Train operator signals supplier cull

Eurostar wants to work with less vendors

Eurostar is planning to cut the number of IT vendors it uses by half as part of a strategy to increase efficiency and reduce costs.

The pool of suppliers for the high-speed train service includes about 20 to 25 companies, such as Atos Origin, Thalys, Telstra and JDA Software, but chief information officer (CIO) Jean-Pierre Gilbert wants to downsize.

“There will be an increased focus on limiting the number of suppliers we sign contracts with. The idea is to work more in partnerships to have a better economic and strategic view of the services being provided,” he said.

“Fifteen would be ideal. We want firms that can understand our strategy and work with us in the long term.”

Supplier rationalisation is not new to Eurostar.

One of Gilbert’s main tasks when he joined the company from French national rail company SNCF in 2005 was to take a closer look at its vendor base.

During that review, Eurostar faced issues related to getting suppliers to buy into the new IT strategy ­ the setup of the network and security being the main areas of concern at the time.

The result was the disposal of half of about 50 companies providing services previously.

“We had plenty of meetings where we illustrated our new strategic plan by using our internal expertise, but sometimes it is hard to force some people to do exactly as they are told,” said Gilbert.

“My job is to share work between internal and external manpower. We will not build a technical function, but manage the delivery of technology to meet business needs,” he said.