This paper examines the changes made to the business of the National Rail Corporation Ltd from 1992 to 2002, the strategies used to achieve 'turnaround' of its national network business, and the evolving policy framework in which these strategies operated. The major strategies used to achieve financial turnaround were re-engineering terminal and line-haul (to increase control over service delivery); creating IT-based customer interfaces; operating fewer longer trains (to reduce train hours and provide a reservoir of low marginal cost capacity); acquiring a new single-type locomotive fleet (to ensure reliable motive power and reduce costs); acquiring new wagons (to reduce tare mass and maintenance costs); and attracting business in new markets (by offering innovative services and exploiting open access regimes to leverage market share growth on regional rail networks). Open access to the national rail network delayed profitability, but made the ultimate turnaround more robust. In financial year 2000/01, National Rail reported a profit of $2.3 million and an EBITDA of $67.6 million. (Author/publisher) For the covering entry of this conference, please see ITRD abstract no. E209537. This paper may also be accessed by Internet users at: http://www.btre.gov.au/docs/atrf_02/program.html
Abstract