The Dutch Railway system processes 1.3 million passengers and more than a milliontonsofcargo daily with high reliability and safety and a low CO2 profile. In the coming 10 years, thedaily number of trains will need to grow 30% to enable train operators to deliver onthegrowing demand for Passenger and Cargo traffic. This is a major challenge for theDutchRailway infrastructure manager, ProRail Traffic Control. An obvious choice would be to change and grow the rail infrastructure withintheNetherlands. But growing the infrastructure would require a multi-billion Euro investmentand may take too much time and space in urban areas. So to meet this growing demand, ProRail Traffic Control needs to invest in technologies that make it possible to automateanddigitize large parts of the now manual traffic control process. This way the transportationcapacity can be increased with the current infrastructure. This case study will focus onthestrategic workforce challenges for the 700 Train Traffic Controllers and 150 operationalplanners whose jobs will change tremendously because of this. Where we stand nowIn the past decades, the level of automation at ProRail Traffic Control has increased. At themoment, the train schedule runs automatically if it fits into the pre-planned train schedule. However, the core of technology like signalling and safety systems hhas not hadafundamental upgrade in decades. When the trains run as scheduled, the system requires minimal intervention by operators. But in case of a disruption, a lot of manual actions are required of the operators. This meansall workstations are manned for handling disruption and result in extremes in highs andlowsin stress on the operators. Planning for the futureTo achieve the projected capacity growth for the Traffic Control business unit, managementand experts from the technical staff developed a 10-year vision on the requiredchangestogether with IT and the scheduling department. As the means of digitizing thetrafficcontrol process is central to this vision, it was dubbed ‘Digital Vision’. Digital Vision noted the following:1. Business continuity: All workstations must be manned by a certified employeeat alltimes, so 24/7. 2. Re-schooling: European governments and national train management companiesdecided to unify the technology of train safety management to a Europeanstandard (ERTMS). This will require a re-schooling of large numbers of people. 3. Turnover: Due to the digitization of processes the number of employees requiredwillneed to be reduced by 10%. However, it is anticipated that 30% of the workforcewill belost to retirement over the next 5 to 10 years. However, recruitment must takeintoconsideration the specific competencies required for Train Service Managers as noted in the figure below.4. Capacity growth without rising costs. The major driver for the Digital Visionwasenabling the required capacity growth without rising costs. For the last 5 years ProRailhas only been able to breakeven and in order to fund the Digital Vision has acquiredaloan of 500 million Euro. 5. Trade Dispute: The union representing the Train Operators and Traffic Controllersdemand an increase in vacation days from 11 standard working days (Monday toFriday)to 15 working days and an increase in salary by 8%. The last increase was in 2019of 5%. The Netherlands is ranked the sixth in the world in terms of the quality of railroadinfrastructure. However, in order to prepare for the future, the currently existinginfrastructure needs a 30% increase in capacity and tremendous changes in thecurrentworkforce.    1. Consider the impact of digitization and automation on the required skill sets

Purchasing and Supply Chain Management
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ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
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Problem 6.2A
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The Dutch Railway system processes 1.3 million passengers and more than a milliontonsof
cargo daily with high reliability and safety and a low CO2 profile. In the coming 10 years, thedaily number of trains will need to grow 30% to enable train operators to deliver onthegrowing demand for Passenger and Cargo traffic. This is a major challenge for theDutchRailway infrastructure manager, ProRail Traffic Control. An obvious choice would be to change and grow the rail infrastructure withintheNetherlands. But growing the infrastructure would require a multi-billion Euro investmentand may take too much time and space in urban areas. So to meet this growing demand, ProRail Traffic Control needs to invest in technologies that make it possible to automateanddigitize large parts of the now manual traffic control process. This way the transportationcapacity can be increased with the current infrastructure. This case study will focus onthestrategic workforce challenges for the 700 Train Traffic Controllers and 150 operational
planners whose jobs will change tremendously because of this. Where we stand now
In the past decades, the level of automation at ProRail Traffic Control has increased. At themoment, the train schedule runs automatically if it fits into the pre-planned train schedule. However, the core of technology like signalling and safety systems hhas not hadafundamental upgrade in decades. When the trains run as scheduled, the system requires minimal intervention by operators. But in case of a disruption, a lot of manual actions are required of the operators. This meansall workstations are manned for handling disruption and result in extremes in highs andlowsin stress on the operators.

Planning for the future
To achieve the projected capacity growth for the Traffic Control business unit, managementand experts from the technical staff developed a 10-year vision on the requiredchangestogether with IT and the scheduling department. As the means of digitizing thetrafficcontrol process is central to this vision, it was dubbed ‘Digital Vision’. Digital Vision noted the following:
1. Business continuity: All workstations must be manned by a certified employeeat all
times, so 24/7. 2. Re-schooling: European governments and national train management companiesdecided to unify the technology of train safety management to a Europeanstandard (ERTMS). This will require a re-schooling of large numbers of people. 3. Turnover: Due to the digitization of processes the number of employees requiredwill
need to be reduced by 10%. However, it is anticipated that 30% of the workforcewill belost to retirement over the next 5 to 10 years. However, recruitment must takeintoconsideration the specific competencies required for Train Service Managers as noted in the figure below.4. Capacity growth without rising costs. The major driver for the Digital Visionwasenabling the required capacity growth without rising costs. For the last 5 years ProRail
has only been able to breakeven and in order to fund the Digital Vision has acquiredaloan of 500 million Euro. 5. Trade Dispute: The union representing the Train Operators and Traffic Controllersdemand an increase in vacation days from 11 standard working days (Monday toFriday)
to 15 working days and an increase in salary by 8%. The last increase was in 2019of 5%.

The Netherlands is ranked the sixth in the world in terms of the quality of railroadinfrastructure. However, in order to prepare for the future, the currently existinginfrastructure needs a 30% increase in capacity and tremendous changes in thecurrentworkforce. 

 

1. Consider the impact of digitization and automation on the required skill sets 

 

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