Project Background

The Victorian public transport operates on a franchising model that includes both the operation and maintenance of the network’s assets. From 2015 to 2017, the Department of Transport developed the new franchise arrangement MR4 to replace the previous MR3 franchise. The experience gained and lessons learnt from the refranchising of the metro rail operations were carried across to the other public transport modes.


How Innova Helped

As a member of the PTV Client Team and OCMS Principal, Innova resources were directly involved in the development of the MR4 franchise agreement, with a focus on improving the maintenance and progression of technology-based control and management systems to support greater operational performance and management oversight to address a key deficiency within the MR3 franchise agreement of limited resolution of client visibility and control. Additionally, an Innova resource also represented the MR4 franchise on the franchisee side for OCMS. The Innova resource represented PTV for the development of the OCMS aspects of the redeveloped franchise agreement, including measures to improve asset support, obsolescence, strategic direction and management. The resource was also instrumental in reshaping the agreement’s contractual management provisions and structure.

Achieved Outcomes

The inclusion of the OCMS asset class into the franchise agreements recognises the imperative for better management of technology and information-based systems. Not only to better manage the OCMS assets, but to ensure data-driven system status and performance reporting in real time for ICT, infrastructure and rolling stock assets.

  • Increased funding to support critical OCMS systems and advance technology within the transport environment.
  • Detailed review of past performance of the incumbent Franchisee for service and asset management.
  • Development of improved abilities to measure Franchisee performance in service delivery and asset management.
  • Development of critical documentation to support the evaluation of past and improved future performance management.


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