Why Implement an Automated Fare Collection System?
An Automated Fare Collection System typically consists of station and bus equipment like fare gates, fare boxes, ticket vending machines, point of sale devices for use in stores, computers to control and monitor equipment and a Central Computer System to gather and analyze data.
Many transit agencies face problems of fare evasion, theft and fraud due to the use of antiquated equipment. Additionally, the lack of automation and transaction data results in high labor costs and incomplete or inaccurate information on ridership and revenue. This inhibits the financial and service planning needed to ensure optimal performance and customer service.
Agencies are able to realize an immediate impact on fare evasion with the installation of new fare equipment. |
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An automated system lends to help resolve additional problems by providing real-time data to improve accuracy for revenue and ridership reporting and analysis, schedule adherence and the service planning process. By providing managers with the details of how customers use their system, they are able to identify trends and find solutions to provide better service. In addition, it provides a venue to test and implement new marketing incentives, and evaluate fare rules/programs.
In a regional setting, enhanced customer convenience and ease of use are often realized. This helps to attract new riders with the use of easy ticketing and new marketing programs. One of the primary concerns to agencies today is to meet and exceed customer needs and expectations for reliable service, and provide an attractive alternative to those riders that use transit as an option.
What impact does AFC have?
An AFC system implementation or upgrade has many positive impacts on an agency’s operations, performance reporting, revenue collection and customer service. However, in order to fully realize the benefits it is crucial to understand the impact overall. Often an organization will undergo a business transformation as the business processes are reengineered and streamlined, employees are retrained and occasionally departments are restructured. To provide a driving force for change, there must be strong support and engagement on an executive level.
An AFC System reaches into the operations and functioning of every area of the organization, impacting both internal and external stakeholders. To successfully achieve the desired objectives, it is critical to ensure proper planning and transitioning for all impacted areas:
- Revenue Operations
- Finance and Accounting
- Operations
- Customer Service
- Technology
- Marketing
- Planning
- Audit
- Infrastructure and Maintenance
An effective roadmap with clearly defined roles, responsibilities, processes and targets will help not only support the initial objectives, but will establish a basis for ongoing quality improvements and efficiencies. This will also allow for further extensibility, and options to expand into new business areas.
How can Lumenor Help:
To ensure success of this innovative system, it is essential to clearly define and understand strategic objectives, and translate these to business needs and requirements. Due to the program scale and magnitude, the resources required to effectively procure, install, and maintain this program must be provisioned, internally or externally.
Lumenor can serve to supplement your existing staff, by providing a core program team comprised of project management, business process, technology architecture, business analysis enterprise architecture skills. We take a very hands-on and proactive approach to your program, operating from the belief that proper planning and understanding can reduce costly rework and minimize negative impacts.
This team will coordinate with internal staff members to define the objectives, manage the program schedule and drive the project forward. Key services include the following:
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- Definition of program objectives, scope and approach
- Policy evaluation and definition around fare rules, regional inter-operations, special services and external programs
- Evaluation of current business processes and transition planning to future state, including business plan preparation
- Enterprise architecture evaluation and definition including requirements, functional and technical design
- Vendor management and coordination
- Reporting to executive level management to support timely decision making
- Support of internal business users by providing subject matter expertise
- Definition of marketing programs and customer messaging
- Web site tutorials and customer education
- Web applications and extension for fare sale and distribution
