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Commercializing Road Management

Commercialization seeks to ensure that the road agency operates along the same lines as any other infrastructure provider subjected to market discipline. This usually starts by defining the role of the agency by way of a mission or vision statement, from which it then derives its operational objectives. Among other things, this mission statement (PDF 40 KB) usually defines the agency's customers and, through that, encourages greater customer orientation, while performance targets are set to measure progress towards achieving these operational objectives (PDF 46 KB). The overall business planning process usually ends up as a rolling 3 to 5-year Corporate Plan (PDF 94 KB), combined with a one-year Contract Plan (PDF 67 KB) between the road agency (or its board) and the parent Ministry. Commercialization also results in other changes in the way the road agency operates (PDF 39 KB). The agency's staffing structure will usually be simplified and down-sized to create a small, technically competent, white collar organization that primarily focuses on letting and managing contracts for design, construction and supervision of works. The agency has more autonomy and is held accountable for results on the ground.

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