Fare Management for High Performance— a strategic approach to ...

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Sustainability Transport authorities and operators are coming under mounting pressure to deliver a sustainable transport system—a tough proposition given short-term pressures on cost, capacity and winning the next franchise, pressures that intensify in an economic downturn. 8
The good news is that well-designed fare management systems can make a significant contribution to tackling both short-term challenges and the longer-term goal of sustainability, thanks largely to the sophisticated customer relationship management that they enable. By making public transport more convenient to use, such systems capture more users, reducing the carbon footprint of each passenger kilometer. This is generally better for the environment—a key goal for practically all the transport authorities and operators Accenture works with. Public transport has a head start in regard to sustainability—but many passenger vehicle manufacturers are now starting to invest heavily in cleaner vehicles, reducing the competitive advantage that public transport operators hold. The Accenture Fare Management Solution can help as the vast quantity of data about passenger journeys that both eTicketing and road-user charging technologies generate-who's traveling, where, how and when-facilitates more accurate benchmarking of passenger and service emissions which can in turn improve service planning and traffic flow management. Both of these can help to significantly cut emissions, especially in highly populated urban areas. More advanced fare management can also help to achieve better yield management by influencing demand, as well as capacity. After all, connectivity is a two-way street and feeding information back to travelers as well as soliciting it from can offer the environmentally conscious the option of traveling offpeak, by public transport than by car. Some operators have set up “carbon clubs” rewarding greener travel choices in a similar way to loyalty cards in the retail industry. Others have established websites that provide data about the carbon footprint of every travel choice. And some are making use of technologies that tell drivers when they are driving inefficiently. In Genoa, Italy, Accenture—through the Italian Accenture Foundation—has worked with the municipal authorities and others to design a system of socalled mobility credits that enlists user self-interest to promote environmental protection while preserving people’s basic freedom to move. Instead of restricting or prohibiting access as most road charging systems do, the scheme actually expands freedom of choice. It awards every citizen an equal number of mobility credits annually, which they can use (or not) to travel freely within the city limits. The rate at which the credits are used up depends on the mode of transport chosen, the time of day or other elective parameters. Using private cars in peak periods obviously consume more credits than at quieter times. Of course, different users will also have different transport needs. The system allows say, a pensioner with a surfeit of credits to sell the surplus to users with higher needs—or to exchange the surplus credits for other services. Similarly, those who need more credits can buy them from the municipality. The market in credits that could emerge when the application is mature is expected to be analogous to the carbon trading system between nations that arose after the Kyoto protocol on climate change. 9
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