TERN Performance Reporting Context

1. CEDR TD ManagementPG2 Planning the Road NetworkPerformance Indicators for the TERN: Implementation Options

2. TERN Performance Reporting Context • EU Member States are required to submit regular reports to the Commission on the implementation of the TERN and to respond to other ad-hoc requests for TERN-related information • Although a new web-based method is being developed to enable Member States to submit data for the TERN Implementation Reports, the processes required to produce such reports are time-consuming, inefficient and often require significant manual data extraction and reporting. • Due to the variety of local data definitions and referencing systems, performance reports are often based on inconsistent information and are therefore of limited value. • In addition, the CEDR Strategic Plan, includes an objective for Members to be able to produce benchmark reports.

3. CEDR Strategic Plan Objectives • The CEDR Strategic Plan 2005-2009, defines the overall goal of Priority Task M8 (Performance Indicators) as “…to bring together road network performance information in a coherent way, in a consistent format, and at a high level of quality across the CEDR area, as well as to improve TERN and road asset statistics.” • The aim is for CEDR to add value by developing “a set of indicators which perfectly meets the needs expressed by the NRAs, thereby allowing road directors to benchmark their networks against other networks”. • This is supported by Priority Task M3 (Road Data) whose stated goal is to “…promote best practice in the management of road data, the definition of reference systems, and the exchange of data”.

4. Improved Performance Reporting • Earlier work carried out by CEDR identified more efficient processes for reporting performance that could deliver more meaningful reports, based on more consistent information. • These are based on: • Common network referencing model such as the model previously developed and piloted by former SG Road Data • More meaningful performance indicators based on commonly agreed data definitions such as those developed and piloted by PG Planning • Centrally produced performance reports based on data provided by individual members states either through an automatic or semi-automatic process • Proposed new method will supplement existing local systems and processes and will also support local performance reporting

5. Benchmark Reporting • In addition to reporting to the Commission, the CEDR Strategic Plan 2005-2009 includes an objective to allow the performance of CEDR members to be benchmarked against each other. • Colleagues from France have also suggested that there might be value in considering a high-level report on the performance of each CEDR member benchmark report based on global performance measures that are not related to the network itself. • Such a report would not provide information on the performance of the TERN itself and it is recommended that this could be introduced in addition to an improved performance reporting.

6. Impact Assessment • To assess the impact on Member States of implementing an improved performance reporting framework, a cost benefit analysis was undertaken to provide a comparison with the current method of performance reporting. In addition, the costs and benefits of introducing a new high-level benchmark report were also evaluated. • This assessment included: • Current state assessment • Development of cost model • Cost-benefit analysis • Report and recommendations

7. Current State Assessment • The first stage of the analysis was to undertake a survey of CEDR members to assess their current status with respect to data management so that an assessment could be made of their capabilities to implement an improved TERN performance process. Responses were received from 19 CEDR members. • The majority of members categorised themselves as holding data within one part of their organisation and within one integrated system. E.g. All data in one system, sharing a common location referencing model. • A smaller number of countries categorised as have data held in different systems with one organisation or within different organisations. • The impact of the new reporting framework would differ between different categories of organisation.

8. Cost-Benefit Analysis • A cost model was developed by the Task M3/M8 working group to assess the cost (expressed in terms of time) for each Member to set up and produce the improved performance report and the benchmark report. • Assumptions were made to adjust the model for each category of organisation. • The model was run for each category of organisation over a period of three reporting cycles and the costs of implementing the improved performance report and the benchmark report were compared with the current reporting process.

9. Results of Analysis: Improved Reporting Framework • Improved Performance Reporting Framework • The model estimated that setting up the location referencing model and the performance reporting framework would require an average 284 hours additional work in the first year compared to the current method, efficiencies in the process would result in an estimated average saving of 353 hours or 17% over three years in the amount of time taken for member states to provide information for the production of a TERN performance report compared with the current method. • This represents a time saving - over three years - of between 15% and 19% across all categories of CEDR members. • Other costs & benefits • More meaningful information on the performance of the TERN based on more consistent data definitions. Increased confidence. • Greater control of quality and managed change.

10. Results of Analysis: Benchmark Report • New Benchmark Report • The model estimated that the extraction and analysis of the diverse set of data needed would represent an average additional cost of 44 hours in year one compared with the current method but over three years would result in average total savings of 194 hours or 3.5% compared with the current method of reporting. • However, Members with data held by one part of the organisation and in one integrated system (i.e. the majority) would experience on average a 3% increase in the work involved over the three year period. • Other costs & benefits • The information provided in the report will enable benchmarking between countries but will be significantly different from the current TERN Implementation Report.

11. Cost-Benefit Analysis Results

12. Conclusions (1) • Improved Reporting Framework • The Improved Reporting option will require additional work in year one to set up the location referencing model and data compared with the current method • It will, however, lead to efficiency savings that will reduce the amount of work required to produce the report over a period of three reporting recycles. • The resulting report will provide better, more consistent information about the performance of the TERN amongst CEDR members.

13. Conclusions (2) • New Benchmark Report • Does not require detailed location referencing but will result in additional costs in year one in identifying, extracting and processing the diverse range of data required. Subsequently, the amount of work will reduce compared with the current reporting method for some countries but will increase for the majority of countries where the current reporting process is relatively efficient because all data is in one organisation and system. • The resulting report may be useful for benchmarking the performance of individual member states but will not provide information about the performance of the TERN itself and is therefore likely to be additional to the TERN Implementation Report rather than replacing it.

14. Recommendations & Next Steps It is recommended that: • A TERN Performance Report is designed that is based on more consistently defined data definitions and location referencing. • A communication channel is opened up with the owners of the TERN Implementation Report to identify possible efficiencies between this and the proposed TERN Performance Report. • A package of work is commissioned to define the requirements for the CEDR Benchmarking Report which will supplement rather than replace the proposed TERN Performance Report and Implementation Report.