{ "docId": "019dd923-5de0-76bd-a165-578b9862173f", "docSlug": "091122f6e046fa86", "documentTitle": "Rail industry cost and revenue sharing (2011)", "authorId": "misc", "authorName": "L.E.K.", "documentKindSlug": "consulting-deck", "documentKindLabel": "Consulting deck", "sourceTypeSlug": "strategy_consulting", "sourceTypeLabel": "Strategy consulting", "presentationDate": null, "orientation": "landscape", "aspectRatio": 1.414, "pageNumber": 159, "pageCount": 170, "prevPage": 158, "nextPage": 160, "slideType": "pain_points", "function": "diagnose", "density": "overcrowded", "nDataPoints": 0, "notes": "The slide uses quotes from stakeholders to illustrate specific pain points in the planning process.", "elementsJson": [ "headline_text", "bullet_list", "quote_block" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-5de0-76bd-a165-578b9862173f/159", "deckHref": "/decks/019dd923-5de0-76bd-a165-578b9862173f", "deckJsonHref": "/decks/019dd923-5de0-76bd-a165-578b9862173f.json", "deckAnchorHref": "/decks/019dd923-5de0-76bd-a165-578b9862173f#slide-159", "components": [ { "bbox": { "h": 0.03, "w": 0.8, "x": 0.102, "y": 0.5 }, "kind": "list", "text": "There have also been instances of the DfT delaying schemes by changing its mind", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "1e5f2726-4065-44c8-a00e-823793198b0c", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.8, "x": 0.102, "y": 0.84 }, "kind": "list", "text": "Although NR is incentivised to deliver enhancements below budget many TOC stakeholders think that TOCs could deliver schemes much more efficiently (particularly for stations and depots)", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "597b3867-4a67-4cec-9be8-917a29df296d", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.07, "w": 0.8, "x": 0.102, "y": 0.405 }, "kind": "list", "text": "Some HLOS enhancement packages have been undermined by DfT only procuring part of the package. For example, platform lengthening has gone ahead without procuring the rolling stock that would use the enhancement", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "63bdb32d-f6ff-4acf-9e21-e90cb718ba26", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.07, "w": 0.8, "x": 0.102, "y": 0.34 }, "kind": "list", "text": "Train operator involvement in developing the CP4 HLOS schemes was relatively limited. It mainly happened indirectly through their input to NR's RUSs. ATOC has initiated a process (\"planning ahead\") to increase TOC involvement for CP5", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "7150ed57-4a58-439f-89a1-caa4b8d62066", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.8, "x": 0.102, "y": 0.278 }, "kind": "list", "text": "Some stakeholders think that giving NR responsibility for developing RUSs leads to them favouring infrastructure solutions over other forms of solution", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "7257cd0d-e360-4972-a442-a133ae3c8560", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.09, "w": 0.8, "x": 0.102, "y": 0.63 }, "kind": "list", "text": "One of the key issues with enhancements is that the industry sees enhancements as a free good. Neither NR nor TOCs normally have an incentive to value engineer schemes to ensure that they deliver the required capabilities and other outputs at the lowest cost. Delivery of value for money in terms of scope is largely dependent on ORR oversight", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "76db663a-22ea-4878-93f6-c363af04171b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.06, "w": 0.75, "x": 0.14, "y": 0.76 }, "kind": "list", "text": "TOCs are generally held harmless to changes in FTAC so do not end up paying for RAB funded enhancements (there are some exceptions to this such as TOC self-financing schemes where the TOC payments are ring fenced outside periodic reviews for enhancements)", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "850a0d2e-d0cc-4b39-8040-2597d874be3d", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.75, "x": 0.14, "y": 0.725 }, "kind": "list", "text": "NR is happy for the cost of enhancements to be added to its RAB as it receives an allowed return on its RAB", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "b22036e1-f451-4468-948c-4dadce9a7c84", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.06, "w": 0.75, "x": 0.14, "y": 0.545 }, "kind": "quote", "text": "\"... The government decides what it wants to buy. Then we go through the process of writing the Strategic Business Plans. Then the government changes its mind. This stop start planning process doesn't allow any smoothing of the supplier base ...\"", "attrs": null, "subkind": "pull-quote", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "84365086-4b52-46d4-8492-5d604ca55a0c", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.7, "x": 0.14, "y": 0.465 }, "kind": "quote", "text": "\"... Network Rail have millions to spend on platform lengthening, but we have no vehicles yet ...\"", "attrs": null, "subkind": "pull-quote", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "cdad3006-b375-4d19-b6bb-593d28557b0e", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "The government decides what it wants to buy. Then we go through the process of writing the Strategic Business Plans. Then the government changes its mind. This stop start planning process doesn't allow any smoothing of the supplier base.", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd951-edac-778d-bcbd-02a6fe393a6f", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.3, "x": 0.1, "y": 0.93 }, "kind": "source-note", "text": "ORR/ATOC/Network Rail. Rail industry cost and revenue sharing.", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "04b17ab4-aec3-454d-b1c0-5179a1b36a8c", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.8, "x": 0.102, "y": 0.158 }, "kind": "title", "text": "Planning and enhancements (2 of 2): There are a number of issues with how enhancements are planned and delivered", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "6bcf53e6-0d52-4829-8d12-5dc4a1b58cf3", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }