Thesis on Pakistan Railways

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EXECUTIVE SUMMARY

The current study remains limited in its scope as it looks at the problems faced by Pakistan Railways and there solutions not at the organization as a whole. The research is mainly made by collecting data from Peshawar & Nowshera railway stations and conclusions are drawn on the basis of that data. To undertake the task we went through the existing literature on Pakistan Railways and reviewed the current state of affairs through available data. Pakistan Railways have been running losses since mid-seventies. This persistent failure owes to absence of a clear direction for the organization, a pessimistic organizational ethos resulting from years of decline and political interference in decision making to the detriment of commercial feasibility. Organizational roles and responsibilities remain diffused which create issues for accountability. A number of decisions have been centralized in the Board or the Executive Committee of the Board that absolves officers at the operational level of any accountability. Financially, Pakistan Railways have alarming figures and over the years it has become chronically dependent on overdraft from the State Bank of Pakistan. The fiscal space for operations and maintenance has been constricted; declining from 70% in 1971-72 to only 12% by 2010-12. For all these problems we have given our best conclusions, opinions and suggestions that will be very helpful in improving the efficiency of Pakistan railway.

CHAPTER 1

INTRODUCTION TO PAKISTAN RAILWAY

 

INTRODUCTION.
Pakistan Railways (reporting mark PR) is a national state-owned rail transport service of Pakistan, head-quartered in Lahore. It is administered by the federal government under the Ministry of Railways. PR provides an important mode of transportation throughout Pakistan. Railways at a Glance

Assets | |
* Track ---------------------| 7,791 route km|
* Stations-------------------| 559|
* Bridges -------------------| 14,570|
* Land ----------------------| 167,690 acres|
* Locomotives -------| 516 (Operational 250) 52% overage| * Passenger Coaches ---| 1,760 (Operational 1320) 25% overage| * Freight Wagons -------- * Employees--------------- * Cost of Employees---- * Pension payment------| 16,433 (4930 Operational) 85,07811 Billion (approx)5.5 Billion (approx) Source M/o Railways Year Book 2010-11| RESEARCH OBJECTIVES:

* To know the actual financial position of PR.
* To know the operating deficit and budget deficit of PR. * To know the main hurdles faced by Pakistan Railway in delivering its efficient performance. * To know the factors responsible for these inefficiencies. * Finding out some remedial measures.

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History
The idea of a rail network was first thought of in 1847, with the possibility of Karachi becoming a major seaport. Sir Henry Edward Frere, who was appointed as the Commissioner of Sindh, sought permission from Lord Dalhousie to begin a survey for a Karachi Seaport and a survey for a railway line in 1858. The proposed railway line would be laid from Karachi (city) to Kotri. A steamboat service on the Indus and Chenab rivers would connect Kotri to Multan and from there another railway line would be laid to Lahore and beyond. On May 13, 1861, the first railway line was opened to the public, between Karachi (city) and Kotri, with a total distance of 105 miles (169 km). By 1886, there were four railway companies operating in what would become Pakistan. The Scinde (Sindh) Railways, Indian Flotilla Company, Punjab Railway and Delhi Railways. These were amalgamated into the Scinde, Punjab & Delhi Railways Company and purchased by the Secretary of State for India in 1885, and in January 1886 formed the North Western State Railways, which was later on renamed as North Western Railway (NWR). This would eventually become Pakistan...
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