State Transit Authority. Corporate Plan June 2016 (Issue 5) State Transit Authority. Corporate Plan June 2016 (Issue 5) 1
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1 Corporate Plan June 2016 (Issue 5) Corporate Plan June 2016 (Issue 5) 1
2 Contents Chief Executive s Message...3 Our Business...4 Our Challenges...4 Our Ambition...5 Our Initiatives...5 Priorities, Goals and Success Indicators Customer Experience Operational Performance Financial Sustainability People Safety & Environment Corporate Plan June 2016 (Issue 5) 2
3 Chief Executive s Message Peter Rowley, Chief Executive State Transit prides itself on the quality of the service that it provides to communities in Sydney and Newcastle, continually working to fulfil our purpose of providing safe, comfortable and efficient services. State Transit also prides itself on its efficiency and cost effectiveness as an operator, but we now face significant competitive pressures to further improve our cost effectiveness. The four Sydney Metropolitan Bus Service Contracts signed in 2013, and the Newcastle contract signed in 2014, allow State Transit to continue to provide efficient and reliable bus services to the people of Sydney and Newcastle. I am excited to have the opportunity to work with Transport for NSW to further strive to improve the overall travel experience of our customers. We operate thousands of services 24 hours a day, reflecting the needs of a world city. State Transit has always aimed at ensuring that our customer experience is as good as it can be and will continue its strong focus on customer service, service delivery and improving the efficiency of its operations. State Transit will continue to meet the challenges facing it in order to provide and improve our customers experience. I know this as I have the commitment of all the fine people working here in State Transit. State Transit carries its 80 year history with great pride. We have carried our customers to their destinations over these many decades as Sydney and Newcastle have evolved into complex major cities with all the benefits and challenges that urban growth brings. State Transit has always aspired to be the best and we have proved that we can be the best. The next few years presents the opportunity to further improve the delivery of our service standards with better targeted and more easily accessible information on services. State Transit Corporate Plan With the priorities outlined in this Corporate Plan, State Transit will continue to deliver its high standards of service well into the future. It communicates to our stakeholders and the community our vision for bus transport and how we will service the needs of the community safely and efficiently. It guides our service delivery, priority setting, resource allocation and policy focus for the next five years. It explains how our services will be developed and implemented, where we will focus our efforts and what the community can expect from us. This Corporate Plan has been designed to align with and complement the Transport for NSW Connecting NSW and the New South Wales Government s State Priorities. Corporate Plan June 2016 (Issue 5) 3
4 Our Business We are the largest and most modern bus operator in Australia and we manage one of the largest bus networks in the world. Our services are designed to meet the needs of our community and to provide safe and reliable travel to work, schools, universities and TAFE, shopping, entertainment, hospitals and to visit family and friends. We provide services to more than 206 million passengers every year through a bus fleet totalling more than 2,150 buses. We perform thousands of hours of maintenance per year to maintain our performance and safety levels. Every working day, State Transit operates more than 16,000 services, across more than 310 routes and carrying more than 640,000 passengers safely to their destination or to another transport service. Our customers are transported 95 million kilometres every year and are serviced by more than 5,000 employees. We were established under the Transport Administration Act 1988 and operate, as do all NSW bus operators, within the regulatory framework of the Passenger Transport Act 1990 (as amended). We operate in a contestable environment and deliver public transport services in Sydney and Newcastle as contracted by Transport for NSW. The services are provided under four Sydney Metropolitan Bus Service Contracts (SMBSC) and one Outer Sydney Metropolitan Bus Service Contract (OSMBSC) in Newcastle. State Transit is remunerated under the SMBSC and OMBSC by Transport for NSW, and these payments form the operating budget for achieving the objectives and delivering the actions set out in this Plan. Our capital budget is as per NSW budget papers, and budgets are allocated to programs within this plan. Our Challenges State Transit operates in the highest density parts of Sydney and as a result faces daily challenges to the reliability of its services. There are limits to what State Transit s mitigations can do in the face of unpredictable factors that are outside its control such as traffic accidents or other issues affecting the smooth flow of traffic. At the same time, State Transit works closely with Transport for NSW and Roads and Maritime Services on programs to expand bus priority measures to enhance the reliability of bus services on the major corridors. Our challenges include: Improving our customers experience and service quality Integrating our services within the overall transport networks in Sydney and Newcastle Meeting performance measures to secure second and further terms of our operating contracts Working in partnership with Transport for NSW in designing our operating network of bus routes and timetables that are simple to understand, frequent, direct, reliable and accessible and aligned to the broader transport network Meeting the changing needs of the local communities with rapidly changing travel patterns and demands Increasing our productivity and cost optimisation to ensure that State Transit remains competitive Supporting and working with Transport for NSW to ensure success of the transport cluster and to manage expectations of stakeholders Maintaining the safety of staff, customers and road users Corporate Plan June 2016 (Issue 5) 4
5 Our Ambition Responding to the major reforms in transport currently underway in Sydney and Newcastle, State Transit will continue to invest in its people and systems and rise to the challenge. State Transit s ambition is to work in a truly effective partnership with Transport for NSW to enable us to be the leader on performance, customer experience, safety and the skills and responsiveness of our staff and culture. Our Vision To be the industry leader for bus transport in Australia State Transit is a service provider in the Transport cluster in New South Wales. Our team is highly experienced and skilled in effective service delivery. Our customers have high expectations of us and rightly so. We will work with Transport for NSW in building a better experience for our customers. Our Purpose To meet the growing bus travel needs of the community, safely and efficiently At State Transit our purpose is to deliver reliable, safe, clean and integrated services in the Sydney and Newcastle transport networks that meet the needs of our customers in a sustainable way. Our Initiatives To achieve our Vision and Purpose, State Transit has developed a set of frameworks and strategies to deliver improvements on our services to further enhance the customers overall journey experience. This includes the development of Quality Customer Outcomes, through which State Transit will focus on providing customers with a consistently high level of customer experience by consolidating the positive services currently being delivered as well as building our capability to better understand and deliver for the needs of our customers. This program includes all aspects of a customers journey experience, from ensuring that services are reliable and compliment the overall journey experience; to providing a high quality modern vehicle; enhancing our staff s interaction with our customers; and by ensuring communications to customers meet their real and actual needs. State Transit will also work with Transport for New South Wales, and the Centre for Road Safety, on the implementation of the Bus Safety Action Plan to improve road and passenger safety for State Transit bus operations. The plan is aimed at improving safety outcomes for passengers, pedestrians and other road users through improved bus safety management practices. Corporate Plan June 2016 (Issue 5) 5
6 Priorities, Goals and Success Indicators State Transit has designed a corporate planning framework that aligns with the strategic directions of Transport for NSW and accommodates our responsibilities for: Our targets and priorities aligned under the strategic directions in the Transport for NSW Corporate Plan, Connecting NSW The requirements of Transport for NSW for the delivery of Bus services under its Sydney Metropolitan Bus Service Contracts and Outer Metropolitan Bus Service Contract The targets and objectives of the State Priorities Working together with Transport for NSW as an operating agency in the Transport cluster Delivering our regulatory obligations for Work, Health and Safety with our Regulators, as well as meeting our Self Insurance requirements with the State Insurance Regulatory Authority (SIRA). Ensuring the safe delivery of transport services for all passengers and staff A key element in building an organisation that is innovative and competitive is to set clear goals and objectives. The framework of the State Transit Corporate Plan has been designed around these objectives and presented in the five key strategic themes or Key Result Areas set out below. These are our key areas of effort to achieve our Vision and Purpose. 1. Customer Experience 2. Operational Performance 3. Financial Sustainability 4. People 5. Safety & Environment Corporate Plan June 2016 (Issue 5) 6
7 1. Customer Experience Our Aim State Transit prides itself on the quality of the service that it provides and we continually work to improve our services and operations. State Transit s aim is to improve our customers experience of travelling on our services, from when their journey starts when they decide to travel on our service and continuing until they safely alight our bus at their required destination. Their experience includes how and where they access information about our services, safely using our buses and the help they receive from our staff. Their experience therefore comprises much more than the time spent riding on a bus. State Transit aims to focus additional effort on improving our customers experience to achieve increased patronage and increased customer satisfaction. State Transit will drive these improvements through the application of the Quality Customer Outcomes initiative, to enhance our customers overall journey experience Strategies Improve customer experience with transport services and the satisfaction of our customers with our services by enhancing the quality of our services. 1.2 Reduce travel times by reducing the difference between scheduled and actual public transport travel times. 1.3 Work collaboratively with Transport for NSW to build a culture of customercentred service delivery. Key Actions Customer Satisfaction a. Work in collaboration with Transport for NSW on designing the bus network to ensure that communities have convenient access to services 7 days a week and on major corridors 24 hours a day. b. Work in collaboration with Transport for NSW on the allocation of service levels of frequency and capacity to meet the needs of communities based on rigorous research and community consultation. c. Provide effective and complete information on services at all bus stops, through our websites and other channels and on board our buses. d. Acquire and maintain buses that meet the service standards for comfort for air-conditioning, seat spacing and overall capacity (standing and seating). e. Support and work with Transport for NSW in the implementation of the Transport for NSW Disability Action Plan f. Support and work with Transport for NSW in the implementation of the TfNSW Multicultural Policies and Services Plan Performance Focus Areas Increasing customer satisfaction Ensuring ongoing compliance with disability access requirements Corporate Plan June 2016 (Issue 5) 7
8 2. Operational Performance Our Aim State Transit operates in the most complex environment of any bus operator in Australia providing thousands of services every day with the highest patronage and in the busiest traffic zones, operating 24 hours a day on the major corridors with the highest standards of customer service. We must adapt the operation of our business to meet the ever-changing needs of the communities who rely upon our services. Using our extensive experience, we must manage the impact of increasing patronage and the demand for new and improved services. State Transit is also accountable for its business performance to Transport for NSW under the existing Sydney Metropolitan Bus Service Contracts (SMBSC) and the Outer Metropolitan Bus Service Contract (OMBSC). These contracts are competitive and to retain them State Transit must comply with mandated standards of performance (operational and nonoperational). It is State Transit s objective to consistently meet all specified performance measures. Strategies Improve the efficiency of our operating networks in Sydney and Newcastle as a key competent of the Reform Program. 2.2 Consistently comply with the requirements of our service contracts with Transport for NSW. 2.3 To ensure State Transit is competitive in a competitive environment, design and implement the Reform Program. 2.4 The Network Control Centre engages with all relevant agencies to ensure that our reliability, safety and operational outcomes can be achieved. 2.5 Collaborate with Transport for NSW in the transition to the commencement of services on the South East Light Rail. Key Actions Operational Efficiency a. Deliver efficient and reliable services to our customers. b. Manage our services in real-time through our Network Control Centre using PTIPS and by working in partnership with the Transport Management Centre. c. Work collaboratively with Transport for NSW on planning our network of routes to deliver connected services to our customers. Operational Productivity a. Manage our scheduling performance to achieve balanced schedules and rosters to optimise productivity for our bus operators. b. Work collaboratively with Transport for NSW on the rollout and implementation of the new Opal Ticketing System. Asset Management a. Design and operate our Maintenance programs to increase our maintenance productivity to meet the challenges of our operating environment. b. Manage our depot maintenance programs to support the reliable delivery of services to our customers. Contract Compliance a. Maintain effective business systems and Risk Management Program to ensure compliance with Operator Accreditation standards and SMBSC and OSMBSC contract conditions. b. Work together with Transport for NSW for the integration of service delivery during the construction phase of the South East Light Rail. Performance Focus Areas Bus Service Efficiency Productivity Improvements Efficiency of Maintenance Programs Improved reliability of services Corporate Plan June 2016 (Issue 5) 8
9 3. Financial Sustainability Our Aim An important objective of State Transit is the development and maintenance of effective and efficient business systems, governance and processes that enables State Transit to focus on the delivery of services to our customers. This requires State Transit to develop objectives, strategies, and actions to continue to reliably provide efficient services to customers now and into the future, within the confines of our financial capacity. Strategies To provide effective management and stewardship of our assets. 3.2 To operate as efficiently as any comparable business. 3.4 Work collaboratively with Transport for NSW to support the increase in the share of commuter trips made by public transport. 3.5 Work collaboratively with Transport for NSW to continue to improve reliability and effectiveness of business processes and systems. 3.6 Engage with our government regulators to ensure that State Transit maintains its culture of performance and compliance with government policies and programs. 3.7 Collaborate with Transport for NSW in the transition to a single integrated operator for the delivery of Bus, Light Rail, and Ferry services in Newcastle. Key actions Financial Viability a. Design, implement and refine our management structures and programs to reduce operating costs to ensure that State Transit can successfully operate in a competitive environment. b. Deliver and maintain reform program initiatives to reduce our operational and corporate overheads to ensure that State Transit can operate in a competitive environment while meeting our responsibilities and accountabilities as a government agency. Growth a. Work in partnership with Transport for NSW on building patronage in off-peak periods. b. Expanding the bus fleet and depot capacity to support the strategic directions for Transport for NSW. c. Deliver and maintain the Asset Maintenance Plan, and maintain our assets in accordance with industry practice. Corporate & Shared Services Reform a. Work collaboratively with Transport for NSW on the implementation of the Corporate and Shared Services reform program to optimise productivity for administrative functions. b. Work collaboratively with TfNSW to achieve key milestones in implementation of Enterprise Resource Program, Enterprise Asset Management and NGIS. Performance Focus Areas Deliver reforms and operational improvements to increase cost efficiencies Corporate Plan June 2016 (Issue 5) 9
10 4. People Our Aim State Transit operates within a rapidly changing NSW community and we must ensure that our people and our organisation structure are best suited to meet the demands for our services. Importantly, our organisation must operate sustainably over the longer term and to do this we must build the capability of our staff. We now operate as a service deliverer for Transport for NSW which is focused on managing an integrated transport system. We are adapting quickly and effectively to new reporting relationships and changing accountabilities. Strategies Retain and build skills, capability and equity in operational and corporate areas. 4.2 Build positive workplaces and strengthen workplace capability planning to reflect the diversity of the wider community 4.3 Engage effectively with the Unions covering State Transit employees. 4.4 Plan and manage our staff resources to ensure the cost-effective delivery of our services. 4.5 Optimise our cost structures as a key component of our Reform Program. 4.6 Develop strategies to actively increase the number of Aboriginal and Female recruits to State Transit. Key Actions Workforce Planning and Management a. Maintain our operational staffing levels. b. Maintain the effective management of staff absenteeism to ensure the cost effective delivery of services. Learning Programs a. Deliver learning programs in a cost efficient manner to ensure to ensure that customer service and performance standards are achieved. b. Develop our leaders Operating Partnership with TfNSW a. Work collaboratively on developing all aspects of the operating partnership and interfaces with Transport for NSW. b. Collaborate with Transport for NSW to engage with our Shared Services providers to ensure effective implementation of ERP processes and platforms. c. Work collaboratively with Transport Shared Services to implement recruitment plans and develop strategies to meet equity and inclusion targets. Performance Focus Areas Develop operational and corporate staff to increase customer service objectives Female appointments to new vacant senior positions, to increase the proportion of women in senior leadership roles to 50% in the government sector in the next ten years Decrease the separation rate of women in senior roles Increase the percentage of aboriginal employees Work collaboratively to develop the operating partnership with Transport for NSW Legislative, Contractual and Standards Compliance Corporate Plan June 2016 (Issue 5) 10
11 5. Safety & Environment Our Aim State Transit is committed to ensuring that the safety of our customers is always at the forefront of service delivery. Safety of our staff is always our first and foremost responsibility. State Transit s ultimate goal is that there are no injuries to our staff or our customers, and a trend of reduced injuries and harm will be achieved by focusing our efforts on safety and security. State Transit will continue to work with Transport for New South Wales to improve road and passenger safety for State Transit bus operations. Our environmental goal is to minimise the impact of our operations on the environment, achieve compliance with all environmental obligations, promote bus travel as a sustainable transport option for the community, and manage our operations so that they are both sustainable and adaptable. Strategies Ensure employee safety in the workplace. 5.2 Ensure the safety of our customers on board our services. 5.3 Ensure the safety of other road users. 5.4 Ensure the environmental sustainability of our services. 5.5 Engage effectively with our employees to ensure that safety programs are fully implemented and our safety culture is embedded. Key Actions Workplace Safety a. Deliver our Safety Management System to ensure the effective mitigation of all workplace safety risks. b. Train our staff to ensure they understand and meet all requirements of our Safety Management System. On-board Safety a. Deliver our Safety Management System to manage the on-board safety and security of our customers. Operational Safety a. Deliver our Safety Management System to manage the risks identified in the road environment, including pedestrians. Environmental Management a. Enhance our environmental sustainability through the application of the principles of Sustainable Development in our planning and decision making processes. b. Maximise energy efficiency and energy conservation opportunities. c. Prevent and control pollution and meet all environmental compliance obligations. Performance Focus Areas Provision of safe and accessible services Ensure safety management requirements understood and undertaken by all staff Working with the Centre for Road Safety in implementing the Bus Safety Action Plan Corporate Plan June 2016 (Issue 5) 11
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