M01
1 M01
3 M01, M05, M02
1 M01
1 S04B
4 M07, M05, M02,
M01
1 M01
1 M01
1 M01
24/10/2014
3 M02, M05, M01
2 M01, M07
6 S04D, S04C,
M07, M02, M05,
M01
4 M01, M07,
S04C, S04D
2 M07, M01
30/05/2014
14/07/2014
31/10/2014
19/12/2013
31/03/2014
24/07/2014
29/09/2014
10/10/2014
29/03/2014
31/03/2014
01/10/2014
07/02/2014
30/04/2014
26/08/2014
31/01/2014
10/12/2014
19/12/2013
05/12/2014
09/12/2014
30/06/2014
30/09/2014
28/11/2013
27/06/2014
24/10/2014
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AGENDA ITEM: C1
Table 4: Suppliers with ongoing certification
Company
AKS Machining Ltd
Alstom Transport UK Limited - Manchester
Traincare Centre
Angel Trains Limited
Bahntechnik Brand-Erbisdorf GmbH
Bochumer Verein Verkehrstechnik GmbH Ilsenburg
Bombardier – Crewe
DB Regio Tyne & Wear Ltd
DCD Ringrollers
Gutehoffnungshtte Radsatz GmbH
KLW INTERPIPE NTRP
Knorr-Bremse RailServices (UK) Ltd Springburn
Lucchini UK
MWL BRASIL RODAS & EIXOS LTDA
Northern Rail Ltd - Heaton TMD
Existing Suppliers
Existing Suppliers
Brush Traction
Plasser & Theurer
Porterbrook Leasing Co Ltd - & Porterbrook
Maintenance Ltd
Rail Door Solutions Ltd
Robel - Bahnbaumaschinen GmbH
Sabre Rail Services Ltd
Siemens AG Austria - Graz
South Devon Railway Engineering
Tecforce Ltd
Valdunes - Dunkerque
Valdunes - Valenciennes
Voith Turbo Limited - Croydon
Voith Turbo Limited - Greenford
Vossloh Kiepe UK Limited
RSSB Board Meeting Final: 08 January 2015
Number
of
product
groups
Product Groups
Certification
Start Date
1 M01
3 M01, M02, M05
01/03/2012
27/03/2013
4 S01B, S01E,
S01C, S01D
1 M01
1 M01
31/08/2012
4 M01, M02, M05,
M07
6 M01, S04C,
M07, M02, M04,
M05
1 M01
1 M01
1 M01
1 M01
3 M07, M05, M01
12/07/2013
2 M01, M07
1 M01
3 M02, M03,
S04C
1 M01
4 S01B, S01E,
S01D, S01C
3 M09, S04E,
S04B
1 M01
3 M01, M05, M02
1 M01
1 M01
1 M02
1 M01
1 M01
1 M07
1 M07
1 S04E
07/08/2013
28/11/2013
21/12/2012
11/11/2013
11/11/2013
10/01/2013
20/03/2013
30/10/2013
26/01/2013
30/08/2013
27/04/2013
30/08/2013
13/11/2013
07/08/2012
27/06/2013
31/01/2013
15/08/2013
15/12/2012
31/07/2013
06/05/2013
06/05/2013
24/04/2013
24/04/2013
26/10/2012
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