Continuing upwards

Jonathan Welch concludes his report from the ALBUM conference in Warrington, where the theme this year was ‘moving on up’

In last week’s issue, we looked at some of the themes, comments and issues from day one of the 2024 Association of Local Bus Company Managers (ALBUM) conference, held in Cheshire on 22-24 April and hosted by local municipal Warrington’s Own Buses, hot on the heels of the launch of its fleet of new Volvo BZL electric buses.

As always, the conference was accompanied by a trade show where exhibitors large and small were able to connect with existing clients face to face, network and make new contacts. Outside was a display of the latest new vehicles from Alexander Dennis, Volvo and Yutong.

The theme of this year’s conference was ‘moving on up.’ The second day of speakers, and the third and final day overall of the event, was opened again by regular host and former TV news reporter Dave Guest, who reported that the previous evening’s social event had been a great success, offering one of numerous more informal ways for attendees to network during the three-day event. There was a great mix of business and pleasure, he said.

The first of the day’s keynote speakers was Martin Dean, Managing Director of Go-Ahead Group’s UK Regional Bus division. Martin is responsible for overseeing the performance of Go-Ahead’s UK bus companies outside London; operations which stretch from Devon and Cornwall in the south-west right up to the north-east of England. Having previously held the role of Head of Business Development for Go-Ahead, charged with identifying new business opportunities at home and abroad, and with more than three decades’ experience in transport, he is also chairman of the Confederation of Passenger Transport (CPT). He is also Non-Executive Chairman of Edinburgh Trams, a convenient link back to last year’s conference in the Scottish city.

Speaking for the first time at an ALBUM conference, Martin said it was a delight to be able to attend despite not belonging to a company which is aligned with ALBUM’s membership. Instead, he was able to offer a different perspective, though one which is just as relevant to the SME sector as the big groups. Martin looked at how the socio-economic conditions of the age parallel the bus industry, and what we can extrapolate and learn from that when looking at the industry’s future.

Taking us back into the 1980s, Martin described what he called the three ages of deregulation; the path which has led the industry to where it is today. From 1986 to the mid-1990s he summarised as being an era of entrepreneurialism, followed from then until the Bus Services Act of the late 2010s which he labelled an era of consolidation. Finally came the hybrid age, a term he used to refer to the method of working rather than any particular transmission type.

Pre-historic

What went before, he asked. The pre-historic age was his answer, a time when networks were heavily controlled and regulated, when changes had to be approved, when restrictive practices made life less simple for passengers. An era when out-of-town services could only drop off on their way in and pick up on their way out once within a city boundary.

[wlm_nonmember][…][/wlm_nonmember][wlm_ismember]

It was an era which he described as sounding odd in the context of our lifestyle and understanding, but when placed into the context of the 1960s and 1970s socio-economic climate, it made sense, he ventured. Back then, the state played a much more all-embracing role. Within relatively recent memory, the after-effects of the Second World War were still being felt; National Service and rationing were just two of the examples he gave of greater governmental control and oversight. “If the state was deciding how much food we could eat, there’s no wonder that it was deciding our bus routes,” he suggested.

An opening up of the market brought initiatives such as small buses on high frequencies, and whilst some transport authorities struggled to cope with the changes, the new era helped stem the industry’s decline, Martin said. The first signs of a growing environmental awareness, on the other hand, clashed with the idea of lots of small minibuses.

As the country moved from the Thatcherite era into a more relaxed one of Blairism, so changed the backdrop to buses, alongside a recognition that the free market didn’t necessarily provide all the answers. “Deregulation didn’t grow the market enough,” Martin said. “We have to be honest about that.”

The ‘hybrid’ age in which the industry now operates has been defined by the pandemic, he said, alongside a growing demand for devolved powers, but yet again the industry has re-invented itself to fit in. The natural follow-up question was ‘what comes next?’. Issues such as an ageing population, migration, resource shortages and increased environmental complexity were among the issues that Martin highlighted, leading to the question, and the theme of the event, how we move onwards and upwards.

Amongst other issues, he said that accessibility is still a factor which needs to be pushed more, when it comes to bus design but also the stop infrastructure and street environment. Of course, for anyone at the event, they could discuss all manner of aspects of accessibility with the relevant suppliers, be it destination screens from McKenna, flooring from Altro, specialist moquette for priority seating from Camira, provision of USB charging from Alfatronix, seating from Kiel, or many others, not forgetting AutoGlym, a company which is growing its presence in the coach and bus sector with a range of specialist cleaning products.

Something which was mentioned on the previous day, and which would recur as a theme on the final one, was that it’s all those individual little things that add up to make the experience what it is for staff and passengers alike; with that in mind, it’s not a huge leap to see that the products of all of the suppliers present, be it Allison’s gearboxes, Timespace’s on-board CCTV, Freeway’s fleet maintenance management software, Asset Alliance Group’s funding, all add up to delivering what is essentially a very basic and accessible service from a passenger’s point of view; a clean, reliable, punctual and safe bus.

Martin added that we as a sector need to be more dynamic and to embrace the huge amount of data now available to operators. He added that ongoing austerity means that more innovation will be needed, and warned that in an era when people expect things to change at pace, some of the rules and regulations around time periods for service changes might be outdated.

“If we embrace the future, we could be on the cusp of a golden age,” he said, adding that there’s no room for complacency. What comes next? “The Age of Prominence” was his answer, one in which buses and public transport become an increasingly important focus both politically and environmentally.

Safety, safety and safety

The next speaker was Mattias Rångeby, Senior Vice President for Volvo Global Bus Technology at Volvo Buses. Mattias joined the Volvo Group in 1999. He currently leads a team overseeing product management, engineering, service market technology, quality, and customer experience on a global scale, and shares Volvo’s famed passion for safety technologies and innovations, a topic about which he spoke in a passionate and engaging manner. Addressing this year’s conference, he delved into Volvo’s innovative advancements in safety technology, especially when it comes to electric buses.

Mattias opened with a question: “Does anyone disagree that safety is important?” He built on this by questioning how we perceive safety. “Do we all mean the same thing?” he asked. He went on to explain that Volvo’s philosophy is that safety is not just one thing, but a lot of strands coming together and working in harmony; human factors, engineering factors, technology.

Relating to his own experiences as a child, he recalled standing up in a car, leaning between the front seats, an act which felt safe because he was with his parents, and because he was safely inside a car. But what would have happened in a crash, he wondered; the definition of safety back then, in the 1970s, was very different from today, he said. What felt safe by the standards of the day is no longer something anyone in the 2020s would consider to be safe, because our perception is constantly changing and evolving.

Describing standing between the seats, he used the phrase “I was unconsciously incompetent.” Safety is part of a system, he said, which in the 1970s led the Swedish government to its Zero Vision; no road deaths. And it’s working, reducing the numbers killed on Sweden’s roads from 1,300 a year in 1977 to just 230 in 2023, but that’s still too many, Mattias said, explaining that the Vision embodies three key pillars: vehicles, roads and laws, reiterating that safety is about the whole system, not just each piece in isolation.

“I’m proud to work for a company which has safety as a core value,” he said. “We must make sure that everyone comes home safely from work.” Unsurprisingly, Volvo sees it as a corporate responsibility to its staff and the wider world to act and think in a way which improves both safety and sustainability. It is not just striving to reduce accidents; Mattias explained that the goal is zero workplace accidents, and zero accidents involving its vehicles. Zero. And that’s accidents, not just deaths.

Advanced technology

It’s no shock that Volvo, as have other manufacturers, has spent large amounts of time and resources on new technology to accomplish its aim. But, as Mattias put it, “the most advanced sensor in an EV is the driver. There is no artificial intelligence more advanced than the driver.” It is, therefore, Volvo’s aim to help and support the driver in their task, reduce distractions and ultimately reduce accidents.

I did notice some irony, having recently been in a Volvo car where many common functions were operated by fiddly small icons on a central touch screen; lets hope such technology doesn’t filter through to buses too.

He went on to speak about the layers of safety which combine to prevent or minimise the effects of an accident, citing examples such as the elimination of forward-ascending staircases as one way to reduce risk. Battery safety is another growing area of concern, and one which Volvo gives serious consideration to, and Mattias detailed the need for a future standard to ensure that chargers are also safe; unlike a petrol station, there is no standard for a charger, he told us, at least in Sweden, meaning that there could be a risk of overcharging and subsequent fires.

“The journey continues,” he concluded. “Safety cannot stop. I hope people feel safe now, but we still need to take the next step. I hope my grandchildren will be able to look back and say ‘thank you for what your generation brought to us.”

A familiar face

Next to speak was very familiar to most present: Lothian Managing Director Sarah Boyd. With over 20 years in the bus industry, Sarah joined Lothian in 2013 as its Head of Operations, before becoming Operations Director in February 2017. She is leading Lothian’s commitment to sustainability, including the development of a wide-reaching strategy which incorporates plans for all routes, vehicles and depot infrastructure to achieve Net Zero targets. She has also held the position of Scottish Chair of the Confederation of Passenger Transport.

Joking that she was more relaxed than at last year’s conference, of which Lothian was the host, Sarah told us that Lothian is moving on up in its own way, and has moved past some of its recent difficulties.

Talking about its operations, Sarah said that Lothian has a huge breadth, and that it has the privileged position of operating in an area where bus travel is ‘de-stigmatised.’ Showing a map which charts the operator’s outward expansion since it was founded in 1919, she said that it is widely accepted that people will use the bus in Edinburgh. Having the right network in place is a key part of it, but the bar is set high, Sarah said. “It’s not that people can’t afford a car, but that we enable them to choose to leave the car behind.”

As the largest of the municipal operators, Lothian is 91% owned by Edinburgh City Council, and works closely with local and national politicians, Sarah told us, adding that despite the difficulties of the pandemic, the fleet has been wholly Euro VI since 2022.

Turning to the topic of people, as discussed by some of day one’s speakers, Sarah said that none of what Lothian achieves every day would be possible without its 2,566 staff; it is one of the city’s largest employers. Retaining skilled and specialist staff who take pride in the fleet is a key part of Lothian’s DNA, Sarah said, and one which is reflected in the presentation of its fleet on the road. “It’s the little things together that add up to an amazing customer experience,” she said, echoing Mattias’ similar sentiments on safety.

Municipal pride

Helpfully, Sarah also addressed a question often asked given its municipal status, that of funding. “97% of Lothian’s revenue is from passenger journeys,” she explained, adding that just 0.6% comes from tendered or supported services. Last year, with 110m journeys made on its services, the operator returned a £3.2m dividend to the local authority; something that Sarah said was delivered ‘by every one of Lothian’s team.’ Pre-pandemic, the operator was bucking trends and experiencing growth, with its vehicles covering an annual mileage sufficient to take it to the moon and back.

The pandemic changed that, we heard, and as a result a robust business plan was needed to restore services which were reliable and resilient, safe and sustainable, and trusted and valued, all underpinned by the need for great accessibility; the latter, when properly considered, can bring benefits for all, Sarah told us.

Just like Volvo, Lothian is also aware of its environmental credentials and the impact of its business on the environment. It envisages being fully zero-emission by 2035, with an initial focus on making its Central Garage a fully zero-emission bus depot. The plan has been a long time in the making and has brought several major challenges, she said.

A more immediate problem industry-wide is the ongoing driver shortage, Sarah said: “I struggle to remember a bigger collective problem in my 22 years in the industry.”

How do we attract and retain staff, she asked? Referring back to some of what we’d heard on day one, she re-emphasised the importance of being a good employer, and explained that for Lothian that had meant reviewing everything it does, including basics such as rosters as well as the recruitment process. “It’s not just about hourly rates,” she advised, and noted that around 85% of employees had said they were proud to work at Lothian in a recent survey.

Matters of policy

The penultimate industry speaker of the day was ALBUM Policy Advisor Tony Depledge. Appointed OBE in the New Year’s Honours list 2002 for services to public transport, Tony has long been a passionate and practical campaigner, inspiring individuals and organisations to work together. He has held roles including Managing Director at Blackpool Transport and Director for Transport Policy at Arriva amongst a raft of non-executive director and Board level positions within various transport-related bodies, including CPT as well as ALBUM.

Tony gave a short overview of what ALBUM has been doing for members as part of its objective to help resolve issues and provide the tools needed to allow the SME sector to communicate effectively with politicians on a local and national level; the sector often tends to concentrate on operational matters, he said, but sometimes needs to put its head over the horizon.

Addressing some of the issues of the day, he referred back to a 1938 report from Greater Manchester Corporation Transport which noted that priority needed to be given to public transport over other forms of transport. Nothing’s new: It’s a sign, he said, that the industry needs to keep making its case as new politicians come along. And if politicians don’t ‘get it,’ it’s because we haven’t won over their electorate, he added.

Citing another example from his own past, he showed a photograph of a bus running around a new housing estate in Leicester whilst the houses were still being built. It was a clear sign to anyone moving in that no car was needed, he said, in contrast to some more modern examples of less than good practice.

When it comes to the thorny issue of franchising, Tony explained that ALBUM as an organisation is neither for nor against; it will, however, continue to remind everyone involved of the importance of the SME sector, which sees franchising as an existential threat, and the value of those small local businesses in their communities. “We need to work out how best SMEs can play a role in franchising,” he said, adding that on the other side of things, ALBUM can offer knowledge to local authorities, but they in turn must have realistic expectations of priorities versus costs.

There must also be a level playing field between SMEs and the public sector, he noted, pointing out that SMEs have ‘authenticity’ as they live and work in the communities they serve.

Long term view

With an election on the horizon, Tony said that although Labour has talked about the need for safeguarding the bus network, there is not yet a clear sign of how that might be achieved. The industry needs a settled framework he said, to allow it to plan its future business, backed up by sustainable and deliverable local transport plans; long term solutions that will survive short-term political changes.

“Please don’t hold franchising over the heads of SMEs as a threat forever,” he urged, indicating that there should be a time-frame for authorities to decide if they wish to pursue that route or not, beyond which small businesses can invest with confidence in their longer-term future.

“Do local authorities have the skills and resources to design a network, let tenders, and manage it?” Tony asked. Evidently, some do, but many don’t, which will be a difficult problem to solve.

One area of policy where ALBUM differs from some other bodies is that of BSOG; whilst some will argue that it should be devolved, Tony explained that ALBUM’s stance is that the idea of each local authority developing its own rates would be very awkward for operators, and that it should be nationally structured.

However, some changes will be needed elsewhere, he said. “We’ll need to change as technology changes.” Meanwhile, another big change on the horizon is the end of the £2 fare cap. “It should end at some point,” Tony said, but that the end date being so close to an election could be a problem.

Concluding, Tony rightly pointed out that, as the clamour for franchising grows, “we have lost a generation of politicians for whom moving transport out of their remit was good, otherwise fare rises and strikes became their fault.” Those who wish to take that back need not just the desire, but the skills and talent to back it up, he warned.

A lifetime in buses

The day’s final industry speaker was Jeff Counsell, retired Managing Director of Trentbarton, who quickly grew bored of retirement and eagerly accepted his current role as EV Director at conference host Warrington’s Own Buses. With a wealth of experience and a book’s worth of stories gathered over his time in the industry, Jeff delivered an entertaining but thought-provoking presentation.

We spoke to Jeff in detail in issues 1567 and 1568 in March last year about his career; he entered the bus industry on leaving school in 1974, just before his 16th birthday, as an Apprentice Fitter with local operator Lancashire United Transport. During his apprenticeship, LUT became part of the wider Greater Manchester PTE, which brought wider career and training and development opportunities, which Jeff embraced. Ultimately, his career path took him to Trentbarton in mid-1999 as its Engineering Director, and later Director of Service Delivery.

Jeff’s story ties into what we heard on the previous day about recruitment, about finding the right people for the job; by his own admission, he was not an academic, yet with the right support from colleagues and the companies he worked for, Jeff was able to establish himself as a knowledgeable and popular figure, respected across the industry.

Following his retirement from Trentbarton, Jeff said he was looking forward to the challenge of mobilising Warrington’s fleet of 105 new electric buses, a task far larger than any single new fleet introduction he’s dealt with in his long career.

Concluding, he reminded us again that it’s so often the people that matter, and how they are treated by their employers. “On my first day here at Warrington, the team made me feel welcome,” he said. “I wouldn’t still be in the industry if it wasn’t for the fantastic teams I’ve worked with for the last 50 years.”

The conference’s theme might have been ‘moving on up,’ but harking back to what Mattias said about the most sophisticated piece of equipment on board; no matter what technology brings, it’s the driver and all of the others who make the industry tick who are the glue that hold everything together. We need to move onwards and upwards, but we need to make sure we take our people with us on the way.

[/wlm_ismember]