Knowledge Transfer in the Australian Rail Industry

The Rail industry has a long standing and distinguished record of contributing to economic and social development within Australia, and continues to be an essential infrastructure of Australia’s transport system. It also... [ view full abstract ]

The Rail industry has a long standing and distinguished record of contributing to economic and social development within Australia, and continues to be an essential infrastructure of Australia’s transport system. It also has an important influence on efficiency and competitiveness to other industries, especially those industries with an export focus such as mining and agriculture.

In the last two decades, Australia’s railway sector has undergone significant changes. Initiatives by the Commonwealth and State Governments to promote more competition and efficiency within the rail industry (Hilmer 1993) have resulted in an increase in private rail activity and a decline in government ownership and management of railways.

A consequence of the reform process has been a large scale reduction in employment within both sectors which now face significant constraints with regard to the availability of appropriately skilled and trained labour to meet its growth potential.

A critical resource embedded within rail organisations is the knowledge that workers bring to work every day. Knowledge is created in people and transacted through the networks of people that they know. However, aside from human resource policies directed to attraction, development and retention of valuable workers, there has been little effort put in systematic ways of working with the knowledge that is already embedded within rail organisations (Price Waterhouse Coopers 2007). Given the extent to which people rely on their own knowledge and the knowledge of their work colleagues to solve problems this is a significant shortcoming. This shortcoming lessens the capabilities of rail organisations and their long term competitive advantage and therefore undermines the original economic reform to create competitive forces within the industry.

This study uses a social network analysis approach to determine how Australian Rail organisations, both within the private and public sector, transfer, store and ultimately utilise their organisational knowledge. The intent of this study is to determine whether public and private sector organisations exhibit different characteristics in transferring knowledge to enhance organizational capabilities, and whether these differences will require a resultant shift in human resource policies and strategies.

This presentation will focus on social network analysis as a research strategy in determining the links between and within organisations, their knowledge transfer and management. It will also outline the similarities and differences discovered between private and public organisations.


Hilmer (1993) Hilmer was the Chairman of the Independent Committee of Inquiry into Competition Policy in Australia and is commonly referred to as the ‘Hilmer Report’

Price Watershouse Coopers (2007) The Changing Face of Rail: A Journey to the Employer of Choice. Attraction and Retention of Employees in the Australasian Rail Industry. Industry Report for the Australasian Railway Association Inc