ANS AMEEN

PAKISTAN RAILWAYS

What is Rail Transport?

Movement of passengers and goods by

way of wheeled vehicles running on rail tracks. And it is categorized as primary mode of conveyance.

In contrast to road transport where vehicles merely run on a prepared surface.

Rail vehicles are directionally guided by the tracks.

HISTORY OF RAILWAYS IN SUB- CONTINENT

History of Railways in Subcontinent

On May 13, 1861 the first railway line was opened to the public, between Karachi (city) and Kotri, with a total distance of 105 miles (169 km).

VISIONARY STATEMENTS
Our MOTO
Safety first and Always

Mission Statement To provide a safe reliable , modern, efficient and cost effective infrastructure to its customers: to contribute in building the economy of Pakistan and to look after the welfare of its employees.

PAKISTAN RAILWAYS
MINISTRY & ORGANIZATIONAL STRUCTURE

MINISTRY OF RAILWAYS

STATE MINISTER

CHAIRMAN

FEDERAL SECRETARY

RAILWAY BOARD
CHAIRMAN RAILWAY BOARD

GENERAL MEMBERS(GMs)
ELECTRICAL

STAFF

TRAFFIC

ENGR.

MECHANICAL

FINANCIALS

The Railway Board (RB) is the highest governing body for technical matters of the Railways and Ministry of Railways, which stands merged with the Division.

Personnel and Functions

DIVISIONS IN PAKISTAN RAILWAY

Currently Pakistan Railways has Seven Divisions: 1. Lahore 2. Multan 3. Rawalpindi 4. Karachi 5. Sukkur 6. Peshawar 7. Quetta

Functions of the Railway Division

It Manages All matters pertaining to Railways.
It is responsible for Maintenance of Railway lines for

strategic reasons. It also makes Negotiations with International Organizations and other Countries and implement the agreements. Coordination of Development Projects of Railways. Coordination of Rail movements into and from Ports Overall efficiency and safety of Railways.

A Country insides Country

PakRail: Country Insides Country

Pakistan Railway comprises 7,791 route km 707 stations and 37 trains halts. 563 diesel electric locomotives 25,815 wagons and 1,623 passenger coaches. More than 85000 Employees

Pakistan Railway: Country Inside Country

PAKISTAN RAILWAY has its own
Housing Colonies Hospitals Law Court with its own Magistrate. Most Employees than any Pakistani

Organization. Railway Police Water Supply Own Electricity Production Unit (Shuts Revenue Department down) Owned Huge Land Own Wireless Property(1,67,690 Telephonic Network. Acres).

Manufacturing & Services Unit

Headed by the General Manager Manufacturing & Services.
This unit is composed of:

1. Concrete Sleeper Factories, ( CSF ) 2. Carriage Factory. Islamabad, ( CFI ) 3. Locomotive Factory, Risalpur. 4. Rehabilitation Project, Moghalpura Lahore. 5. Medical and Health Service. 6. Railway Construction Company ( RAILCOP ) 7. Pakistan Railway Advisory & Consultancy Services ( PRACS ) 8. Educational Facilities.

Maintenance is provided by three major locomotive workshops and thirty-five smaller workshops.

Track Rehabilitation & Improvement Workshops

Build Up with the cost of Rs. 256 Millions Kohat Shahinabad Kotri Khanewal

WALTON
Its mission is to fulfill the training needs of the Pakistan Railways, viz., to impart quality in-house training to its officers and staff required to meet its objectives

Signaling facilities at important stations are track circulated within interlocking limits.

Most routes have VHF radio coverage for communication between train dispatchers and trains. Telephone Communication is over wire lines and microwave.

FIVE MAJOR DOMESTIC ROUTES

MAJOR ROUTES OF PAKISTAN RAILWAYS

The total length of railway tracks in Pakistan is 5,072

miles (8,162 km). The busiest routes include: Peshawar-Karachi Route (Main Line) Peshawar-Quetta Route (Branch Line) Lahore-Sialkot Route (Branch Line) Lahore-Faisalabad Route (Branch Line) Faisalabad-Khanewal Route (Branch Line)

Electrified Section
The 274 km (170 mile) section between Lahore and

Khanewal and Lahore to Mughalpura (23 Km) was electrified. But due to downfall now currently Pakistan Railways have no Electrified Sections.

 India China

Iran Turkey

International Routes
Pakistan India International Route is Most Operative.

(Samjhota Express). Pakistan Iran is also Operative route to the Zahidan City Iran Pakistan to Turkey via Iran Pakistan to China Pakistan to Afghanistan, Turkamanistan (Proposed)

PASSENGER AND FREIGHT

PASSENGER TRAFFIC
Passenger traffic comprises 50% of the total revenue

annually. Pakistan Railways carries 65 million passengers annually and daily operates 228 mail, express and passenger trains. Daily, PR carries an average of 178,000 people. Pakistan Railways also operates special trains during occasions such as Eidul -Fitr, Eid- ul-Azha and Independence Day.

CLASSES OF PASSENGER TRAFFIC

1. Air-Conditioned Sleeper 2. Air-Conditioned Parlour 3. Air-Conditioned Business 4. Air-Conditioned Lower 5. First Class Sleeper 6. Economy

FREIGHT TRAFFIC
The Freight Business Unit, with 12,000personnel,

operates over 200 freight stations on the railway network. The Unit serves the Ports of Karachi and Bin Qasim as well as all provinces of the country. The Freight Rates structure is based on market trends, particularly of road transport, which is the Railways' main competitor.

Public-Private Partnership In Pakistan Railways

The Pakistan Railways and a private company has

signed on Dec, 6 2011. Two Trains are privatized: Shalimar Express and Pak Business Express The company would be responsible for the provision of facilities to passengers on board the train. It would develop its infrastructure on the PR network exclusively for the passengers of the new train, said the official. Private Companies
Four Brothers Association Air Rail Service

PRIVITIZED TRAIN
PAK BUSINESS EXPRESS COMPANY: FOUR BROTHERS ASSOCIATION

PRIVITIZED TRAIN
SHALIMAR EXPRESS COMPANY: AIR RAIL SERVICE(ARS)

Mi11MBA048

Survey Report 2011-2012

ECONOMIC HIGHLIGHTS 2011-12

Ministry of Railways has also adopted a Track Access

Policy for private sector participation to operate freight and passenger trains on Pakistan Railways infrastructure.

ECONOMIC HIGHLIGHTS 2011-12

Ministry of Railways has created a Real Estate

Development and Marketing Company as subsidiary of Ministry of Railways.

ECONOMIC HIGHLIGHTS 2011-12

Six factories including Locomotive Factory Risalpur,

Carriage Factory Islamabad, and four Concrete Sleeper Factories in Kohat, Khanewal, Sukkur and Kotri, are being corporatized for eventual privatization subject to approval of the government.

ECONOMIC HIGHLIGHTS 2011-12

Cabinet Committee of Restructuring has approved a

restructuring framework for Pakistan Railways. During the last financial year, 16 kms of track was rehabilitated on Pakistan Railways network besides doubling more than 15 kms of track. Renovation of Khudian Khas, Usmanwala, Raiwind and Kanganpur railway stations was carried out at a cost of Rs. 24.0 million to improve facilities for the passengers.

ECONOMIC HIGHLIGHTS 2011-12

52 new design passenger coaches were imported from

China at a cost of Rs. 4.1 billion. Remaining 150 passenger coaches will be manufactured at Pakistan Railway Carriage Factory Islamabad by June 30, 2013. In addition, 22 passenger coaches have been rehabilitated at Pakistan Railway Carriage Factory Islamabad during last year. A new dry port was set up at Prem Nagar near Raiwind industrial area, Lahore through Public Private Partnership at a cost of Rs. 494.0 million.

Current Status Of Pakistan Railway

The unbundling of Pakistan Railways into core business units

(Infrastructure, Freight and Passenger) is under process Managing Directors (MD) for the three core business units Infrastructure, Freight and Passenger have been appointed. A notification for the operation of the core business units and delegation of powers to the MDs has been issued. Accounting separation and segregation of assets is being formalized. Non-core assets will be evaluated and prepared to be sold through open auction. Regulatory environment is being established.

Speedy Luxury Classy

US RAILWAYS

Russias most profitable company (extensively spread to remote areas)

RUSSIAN RAILWAYS

High speed railway technology (bullet trains)

CHINA RAILWAYS

Comparison
Indian Railways Pakistan Railways

India
39,901 miles of track

Pakistan
7791 km of track

7,083 stations Passengers carried daily30 million Employees 1.6 million

Own (freight) wagons 230,000 Coaches 60,000

986 stations Passengers carried daily7 million Employees 86,096

Own (freight) wagons 20,809 Coaches 1,904

STRENGTS WEAKNESSES OPPORTUNITIES THREATS

SWOT ANALYSIS
STRENGTHS

WEAKNESSES

Potential customers Human resource Monopoly Savings In Travel Time. Speed And Certainty. Safety Reducing Air Pollution And Preserving The Environment. Encouragement To Tourism. Employment. Convenient & comfortable.

Leadership Wastage of time Over emplacement No proper check of tickets In-efficiency of staff Financial Position. Passenger Reservation. Railway Budget. Mismanagement. No Contribution Towards Economic Growth. Operational Inefficiency.

SWOT ANALYSIS
OPPORTUNITIES
Reservation offices have been o

THREATS

planned to be computerized. Demanding customers Al ready setup tracks Economic cost Promotion to national integration

Expenditures Uncontrolled loses Expenditures are high Customer move to alternate options CORRUPTION Not Profitable Adverse Affects For The Economy Threat To Trade Transportation services Unreliable Uneconomical services

PEST ANALYSIS
POLITICAL FACTORS
Adverse Political

ECONOMIC FACTORS
Fares of railways are increasing due to: Increasing inflation New taxes Rising fuel charges

Conditions and Instability New investors are now more reluctant Threatened foreign companies Government is reluctant to Subsidize.

PEST ANALYSIS
SOCIAL FACTORS
Stakeholders Attitudes Desires Expectations TECHNOLOGICAL FACTORS
Electrical Locomotives New railway tracks Online ticketing

Decline Of Pakistan Railways

Over the years, lack of attention, poor policies,

increasing expenditures, misuse of funds, pilferage, nepotism and most recently, the floods have left the Railways with huge deficits running in billions of rupees. In 1990, the government appointed an officer from the Civil Services of Pakistan and from then on there has been a rapid decline not only in performance but also the balance sheet of the organization.

Decline
Main line tracks have the capability of handling a load

of 22 tons per axle, while branch lines can sustain 16.5 tons per axle. Out of 522 total engines only 220 are in working order, out of which 100 are in poor condition.

Current operational position

Faces deficit of Rs 26252.315 Millions
Shortage of locomotives No freight trains

Half of locomotives are out of order

Communication system is out dated Track is over aged Borrowed 40 billion from state bank Paying 4.6 billion as a interest to SBP Revenue declining consecutively

Factors Decreasing Productivity

Growing operating subsidies Lack of equitable fare structure Low service quality Widespread state ownership

Waiting for a Bailout

Prime Minister approved Rs. 11.5 billion as a bailout

package for Pakistan Railways. But the finance ministry refused to grant Rs5 billion saying it could not provide further subsidies to Pakistan Railways seeing as it is already suffering huge losses .

Mismanagement, Corruptions and Scams

According to Chief Justice of Pakistan

Ninety metric tons of silver worth millions was sold for mere Rs28,000 as scrap, while a light bulb worth Rs60 is being purchased at Rs400.

Condition Of Employees
Pakistan Railways has about 90,000 employees consisting

of staff and officers. Employees are taking salaries without working and sitting idle at home. More than Rs.20 billion is allocated for salaries and pensions. Employees have very strong unions so it is difficult for Government to fired them.

Disasters

The recent floods have caused a loss of Rs.6.7 billion to

the railway network.

SUGGESTIONS AND RECOMENDATIONS

Recommended Solutions
STRICT CONTROL OVER CORRUPTION RELEASING BAILOUT PACKAGE INCREASE PRODUCTIVITY OF EMPLOYEES

LEASING EXTRA LAND

Privatization Of Railway
Privatization places the risk in the hands of business

or Private Enterprise. Private enterprise is more responsive to customer complaints and innovation. The Govt. should not be a player and an umpire.

PR Co-operation with China

China is actively involved in the development.
China is to export 69 modern locomotive engines to

Pakistan. The first 15 engines will be manufactured in China and the remainder will be assembled in Pakistan, with spare parts and technology provided by China.

Restructuring Pakistan Railways

Time is important to the customers.
The seat reservation system should be made online. The first line staff should be trained.

Railways service center should be initiated.

Proper information should be provided to the

customers.