International Experiences in Restructuring Road Sector

Abstract

An evolutionary continuum on which a modern and mature road administration develops is proposed. The five phases that appear necessary in this evolution are outlined: (a) the establishment of traditional construction and maintenance organization, (b) separation of client and producer functions, (c) separation of client and producer organizations, (d) corporatization or privatization of the producer organization, and (e) corporatization of the (client) road administration. The change management process—the framework process and its constituent cores— is addressed. The framework process is the flow of activities in change management when they move from one organizational phase to another. The core activities are those that the road administration must address in the change process. Both of these are discussed in detail. It is asserted that a quick reorganization of road administrations is neither possible nor desirable. The exact path to be taken depends critically on the initial conditions from which the road administration embarks on its development path.