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Portrait of Nikki Underwood, US Rail Sector Lead
Nikki Underwood
US Rail Sector Lead
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With uncertainty sweeping across many industries, the US transit sector is no exception. With no shortage of major projects underway across the country, and some faced with potential funding cuts, transit agencies find themselves in a tricky position. They're caught between everchanging political forces and accelerating efforts to complete projects, while record infrastructure spending is still available. 

Why legacy delivery models can’t keep up

Despite the influx of funding and continuing political momentum, many US transit agencies are still operating with delivery models designed for a previous era, ones with smaller project scales and a slower pace of work. 

“Today’s portfolios are larger, more complex and more scrutinised than before.”

Yet, internal delivery teams often lack the structure, capability and tools to manage this scale effectively. Problems arise from bottlenecks, reactive decision-making and limited visibility. 

With so much opportunity, including the introduction of transformational technology, the need for agile and efficient management is more important than ever. Future success can’t hinge on funding alone – it depends on how effectively projects are planned, procured and executed.  

Building the foundations for high-performing transit programmes 

Many agencies face the persistent challenge of aligning their delivery models with their ambitions. They are hindered by fragmented governance, inconsistent funding and over-engineered processes.

“The path forward requires a shift.”  

These long-standing barriers have caused decades of delays, cost overruns and missed goals. Ultimately, this has eroded public trust and jeopardised the benefits transit investments are meant to deliver.  

Reframing these issues as opportunities for change provides a clearer blueprint for modernising transit delivery models. 

  • Focus on systems needs over cost-led planning: Too often, projects are shaped to fit available budgets rather than being designed around what the system requires. This cost‑led planning limits long‑term value and can result in under‑delivery.  

    To overcome this, agencies should establish investment strategies that prioritise network outcomes and whole‑life value. This will ensure that budgets follow system needs, not the other way around. 

  • Define delivery roles: Unclear or duplicated responsibilities between internal teams and external partners create inefficiency, gaps in accountability and misaligned scopes. Many organisations still lack an overarching delivery vision, leaving teams fragmented.

    Establishing clearly defined roles, delivery accountabilities and operating models aligned to strategic objectives is essential. This will drive consistency and performance.

  • Prioritise robust supply chain engagement: Short-term contracts and bulk service buying dilute expertise and discourage innovation. When critical disciplines like procurement, cost and commercial management, digital integration and information management are bundled under engineering‑led contracts, the result is uneven capability across critical disciplines.

    Procurement models that rely on bulk service buying frustrate suppliers, who face uncertain call-offs, limited pipeline visibility and mismatched scopes of expertise. Agencies need to transition toward collaborative, long‑term supply chain partnerships built on clear scopes, stronger market intelligence and incentive structures that drive performance and innovation.

  • Embrace modern, digital adoption: Legacy systems and siloed departments hinder the integration of holistic information management and digital tools, reducing productivity and clouding oversight. Modernising digital ecosystems and embedding them across teams is crucial for speeding delivery and improving reliability.

  • Rethink risk allocation: Risk transfer is frequently mistaken for risk management. Premiums are paid to push risk onto suppliers, but without truly mitigating exposure. This is especially so in a market where suppliers are increasingly unwilling to hold heavy risk.

    Agencies must adopt more balanced and intelligent risk strategies, emphasising shared ownership, early risk identification and proactive mitigation. 
Reimagine engagement strategies 

With market demand rising, suppliers are becoming more selective about who they work with.

“Agencies that rely on outdated engagement approaches risk losing access to the very talent and capability needed to deliver large-scale programmes.”  

Reimagining supplier engagement through clearer pipelines, transparent scopes and collaborative delivery models will be essential to attracting and retaining top-tier partners. 

How can the US transit sector learn from the success of global transit programmes?  

Successful transit delivery often depends on adopting collaborative procurement approaches and innovative contracting models. Approaches such as alliancing demonstrate how early contractor involvement and shared risk can improve outcomes on complex, high value projects.

A delivery partnership model similar to that implemented by the Gateway Development Commission for the Hudson Tunnel project can also help relieve pressure on client organisations by creating integrated teams with shared goals.

“Collaboration and mutual trust are essential to making these models work.”

Together, these strategies enable agencies to align ambition with capability, strengthening efficiency and resilience throughout the project lifecycle.

US organisations can benefit by learning from global models such as Metrolinx in Toronto, which focus on collaborative procurement, alliancing, digital tools and outcome-focused strategies that execute projects faster and more reliably.  

Transit agencies have an opportunity to embrace the innovation happening elsewhere in the world and, in the process, uncover new ways to raise the global bar for project delivery success.

What questions should transit executives ask their teams now? 
1. What outcomes are we truly aiming for?

You should focus on delivering capacity, resilience and long‑term value, rather than centring decisions solely on budget or short‑term deliverables. You can also use insights from global programmes to benchmark these outcomes and proactively avoid common pitfalls. 

2. How are we enabling collaboration and digital transparency across our delivery ecosystem? 

You should consider whether your contracts and governance structures support collaboration, whether you are using digital tools that provide real‑time insight and whether you have mechanisms in place for collaborative problem‑solving.  

You can accelerate integration and trust by adopting proven global delivery models and digital frameworks. 

3. How are we designing this project to remain adaptable and resilient in the face of future pressures? 

You should embed standardisation, modularity, decarbonisation and resilience from day one rather than treating them as afterthoughts. You can apply global best practices in sustainability and modular design to ensure the project remains future‑proof. 

Moving from barriers to breakthroughs  

The challenges facing US transit agencies are clear, however not insurmountable. It’s proven that smarter strategies, collaborative procurement and digital integration can transform outcomes. 

By understanding key strategic barriers, through robust engagement with project teams and learning from the best transit programmes across the world, success is possible even working under tight budgets and complex conditions.

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