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An evaluation of the impact of the South African public transport policy on the restructuring of the commuter bus industry

D.Phil. / The purpose of this thesis was to assess the impact of the new public transport policy direction, with specific reference to competitive tendering, on the transformation and restructuring of the South African commuter bus industry. The main objective of this study was to develop a methodology to guide the transformation and restructuring of the bus industry. This main objective was achieved through the following secondary objectives: A comparison between international transforrnation experiences and the South African bus industry in an effort to develop a methodological basis for the change process; An assessment of the strategic gap in an effort to determine the 'focus of the change process; and The development of a detailed change strategy to guide the transformation process.The policy of spatial separation on racial grounds has played a major role in the development of the bus industry. The industry had shown consistent growth until 1982, but since then a considerable portion of the bus market share was lost to the combi taxi industry. A major conclusion of the study was that the new South African public transport policy is based on international best practices as well as the needs of local stakeholders and the country at large. The focus on integration of planning, modes and resources is of particular significance. Within an integrated transport network the commuter bus will have the opportunity to optimise its potential as safe, reliable and effective mass transport mode. Based on a thorough multiple analysis of the bus industry against various strategic evaluation models, the following major gaps were identified: Ineffective application of public transport modes, especially the commuter bus , in accordance with their unique operating characteristics; Pertinent skills deficiencies at operator and institutional level to successfully manage change in the new competitive environment; Efficiency of the present operations which is well below the required standard to secure tenders; Insufficient knowledge of and preparation for the tender system and its requirements; Insufficient actions to empower members of the previously disadvantaged communities; and Old and ineffective policies, systems and procedures. In support of the strategic gap analysis, various evaluation techniques were used to determine the best possible strategic alternatives. It was found that fundamental change is required to position the bus industry for future challenges. Long term objectives should focus on specific market objectives for the bus in transport networks, gaining of market share, securing alliances, empowerment of small operators and improving effectiveness. The generic strategy to secure tenders should be primarily a low cost leadership strategy. The essence of turnaround strategies should focus on cost reduction, which should largely be achieved through increased efficiency. Other grand strategies include diversification, market development, joint ventures and strategic alliances. Specific short term objectives are to formalise and structure the SABOA Development Foundation as primary vehicle for the empowerment of small and medium sized entrepreneurs in the transport industry and to facilitate further cooperation in the industry to share expertise and resources. Guidelines to adjust operator strategies and to assess empowerment models are also provided to guide operators in the transition process. It is recommended that change methodology be formalised to assist operators in the transition process. Finally it can be concluded that the bus industry can play a leading role in the future transport dispensation if appropriate pro-active action is taken. There is a huge strategic gap between the desired and expected outcomes which requires concerted efforts by the industry as well as the three spheres of government. It is essential that the Moving South Africa strategy be implemented as primary driving force behind the change process.

Identiferoai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:uj/uj:10157
Date12 September 2012
CreatorsNaudé, Louis Johannes
Source SetsSouth African National ETD Portal
Detected LanguageEnglish
TypeThesis

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