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United Kingdom 2018: The Team Elite

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United Kingdom 2018: The Team Elite

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Network Rail

Team size: 26 Major legal advisers: Addleshaw Goddard, Dentons, Eversheds Sutherland Network Rail has attracted attention for ripping up the rule book on legal panel design to try to deliver...

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Network Rail GC Stuart Kelly’s second stint at the UK railway infrastructure owner, and subsequent promotion to its top legal job in early 2017, has come with what he describes as a more focused alignment of the legal team and the business’s needs – a ‘massive shift from a decade ago’. Kelly believes this is the engine behind his 26-strong legal team and has led to legal becoming more embedded within the organisation. Such an approach is highlighted by Network Rail’s longest-ever panel review process, kick-started in early 2018 for work that could be worth up to £70m over five years from next April. This panel review is Kelly’s first since being promoted from deputy group GC following the departure of Suzanne Wise in March last year to Japan Tobacco International. Network Rail’s new panel is expected to cover a full range of legal services to support the in-house team on its corporate functions and route businesses between 2019 and 2024. The £70m will be spread among a small number of suppliers Network Rail expects will provide innovative approaches to ensure value for money. The tender document says: ‘We would like to encourage prospective bidders who are forward thinking, committed to innovation and who are open to alternative ways of delivering our requirement for a full legal service.’ The review will be led by Network Rail routes businesses GC Dan Kayne, who, along with group and Europe GC Steve Davey, was recently promoted and earns praise both internally and externally for his work. Kelly says Network Rail will spend longer working on its new panel than the company has ever done before, aligning it with a new five-year corporate strategy for the overall business: ‘The whole organisation has been on a journey towards more devolution from the centre – it has been quite political – and we’ve evolved to match that corporate devolution.’ Network Rail is also working with a legal software start-up Apperio, which boasts online food delivery company Deliveroo as a client, and is implementing new data systems ahead of its new panel in 2019, which Kelly describes as the beginning of the firm’s technological journey. Another key project is the disposal of Network Rail’s commercial property portfolio, which could be worth more than £1bn. About 5,500 properties were put up for sale in England and Wales in a bid to provide a significant cash injection to the railway owner, which is spending £130m on infrastructure investment every week. This work is being led by Network Rail property GC Cathy Crick. ‘It’s one of our biggest transactions. This is an extraordinary disposal that has dominated their workload,’ Kelly says. Kelly draws praise from Eversheds Sutherland executive partner Ian Gray, who comments: ‘Stuart is an understated individual who is incredibly well-organised. He has a challenging brief, which attracts a lot of attention. Despite this, it feels like he is running that very well.’

 

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