Bombardier’s Blundering Is Alstom’s Gain

Recent problems with Bombardier’s delivery of new trams for Toronto has made Canadian customers look elsewhere.

For two long, Ottawa has twisted arms of Canadian transit operators to buy the Canadian Bombardier product, to keep production going, propping up the giant multinational company and garnering votes from Ontario and Quebec.

This is not to say Bombardier provides a bad product, as their European designed trams are well received around the world.

This has lead to complacency with Bombardier Inc., which management has completely forgotten about customer satisfaction.

Problems delivering new trams for the TTC has set off alarm bells at MetroLinx, in Ontario………….

Metrolinx is a Crown agency that manages and integrates road and public transport in the Golden Horseshoe region, which includes the cities of Toronto and Hamilton, of Ontario, Canada. Headquartered in Union Station in Toronto, the organization was created by the Government of Ontario as the Greater Toronto Transportation Authority on April 24, 2006. It adopted the public name, Metrolinx, in 2007.

…….. which is now procuring trams from Alstom, a well regarded French company, which is presently supplying trams to Ottawa.

Vancouver will not have this problem as our proprietary ALRT/ART system has only one supplier, Bombardier, so production delays doesn’t matter.

The Canada Line EMU’s use a dated EMU design from Hyundai and being part of the consortium operating the mock P-3, no other car manufacturer need apply.

With SkyTrain light-metro, Metro Vancouver is stuck with two suppliers, who can sell us anything because there is no competition.

There are two lessons to be learned:

  1. Throwing money at Bombardier, does not improve management, but keeps the largely inept corporation from going bankrupt.
  2. TransLink is screwed because of the proprietary SkyTrain system and having only one supplier.

With the order with Alstom, Bombardier will have to face stiff competition, something their tired and protected management are deathly afraid of.

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