Personal mobility is breaking down old divides between public and private transport

Another bloody driverless car. Image: Getty.

Strong divisions between various transport modes – roads, rail, buses, ferries and so on – have dominated their planning and management for decades, both here in Australia and overseas. Budgets are often devised and allocated with these transport modes in mind. Whole organisational structures have been created to manage each mode’s infrastructure separately.

But how people move around – to and from work, home, or for recreation – involves personal journeys. These are driven by the need to travel, by mobility, and not governed by the mode of travel.

As a result, major Australian cities generally suffer from disjointed connections between modes of travel. They lack an overall emphasis on how the whole transport system functions to aid personal journeys.

Thankfully, transport planners have been thinking a lot more about mobility, as emerging and established technologies offer huge potential for change. The wealth of new data sources – mobile phone tracking, on-board GPS and ticketing, to name a few – provides a better understanding of travel behaviour.

Increasingly, cities are realising that individual travellers care less about the operational details of one mode or another, and more about a safe and reliable journey to their destination. Rapidly changing infrastructure technology and the availability of large passenger datasets are changing the way transport professionals plan and manage networks.

All change

In New South Wales, Transport for NSW was created to better integrate the various transport agencies and modes. While that has been a big step in the right direction, technology is changing the landscape much faster than anyone expected.

Technological advance, new transport infrastructure, a quest for greater productivity and continual population growth in major cities have created a dynamic environment for traffic engineers and transport planners. They must cater for the evolving demands of transport users while exploring and understanding emerging technologies.

Passenger expectations of what a transport network should provide have also changed and grown. Improvements in vehicle technology, road, rail and port infrastructure mean we can travel further and more efficiently than ever before. Commuters now expect this efficiency while taking safety and reliability as given.

Access through smartphones and navigation technology to mobility information about traffic conditions and scheduling has bridged the knowledge gap between transport authorities and users.

The advent of car-sharing services in Australia could transform parking and road space calculations. Image: GoGet/AAP.

On top of all this, disruptive travel options – for instance, car-sharing services such as GoGet and Hertz 24/7 – have emerged. Almost 31,000 Sydney residents have joined the two services. These use 700 dedicated parking spaces throughout the city (although heavily concentrated within 12 kilometres of the centre).

In Sydney, it’s estimated a single car-share vehicle can replace up to 12 private vehicles that would otherwise compete for parking. Then there are car-riding options such as Uber, which are creating entirely new modes of mobility.

Individually, each of us can now pick and choose between competing travel options. We can also shift our choices dynamically for each section of a trip. This simple change is radically altering the behavioural characteristics of making each trip.

That has huge implications for infrastructure planning. It also fundamentally alters the capability of transport agencies managing the system in real-time.

The shift in landscape may even disrupt one of the strongest historical divides: the competition between roads and public transport. With strong feelings on both sides, divisions have tended to impede more integrated approaches – which should be the aim of a transport system driven by the need for mobility.

Technology blurs the lines

Much of the public transport versus roads argument has been unnecessary because when more travellers choose public transport over private vehicles, the remaining drivers benefit as well. Despite this logic, the divisions remain and battles still rage.

However, the evolution of technology to accommodate (and help track) passenger behaviour, coupled with disruptive new travel options, is intensifying and will have to be taken into account. Companies are aggressively pursuing solutions for real-time on-demand ride-pooling, such as UberPOOL. This allows you to share your ride and split the cost with another Uber rider headed in the same direction.

It is not unthinkable that just as the taxi industry is being disrupted by new technology, public transport could be as well. In a world where the lines between private and public transport are blurred, traditional modal divisions move from being outdated to thoroughly unworkable.

If we rethink transport as a consumer-centred experience, targeting mobility rather than mode of travel, then a truly integrated approach to transport planning would deliver the benefits of using public transport and other high-occupancy vehicle options. Revenues from public transport would increase, while road congestion would reduce with fewer motorists. This would lead to greater productivity and economic growth.

Self-driving cars available to anyone with a smartphone have been launched in Singapore. Image: EPA/Nutonomy.

The technological changes under way will only accelerate this potential. Transport agencies need to plan for it, to ensure they take advantage of these changes and maximise the benefits.

Autonomous cars – an emerging technology that is nevertheless rapidly moving toward deployment – will accelerate this trend. If a self-driving car service offers transport solutions to anyone via smartphone, then the differences between a taxi, Uber, UberPOOL and public transport begin to blur.

A world of mobility choice

The transport sector is poised to realise a true – and revolutionary – convergence between data science, communication and autonomous technology. As large-scale data collection and sharing become the norm, our mobility options could explode.

Travellers will be able to make real-time multimodal journey decisions. They will base these decisions on the attributes that matter most to them: safety, reliability, door-to-door travel time and cost.

This will help transport planners too. The data generated will allow optimised operation of the road network such as variable speed limits, dynamic lane reversal, variable message signs and ramp metering.

Clearly, the emerging data science of transport technology innovation will have a deep impact on both the user experience and the behind-the-scenes management of the network.


Ideally, to deliver this “universal personalised mobility”, cities need to integrate pricing and information delivery. Every traveller makes their transport decisions for their own circumstances given the information available to them. This might include online journey information or roadside information about travel times, speed limits or tolls.

The complete cycle of information from the network to the operating agencies and back to the traveller is a keystone of the future transport system for Australian cities, and for cities around the world. The challenge for today is to close the information gap by building on emerging technologies and shifting our focus to providing personalised mobility travel.

That’s going to take some effort and a lot of co-ordination, but the benefits of mobility versus mode of travel will become obvious very quickly. We just need to commit to it.The Conversation

S. Travis Waller is professor and director of the Research Centre for Integrated Transport Innovation at UNSW Australia.

This article was originally published on The Conversation. Read the original article.

 
 
 
 

The ATM is 50. Here’s how a hole in the wall changed the world

The olden days. Image Lloyds Banking Group Archives & Museum.

Next time you withdraw money from a hole in the wall, consider singing a rendition of happy birthday. For today, the Automated Teller Machine (or ATM) celebrates its half century.

Fifty years ago, the first cash machine was put to work at the Enfield branch of Barclays Bank in London. Two days later, a Swedish device known as the Bankomat was in operation in Uppsala. And a couple of weeks after that, another one built by Chubb and Smith Industries was inaugurated in London by Westminster Bank (today part of RBS Group).

These events fired the starting gun for today’s self-service banking culture – long before the widespread acceptance of debit and credit cards. The success of the cash machine enabled people to make impromptu purchases, spend more money on weekend and evening leisure, and demand banking services when and where they wanted them. The infrastructure, systems and knowledge they spawned also enabled bankers to offer their customers point of sale terminals, and telephone and internet banking.

There was substantial media attention when these “robot cashiers” were launched. Banks promised their customers that the cash machine would liberate them from the shackles of business hours and banking at a single branch. But customers had to learn how to use – and remember – a PIN, perform a self-service transaction and trust a machine with their money.

People take these things for granted today, but when cash machines first appeared many had never before been in contact with advanced electronics.

And the system was far from perfect. Despite widespread demand, only bank customers considered to have “better credit” were offered the service. The early machines were also clunky, heavy (and dangerous) to move, insecure, unreliable, and seldom conveniently located.

Indeed, unlike today’s machines, the first ATMs could do only one thing: dispense a fixed amount of cash when activated by a paper token or bespoke plastic card issued to customers at retail branches during business hours. Once used, tokens would be stored by the machine so that branch staff could retrieve them and debit the appropriate accounts. The plastic cards, meanwhile, would have to be sent back to the customer by post. Needless to say, it took banks and technology companies years to agree common standards and finally deliver on their promise of 24/7 access to cash.

The globalisation effect

Estimates by RBR London concur with my research, suggesting that by 1970, there were still fewer than 1,500 of the machines around the world, concentrated in Europe, North America and Japan. But there were 40,000 by 1980 and a million by 2000.

A number of factors made this ATM explosion possible. First, sharing locations created more transaction volume at individual ATMs. This gave incentives for small and medium-sized financial institutions to invest in this technology. At one point, for instance, there were some 200 shared ATM networks in the US and 80 shared networks in Japan.

They also became more popular once banks digitised their records, allowing the machines to perform a host of other tasks, such as bank transfers, balance requests and bill payments. Over the last five decades, a huge number of people have made the shift away from the cash economy and into the banking system. Consequently, ATMs became a key way of avoiding congestion at branches.

ATM design began to accommodate people with visual and mobility disabilities, too. And in recent decades, many countries have allowed non-bank companies, known as Independent ATM Deployers (IAD) to operate machines. The IAD were key to populating non-bank locations such as corner shops, petrol stations and casinos.

Indeed, while a large bank in the UK might own 4,000 devices and one in the US as many as 12,000, Cardtronics, the largest IAD, manages a fleet of 230,000 ATMs in 11 countries.


Bank to the future

The ATM has remained a relevant and convenient self-service channel for the last half century – and its history is one of invention and re-invention, evolution rather than revolution.

Self-service banking and ATMs continue to evolve. Instead of PIN authentication, some ATMS now use “tap and go” contactless payment technology using bank cards and mobile phones. Meanwhile, ATMs in Poland and Japan have used biometric recognition, which can identify a customer’s iris, fingerprint or voice, for some time, while banks in other countries are considering them.

So it’s a good time to consider what the history of cash dispensers can teach us. The ATM was not the result of a eureka moment of a single middle-aged man in a bath or garage, but from active collaboration between various groups of bankers and engineers to solve the significant challenges of a changing world. It took two decades for the ATM to mature and gain widespread, worldwide acceptance, but today there are 3.5m ATMs with another 500,000 expected by 2020.

Research I am currently undertaking suggests that ATMs may have reached saturation point in some Western countries. However, research by the ATM Industry Association suggests there is strong demand for them in China, India and the Middle East. In fact, while in the West people tend to use them for three self-service functions (cash withdrawal, balance enquiries, and purchasing mobile phone airtime), Chinese customers consumers regularly use them for as many as 100 different tasks.

Taken for granted?

Interestingly, people in most urban areas around the world tend to interact with the same five ATMs. But they shouldn’t be taken for granted. In many countries in Africa, Asia and South America, they offer services to millions of people otherwise excluded from the banking sector.

In most developed counties, meanwhile, the retail branch and the ATM are the only two channels over which financial institutions have 100 per cent control. This is important when you need to verify the authenticity of your customer. Banks do not control the make and model of their customers’ smart phones, tablets or personal computers, which are vulnerable to hacking and fraud. While ATMs are targeted by thieves, mass cybernetic attacks on them have yet to materialise.

The ConversationI am often asked whether the advent of a cashless, digital economy heralds the end of the ATM. My response is that while the world might do away with cash and call ATMs something else, the revolution of automated self-service banking that began 50 years ago is here to stay.

Bernardo Batiz-Lazo is professor of business history and bank management at Bangor University.

This article was originally published on The Conversation. Read the original article.