Rail and Transportation Hubs

Rail companies that specialize in passenger or freight business will face significant challenges and opportunities in the months and years ahead.

The passenger market players are facing rising competition with traditional and non-traditional transport modes, especially in the low-cost segment with flexible offerings. At the same time, freight carriers face continued market fragmentation, price pressure, and the need for ongoing infrastructure upgrades. The winners will be companies that can step up performance, control costs, engage and cement the loyalty of their customers, foster digital innovation, and exceed their customers’ expectations.

What Drives Top Railway Performance

The 2015 European Railway Performance Index draws a close link between railway performance and public cost. Specifically, countries that derive the most value from public spending on railway systems also allocate the highest percentage of subsidies to infrastructure managers. But increased public spending alone isn’t enough to achieve top railway performance. Other essentials include:

  • Asset and network optimization
  • Marketing effectiveness
  • Operations performance
  • Strategic workforce planning
  • Governance efficiency

By obtaining a better understanding of the most effective and transparent models for allocating public subsidies, players can gain valuable insights into what drives European railway performance.

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