North East Company first non aerospace firm to win prestigious National Supply Chain Award

Astrum (UK) Limited, based in Stanhope, County Durham, specialising in the manufacture of track systems and running gear for armoured fighting vehicles and cast steel products has become the first UK non aerospace Company to win a prestigious National Supply Chain Award.

Initiated by the SBAC in 2006, Supply Chain for the Twenty First Century (SC21) is a change programme which aims to accelerate the competitiveness of the UK's defence and aerospace industry by raising the performance of the supply chain. To date over 400 companies have signed up to the programme including the UK Government’s Ministry of Defence and BAE Systems but only a handful of companies have achieved award status, making Astrum’s achievement even more significant.

Participating SC21 companies sign up to a formal recognition process which reflects their contribution and commitment of their supply chain. Organisations achieving and maintaining agreed criteria in terms of delivery, quality, sustainable improvement and the associated continuous improvement frameworks (business and manufacturing excellence) receive recognition in the form of an award sponsored by a SC21 founder company, in Astrum’s case this was BAE Systems

Achieving supply chain improvement is critical to the continued competitiveness of the UK aerospace and defence industry and SC21 aims to accelerate the process. With international competition increasing, the participation of companies of all sizes throughout the UK supply chain is crucial to delivering real results from this modernisation programme.

Phil Kite, Managing Director of Astrum (UK) Limited, said:

“Signing up to SC21 was a very straightforward decision for Astrum. We initiated our continuous improvement programme in 2005 and taking part in SC21, which recognises the importance of best practice throughout supply chain, reinforces Astrum’s own commitment to offering its customers the best quality, service and delivery.

Being one of only a handful of companies and the first land systems Company, sponsored by BAE Systems, to win a SC21 award is special and we are confident that this recognition will enable us to access potential new customers. Being joined in the programme by the Ministry of Defence, who signed up in 2008, shows the significance of the initiative.”

Steve Langsford, BAE Systems Land Systems Weapons & Vehicles Procurement Director, said:

“BAE Systems continues to make good progress with its procurement transformation within the Weapons & Vehicles business, and is making significant improvements in supply chain efficiencies, particularly with the work undertaken on SC21 with Astrum.

We appreciated that a good, cooperative business relationship existed which was evidenced by responsive communications, performance and solution development, which already provided BAE Systems, Astrum and the UK MoD with a good supply chain relationship. The work which has been undertaken with, and commitment to, SC21 is enabling us to build upon this further for our futures. I am extremely pleased with the progress we are all making, and am delighted with the achievement of Bronze accreditation, which represents the first accreditation sponsored by BAE Systems.”

Neal Dobby, BAE Systems Land Systems SC21 champion added:

“Astrum is a key supplier to both BAE Systems and the UK MoD and following SC21 activities jointly undertaken with the UK MoD, Astrum has produced and delivered a Continuous Sustainable Improvement Plan (CSIP), comprising key criteria which has been reviewed and agreed against SC21 criteria, which enabled BAE Systems to make a formal submission to the Society of British Aerospace Companies (SBAC) for independent review aiming for formal accreditation to SC21. SBAC has confirmed Astrum will be receiving a SC21 Bronze award which will be presented at the next Task Force meeting on the 9th December.”

Gary Wade, Directorate of Supplier Relations, Ministry of Defence said:

“‘The 21st Century Supply Chain programme, to which the Ministry of Defence became a signatory in July 2008, makes a significant contribution to increasing the competitiveness of the UK aerospace and defence industry at all levels. We welcome all companies’ engagement with the programme and acknowledge the effort and commitment demonstrated by Astrum (UK) Ltd in achieving this award and the support provided by BAE Systems.”

Trevor Harrison, Managing Director of NDI said

“This is a tremendous achievement for Astrum who is an important and valuable member of NDI.

It is particularly significant that Astrum are the first non aerospace supplier to successfully undertake the process as this demonstrates that the principles and practices that underpin SC21 are applicable to all suppliers in the defence industry.”

Russ Armitage, Chairman of SC21, said:

“The future of the UK aerospace and defence industry depends on having an efficient supply chain if we are to remain globally competitive. I believe that SC21 is the way to achieve that.”

Astrum (UK) Limited - Key Facts

Astrum (UK) Limited, based in Stanhope, County Durham, works in partnership with customers to provide a complete engineering solution, supplying cast products and complex engineered assemblies in high strength steels, other metals and polymers. Our worldwide reputation, in the defence, earthmoving and intermodal markets, is built on our continuing investment in our design and manufacturing technologies, and the people we employ.

Astrum is a world leading designer and manufacturer of track systems for Armoured Fighting Vehicles (AFV’s). A key supplier to the British Army and BAE S LS, Astrum also exports track systems around the world including tracks for Main Battle Tanks (MBT’s), Infantry Fighting Vehicles (IFV’s), Armoured Personnel Carriers (APC’s) as well as specialised armoured support vehicles.

Armies operate across the globe and track systems have to perform in a wide variety of challenging environmental conditions and be designed to cope with the considerable variation in temperature, terrain and duty cycles.

Astrum is at the forefront of the design and manufacture of track systems, associated structural components and running gear, supporting its customers throughout the world with the latest innovative technology.

Astrum also operates in the earthmoving and intermodal markets supplying cast steel products and assemblies to blue chip companies such as Caterpillar, MMD & Smidth.

Astrum has 280 employees and an annual turnover of £40m.

BAE Systems Land Systems - Key Facts

BAE Systems is the premier global defence and aerospace company delivering a full range of products and services for air, land and naval forces, as well as advanced electronics, information technology solutions and customer support services. With 97,500 employees worldwide, BAE Systems' sales exceeded £15.7 billion (US$ $31.4 billion) in 2007.

•3rd largest global defence company
•6th largest US defense company
•97,500 highly skilled people
•Global capability
•Customers in over 100 countries
•Annual sales exceed £15.7 billion
•Annual R&D spend exceeds £1.4 billion
•More than 100 new inventions every year

SC21 - Key Factors

Fundamentally, Supply Chain for the Twenty First Century (SC21) is designed to transform and accelerate the competitiveness of the UK Aerospace and Defence industry which will help it to sustain and grow.

Chief Executive Officers from companies such as BAE Systems, Ultra Electronics, Smiths Aerospace and Thales (this list is not exhaustive) have signed their commitment to transform their supply chains to be the “Supply Chain for the 21st Century”.

•Nineteen founder companies signed up to the launch of SC21 at Farnborough International Air Show in July 2006.
•To date over 400 companies and regional trade organisations have committed to SC21.
•UK Ministry of Defence are fully engaged in the programme.
•BAE Systems is a founder member and is taking a leading role in SC21
•All levels of companies within the supply chain are encouraged to take part in SC21. There is no financial cost but full engagement requires resource and commitment


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Astrum
Station Road
Stanhope
County Durham
DL13 2YR
UK

Tel:  +44 (0)1388 528248
Fax: +44 (0)1388 528879

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