International Seminar on “Recent Trends in Marketing Technology”

Swot Analysis of Bus Transport

Corporation in Tamilnadu
Dr.V.Govindaraj
Head of the Department of Commerce
Kongu College of Arts and Science, Morappur
OPEN ACCESS
S.Govindasamy
Volume : 6 Assistant Professor in Commerce
Krishna Arts and Science College, Krishangiri
Special Issue : 1
Introduction
Month : September Transport facilities are a basic component in a modern society for
bringing people together as well as improvement of the society. This
Year: 2018 corporation providing different type of services such as metro, town,
mofussil, express, flay over services, and ghat services, to bring the
ISSN: 2320-4168 people together. The British led Central government in India has
appointed a committee to measures and report the status of public
Impact Factor: 4.118 transport our country after Second World War in the year 1944. In
9146 recommending the nationalisation of the transport sectors in the
Citation: better interest of the nation. After nationalisation this sector before
Govindaraj, V & July 1948 and named as “Government Bus Service”. First 120 miles
Govindasamy, S. were bus routes nationalised. In independent India, three regions like
“Swot Analysis of Bus that Karnataka, Andhra and Chennai but Chennai was renamed as the
Transport Corporation State of Madras. Hence, the Government Bus Service was changed
in Tamilnadu.” Shanlax into State Transport Department.
International Journal of In 1967, the Government of Tamil Nadu nationalized 495 private
Commerce, vol. 6, buses without extending their permit for further operation. The State
no. S1, 2018, Transport Department was divided into Chennai, Salem, Trichy and
pp. 129–133. Kanyakumari for its operative functioning and four Joint Directors
were appointed under the Director in Madras to look after the
effective functioning of the departments in these four sub-regions.
DOI: The State of Madras was renamed as ‘Tamil Nadu’ by the then
https://doi.org/10.5281/ Chief Minister of the State Mr. C.N. Annadurai and hence the ‘State
zenodo.1419418 Transport Department’ was renamed as ‘Tamil Nadu State Transport
Department’.
The Govt. of Tamil Nadu appointed a high level committee to
measures the efficiency of Tamil Nadu State Transport department
and this committee recommended that transport service should not be
directly under the control of the Govt. This Govt. recommendations
issued an order dated 08.11.1971 (G.O No: 86) and its administration
operated in Chennai and Chengalpattu were brought under the
Companies Act, 1956 and named as Pallavan Transport Corporation
Limited on 01.01.1972.
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State Transport Corporation
The public bus transportation system in Tamil Nadu continues with excellent progress and
is improving on the services it provides. This corporation must ensure safety and security of
operations as well as basic comfort of its passengers and it directly provide services to the urban,
rural and remote area people. There is a clear need to the public for efficient, high quality, reasonable
pricing, safety and secure local bus transport. This is organisation setup, administration control of
additional chief secretary of Government and there functioning different administrative control of
this department such as ESTC, TDFC, IRT, PTCS and MVMD
The eight state transport corporations providing inter-state and intra – state transport services in
the state such as Chennai, Villupuram, Salem, Coimbatore, Kumbakonam, Madurai and Tirunelvli.
The state corporation have a fleet strength of 22,533 buses including 1,757 spare buses as on
31.03.2017 and its extends to the neighbouring states of Karnataka, Andhra Pradesh, kerala and the
Union Territory of Puduchery. All states operate an average of 92.55 lakhs km per day. The total
employees strength including reserve is 1,43, 195 as on 31.03,2017.
The Govt. have taken various measures to improve the performance of the state transport
corporations. This corporation units 321depots in rural and urban, 21 engine reconditioning units
and workshops, 23 bus body building units, 18 tyre re-treading plants, and 49 fitness certificate
units. Govt. have sanctioned a sum of Rs. 7912.71 crore this corporation for the past six years
2011-2017. This corporation have taken measures to reduce the road accidents and its provide the
accident claim settlement fund to the employees for a sum of Rs 40 -60 crore nearly.

Current Status for State Transport Corporation in Tamil Nadu

The state transport corporation have measures initiated for improving public services such as
operation of buses, introduction of new routes, introduction of new buses, new depots, introduction
of 200 small buses in Chennai, ladies special buses, buses for differently-abled, small bus services
in Hilly areas, buses with pantry facility, festival special buses, voluntary blood donation scheme,
fare concessions, special concession to students, 50% travel concession, exchange of tokens,
students concession subsidy, e-ticketing, travel as you please tickets, one third concession bus
pass, group ticket concession, online electronic ticketing machine.
The state transport have taken several beneficiary and welfare measures for the employees.
Total employees strength of 1, 43,195 for this transport as on 31.03.2017. 596 employees are
managerial staff, 58,220 drivers, 59,196 conductors, 19,692 technical staff and 5,491 comes under
administrative and other staff. The Govt. made the filling up of vacancies, regularisation of service
of state transport corporation employees, wage settlement, master health check-up, scan machine,
monetary benefits to the retired employees, various welfare schemes and different skill development
for drivers such as refresher training to drivers and simulator training.
The vision for Tamil Nadu for 2023 is to become India’s most prosperous and progressive state,
free from poverty and where its people enjoy all the basic services of a modern society and live in
harmonious engagement with the environment. This corporation is determined to provide smooth
and efficient transport to all sections society. It also ensures affordable bus services to all kind of
people. All the people are thus being provided welfare programmes and subsidies.

Research Methodology
This study based on the secondary date. Research has been started with fully based on the
Review of literature. This study collected from newspapers, books, research papers, referred
journals, identical theses, official documents, circulars, periodicals, government records, internet
websites etc.
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SWOT Analysis
SWOT analysis is a dynamic iterative process. It used to evaluate the overall performance
of TNRTC. The process involves identifying the strengths and weaknesses of the TNRTC and it
you have some internal control or internal measure, and opportunities and threats presents in the
TNRTC that it operations and it you have no internal control or internal measure. This analysis
is TNRTC current position and it shift competitors, to identify best future opportunities and to
highlights current and future threats of the TNRTC.
Remember, when we are suing this analysis technique, the processes of clearly identifying the
transport aims and categorising this factors are equally important because they are interdependent.
This analysis another angle internal origin or factor and external origin factors. The internal
factor such as strengths and weaknesses and the external origin or factor such as opportunities and
threats.

SWOT Analysis
Internal Analysis External Analysis
Opportunities Strengths
Weaknesses Threats

Key Points about the analysis
S is strength exposes the internal strong or power of the TNRTC. It only reflects the internal
assessment, internal control and internal management and its strategy aspects.
W is the weakness or dimness of the TNRTC. Here we try to find out the draw backs or negative
point of the TNRTC. It can be converted into strength.
O is the opportunity from the external environment or atmosphere. It looking at the strength of
the TNRTC, opportunity can be grabbed.
T is the threat from the external environment or atmosphere. If the weakness is not improved or
the opportunity is not grabbed then the threat can take over the TNRTC.

SWOT Analysis of TNRTC

Strength
• Well-known name in the mind-set of the people.
• It is considered as the harmless mode of transportation in the mind-set of people
• It is debt equity ratio is very low.
• High density of the over ground system in the TNRTC.
• The attrition rate of the TNRTC is very negligible. TNRTC provide the training to the
employees and development of transport is very normal.
• Lower level of the employees are liked as local areas/ nearby home, so the expertise skill can
be used for many years together.
• Lot of properties in terms of land and building situated in the main of the city.
• Top level people are well qualified and experience.
• It is largest man power and resources are used this TNRTC.
• It is being State undertake Enterprise, TNRTC is able to charge low fare.
• It has a widest and interior area reached in the TNRTC.
• TNRTC has Continuous high investment process in the case of alternative transport.

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Weakness
• Union of TNRTC is very weak (group of employees)
• Low infrastructure facilities to employees and passengers.
• Poor safety and security of the employees in TNRTC.
• Decision making process is very slow. For taking a small decision it has to go through very
long time.
• State corporation buses are low working condition (breakdown) at the working time in rural
areas.
• Mind-set of the People the government buses are not maintained properly.
• Government bus employees leads to non-performance among the private bus employees.
• Lack of trained employees at various levels such head office branches also.
• All the basic rules and regulations of the government like providing minimum wages,
allowance, benefits, and obedience to government demand on taxation, etc.
• TNRTC treated has parallel level of financial benefits for the performers and non-performer.
This corporation differently treated, at time may increase performance of the employees.
• To Compulsory service like concession to students and other free services as per government
decision.
• Management level is very power at all level.
• They are not well awareness about the computer or Information and Communication
Technology (ICT) and take to benefits.
• Most of the rural area routes are not well and the seating capacity is uniform for all the routes
of rural areas.
• Regularity of bus services is very poor.
• Government to Strict followed by rules and regulations

Opportunity
• Government can fully financial support to the TNRTC
• TNRTC must be increased e-booking services and very hygienic seating styles to the
passengers at the long travels.
• Transport corporation may pick up facility can be existing to daily travellers at two shifts
(particular route with regular employees)
• TNRTC should be provide Vocational, special tour, package and parcels with attractive
offers can be implemented at time attractive lots of passengers.
• TNRTC has extended more inter-state transportation, it will help inter relationship one state
to another.
• More revenue will be earns stylish, good looking and reached prepare time in particulars
place.
• TNRTC must provide Information and Communication Technology (ICT), services and
awareness to the passengers, which will help in better aware of the modern stylish for the
passengers.
• TNRTC can be bought different style, colour, and size seating capacity of busses.
• TNRTC should be reduce bus fare, at the time more attractive lots of the passengers.

Threat
• Private transporter with modern facilities services compare to the TNRTC
• private transporters are offered door services to the public at high price but TNRTC has not
provide door services to the public and other services are reasonable fare to the public.
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• This Corporation is still using old fleets and its most of the values are zero.
• TNRTC is provide this service moving of interior areas for the public. The Customer
Relationship Management (CRM) of private bus servicers are very strong compare to
TNRTC.
• TNRTC is to strictly follow the rules and regulation of govt, which is not helping them in
improving the financial position.
• Day to day increase price of diesel and fuel.
• Government has implementation of 6th pay commission adapted at the time more burden
on the extra loss making of TNRTC.
• Tax levied on TNRTC is very sophisticated than that of Private Operators.
• Seating Capacity of the Private operators are of dissimilar size and stylish.

Conclusion
All efforts are being made continually to improve the quality of transportation to the people.
The Govt. is committed to the mobility of the public in the most efficient possible manner. SWOT
analysis is useful for any kind of strategic planning. This analysis very useful to quick way of
TNSTC performance such as strengths, weaknesses, opportunities and treats. The overall purpose
of a SWOT analysis is to determine the external and internal factors that help in achieving each of
your main objectives.

References
Srinivasulu, Dr., & Yarlagadda (2006). “Marketing of Passenger Transport Services”
A.P.H.Publishing Corporation, New Delhi.4.
Vijayaraghavan, T.A.S. (1995). “Strategic options for state road transport undertakingsin India”
International Jouranl of Public Sector Management, Vol.-8, No. 1.6.
SWOT_Analysis.
A Study of the Performance of State Road Transport Undertakings, Planning Commission, Govt.
of India. 1955.
Report of the Committee on Transport Policy and Co-ordination, Planning
Commission, Govt. of India, 1966.
www.mi.gov.pl.
www.transport-research.info/web.cfm.

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