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A Review of Highway Agencies in the South Asia Region

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A <strong>Review</strong> <strong>of</strong> <strong>Highway</strong> <strong>Agencies</strong> <strong>in</strong> <strong>the</strong> <strong>South</strong> <strong>Asia</strong> <strong>Region</strong><br />

The concern for user <strong>in</strong>terest is also expressed <strong>in</strong> <strong>the</strong> monitor<strong>in</strong>g and performance<br />

framework. Apart from <strong>the</strong> fact that all agencies have adopted a similar framework for<br />

monitor<strong>in</strong>g public views, <strong>the</strong>y have also <strong>in</strong>cluded key performance <strong>in</strong>dicators related to a<br />

customers’ rat<strong>in</strong>g service <strong>in</strong> <strong>the</strong>ir monitor<strong>in</strong>g framework, and carry out surveys to obta<strong>in</strong><br />

<strong>in</strong>formation on user satisfaction.<br />

Clearly Established Audit and <strong>Review</strong> Procedures<br />

From <strong>the</strong> abundance <strong>of</strong> documentation and <strong>in</strong>dicators on <strong>the</strong> agencies’ performance across<br />

a wide range <strong>of</strong> activities, it is evident that sufficient <strong>in</strong>formation is available to evaluate<br />

<strong>the</strong>ir performance.<br />

For all agencies, performance audits are usually carried out and are required by law.<br />

Treasury <strong>of</strong>ficials or (private) auditors are responsible for carry<strong>in</strong>g out performance audits.<br />

The auditors publish reports and recommendations which are <strong>in</strong>corporated <strong>in</strong>to <strong>the</strong><br />

management priorities for subsequent years.<br />

Also, <strong>in</strong>ternal and external reviews <strong>of</strong> <strong>the</strong> agencies’ performance are widespread. These<br />

reviews are <strong>of</strong>ten required by statutes or regulation. For example, <strong>the</strong> RTA <strong>in</strong> New <strong>South</strong><br />

Wales (NSW), Australia, and New Zealand Transport Agency (NZTA) <strong>in</strong> New Zealand prepare<br />

regular progress reports to central <strong>of</strong>ficials on <strong>the</strong> implementation <strong>of</strong> <strong>the</strong>ir results and<br />

service plans and <strong>the</strong> statements <strong>of</strong> <strong>in</strong>tent, respectively. This can help to promote mutual<br />

trust and a common understand<strong>in</strong>g <strong>of</strong> <strong>the</strong> issues at hand between <strong>the</strong> m<strong>in</strong>istry and <strong>the</strong><br />

agency.<br />

Benefits <strong>of</strong> Benchmark<strong>in</strong>g<br />

The four agencies have recently started <strong>in</strong>ternational benchmark<strong>in</strong>g <strong>in</strong>itiatives which, it<br />

is hoped, will enable <strong>the</strong>m to review <strong>the</strong>ir own performance, identify best practices and<br />

set targets. NTZA and RTA and seven o<strong>the</strong>r state transportation agencies participate<br />

<strong>in</strong> Austroads, <strong>the</strong> association <strong>of</strong> Australian and New Zealand road transport and traffic<br />

authorities, aimed at promot<strong>in</strong>g improved road transport outcomes, whilst STA <strong>in</strong> Sweden<br />

started a benchmark<strong>in</strong>g <strong>in</strong>itiative with Poland, Lithuania, Latvia, and <strong>the</strong> Nordic Association.<br />

Cooperative Target Sett<strong>in</strong>g with a Long-term Focus<br />

There are no mandated performance targets or penalties if agencies fail to realize <strong>the</strong>ir<br />

targets; <strong>the</strong> agencies have negotiated <strong>the</strong>ir targets or service agreements with <strong>the</strong> m<strong>in</strong>istry.<br />

The long-term focus on process improvement, performance report<strong>in</strong>g, and accountability<br />

<strong>in</strong> all <strong>the</strong> agencies has led to cont<strong>in</strong>ual improvement <strong>in</strong> performance 17 . It has helped to focus<br />

on <strong>the</strong> best long-term <strong>in</strong>vestment that is particularly important to manag<strong>in</strong>g <strong>in</strong>frastructure<br />

assets over <strong>the</strong>ir entire life as well as to m<strong>in</strong>imize nonrational behavior led by short-term<br />

targets that are suspect because data are <strong>of</strong>ten unreliable.<br />

3.7 Increas<strong>in</strong>g Need for Asset and Risk Management Systems<br />

17 FHWA (2010). L<strong>in</strong>k<strong>in</strong>g Transportation Performance and Accountability.<br />

In order to measure accomplishments, track trends, and become accountable, agencies<br />

<strong>in</strong>creas<strong>in</strong>gly rely on a variety <strong>of</strong> management (<strong>in</strong>formation) systems as tools to satisfy <strong>the</strong><br />

need for <strong>in</strong>formation.<br />

Asset Management<br />

Ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g <strong>the</strong> exist<strong>in</strong>g network is an important activity <strong>of</strong> <strong>the</strong> agencies. A well-ma<strong>in</strong>ta<strong>in</strong>ed<br />

network is generally a cost-effective way <strong>of</strong> keep<strong>in</strong>g <strong>the</strong> performance <strong>of</strong> <strong>the</strong> network at a<br />

desired level. Roads have to be ma<strong>in</strong>ta<strong>in</strong>ed throughout <strong>the</strong>ir design life to ensure that <strong>the</strong>y<br />

deliver <strong>the</strong> performance envisaged, and <strong>the</strong> tim<strong>in</strong>g <strong>of</strong> ma<strong>in</strong>tenance is crucial. For example,<br />

SANRAL has calculated that repair<strong>in</strong>g a road with a five-year ma<strong>in</strong>tenance backlog will be 18<br />

54

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