Designing a 10-year strategic plan for Israel Railways focused on freight and logistics
- Business Dilemma:
The company was facing accelerated development of its track network, an increase in the number of passengers, a rise in competition, a fluctuating regulatory environment, and manpower challenges. The management sought TASC’s help in preparing a strategic plan.
- Process:
The project included a comprehensive SWOT analysis of the company’s operations, including cost analysis, to identify inefficiencies in manpower, fuel, and maintenance operations. The team delineated the scope of activities and evaluated potential new services and divestment of existing ones, particularly in freight, passenger and rolling-stock maintenance. Finally, the team identified an optimal organizational structure and built a financial model and implementation plan.
- Strategic solution & impact:
TASC’s recommendations were approved by Israel Railways’ management and presented to relevant regulatory and governmental entities and two subsidiaries focusing on freight and logistics and real estate development have been established. TASC also assisted the company in several of the implementation projects.
