M.Ing. / This report addresses an empirical study into the re-structuring of Transnet group of companies. The study is based on the outcome of the re-engineering process focusing on Spoornet as a member of Transnet. The departments partially studied are, the Infrastructure Maintenance department and Train Operations department with-in Spoornet. The objective of this study is to achieve a break-even point between maintenance and the business side so as to increase operational profit in Spoornet. Outsourcing is a management tool used to make more profit. It is also a way of getting rid of unwanted business units. This will help increase shareholder value and reduce operating costs so that management can focus on core business units. The results expected from outsourcing in this study are aligned with the business process engineering "BPR" results. From the BPR results the business units were classified as core and non-core business units. Non-core business units were discontinued while core business units were further classified into core department, which is the running of trains, and the non-core department as maintenance departments. The maintenance departments are fully represented on a functional level while they used to have a full representative on the corporate level before restructuring. Cutting-off these logistic support departments at a corporate level, can have an effect on maintenance being undermined due to lack of specialists input at a higher level in terms of systems engineering and maintenance. This can lead to system's lack of maintenance and an increase in systems failure, making the system un-reliable and unsafe for the passage of trains while on the other hand the business will be lost back to the competitors, who in this case is the road freight business. A case study is discussed in the dissertation where value added techniques such as the business turnaround process, outsourcing and Integrated Logistic Support "maintenance" were applied in this study.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:uj/uj:9227 |
| Date | 14 August 2012 |
| Source Sets | South African National ETD Portal |
| Detected Language | English |
| Type | Thesis |
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