1. INTRODUCTION

WHAT IS INNOVATION?

Innovation is often associated with new technology, research and development, investment programmes, design, project management, finance, and procurement. However, in practice, the softer aspects of innovation such as building networks and relationships, team working, people and stakeholder management, and early stage governance of projects are equally important.

Innovation can come in many forms and sizes: the advent of the railway, the motor car, the internet and the smartphone are all examples of innovation, and in particular of disruptive innovation that resulted in a step change in society. Such innovation brings huge benefits and is vital; after all, transformation can’t be achieved without significant change. However, disruptive innovation typically requires a large investment committed over long periods of time, with substantial uncertainty.

Innovation is not just about large-scale technological transformation. Experience shows that over time, the accumulation of small improvements in process, people, and technology – known as incremental innovation – can also have a significant positive impact. Incremental innovation is not necessarily expensive, risky, or about radical change, but can create a culture that seeks to deliver the best outcomes for all stakeholders.

Figure 2 - Innovation is more than new technology

Innovation is the creation and implementation of new processes, products, services, and methods of delivery which result in significant improvements in outcomes, efficiency, effectiveness or quality2

INNOVATION IS A KEY ENABLER FOR TFN

Embracing an innovative culture can have a transformative impact on large-scale projects and is one of the key drivers that underpins enhanced outcomes across different types of projects. Innovation will be a key enabler of infrastructure and connectivity improvements in the north that are essential in reducing the northsouth divide and levelling up the British economy.

With passenger numbers decimated during most of 2020 due to the COVID-19 pandemic, while freight continues to be the backbone of the country, innovation is needed not only to efficiently build Northern Powerhouse Rail (NPR), but also to rebuild and enhance public confidence in transport. It is also the opportunity of a lifetime to change the status quo for the better.

For TfN, innovation has an important role to play in the procurement of infrastructure and services, transforming passengers’ experience of transport; and improving business processes and ways of working. In each of these areas, innovation can help to deliver outcomes, reduce costs, improve the efficiency of supply, and create demand for a new way to deliver rail services.

This White Paper reflects the experiences of a crossindustry group of professionals in enabling innovation within rail. It is intended to offer insight and recommendations to support TfN in its journey of transforming rail in the north.

2 Mulgary, G. and Albury, D. (2003) Innovation in the Public Sector. Strategy Unit, Cabinet Office, London.