Our Supply Chain has been working tirelessly over the past eighteen months to develop a modern day agreement to replace the out of date Vendor Accord, which is now over 20 year’s old. Following a long period of consultation with our supply chain and key departments within BAM Nuttall a new agreement called BAM Link has now been launched.

BAM Link offers a great deal of flexibility and provides for longer or shorter agreements depending on the requirements of the supply chain partner. It also allows for the incorporation of existing agreements already concluded with Royal BAM Group.

These new agreements are designed to have collaboration and alignment to our values as their core element. They are all supported by health and safety, bribery and corruption, modern slavery and other relevant company policies.

This flexibility has extended to the creation of five categories of vendor depending on the trading relationship that has been agreed by both parties. The categories are summarised as follows:

Commodity (CAT1)

This is applicable to our material suppliers, a price list or discount structure and agreed ancillary charges will be in place together with key contact points, electronic trading and location maps (if applicable).

Strategic (CAT1)

These will be based on work winning, mirrored cultures, assisting at prequel and bid stage, innovative partnerships and industry leading for technology and systems.

Mandatory (CAT1)

These are Board mandated and MUST be used and will require a Statement to that effect from the Board. This is applicable for Labour Suppliers, Operated Plant, PPE providers and Scrap Metal merchants.

Developmental Agreements (CAT2)

These would be SME companies who we are actively working with but would have specific development and mentoring targets to aspire to achieve CAT1 status at a point in the future. Mentoring can be achieved through us or external agencies. Ultimate goal is to Up-skill our internal workforce.

Current CAT3 vendors

These are the balance of our Supply Chain material, plant and subcontract vendors with whom we have held a transactional style relationship that is based on an individual order for all works. They have the potential to progress to CAT1 or CAT2 status.

A great deal of effort was made by the new supply chain team of James Lees, Julie Capon and Harry Ramsey to consult with our supply chain through a number of well organised, well attended forums and to craft an agreement that suited a diverse group of businesses.

BAM link is now being progressively rolled out and according to Senior Buyer Julie Capon “Our supply chain is really keen to sign the new agreement. They played a major part in the development of BAM Link so buying into it is so much easier than having an agreement imposed.”

James Lees, Head of Supply Chain and Asset Management added: “It is now imperative that the operational side of the business buys into BAM Link. We have selected vendors that are strategically important and these should be considered first unless a solid business case is developed to go elsewhere.”