This paper seeks to understand and explore the strategic changes of WMATA in the aftermath of its lowest ridership and revenue earning years. By understanding the link between the value of service provided and the strategic choices and operational performance, we can evaluate the effectiveness of the strategic plan.
Additionally this paper examines the ridership …show more content…
November 6th 1966, President Lyndon Johnson signed a bill creating the Washington Metropolitan Area Transit Authority (WMATA) which was subsequently signed by the Governors of Maryland and Virginia along with commissioners of the District of Columbia. The collaborative purpose was to plan, develop, build, finance, and operate a balanced regional transportation system in the national capital area. This multi-jurisdictional transit agency is governed by a Board of Directors comprised of two (2) voting members, each representing Washington D.C., Maryland, Virginia and the federal government with each jurisdiction appointing two alternate representatives as well. The financial stability of the transit system relies mainly upon the ability to collect fares from riders as well as advertising revenue. Today, WMATA is commonly known or referred to as simply “Metro” in metropolitan area. Metro provides public transportation services via Metrorail, a rapid transit system which services over 117 miles of track and over 90 stations. A 325 route bus system comprise what is known as Metrobus and MetroAccess which is a “shared-ride, door-to-door, paratransit service for people whose disability prevents them from using bus or rail (Metro, 2014)”. Combined, Metrorail and Metrobus provide transportation services …show more content…
The report also revealed inadequate maintenance and insufficient monitoring of Metrorail’s automated train system contributed to the fatal crash. Public perceptions of waste and corruption as well as poor safety standards continue to plague the agency.
Another issue facing WMATA leadership is the ever growing population of the Washington D.C. area. According to a study conducted by the Metropolitan Washington Council of Governments, the area population will grow to nearly 7 million in 2040, which represents a 32 percent growth since 2010 (Governments, 2013). The greatest part of that growth is presumed to be surrounding suburban areas, much of which is currently not at all serviced or underserved by WMATA.
Adapting to a growing population, while simultaneously improving on its antiquated systems and crumbling infrastructure will be difficult. The obvious solutions would be to increase capacity and expand however a reliable revenue stream may be difficult for WMATA, as the agency has seen a steady decline in ridership since 2010. Determining the cause of this downward trend and implementing corrective actions through forecasting have been the focus of WMATA leadership and resulted in the adoption of “Momentum”, a new Strategic Plan in June of 2013. Metro has developed a Balanced Scorecard approach measuring success in the areas of Safety, Quality Service, People and