The merger of the rail transportation activities of ABB and Daimler-Benz created the biggest rail transportation company in the world: ADtranz. In heralding the company, we could have fallen back on a litany of, admittedly impressive, facts and figures. Instead, we set our sights firmly on the future.
Towards a new era in rail transportation
"The resurgence of rail is not a new idea. But it is an idea whose time has come.
For a number of years, the different forces in favour of rail have been gathering momentum - whether you consider the mounting pressure for cleaner, safer transportation, or the growing demand for integrated cross-border rail solutions. What has been lacking is the capability and the desire to unify and focus these forces on a common goal: the resurgence of rail.
In short, rail needs new leadership.
ABB Daimler-Benz Transportation is a new force in the rail industry with a new name and a new identity. The name is ADtranz - expressing the roots and capabilities of the company, everything from A to Z. The identity is the green light - clear, brakes off, go ahead.
Now, more than ever before, there is an opportunity to drive forward the future of rail transportation. ADtranz is totally committed to seizing this opportunity."
Kaare Vagner
President and Chief Executive Officer
ADtranz
ABB Daimler-Benz Transportation
Waiting
Rail was born in 1825.
Travelling at less than 30 km/h, George Stephenson, now acknowledged as the father of rail, won the 16 km race from Stockton to Darlington, in North East England. Within half a century, rail connected every major town in Western Europe - thousands of kilometres of track and train, carrying people and goods far quicker and more efficiently than ever before. The first golden age of rail was born.
In the first half of the twentieth century, rail was unquestionably the main means of transportation. A patchwork of national railway companies and infrastructures spanned not only Europe but also North America, much of the Far East - most of the developed world. But this predominance did not last. From the middle of the century, rail faced a rapid rise in competition from road and air, a steady fall in investment and support, and, perhaps most important of all, a lack of combined effort.
The first golden age gave way to a period of decline and neglect.
Challenging
In the last two decades, a changing world has created new opportunities and challenges for rail.
The world has become increasingly crowded - the world's cities, in particular, face increasing air pollution and congestion. The big question for transportation is how best to respond to the mounting social, economic and environmental pressures.
The answer is by no means simple or easy. But at its heart lies one thing: rail transportation. In many areas, rail has now caught up with road and air in terms of speed and efficiency. The innovative application of new rail technologies has cut travel times and improved the comfort. Moreover, rail is an environmentally friendly alternative to other modes of transport.
The growing capabilities of rail have been complemented by renewed interest and investment in rail. National boundaries are breaking down. Rail transportation companies are collaborating on projects; rail operators are looking for interoperability. While Europe moves towards the integration of its transportation infrastructure, developing countries throughout the world are investing in modernisation. Whether in Brussels or Kuala Lumpur, the common element is rail.
One hundred and seventy years after the birth of rail, the race is on again.
Leading
The opportunity for a second golden age of rail is here.
Today, there are undoubtedly many different forces working in rail's favour. But to drive anything forward you need more than just force. You need a clear sense of direction, a shared vision - leadership.
With new leadership, rail can take the initiative and match the flexibility of road and air by developing a sustainable, environmentally efficient alternative.
With new leadership, rail can forge strong partnerships - partnerships which focus on the more demanding and diverse needs of increasingly commercially oriented customers.
With new leadership, rail can cross borders more easily and combine with other means of transport to deliver advanced integrated transportation solutions.
Today, there is a new company that is ready to take the lead. This company is totally committed to driving forward the future of rail transportation. This company is ABB Daimler-Benz Transportation.
Combining
ABB Daimler-Benz Transportation is a new company formed by the merging of the rail transportation activities of ABB and Daimler-Benz.
While operating as an independent Group, ABB Daimler-Benz Transportation will draw on the resources of its parent companies to combine the best people, expertise and know-how led by a truly international management.
The new company will benefit from ABB's leading technology position in electrical engineering and the Daimler-Benz Group's leading position in transportation systems and mechanical engineering. By tapping into these parental centres of excellence and pooling its own know-how and resources, ABB Daimler-Benz Transportation will forge innovative world leading rail transportation solutions.
Of course, the creation of a new player in rail transportation takes more than just size and strong parents. It takes strength in depth and breadth; a common, customer focused culture - and more than a little visionary passion.
Fitting
When two organisations merge, the result can be a company which is far from well-matched. Not so, ABB Daimler-Benz Transportation.
ABB Daimler-Benz Transportation is a natural strategic fit of complementary products, regions, experience and expertise.
The company's skills and resources are as broad as they are deep. Its business covers everything connected with rail: electrical and diesel locomotives; high speed trains; intercity and regional trains; metros, trams, and people movers; freight wagons; signalling systems; infrastructure installations; maintenance and overhaul services. Whether speeding up the link between cities or freeing up the movement within them, ABB Daimler-Benz Transportation is there.
Most important, ABB Daimler-Benz Transportation has the capability to deliver lasting, cost-effective, total rail solutions - from finance to design to completion to ongoing maintenance.
Like its skills and resources, the company's geographical reach is broad and deep. It has local presence on a global scale - from Australia to Asia, India, Europe, the Americas, and Africa. This kind of reach is vital if you are going to get close to customers both in developed and developing countries.
But simply being there isn't enough - you have to want to get close.
Opening
An ABB Daimler-Benz Transportation project begins with the customer, and an open mind.
What does the customer want? More importantly, what does the customer need? If you're not constantly asking, you have little chance of answering. To ask, and to answer effectively, you need to be open. Open to change, to new ideas, to new ways of working, to new ways of solving problems.
An open, customer-focused culture is vital in the new era of rail. These days, customers are looking less for suppliers of rail vehicles, more for partners who will work with them to create appropriate and lasting rail transportation solutions.
What is partnership? Partnership means sharing skills, technology, information - and risks. It means meeting short term needs quickly, efficiently and reliably. And it means taking the longer view - planning and investing in innovative solutions to future needs.
Above all, partnership means coordinating and combining effort on a mutually beneficial goal.
Forming
ABB Daimler-Benz Transportation is a Group united by one big idea: the resurgence of rail.
The company is organised along decentralised, multi-domestic, customer-focused lines. The co-ordination centres are small: a tightly focused corporate head co-ordinating the worldwide Group and setting overall strategy. The corporate limbs, on the other hand, are large and flexible, reaching out to touch customers wherever they are in the world.
The majority of the company's people and resources are located where it really matters - where the customers and the products are. Local operating companies draw on worldwide product centres of excellence to deliver lowest cost skills and capabilities based on local requirements.
As and when required, the company will form partnerships and team up with local suppliers, other rail transportation manufacturers, operators, financial organisations and governmental authorities.
Solving
Customers need solutions.
How do you increase speed, capacity, reliability, levels of service - and drive down costs? These are the questions on the minds of our customers. They are the questions we will focus our skills, resources and efforts on answering.
More compact and efficient locomotives, stronger lighter urban transport vehicles, safer signalling systems, innovative financing - there are many ways ABB Daimler-Benz Transportation can contribute. The key is to combine all our skills and apply them to what our customers need to get done.
To meet the ever more demanding and diverse requirements of our customers, we will push forward the boundaries of relevant, sustainable rail technology and the idea of what it is that a rail transportation company can and does do. We will build on and enhance the proven.
Our guiding principles are reliability, availability, maintenance and safety; high quality products and processes; low emissions; minimum product and development costs; maximum performance; and the shortest possible time to market.
Working closely with each of our customers, we will strive to develop, deliver and maintain the world's rail transportation solutions based on local needs.
Connecting
In 1825, rail carried a handful of people at less than 30 km/h along a few kilometres of track. Today it reaches high speeds, covers several hundred thousand kilometres throughout the world, and each year carries millions of people and hundreds of thousands of tonnes of freight. Tomorrow?
Tomorrow, rail can:
- move people from wherever they are to wherever they want to be - across borders, at high speeds, without interruption, and at high frequency;
- move freight as part of an intermodal transport solution - delivering goods exactly where and when they are needed;
- solve inner-city congestion and pollution - providing better, cleaner, safer ways to move millions of people in and around a few square kilometres;
- complement road, air and sea transportation - playing a key part in combined transportation solutions that make sound economic and environmental sense;
- provide a flexible, efficient and enjoyable travel experience - bringing people together and making more time for work, for rest and for play.
Tomorrow, more than ever before, rail can connect.
Green light
At ABB Daimler-Benz Transportation, our mission is to drive forward the future of rail transportation.
We will do this by effectively exploiting our unique advantage; our unmatched level and quality of expertise, resources and geographical reach.
This will directly benefit our customers by giving them the world's best solutions based on local needs and understanding.
This, in turn, will benefit everyone with a stake in ABB Daimler-Benz Transportation - from employees to shareholders to society at large.
ABB Daimler-Benz Transportation - the future starts here.
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