Indian Railways : Suggestions for Process Re-engineering

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Indian Railways : Suggestions for Process Re-engineering From : Sumit Chakraborty BEE (Jadavpur University),Fellow (IIM Calcutta); Date : 12.3.2011

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Audience : – R&D and innovation cell of Indian Railways (IR) – IRCTC – CRIS – Academic communities – Ministry of Railways, Government of India Research methodology : – Experience of frequent rail travels – Case studies analysis – Summer training as a part of graduate engineering course – Critical observations and open feedback Corporate social responsibilities – HRM : Creation of new job opportunities – Case 1 : Fair and rational business practice Technology management : – Case 2 : Re-engineering of IR enterprise solutions – SCADA system for railway traffic control – Railway information system architecture Operations management : Case 3 Analytics for QoS ; Maintenance challenges: ERP, Security and safety policy, disaster management cell; Financial intelligence : ERP, Strategic pricing, Revenue management , Budgeting , Project management

Corporate Social Responsibilities • Human resource management : Great expectations ……

– Creation of new job opportunities in research and development, innovation, technology management, information and communication technology management, analytics. security and safety, quality audit, maintenance, transportation management (e.g. travel planning, route and mode optimization, load consolidation, freight management, shipment), warehousing, distribution and supply chain management, operations management, strategic management, HRM, CRM, financial management (e.g. managerial economics, budgeting, strategic pricing and revenue management), project management (e.g. planning and monitoring) – Technology and management consulting cell for process re-engineering and technology management; setting up new manufacturing plants, expansion and reengineering of old plants, new business models and retail outlets are expected. – Efficient talent acquisition , retention and training policy;

• Fair and rational business practice is essential for brand management. • Case 1 : Ticket no. 72954261, PNR : 612-8160661, Station: Ongole, AP; A packaged

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drinking water bottle Bi o was sold to the traveler by the railway catering service person at Rs. 20 though the MRP printed on the bottle was Rs. 15; the traveler raised the issue to the catering service person but the latter was adamant. Helpdesks and special assistance booths are really useful for checking PNR status, train schedule and platform allocation for arrival and departure of trains, emergency etc. Fairness and correctness in computation is expected. Hike in ticket price is expected to be announced publicly through common broadcasting channels. Fair and reasonable price should be taken for catered food and beverages from the travelers in running trains and at rail stations.

Technology Management • • • •

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Internal environment considers rail compartment and rail engines i.e. inside a train. Mobile charger : Each cell of a rail compartment may have universal multiple point mobile charging facilities to avoid waiting of travelers near the gates. But, the ticket price should include mobile charging cost. Solar power : Use of solar power inside trains and rail stations may be an interesting option in future. Healthcare : – Separate compartments or cells with special arrangements may be allocated to each train for sick, old and physically challenged people to ensure a clean, hygienic and disinfectious travelling environment. – The ticket reservation system should take care of such healthcare problems efficiently by collecting information from the sick travelers. – The sick travelers should use haggis during travel if not able to use toilets. – Emergency healthcare service and helpline should be arranged in each train. It is essential for long distance train. – Proper cleaning and disinfection of seats, floors and toilets are safe for the travelers after each trip. General compartments should have double tiers or two floors system with good toilets; folding seats are an interesting option. External environment considers rail stations, platforms and railway tracks. Security and safety : Deployment of mobile security workforce is expected to check malicious activities (e.g. smoking, irritating female, blocking toilets) of anti-social agents in running trains. Many times, the travelers with general tickets quarrel and argue to occupy seats in general compartments and also in reserved compartments of running trains. The security workforce should tackle the disputes intelligently. Railway safety rules along with mobile helpline should be displayed intelligently at strategic points of each rail station, platform and train. (Appendix 1) Disaster management cell should assess and mitigate the risks (e.g. accidents, stampede, rushing of the travelers during festivals or religious events, crowd management etc. )

Case 2 : Re-engineering of IR Enterprise Solutions •

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A fair and rational budget allocation is expected for the reengineering of Indian Railways Systems from the perspectives of a single shared architecture and ICT platform, fully modular, solution oriented, security and safety focused advanced technology. An efficient application integration is expected among control and monitoring, passenger information, security, network and telecom systems of trains, stations, tracks, tunnels, control centers and depots. The system should be able to ensure the security of rail passengers; monitor and capture the real-time data of each site to the mobile workforce and offer the complete visibility throughout the transport network. The train security system should be equipped with interior and exterior CCTVs with in-cab viewing, emergency intercom, real-time video and audio recorder interoperable with public address and passenger Information equipment for emergency event notification. The intrusion detection system should be able to detect foreign objects on tracks and alert staff. Tunnel cameras and sensors may be able to react rapidly to unexpected events including unauthorized persons on tracks, depots and yards. The security solutions for stations consist of CCTVs and PAs, readily accessible and easy-to-use emergency telephones, access control, intrusion detection and fire and smoke alarms. All are connected to a station controller, which includes a station console and alarms to the statio s security staff. The system should be connected to the Passenger Information system for emergency event notification. The operation control center requires security solutions having intelligence capabilities: policy-based, event-driven actions, scalable for small-to-large operation systems, and advanced video content analytics for detection of abnormal behavior. Interactive applications include remote camera control, playback, onboard surveillance camera viewing. The system can be integrated with an operational display system (ATS, SCADA, Passenger Information Systems) via a single user interface.

Case 2 : Re-engineering of IR Enterprise Solutions ( contd.) •

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An onboard Ethernet network integrates security data, seamlessly communicating to the ground-based backbone network by radio transmission or directly to the control center. This can be integrated with Private Radio Frequency communication systems. The train-based security solution provides operators with real time, end-to-end situational awareness and contextual information to respond to emergencies quickly and effectively. It allows remote and secured access to the system for authorized persons. ( See figures in next three slides) Railway operators face the challenge of guaranteeing efficient, safe, and punctual operation through Railcom manager; a communication management system. The passengers should be able to use mobile helpline number in the running train. Personnel and passengers need the right information at the right time and the right place. Suitable budget allocation is required for a safety critical system which integrates a rail security, safety and asset manager. The security staff should be smartly equipped with skilled dogs and should monitor the sitting of the passengers at the gates of the running trains. The security and safety policy and guidelines should be displayed inside the trains, stations and tracks. The consultants, project implantation team and vendors should be selected carefully.

Requirements Analysis of A SCADA System for Railway Traffic Control

Solar lamps

X-ray m/c

IR System Architecture

Operations Management for QoS •

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Indian Railways must require an optimal portfolio of intelligent information systems for high quality of services (QoS): – Transaction processing system – Business intelligence system – Knowledge management system (e.g. simulation) – Decision support system – Supply chain management system • Transportation management ( e.g. planning, shipment, freight) • Warehouse management ( e.g. receiving, storage, picking, packing, shipping) • Demand, production, capacity and inventory planning at plant level operations – Enterprise resource planning system • Sales & distribution • Material management • Finance and cost control • Human resource management • Maintenance • Revenue management and strategic pricing ( e.g. ticket reservation system) • Project management A fundamental rethinking and radical redesign of various systems and business processes can bring dramatic improvements in business performance.

Case 3: Analytics for QoS •

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Define an intelligent Business Performance Scorecard . – Identify critical performance metrics or parameters. – Select a simple rating scale : [ e.g. 1-5; Excellent (5), Good(4), neither good or bad(3), Fair (2), Poor (1)] – Identify a group of innovative, skilled, knowledgeable and experienced raters; the raters should observe the systems and give rating to various performance evaluation parameters independently and freely through a true, unbiased feedback system. – The raters should analyze as-is system, find out gap and design to-be systems through logical suggestions and recommendations. Compute aggregate score. Critical performance metrics are associated with revenue management system, train and train service and rail stations. Revenue management system : Ticket reservation system is expected to support as follows. – Efficient queue management system is expected for scalable operations at major stations . – Separate counters for Tatkal, ticket cancelation and general enquiry; – Special ticket reservation system for sick, old, physically challenged people; – Strategic discriminatory adaptive pricing may optimize revenue. Revenue leakage : Passengers buying general tickets are often travelling in reserved compartments without giving penalties; sometimes they share seats with their friends; sometimes they hide in toilets to avoid the ticket checkers. It causes revenue loss of IR.

Performance Metrics of Trains and Train Services

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Train compartment design : check ladder design for getting up to the top and side berths; it should be user friendly for old, sick and fat people. Check the space and height of the seats and berths, eating table, mirror, tap water and basin ; the emergency exit window should be well-marked and user-friendly. Each seat should be properly marked; the passengers should be able to see and understand the seat markings easily using mobile phone or torch light at night. Power supply and electrical system : Check the proper functioning of lamps, fans and mobile chargers; energy efficient systems are expected. Air conditioning system : Check the system performance for AC coaches. Water supply : Water supply is expected to be streamlined for washing, bathing and natural activities; it is important for long distance trains. Food and beverage services : Check quantity, quality , taste and price of food, beverages and mineral water offered by catering services; restrict the trading of cheap quality unhygienic food at low price. General cleanliness of compartments : Check the cleanliness of seat, berth, floor, walking space, and toilets. The passengers should be conscious of their social responsibilities. Toilets : Both western and eastern green toilets should be available; check space; the toilets should be cleaned several times with a gap of min. 8 hours. The design of waste collection of the toilets need rethinking. Telephone tap water system may be used for natural activities and bath otherwise the passengers make the toilets dirty with plastic bottles. Security Ticket checker / guard : High commitment is expected in ticket checking and solving the problems of the passengers and dynamic seat allocation. IRCTC staff attitude : Friendly, cooperative attitude can enhance the revenue of IRCTC. Passenger concerns : Some passengers misuse toilets and make compartments dirty; smoke at night inside the compartment; young folks shout at night. Mobile security force should monitor and check the behavior of the passengers. Train engine status : check vibration, noise and performance of engine. Soft braking system is desired. Pilot : Age, skill and experience Punctuality in travel

Performance Metrics of Rail Stations • • •

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Security for asset management : Security posts close to the rail stations are expected. Asset utilization : Check capacity utilization factor. Promotion and marketing : Retail outlets are expected to be traded properly; more retail outlets and / or multi-functional complexes are welcome on duty free goods like leather products, electronics goods, toys, garments, fashion goods, jewelries, handicrafts etc.; travel and hospitality businesses can be advertised and promoted well. Medicare / healthcare facilities : Suitable healthcare facilities / medicine shops are desired for emergency situation. Battery operated vehicles may be used to carry old, sick people and kids. Entry / exit roads : Traffic congestion and space constraints can be monitored. Signage in and around rail station should be simple and user friendly. Vehicle parking facilities : Space constraints are critical factors. Public surface transport to and from rail stations : It is a critical issue at night. Availability of walkalators, escalator and lifts Trolley for carrying load : availability and quality may be monitored. Train information system : Check visibility, relevance and quality of infrastructure; the information content should be updated properly in real time in local, Hindi and English languages. LCD displays are easily visible than old LED system. Public address system : Check audibility and clarity. It should be a robust, technologically sophisticated system embedded with creative speakers. Loud sound should not be cracked .

Performance Metrics of Rail Stations (contd.) • • • • • • • • • • • • • • • •

General cleanliness of the terminal building : Rats can be used for cleaning of railway tracks; sophisticated green train toilets ( like air crafts) can improve the cleanliness of railway tracks at rail stations. Cleanliness of washrooms Space availability & seating arrangement : fans should be provided at strategic locations for the comforts of the passengers. Air- conditioning : The waiting rooms should be air conditioned. Lighting facilities : Solar power energy cells can be installed for optimal illumination. Drinking water facility : Cold water can be sold by filling bottles at nominal rate during summer. Choice of food and beverage outlets : More varieties at reasonable price are expected. Phone booth / cyber café : Local/ STD/ ISD/ mobile phone booth and cyber café is desired. Speed of luggage delivery Attitude of staff Check-in ease either through help desk or self check in facilities Security check up : Check ease and staff attitude; verify the performance of digital X-Ray machines . Public bus service : Check the frequency of bus, auto and taxi service in day-time and late night. Prepaid taxi or auto counter / rented cars for fair price Disaster management arrangements Suggestion box and online feedback system is an interesting option.

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Maintenance objects : Identify critical objects for effective service contracts. – Trains ( e.g. mechanical and electrical systems) – Railway tracks – Platforms – Stations – Information system ( e.g. computing, data, application, security, networking schema) – Communication system ( e.g. Railway signaling system) Deploy web enabled ERP Maintenance Module for various business functions : – Maintenance scheduling for periodic and preventive maintenance – Maintenance service contracts management – Verifi atio of syste relia ility e.g. e gi e s effi ie y, pai ti g – Workflow management ; efficient workplace management – Spare sparts management • Demand planning • Inventory control • Sourcing • Quality control • Revere logistics • Invoice processing – Human resources management ( e.g. high commitment, work culture, performance evaluation) Use of modern technology, method and tools for the improvement of productivity and quality of maintenance. Define and announce the railways security and safety policy to the workforce and the public intelligently. Disaster management cell formation

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The railway authority should broadcast security and safety rules at rail stations through audio and video channels such as public announcement system, TV and LCD display. There is a common trend that the young folks, children and ladies passengers sit at the gates of running trains for comforts from the cool air or due to lack of adequate space in a crowded train. – Do t sit and hang at the gate; near toilet and couplings between two compartments. – Wait at a rail station patiently and do t cross the danger line. – Use railway over bridge instead of crossing rail lines. – Do t use mobile phones while crossing the rail line. – Do t take risk to board into a running train. Wait for the next train. – Be alert of theft of luggage at rail stations and in the running train; do t eat food or beverages offered by the other passengers. – Do t smoke in running train. Impose fine on the passengers sitting at the gate or couplings of the compartments of express, local and superfast trains or hanging from the trains. Railway security force should be alert and check the gates periodically. The seats, toilets, floors and the walking passage of each train should be washed for disinfection periodically. There should be first aid and preliminary medicare arrangements in each train for emergency; a cooperative communication channel is an interesting option; each passenger should know the free helpline toll number for each express and super fast train. In case of emergency, a passenger should be able to contact the helpline number through mobile phone so that the guard and ticket checker can help the distressed passenger. Advertising and promotion of education, healthcare and travel and hospitality business can be done effectively and intelligently at each rail station and also inside the train.

Financial Intelligence •

Deploy web enabled ERP system having FI-CO Modules for – Revenue management : Detect possible sources of revenue leakage. • Reduce the use of poor quality materials through strict vendor control; • Identify the passengers not buying tickets and carrying load as per rules; • Reduce system failure through proper maintenance; • Proper technology management in time; • Process and system re-engineering ; • Improve productivity through use of information and communication technology; • Cost control – Strategic adaptive discriminatory pricing policy is expected to be adopted. – Combinatorial auction mechanisms in freight rate settlement and e-procurement – Asset management : Identify unutilized assets and use or dispose the same applying business intelligence. – Rational Rail Budgeting through fair fund allocation and portfolio optimization – Project management • Project planning and monitoring • Resource allocation • Infrastructure development in terms of new trains and new network connectivity in rural India and remote zone; rail hospitals and rail academies.

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