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West Somerset Railway PLC West Somerset Railway PLC Business Plan 2017-2019 1 SW/Final February 2017 Contents Page Chairman’s Foreword 3 Introduction and Purpose 5 Chapter 1. Setting the Context: Achievements in 2016 8 2. Operations and Strategic Projects 9 3. Commercial and Marketing 11 4. Infrastructure Engineering 13 5. Mechanical Engineering 15 6. Regulation, Safety and Compliance 17 7. Human Resources and Training & Development 19 8. Finance, Business Development and Information Technology 21 9. The Corporate Organisation 24 Appendices 1 Infrastructure Engineering Costed 3 Year Plan 2 Mechanical Engineering 10 year Locomotive Supply Plan 3 Safety Audit Committee and Safety Project Group Work Programmes 4 2017 Revenue Budgets – Summary Version 2 SW/Final February 2017 Chairman’s Foreword This is our latest three-year business plan derived from the Corporate Plan approved by the Board in 2014. It has been developed through extensive discussion and engagement across the Board and senior management team and represents the firm objectives for 2017 together with intentions and aspirations for the remaining two years. Of particular significance in this Plan is the strategic focus being given to infrastructure renewal and investment alongside ambitious plans to develop the Railway at both Bishops Lydeard and Williton. In order to make these plans a reality, the Board has also adopted a radical new approach to raising money for large-scale projects alongside more traditional fundraising activities together with joint fundraising with our partners. Equally important is the priority being given to continuous improvement in safety management with extensive programmes of work underway across the PLC and with partner railway organisations to ensure that competence, compliance and review are increasingly an integral part of everybody’s business on the WSR. The PLC Board is also pleased that the long-running saga over the freehold is now at an end. Somerset County Council have executed a legal agreement with us ensuring that if the freehold were ever to be sold in the future, it must be offered to the WSR through the Partnership Development Group comprising representatives of the whole railway ‘family’. Only a bid providing a suitable means to hold the freehold and recommended by PDG and endorsed by the independent Office of Rail and Road and the Heritage Railway Association would be allowed to proceed, Furthermore, SCC have agreed that we can start to offer licences, leases and memoranda of understanding to our partners up to the remaining term of the lease, which has some 73 years left to run. With the new Board of Trustees of the West Somerset Railway Association, we are committed to establish effective working relationships for the benefit of the railway as a whole. 2016 saw the end of an era on the WSR with the retirement of Andy Forster as Chief Mechanical Engineer. We welcome Dave Horton as his successor and look forward to realising the benefits of his work and new thinking within Mechanical Engineering and across the Railway as a whole. This Business Plan will build on and strengthen good external working relationships with our local authorities and other key agencies. It is very important for the sustainability of the WSR that local authority plans and policies reflect its role in relation to economics, tourism and leisure in Taunton Deane and West Somerset. The Taunton Deane District Council review of its Core Strategy and Infrastructure Plan will provide an early opportunity in 2017. Whilst having many opportunities to continue developing the sustainability of the WSR, we will continue to face many challenges, not least of which is the economic environment we find ourselves in. The financial section of the plan gives more details of how we propose to address these. Finally, without our customers, paid staff and volunteers, there would be no business and so we continue to recognise their contribution to the West Somerset Railway as we move 3 SW/Final February 2017 through what will be a challenging, but ultimately we believe, rewarding next three years of the business. The Board of the PLC thanks Steve Williams and all contributors for their inputs, and we will get on with its implementation. John Irven December 2016 4 SW/Final February 2017 Introduction and Purpose 1. The three-year business plan is the second to be derived from the Corporate Plan 2014- 2023. The Corporate Plan set out the strategic vision for the WSR over that period which is: "To continue to be seen as a leading heritage, preservation and tourist railway, contributing to the economic well-being of West Somerset and providing a high- quality experience for our customers, staff and volunteers. Working with external partners, to grow and deliver the sustainability of the WSR and to ensure that the railway can be operated safely with facilities and infrastructure that are fit for purpose". This means: 1. Enhancing the quality and attractiveness of the experience offered. 2. Enhancing the quality and capacity of the railway’s infrastructure. 3. Strengthening the ability to continue to provide a reliable steam hauled passenger operation. 4. Succession planning with the appropriate resources for all roles and responsibilities on the railway. 5. Ensuring the safety, compliance and regulation are adhered to at all times. 6. Improving the way we engage, support and value all who work on the railway. 7. Investing in the care of heritage buildings, vehicles and collections. 8. Working to strengthen the railways finances to secure long-term sustainability. 2. In order to do this and to continue the focus on quality, safety, customer and staff experience these aims must be underpinned by the following corporate goals: • Ensure that the railway infrastructure is of high-quality consistent with current and future standards of compliance and operation. • Work with partners to strengthen the heritage and educational role of the railway. • Enhance the quality, range and attractiveness of the WSR to its existing and future visitor base. 5 SW/Final February 2017 • Strengthen the sustainability of the organisation including its financial position over the lifetime of the Plan. • Continue to provide an overarching steam hauled railway operation. • Improve communications and engagement across the railway including, staff, key stakeholder organisations and groups. • Develop the railway workforce and secure greater alignment between the interests and skills of both paid staff and volunteers and the needs of the railway. • Strengthen the capacity and structure of the corporate organisation to deliver the aims and objectives of the Plan. • Maintain our position as a major player in the local economy and seek to find ways of improving commercial performance. 3. The Plan therefore sets out the aims, major activities and work programmes for the West Somerset Railway over the next three years in response to the strategy. The purpose is to give substance and direction to those strategic intentions over a three-year cycle which is updated on an annual basis. 2017 represents the first year in the latest annual planning cycle. For consistency, the Plan is laid out in the same format as the Corporate Plan so that readers can see a direct relationship and correlation to the implementation of the 10 year vision. The Board has agreed that it will revisit the vision, values and strategic objectives of the PLC during 2017 with the new version being available for the 2018 refresh document. 4. The Plan has been reviewed and refreshed since July 2016 alongside the budget and priority setting process undertaken as part of the internal PLC business management activities for the following operational and commercial year. This has ensured that there is a clear link between the operation, maintenance and development of the railway and the means by which this will be achieved. The same process and outline timetable will be adopted in 2017. 5. As with previous Business Plan, the narrative sets out not only the work programme that each department/function will undertake during 2017, but also the plans and proposals for longer term development. 6. The WSR can only be successful if the PLC is able to apply sound business principles and practice to the way in which the railway is run. This Plan again provides clarity as to the organisational, commercial, financial and decision-making processes which the PLC Board is putting in place to underpin and support the management team in the day-to- day operation of the WSR. Crucial to these activities will also be the further development of partnership and commercial arrangements 6 SW/Final February 2017 with WSR support organisations and other groups. These are clearly articulated in the Plan. 7. The five overarching objectives to the 2017-2019 Plan remain as before: • Continuous improvement of the tourist, leisure, heritage preservation "offer" designed to enable the WSR to enhance overall passenger numbers, improve commercial performance and increase income levels on a sustainable basis. • As the PLC moves through its restructuring process, to ensure that it has the right balance and mix of staff in both paid and voluntary roles over the next three to five years and has a clear plan for replacing people in business critical functions. • To improve the ability to obtain inward investment over and above current activities such as to be able to afford the cost [which is increasing] of major projects including renewal and development across the railway as set out in the Corporate Plan. • To maintain our focus on continuous safety improvement and to ensure that the PLC has the right culture, activities and programmes in place to do so. • To deliver a sustainable and affordable business model that can ensure the ongoing success and operation of the railway. 7 SW/Final February 2017 Chapter 1: Setting the Context: Achievements in 2016 8.
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