(Applied Strategic Management)

Project Report on
(Delhi Metro Railway Corporation)

Submitted to Submitted by

Prof. Rakesh Gupta Sagar Bansal

IILM-GSM Paramjeet Singh

Vivek kumar singh

Section (A)

PGDM (09-11)

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Index
1) Introduction

2) Why the need of Delhi metro

3) Features of new Metro trains

4) Routs of Delhi metro

5) Strategy used by DMRC

6) Implementation of strategy

7) Advantage of Delhi metro

8) Macro environment factor of Delhi metro

9) SWOT analysis

10) Issues affecting “two wheeler” users for mode shifting

11) Suggestions

12) Conclusion

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Introduction
The Delhi Metro is a rapid transit system serving Delhi, Gurgaon and Noida in the
National Capital Region of India. The network consists of six lines with a total
length of 156 kilometers (97 mi) with 132 stations of which 31 are underground. It
has a combination of elevated, at-grade and underground lines and uses both broad
gauge and standard gauge rolling stock.

Delhi Metro is being built and operated by the Delhi Metro Rail Corporation
Limited (DMRC). As of April 2010, DMRC operates around 130 trains daily
between 6:00 and 23:00 running with an interval of 3 to 4.5 minutes between
trains. The trains have four coaches but there are plans to shift to six coach trains to
increase capacity. The power output is supplied by 25-kilovolt, 50 Hertz
alternating current through overhead catenary. The metro has an average daily
ridership of 1.5 million commuters, and, as of August 2010, had carried over 1.25
billion commuters since its inception.

Planning for the metro started in 1984, when the Delhi Development Authority and
the Urban Arts Commission came up with a proposal for developing a multi-modal
transport system for the city. The Government of India and the Government of
Delhi jointly set up the Delhi Metro Rail Corporation (DMRC) in 1995.
Construction started in 1998, and the first section, on the Red Line, opened in
2002, followed by the Yellow Line in 2004, the Blue Line in 2005, its branch line
in 2009, the Green and Violet Lines in 2010. Subsequently, these lines have been
extended and new lines are under construction in Phase II of the project, including
the Delhi Airport Metro Express whose opening has been postponed until
November 2010 due to safety concerns.

Structure

 Chairman - Shri Navin Kumar

 Managing Director - Dr. E. Sreedharan
 Total No. of Directors - 16
 Nominee of Govt. of India – 5

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Mission
 To cover the whole of Delhi with a Metro Network by the year 2021.
 Delhi Metro to be of world class standards in regard to safety, reliability,
punctuality, comfort and customer satisfaction.
 Metro to operate on sound commercial lines obviating the need for
Government support.

Our Corporate Culture

 We should be totally dedicated and committed to the Corporate Mission.
 Personal integrity should never be in doubt, we should maintain full
transparency in all our decisions and transactions.
 The Organization must be lean but effective.
 The Corporation must project an image of efficiency, transparency, courtesy
and “we mean business” attitude.
 Our construction activities should not inconvenience or endanger public life
nor should lead to ecological or environmental degradation.
 All our structures should be aesthetically planned and well maintained.

Delhi Metro is a world-class metro. To ensure reliability and safety in train

operations, it is equipped with the most modern communication and train control
system. It has state-of-art air-conditioned coaches. Ticketing and passenger control
are through Automatic Fare Collection System, which is introduced in the country
for the first time. Travelling in Delhi Metro is a pleasure with trains ultimately
available at three minutes frequency. Entries and exits to metro stations are
controlled by flap-doors operated by 'smart-cards' and contact less tokens. For
convenience of commuters, adequate numbers of escalators are installed at metro
stations.

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Why the need for Delhi Metro
As cities grow in size, the number of vehicular trips on road system goes up. This
necessitates a pragmatic policy shift to discourage private modes and encourage
public transport once the level of traffic along any travel corridor in one direction
exceeds 20,000 persons per hour.

Introduction of a rail based (MRTS) Mass Rapid Transit System is called for. Mass
Rapid Transit Systems are capital intensive and have long gestation period. It has
been observed that in developed countries, planning for mass transit system starts
when city population size exceeds 1 million; the system is in position by the time
the city population is 2 to 3 million and once the population exceeds 4 million or
so, planned extensions to the Mass Rapid Transit Systems is vigorously taken up.

The city of Delhi with a population of round 12 (16.2) million should have had an
MRTS network of at least 100 (300) KM by this time, whereas actually it is still
(65.10 kms) at the take-off stage. Delhi has all the ideal dress-up for an excellent
Mass Rapid Transit System to be brought in. It has wide roads (roads cover 23% of
the city area) where road possession for construction is not difficult (except in the
old city area). Implementation will also not involve demolition of large scale
private properties. Most of the land required is under Government control and
hence can be easily acquired.

New Features in New Metro Trains

The Delhi Metro Rail Corporation (DMRC), which has ordered 131 new trains in
view of the increased rush on the Metro system in Delhi, will provide passengers
with power connections inside the trains so that they can use their laptops and

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charge their mobiles while they are traveling in the Delhi Metro. Every new Metro
coach of Phase – II will have power supply points for this purpose.

The new Metro coaches in Phase - II will also have reduced noise levels inside the
trains as the DMRC is making major design changes to reduce the noise levels by
use of special sound absorbing cushions in the walls of the Metro coaches and
more buffing on the Metro doors which will be better sealed by reducing the door
gaps to ensure that less sound from outside enters the trains thus enabling the
passengers to travel in a better ambience. The noise level in the underground
coaches has been reduced by 8 decibels(db) as in Phase-I the internal noise levels
was around 92 db which will now be only 84 db in Phase-II. In addition, a new
type of compressor called Scroll Compressor System will be used in the air
conditioners of the Phase-II coaches which will be sealed and is more compact and
this will reduce noise level in the coaches further.

The Phase-II Metro coaches will also provide a much better level of passenger
comfort as for the first time there will be Humidity control as Humidity Sensors
will activate the newly planned heating system of the air conditioner which will
eliminate humidity inside the coaches. The temperature will be maintained at 25
degree Celsius and relative humidity will be maintained at 60 % during the
summer and monsoon months (in Phase - I trains, there was only temperature
control).

With the start of Phase-II the Delhi Metro will start traveling very far distances
covering around 50 kms in some destinations such as Dwarka-Noida, Gugaon-
Jahangirpuri, etc. To avoid confusion for the passengers who will travel on these
lines, there will be new destination sign boards in LED on one window of the side
wall of each coach so that passengers can view the terminal stations while standing
on the platform as some Trains may be terminating at intermediate stations
depending upon operational needs. This will be necessary as on the same line
different trains may be terminating at different destinations.

Phase - II trains will also have Closed Circuit Television Cameras (CCTVs) inside
the coaches apart from cameras outside the coaches so that the driver can see the
entry and exit of passengers from the train. The driver of the Metro trains will now
be able to observe passenger behavior in every part of the train at all times.

The Delhi Metro trains in Phase - II are also being designed to travel upto a
maximum design speed of 95 kmph as against 90 kmph in Phase - I. The braking
system is also better as DMRC will use Wheel Mounted Disc Brakes which will be

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micro processor controlled. In addition, the train will have energy absorbent
couplers which can absorb shock and reduce damage to the car body structure in
collisions.

Routs of Delhi Metro

1) Red Line

The Red Line was the first line of the Metro to be opened and connects Rithala in
the west to Dilshad Garden in the east, covering a distance of 25.09 kilometres
(15.59 mi). It is partly elevated and partly at grade, and crosses the Yamuna River
between Kashmere Gate and Shastri Park stations. The inauguration of the first
stretch between Shahdara and Tis Hazari on December 24, 2002, caused the
ticketing system to collapse due to the line being crowded to four times its capacity
by citizens eager to have a ride. Subsequent sections were inaugurated from Tis
Hazari – Trinagar (later renamed Inderlok) on October 4, 2003, Inderlok – Rithala
on March 31, 2004, and Shahdara – Dilshad Garden on June 4, 2008

2) Yellow Line

The Yellow Line was the second line of the Metro and was the first underground
line to be opened. It runs for 44.36 kilometres (27.56 mi) from north to south and
connects Jahangirpuri with HUDA City Centre. The northern and southern parts of
the line are elevated, while the central section through some of the most congested
parts of Delhi is underground. The first section between Vishwa Vidyalaya and
Kashmere Gate opened on December 20, 2004, and the subsequent sections of
Kashmere Gate – Central Secretariat opened on July 3, 2005, and Vishwa
Vidyalaya – Jahangirpuri on February 4, 2009. This line also possesses the
country's deepest Metro station at Chawri Bazaar, situated 30 metres (98 ft) below
ground level. On 21 June 2010, an additional stretch from Qutub Minar to HUDA
City Centre in Gurgaon was opened, initially operating separately from the main
line. However, Chhatarpur station on this line opened on August 26, 2010. Due to
delay in acquiring the land for constructing the station, it was constructed using
pre-fabricated structures in a record time of nine months and is the only station in
the Delhi metro network to be made completely of steel. The connecting link
between Central Secretariat and Qutub Minar opened on September 3, 2010.
Interchanges are available with the Red Line at Kashmere Gate station, and with
the Indian Railways network at Delhi and New Delhi railway stations.

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3) Blue Line

The Blue Line was the third line of the Metro to be opened, and the first to connect
areas outside Delhi. Partly overhead and partly underground, it connects Dwarka
Sub City in the west with the satellite city of Noida in the east, covering a distance
of 47.4 kilometres (29.5 mi). The first section of this line between Dwarka and
Barakhamba Road was inaugurated on December 31, 2005, and subsequent
sections opened between Dwarka – Dwarka Sector 9 on April 1, 2006,
Barakhamba Road – Indraprastha on November 11, 2006, Indraprastha – Yamuna
Bank on May 10, 2009, Yamuna Bank – Noida City Centre on November 12,
2009, and Dwarka Sector 9 - Dwarka Sector 21 on October 30, 2010. This line
crosses the Yamuna River between Indraprastha and Yamuna Bank stations, and
has India's first extradosed bridge across the Northern Railways mainlines near
Pragati Maidan. A branch of the Blue line, inaugurated on January 8, 2010, takes
off from Yamuna Bank station and runs for 6.25 kilometres (3.88 mi) up to Anand
Vihar in east Delhi. A small stretch of 2.76 kilometres (1.71 mi) from Dwarka
Sector 9 to Dwarka Sector 21 was inaugurated on October 30, 2010. Interchanges
are available with the Yellow Line at Rajiv Chowk station, and with the Indian
Railways network at the Anand Vihar Railway Terminal.

4) Green Line

Opened in 2010, the Green Line was the first standard-gauge corridor of the Delhi
Metro. The fully elevated line connects Mundka with Inderlok, running for
15.1 kilometres (9.4 mi) mostly along Rohtak Road. An interchange with the Red
line is available at Inderlok station via an integrated concourse. This line also has
the country's first standard-gauge maintenance depot at Mundka.

5) Violet Line

The Violet Line is the most recent line of the Metro to be opened, and the second
standard-gauge corridor after the Green Line. The 15 km (9.3 mi) long line
connects Sarita Vihar to Central Secretariat, with 9 km (5.6 mi) being overhead
and the rest underground. It was inaugurated on October 3, 2010, just hours before
the inaugural ceremony of the 2010 Commonwealth Games, and connects the
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Jawaharlal Nehru Stadium which is the venue for the opening and closing
ceremonies of the event. Completed in just 41 months, it includes a 100 m (330 ft)
long bridge over the Indian Railways mainlines and a 167.5 m (550 ft) long cable-
stayed bridge across an operational road flyover, and connects several several
hospitals, tourist attractions and a major industrial estate along its route. Services
are provided at intervals of 2 min 40 sec, the shortest on the network. An
interchange with the Yellow Line is available at Central Secretariat through an
integrated concourse.

Strategies used by DMRC

1) Financing Strategy

DMRC went overseas, tapping the Japan Bank of International Cooperation for
loans to cover 60% of the cost.

2) Partnership Strategy- ‘Went for extensive experience’

Consulted with Pacific Consultants International from Japan for engineering

matters, Korea's Rotem and Japan's Mitsubishi supplied the initial shipment of
coaches, France's Alstom designed of the automatic train control system.

3) Pricing Strategy

DMRC has kept its fare reasonable with a minimum of Rs 6 and a maximum of Rs
24 and has compensated by increasing the revenue from other sources like
advertisements, commercial exploitation of available space and consultancy
services.

4) Relationship Strategy- ‘Assembled the metro carriages in’

Bangalore and rolled them on Indian Railway’s track straight to the New Delhi
Metro to avoid the conflict with Indian Railways about the kind of track to be used.

5) Advertising Strategy

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Use of Lenticular vision technology - the picture and the projections are modified
to suit the audience speed helping them to view the advertisements clearly.

Customer Oriented Approach

1) Implementation of Smart cards

2) Feeder Bus Service

3) Rent a cycle service in the University campus

4) Ductile pathways and ramps to guide visually challenged people

5) Pre Station alert Emergency Services

Why DMRC is success

The Delhi Metro Rail Corporation (DMRC) is one of the four metros in the world
to have operating profits among 135 metros globally.
DMRC has been making operating profits ever since it became operational.
However, in 2005-06, it earned Rs 448.93 crore, where as its expenditure was Rs
102.41 crore, thus making an operational profit of Rs 346.52 crore," the case study
adds.  
Investment in the Delhi Metro's phase I - ended November 2006 - was Rs 10,571
crore. The second phase, much larger in terms of size, will need much higher
investments. The network currently is 65.1 km long and another 121 km will be
added with Phase II.  By some estimates, the project, when sanctioned eight years
ago, was premised on expected passenger traffic of 21,80,000 per day in the third
year of operation from December 2002. Today only 5,00,000 commuters use the
metro per day.  
The DMRC website states that estimated number of originating passengers per day
in the year 2011 for Phase I and Phase II corridors will be 26,17,000.  About 1,100
train trips operate every day with a punctuality of nearly 100 per cent, states the
IIM case study.
According to DMRC spokesperson Anuj Dayal the metro earns Rs 1 crore daily, of
which Rs 65 lakh comes from passenger fare and the rest comes through associated
activities like property development, advertisements and displays, consultancy and
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others.  Following DMRC's success, it has been asked to prepare detailed project
reports for metro rail transport systems, both in India as well as abroad.  Countries
that have sought its consultation for their project management include Pakistan,
Bangladesh, Indonesia, Sri Lanka, Syria, Ireland and Indonesia.

Advantage of Delhi Metro

a) Savings in Foreign Exchange due to reduced Fuel Consumption.

b) Savings in time for the passengers.

c) Reduction in Pollution.

d) Reduction in road accidents.

e) Reduction in capital and operating costs of vehicles.

f) Lower maintenance costs for infrastructure.

g) Improvement in road traffic conditions.

Features of Delhi Metro

a) Cleanliness

b) Infrastructure

c) Fare

d) Punctuality

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Macro Environmental Factors affecting DMRC

1) Legal & Environmental

Focuses on continual improvement in our Environment, Health & Safety policies,

processes and procedures complying with local and national Environment, Health
& Safety Laws.

2) Political factor

Full political support from Govt• Metro being honour for delhi so government
promotes it resulting in automating publicity.

3) Economic factor

With increase in purchasing power of middle income group, a better mode of

transport is required, Delhi & NCR being National Business hub.

4) Technological factor

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Switching over to Standard gauge from Meter gauge, so that transfer and up
gradation of technology is easy as per global system. Focus on Eco-friendly
technology.

Economic Benefits

The Delhi Metro is essentially a "social" sector project, whose benefits will
pervade wide sections of economy. The modified first phase will generate
substantial benefits to the economy by the way of,

 Time saving for commuters

 Reliable and safe journey
 Reduction in atmospheric pollution
 Reduction in accident
 Reduced fuel consumption
 Reduced vehicle operating costs
 Increase in the average speed of road vehicles
 Improvement in the quality of life
 More attractive city for economic investment and growth

SWOT Analysis of DMRC

1) Strength-

a) Reduced pollution / Eco friendly

b) Solved the problem of congestion in the city

c) Low cost

d) Mass transportation

2) Weakness-

a) Delay in some projects

b) Breaking if bridges

c) Facility not available during night

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3) Opportunities-

a) Expansion of network

b) Integration with other NCR cities

c) Increased frequency

d) Increased revenue for govt. by means of advertising

4) Threats-

a) Buses, Autos

b) Personal vehicles

Issues affecting “two wheeler” users for mode shifting

Issue Door to door service Transfer inconvenience No need to follow timings

Work/shopping place is very near Bus Metro Remarks.

One has to walk up to bus One can reach to the metro Probability of shifting the
stop (maximum 500m) station by walk or by cycle mode is rickshaw, auto
rickshaw or very low by feeder bus. If destination does not lie in any bus route one
has to shift in-between One has to follow the schedule of buses If direct route is
not available one has to get transferred in between Transfer type can be different
for metro and bus.

One has to follow the Metro If more frequencies are schedules provided then it can
help to shift the two wheeler users to bus or metro as distance is short probability
of shifting from two wheeler to bus or metro is negligible.

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Health conscious Public Image

More exposed to pollution

No exposure to pollution as for health conscious people such the probability of

shifting is more.

The probability for shifting mode to metro is more than shifting to bus.

Young students and working relatively higher image.

Professionals would not like to project themselves as someone using a bus.

Suggestions & Future Predictions

1) Should start service during night also

2) Similar projects discussed throughout the country

3) Focus on penetrating other Metro cities

4) Provide a link to other nearby cities

5) Integrated Smart Cards

6) Introduce Luggage Cabin

7) Focus on reducing time and energy to reach the platform from road

Conclusion
1) Delhi metro is overall good for every people.

2) Its helpful to the environment.

3) The fare charge is cheap, so that every people can use the metro for travelling.

4) Time saving is important character the metro.

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5) Smart card facility to make the travel cheaper and convenience.

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