CASPER Project RRUKA Annual Conference

Transcription

1 CASPER Project RRUKA Annual Conference 21 st November 2013 E. Matsika, NewRail Newcastle University R. Anderson, RTSC Imperial College London RRUK-A Half Cost Train

2 Academic CASPER Project Partners NewRail (Newcastle University) RTSC (Imperial College London) Industry London Underground TATA Steel Scotrail (First Group) Alstom

3 CASPER Project Aim Conduct a feasibility study involving a crosstransport industry investigation of the commonalities in the processes of procurement, engineering design, manufacturing and maintenance (PDMM).

4 CASPER Project Objectives Assess the potential economic benefits of applying Aerospace, Automotive and Marine (AAM) industry methodologies to the rail industry. Identifying and minimise factors that increase the cost of the whole train system

5 AAM Industries Work Stream 1

6 WS 1 Objectives Identify current best practice in the PDMM processes from AAM industries Identify the key drivers (both industrial and economic) behind each of PDMM processes Capture the main benefits and disadvantages of implementing these PDMM processes Identified and quantify costs and benefits wherever possible

7 WS1 Benchmarking Process

8 WS1 Best Practice - AAM Industries Procurement Low customisation (Auto, Aero, Marine) Procurement model that has reduced number of intermediaries (Auto, Aero). Lean Six Sigma Approach (Just-in-time; Vendor stocking; Standardisation of materials, processes and delivery conditions; Outsourcing) (Marine). Systems buying and reduction of supplier base (Auto, Aero, Marine)

9 WS1 Best Practice - AAM Industries Design Common platform/chassis design (Auto) Common components and sub-systems (Auto, Marine) Experience from legacy vehicles (Marine) Reduction of types of vehicles (and types of components) (Auto, Aero, Marine) Design for Manufacture and Assembly (DFMA) (Aero)

10 WS1 Best Practice - AAM Industries Manufacturing Automation of production process (commonality and standardisation of components and systems to provide opportunity for increased batch sizes) (Auto; Aero). Modular design/production (Marine). Jigless Manufacturing (Aero). Pre-fabricated sections (Marine).

11 WS1 Best Practice - AAM Industries Maintenance Design for reduced maintenance (Aero, Auto). Sharing purchases of parts and inventory (Aero). Condition monitoring of components (Aero). Splitting of contracts for different components and systems (Aero). Step-by-step procedures for vehicle maintenance with help from manufacture (Aero, Auto).

12 Work Stream 2 Rail Application

13 The CTS and RTSC at Imperial College Imperial College London Founded in 1907, now ranked 3rd in Europe Focus: Science, technology, engineering and medicine 14,000 students and 4,000 staff Railway and Transport Strategy Centre Founded in 1992 with initial funding from British Rail / Part of the Centre for Transport Studies Research Areas: Benchmarking, public transport operations, economics, statistical modelling Working for 46 urban and suburban rail operators International team of 20 people

14 Objectives of WS2: Rail Benchmarking Objectives Identification of cost drivers in rolling stock Identification of recent standardisation developments and its effects Identification of best practices in PDMM around the world (RTSC network) Identification of key opportunities for cost reduction in PDMM

15 WS2 Based on Views from Industry: Interviewees UK TOCs FirstGroup First ScotRail Greater Anglia Southern Train Manufacturers Alstom Hitachi International Operators MTR (Hong Kong) STM (Montreal) Others ATOC Crossrail DfT Eversholt London Underground Those interviewed were typically Rolling Stock and Engineering Directors / Managers

16 Focus Example WS2 Interview UK TOC Core Drivers and Barriers Potentials Overall Procurement Design Structure of contracts Low economies of scale open market for rolling stock Costs of finance Lack of visibility in supply chain Decisions based on politics and short timeframes not WLC Increased functionality and efficiency (e.g. regenerative braking) of new trains Strategic framework for procuring rolling stock More visibility in supply chain Sharing of engineering information Platform designs New technology can reduce costs (e.g. LEDs) Maintenance TSAs have improved performance but at significantly higher cost Focus on areas which have greatest impact

17 Summary of WS2 Interview Findings Note: interviewees do not agree with each other! Drivers and Barriers of Rolling Stock Costs Future of Rolling Stock Costs Complexity of rail industry unused economies of scale Lack of transparency of WLC, TOCS pay in bits and pieces Financing and risk costs (10-20%) Increasing energy and raw material prices (2-3% per year) Innovation / technology Trade-offs between stakeholder targets (TOCs, ROSCOs, DfT) Changing regulations Increasing capital and financing costs PDMM resources more detached Increasing role of retrofitting Potentials to decrease Rolling Stock Costs Restructuring franchise agreements Standardisation of specifications Develop incentives to reduce systems costs

18 Impact Potential Opportunities to reduce Rolling Stock costs as expressed by industry interviewees (scoring indicative) * Key international lessons Industry alignment of incentives for long-term/ WLC Automation /production lines (dependent on below) low High Standardise UK rolling stock products Use more standard components / design TSIs (Intl. standards) Longer planning horizons Centralised procurement authority Approvals reform Develop tenders / incentives to reduce system costs Design for maintenance* Supplier partnerships Increased spend on design (to get it right) Enhanced ACM / predict & prevent Shorter maint. contracts +incentives* Very difficult More local content More effective product presentation (CAD, Models) Ease of implemtation Easier

19 Work Stream 3 Task 3.1: Gap Analysis Differences between PDMM processes of other transport modes and rail industry. Task 3.2: Cost Benefit Analysis Identify and quantify benefits and costs wherever possible, considering whole-life and total system cost Task 3.3: Recommendations Short, medium and long term recommendations aimed at benefiting the rail industry

20 Thank You!