PRASA – FEASIBLE OPPORTUNITIES

FOR LOCALISATION

Presentation to UNIDO Rhythm

Working Group Meeting, 20 Oct 2010

Ingwa Sichula

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PRASA’S HOLISTIC STRATEGY

One of key drivers: Improvement of financial position

PRASA’s Holistic Strategy: Transform into a

commercially viable entity and position to become the #1

public passenger operator in high-volume corridors in

RSA by 2015 (source – PRASA Annual Report, 2009/10)

One key element of this driver: work

lean (incl. drive cost of inputs down,

efficient sourcing & procurement)

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SITUATIONAL CONTEXT –Key Stakeholders Purposeful Interplay

PRASA

Empowerment/

% BBBEE

spending

Strategic sourcing & promotion of BBBEE: % BBBEE spending at 77.2% in 2009/10 Financial Year (source PRASA

Annual Report

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INHERENT LOCALISATION OPPORTUNITIES

Asset Development (modernisation) / Service Excellence

(Effective management)

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INHERENT LOCALISATION OPPORTUNITIES

Rolling Stock

Vehicle Sub-systems

•Carbody

•Bogies & running gear

•Power supply

•Auxilliaries

•Propulsion

•Braking

•Interiors

•Control & communications

•Specials

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Carbody

•Body structure

•Exterior & interior aesthetics

•Couplers

•Gangways

•Window units/rubber components

•Body additions

INHERENT LOCALISATION OPPORTUNITIES-Rolling Stock

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Bogies & Running gear

•Bogie structure

•Suspension

•Wheel (set)

•Traction link

•Bogie additions

INHERENT LOCALISATION OPPORTUNITIES-Rolling Stock

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Propulsion and Auxiliaries

•Traction gears

•Traction motors

•Auxiliary machines

•Climate control

INHERENT LOCALISATION OPPORTUNITIES-Rolling Stock

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INHERENT LOCALISATION OPPORTUNITIES-Infrastructure

Crossings

Turnouts

Points/switches

Sleepers

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INHERENT LOCALISATION OPPORTUNITIES-Consultancy Services

Consultancy Services

Catalyst:

•modernisation and service excellence (incl.seamless integration of the public transport)

Areas

•Asset Life Cycle Management

•Systems

•Systems integration

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BARRIERS TO ENTRY

What barriers to entry?

• heavy engineering characteristics?

•opportunity?

•feasibility and risk appetite?

•transmicity?

END