Feasibility Study concerning the System for the …cyronmed.basilicatanet.it/documents/20080926160634_632.pdfFeasibility Study concerning the System for the Sustainable Organisation

FINANCIAL AND TECHNICAL EXPERT OPINION ON OPERATION OF AN AGENCY TO MANAGE CYCLE ROUTES

First Elements Euroconsultants Ltd p. 1

EXECUTIVE SUMMARYEXECUTIVE SUMMARY

Feasibility Study concerning the System for the Sustainable Organisation and Management of the Cyprus Network of Cycle Routes

DEC. 2007

Cyprus Tourism Organisation

The project is co financed by the European Regional Development Fund and National Funds



Table of Contents

Summary 3

Introduction 4

Details of commissioning of expert opinion 4

Objectives of the expert opinion 4

Preparation procedure 6

Methodological approach 6

Evaluation of existing situation 8

Existing administrative system for management of cycle routes 9

Weaknesses/flaws in the existing administrative management framework....................................................9

Potential of the existing administrative system for protection/management ...................................................9

Case Studies 11

Case 1: The case of the UK...........................................................................................................................11

Case 2: The case of France ...........................................................................................................................11

Case 3: The case of Belgium .........................................................................................................................12

Case 4: The case of Switzerland....................................................................................................................12

The feasibility of the Cycle Route Network.....................................................................................................13

Alternative Scenarios for Management of Cycle Routes 13

General - The need to formulate alternative scenarios and a methodological framework for comparative evaluation ........................................................................................................................................................13

Scenario Α: Incorporation of network in TDPC – with parallel expansion of TDPC activities ......................14

Scenario Β: Establishment of new special-purpose agency. ........................................................................15

Scenario C: (National) Operational Network of Local Cycling Networks. .....................................................16

Sensitivity analysis – Evaluation of alternative scenarios..............................................................................17

Selection of organisational structure 20

Proposed Action Plan .....................................................................................................................................20

Basic level of organisation of agency 24

Basic competences 24

Administrative Board and staffing of services 24



Summary

SYNOPSIS

This paper is the deliverable product of the project “Provision of Consultancy Services for the

Preparation of a Feasibility Study concerning the System for the Sustainable Organisation and

Management of the Cyprus Network of Cycle Routes”. The study was commissioned by the Cyprus

Tourism Organisation from the consulting company First Elements Euroconsultants Ltd., which has

collaborated with Mr. Dimitris Bibikos, an expert in regional and tourism development issues.

The paper features an analysis of the current state of the cycle route network and the plans for its

expansion, as well as the role of the various agencies involved. It also offers an analysis of

advanced models of cycle route networks and their management, and evaluates the possibility of

transferring these management models to Cyprus.

There follows an analysis of possible scenarios for the undertaking of the network management,

each of which is assessed using the SWOT method, and a sensitivity analysis. Bearing in mind the

above, as well as the data concerning the appeal to network users, we propose a scenario in which

a management agency is established to undertake the role of coordinator of the local networks of

the regions where cycle routes are located, as the most suitable way of ensuring the viability of the

network. Finally, an analysis is presented of the proposed action plan of the agency, with a financial

analysis of the agency’s organisational and operational plan.



Introduction

Details of commissioning of expert opinion

The Project “Preparation of a Feasibility Study for the implementation of a system of sustainable

organisation, operation and management of the Cyprus Network of Cycle Routes" was

commissioned from the company First Elements Euroconsultants Ltd. by the Cyprus Tourism

Organisation.

The team which prepared the expert opinion consisted of the following members:

• Panayiotis Pastos, Economist with postgraduate degree in business management

• Pantelis Dimitriou, Economist, candidate for postgraduate qualification in business

management

• Dimitris Bibikos, Economist (M.Sc.), Regional Studies Specialist (M.Ph.), currently

preparing doctoral dissertation on consolidation of tourist competitiveness through

introduction of new technologies (ICT).

• Marilena Ioannidou, Organisational Psychologist with postgraduate qualification in

business management

Objectives of the expert opinion

The objective of the study is to document the feasibility of the creation, management and operation

of a network of cycle routes on Cyprus. The creation of a network over time will require the

cooperation of central and local authorities, as well as the participation of the cycling community, to

develop a realistic system corresponding to the needs of the tourism industry in general.

The cycle route network is the infrastructure for a specific tourist product. It will attract both serious

cyclists and the general public – those members of the public which can be characterized as ‘cycle-

friendly’. The goal of this utilization of the tourist infrastructure is to attract more visitors and to

enrich the range of tourist services offered in Cyprus. In this respect the cycle routes form part of

formal and informal ‘tourist leisure networks’ in Cyprus (wine routes, archaeological itineraries,

hiking routes, routes taking visitors to different markets, and so on).

The above factors will entail the organisation of the operation, administration, management,

promotion and marketing of the unified cycle route network – both as a whole and in its local parts.

It is thus necessary to provide for a ‘Management Agency’. The purpose of this expert opinion is to



explore the legal and organisational form of such an agency, by examining and evaluating

alternative scenarios. The study in question responds to a number of central and more specific

categories of question; for example:

1. Technical and organisational issues Documentation of the cost and completion timetable of the Cyprus cycle routes, in

order that they acquire the form of a coherent and comprehensive ‘network’,

Feasibility, necessity, form and timetable for the creation and operation of the

Management Agency which will run the cycle routes,

Scenarios-Options in respect of the legal form and possible preparatory

measures,

Object of activity – Fields of intervention of the Agency,

Selection of potential partners (local authorities, agencies, institutions, businesses,

and so on),

Organisational operation and timetable for development of Agency activities,

2. Financial and funding issues: Assessment of the cost of maintaining and operating the network, over a period of

20 years,

Assessment of the direct and indirect impact of the operation of the network on the

Cypriot economy (analysis of social income flows).

Assessment of social benefits of network. Socio-economic analysis can be used to

document the benefit to the community in financial terms.

Potential for development and implementation of new business activities related to

the operation of the network (private sector capital leverage).

Direct costs of operating the Management Agency and assessment of its needs

and scope for funding, in order to operate independently until the infrastructures

required for the network are complete (2012),

Framework of economic activity and scope for performance of the Management

Agency

Risk and sensitivity analysis (conditions-prospects of success)

Necessary measures (statutory, funding etc.)

Collaboration (local-transnational)

The present expert opinion therefore concentrates on the following themes:

Examination of the alternative scenarios for organisation and management of the

network,

Documentation and presentation of the ‘ideal’ organisational structure of the

Management Agency,

Documenting the feasibility of the investment cost being borne by the state, on the



one hand presenting the importance of the network, and on the other highlighting

its long-term value.

Examining the conditions for financial viability of the Management Agency.

Preparation procedure The data on the routes and the overall network were gathered from the Cyprus Tourism

Organisation, and through interviews with representatives of involved agencies. The interviews

conducted by the project team were essential to understanding the real picture in respect of the

degree of each party’s involvement to date in the existing network and, more particularly, their

intentions concerning future involvement:

• CTO,

• Public Works Department,

• Troodos Tourism Development Agency,

• Forest Department,

• Cyprus Cycling Federation (CCF),

Methodological approach Critical point 1 of the methodology of the expert opinion: ensuring proper links between the

overall cycle route network and the local social, economic and developmental level. Mobilization of

local social partners. This approach generates:

• Alternative scenarios as to the form and procedure for approach to the establishment of

the management agency

• Differentiation of the viability of the agency from the broader ‘socio-economic’ benefits of

the network.

Critical point 2 of the methodology of the expert opinion: documentation of the cost and time

scale for development of the cycle route network.

This approach generates:

• The cost of undertaking the investment plan across the whole range of routes (dirt track,

asphalt), and thus the state agencies involved – at least in construction of the necessary

infrastructures,

• The ‘breakdown’ of cost into infrastructure and superstructure/equipment, in order to

assess the respective depreciations and the individual costs of maintaining the network by

category.

The time scale of the construction of the network in the medium term (e.g. 5 years), and thus the

years of operation and benefit of the network in social and financial terms.



Critical point 3 of the methodology of the expert opinion: the cost-benefit approach (socio-

economic evaluation) of the development of the network.

Specifically:

• The approach requires documentation and quantification of the social benefit flows. An

assumption is made of the average level of per capita spending by visitors/tourists in

Cyprus. A small percentage of marginal (additional) social income from use of the cycle

route tourist product is then calculated on this basis.

• These assumptions represent different scenarios (basic, pessimistic, optimistic) and are

‘tested’ by means of sensitivity analysis.

• The socio-economic evaluation is a ‘tool’ with a twofold use:

- On the one hand, for justification of the enterprise by the CTO, in terms of the direct

and indirect positive impact on the national economy,

- On the other hand, support for funding of the investment as a public works project in

the National Strategic Reference Framework 2007-2013.



Evaluation of existing situation

For a cycling network to succeed it must be embraced by the local population, becoming part of

their daily lives and being enhanced in quantitative and qualitative terms through simplified

procedures incorporated in the mechanisms of public administration, and also relying on the active

involvement of ordinary people. At the same time, there must be:

• A robust legislative framework.

• A central agency overseeing and responsible for the network.

• A strong agency managing and maintaining the routes.

• A mechanism for continual monitoring of the network operations – with systematic

recording and promotion of the structure of the network and its component

characteristics.

• Responsible and adequate mapping and frequent properly documented updating of

information literature and electronic forms of promotion.

• Integration with other compatible uses such as walking and riding, and enrichment with

activities making cycling even more attractive.

• Ongoing development and enhancement with support structures such as viewpoints,

forest leisure areas, campsites, etc.

• Encouraging cycle-friendly attitudes.

• Incorporation into the routes of traditional, historical and cultural aspects of the

locality.

• Ongoing updating of the signing system, which is the most important means of

creating safety for the foreign cyclist.

The development of a ‘unified’ network of cycle routes will require medium-term planning, given the

technical, funding and statutory issues involved. The routes will need to be planned, studied and

constructed as public works projects with the cooperation of at least three agencies (CTO, Ministry

of Transport and Public Works, Ministry of Agriculture, Natural Resources and the Environment).

To function as a single network the routes will need to incorporate the right access, signing, safety

provision, stops and, probably, functional links with the other informal and formal tourist leisure

networks.



Existing administrative system for management of cycle routes

Weaknesses/flaws in the existing administrative management framework

The existing framework has significant flaws and weaknesses in terms of the continuing promotion

of cycling in Cyprus and the expansion and maintenance of the cycle route network. Hitherto the

CTO has been the agency responsible for planning and development of the existing network,

coordinating the various departments involved and the various local initiatives to ensure the project

runs smoothly. At the present stage there is no agency responsible for the expansion of the

network into the other regions, nor for its maintenance. Furthermore, there is no organisational

structure responsible for promotion of the network and provision of support for cyclists wishing to

use it. There is also no regulatory/statutory framework defining the role and relations of the possible

agencies involved in management and development of the network, such as:

• Central coordination of tasks involved in management, development and

maintenance of the network

• Powers and duties of agencies that may be involved

• Management of budget and development of network as well as cash flows to

involved agencies, depending on the services they supply to the network, and to

third parties providing products/services to the network.

• Risk management in respect of cyclists and the road network involved

• Promotion of the network and integration into general island strategy for

development of tourism, more specifically rural tourism

• Informing users/interested parties of the existence and operation of the network

• Legal framework determining the above

The above are some of the factors which need to be borne in mind in deciding the form of the

network management agency.

Potential of the existing administrative system for protection/management The above analysis of the agencies involved covers a wide range of bodies with similar objectives.

Although cooperation among them is still vague it is quite clear that there is an intention on the

various sides to promote cycling in general and the cycle routes in particular. The co-existence and

shared interest of so many public agencies and local authorities, as well as private organisations,

provide a sound basis for discussion and definition of the competences of each one. Initial

meetings have already been held involving the agencies which contributed to the development of

the existing network, in order to shape an organisational structure-agency for management and



expansion of the network.

As the administrative arrangements stand at the moment, the CTO is the agency with direct

responsibility for marketing the island abroad, especially in major markets like northern Europe, and

can easily include the cycle route network in its strategy for the development of the island’s tourism.

The cycle routes can play a central role in attracting more tourists to the island.

Specifically, following meetings with the agencies above, the network has already been included as

the subject of an annex in the Highway Code; it therefore now has a basis in legislation. Also, the

Public Works Department and other involved agencies have met and expressed definite interest in

undertaking duties relating to the expansion and maintenance of the network. It now remains for the

CTO to coordinate and lay down guidelines for the specific responsibilities of each agency.

In general although there are serious structural and regulatory defects in the existing administrative

framework for management of the cycle routes, all the necessary conditions are in place for the

formation of an agency which can manage, develop and promote the network effectively. The

major obstacles to the creation of the agency would appear to lie in the coordination of the agencies

involved, definition of their individual responsibilities and the decision by each agency to accept

those particular duties. It is anticipated that productive meetings with representatives of the various

agencies and the introduction of the appropriate regulations will remove these obstacles and the

agency will be able to accept responsibility for the management and coordination of the

development of the network.

Concerning the development of the Management Agency, a significant factor to be taken into

account in the financial management of the agency and the network is the contribution of sources

of funding in addition to the CTO, such as European programmes, the Strategic Plan for Tourism

Development, the Rural Tourism Plan, the members and contractual partners of the Management

Agency, who have shown interest in collaborating.



Case Studies A number of case studies were studied in order to examine the development conditions and identify

the critical success factors that have turned similar cycling routes and their management agencies

into successful cases. The transferability potential of these case studies to Cyprus was analysed.

Case 1: The case of the UK The model of a charitable organisation/ company can be transferred in Cyprus with certain

reservations on the development of its operations and activities. Cyprus is far behind the UK as

regards cycling culture and cycling routes. The purpose of the legal vehicle in Cyprus will ultimately

be similar to that of Sustrans however initial major development steps should be the main goal of

this new vehicle at the beginning of its lifetime. Such steps will comprise the assurance of the

sustainability of the existing cycling network of Cyprus and further developing it, to establish and

maintain a code of collaboration with regional and national authorities on creating and developing

the cycling network, and perhaps the most difficult one, to undertake the necessary activities to

create a cycling culture in Cyprus. Such activities will need to be developed after careful study and

be scheduled on a long term basis for creating momentum effectively shaping cycling culture.

Case 2: The case of France

Since there exists no national cycling policy in Cyprus, the situation is such that the existing cycling

network has just been created, and the roles and responsibilities of involved/ or potentially involved

public bodies, regional governments, and authorities have not been clarified. Through the creation

of the Association of Cycling Regions (ADC) in France which comprises representatives of regional

authorities dedicated to developing the cycling network, the problem of bureaucracy and

involvement of too many public bodies has been resolved. This association functions as the

mediator between the government and the regional authorities in the expansion, maintenance and

promotion of the national cycling network of the country. The financing comes from state-regions

contracts which solidify budgets from funds for regional development. Part of the contracts is

predetermined for the development of the cycling network. Because of its nature the ADC

maintains both the role of formal public body which participates and shapes the national policy on

cycling, develops the code of cycling conduct and mutual development with other means of

transport in the country, and provides enough flexibility to each regional authority to implement their

own cycling network according to the national policy, and also provides any type of support to

regional authorities. Regional authorities in turn become more efficient in are responsible for

developing the cycling network in their region and receive operational, technical and monitoring

support from the ADC.

Due to previously mentioned situation in Cyprus, the model of the ADC is considered as the most

suitable to be applied to Cyprus. The creation of a non-profit association of regional authorities



responsible for the national cycling network seems to be a suitable case for Cyprus. That is

because, for the moment, one authority (similar to ADC) needs to be responsible for coordinating

the discussions between potentially involved stakeholders, and set up an operational frame

between government bodies (eg. Ministry of Public Works, Ministry of Commerce, Industry and

Tourism, Ministry of Finance, Ministry of Interior) semi-governmental organisations (Cyprus

Tourism Organisation) and regional authorities (Community Boards, Municipal Boards, Regional

Boards). It further needs to set up a framework for the sustainability and developing of the cycling

network in Cyprus and also undertake the role of mediator between state and regions.

Case 3: The case of Belgium

The model of the non profit association is similar to the UK model corresponding to both

GRACQ and Pro Velo (Cycling Associations). The basic element of these associations is that

they were founded by volunteers and active cyclists who are eager to develop the cycling

culture in Belgium. A prerequisite for their foundation was a critical mass of cyclists strong

enough to commence activity on promoting the bicycle in Belgium. Such culture is still not

developed in Cyprus where a big part of cyclists are tourists and non-customary bicycle

users. In light of the above, such an association could potentially be useful in legal terms but

with differentiated goals or on a later stage when the cycling culture is developed in Cyprus

and can accommodate a group of active cyclists to develop activities for the promotion of the

bicycle.

Case 4: The case of Switzerland Until 20081, and following the ‘cycling in Switzerland’ model, networks will be realised by the

cantons with the support of several federal agencies and tourist organisations. They are ‘hiking in

Switzerland’, ‘mountain-biking in Switzerland’ and ‘skating in Switzerland’. These networks are

closely coordinated with each other and with public transport. They will be publicised via an

innovative internet platform based on a geographical information system, which will closely

integrate information on routes, public transport and tourist offerings. An important basis for these

projects is our norm on signposting, which guarantees that the well-established and successful

‘look and feel’ of ‘cycling in Switzerland’ can be transferred to the new networks.

1 Cycling Policy in Switzerland - Dr. Rudolf Dieterle, Director of the Federal Roads Office Velocity München,

June 12, 2007



The feasibility of the Cycle Route Network In defining and selecting the alternative scenarios for the management and viable functioning of the

network, we must take into account:

• Cleaning the roads • Maintenance of road markings • Maintenance of the signing system • Provision of information through printed and electronic material

Alternative Scenarios for Management of Cycle Routes

General - The need to formulate alternative scenarios and a methodological framework for comparative evaluation

The strategy of incorporation of cycling into broader leisure activities, the simultaneous recognition

of its special operational identity as a networked net, and the factoring in of the country’s overall

strategy for development of tourism, all lead to the formulation of a series of potential alternative

scenarios, such as:

Table : Scenarios

SCENARIOS

STRATEGY-CONTENT

Scenario Α Incorporation of the network in the (Regional) Tourism Development

and Promotion Companies (TDPC), with parallel expansion of their

activities

Scenario Β Founding of new special-purpose agency

Scenario C National Operational Network of Local Cycling Networks

Scenario D Undertaking of central management of the network by the CTO

Evaluation of the scenarios was based on a standard methodological approach, so that the

evaluation is objective and uses genuinely comparable data. The result of the SWOT analysis

yielded the framework in which to formulate the specific strategic plan, in combination with the

corresponding organisational and management framework.

In practical terms, the process of selection of a combination of strategy and organisational structure

involved grouping the four segments of the familiar SWOT analysis, as shown in the diagram

below. More specifically, the diagram presents – in schematic terms – the method of utilizing the

SWOT analysis to form core strategic choices for the organisation and management of the cycle

route network, through combined SWOT ‘reading’ of the four quartile segments for each pair

(strengths with opportunities, weaknesses with opportunities, strengths with threats, weaknesses

with threats).



Table – Use of SWOT method to generate policy strategies for organisation and management of cycle routes

Strengths Weaknesses

Opportunities

Strategy of ‘acceleration’, rapid

establishment of cycling as discrete

and significant tourist product

(maintenance-expansion of

competitive advantage / growth-

accelerating expansionary strategy)

Strategy of restructuring, gradual

incorporation into leisure activities

taking steady steps forward (capacity

for maintenance-viability of investment

and management enterprise,

structural strategy)

Threats

Strategy of stability, emphasis on

rational planning of management of

network

(targeted policies which neutralize or

counterbalance specific negative

developments or trends, stabilisation

strategy)

Preventive strategies, emphasis on

avoiding mistakes and de-construction

of network partners

(selective policies which anticipate and

alleviate certain possible negative

effects, preventive / discretionary

strategy)

Scenario Α: Incorporation of network in TDPC – with parallel expansion of TDPC activities

The CTO has opted to create eight tourism development and promotion companies (TDPC) to

handle the promotion of tourism in their respective Regions, in the context of the strategy set out in

the country’s Strategic Plan for Tourism. The remit of these companies is described as ‘single’ – in

other words no allowance is made for activities/initiatives for the development, exploitation and

management of tourist resources of a regional character.

Consequently the TDPC are not viewed as general purpose ‘development enterprises’ but seek to

promote the spatial entity they represent. It follows that the ‘addition’ of the new activity of cycling

must be seen in relation to the more general strategy of the TDPC, and that new legislative

provision is required.

The TDPC include potential members of the so-called ‘local social capital’ (see section 2.4.1), since

apart from the CTO other agencies might participate, such as the association of communes and the

communes of the Region, the Local Action Groups, the associations for the production and

management of the country’s tourist product, the Cypriot Rural Tourism Company, other local

development enterprises, as well as other agencies and legal entities, provided their activities are



consonant with the objectives of the TDPC.

Membership involves the payment of an annual subscription. The need for all the local agencies to

be represented has led to the provision where appropriate for multi-member governing boards (e.g.

17 members on the board of the Troodos regional TDPC).

The working hypothesis in respect of the inclusion of the cycle routes within the activities overseen

by the TDPC encounters significant difficulties, namely:

• Cycling, as a leisure activity, is part of the tourist market and one not seen before

in Cyprus. Its inclusion in the remit of the TDPC would mean the inclusion of all

similar alternative forms of tourist activity, and thus the agency would acquire the

character of the ‘manager’ of the regional tourist product, instead of the instrument

of a strategic nature which it has been to date.

• The TDPC are still being organized, they have not yet operated fully, have

generated no results, and have acquired no experience to draw on.

On the other hand, positive added value can be anticipated, mainly owing to the stability of

resources and funding and the minimization of administrative costs entailed by the setting up of a

new agency.

Scenario Β: Establishment of new special-purpose agency.

The founding of a new agency to manage a new product or develop a new activity is a common

objective of all similar projects. The option usually adopted is that of the ‘administrative’ solution,

with the relatively rapid establishment of a special-purpose agency - in this case to manage the

cycle network – with an initial amount of capital from the state allowing the agency to take the

necessary measures to implement its strategic objectives, as set out in its remit.

This option combines both positive and negative aspects, all of which must be assessed.

International experience has shown – not only in the area of cycling – that solutions imposed ‘from

above’ (even if they involve the partial – and perhaps ‘representative’ – participation of the parties

involved) are not always successful, but can fail in their true purpose or focus on mistaken options,

especially when the activities are associated with local characteristics and local communities. In

general terms, this option displays characteristics of ‘introversion’ and failure in practice to realize

the true concept of the ‘networked network’.

It usually takes nearly two years for the new agency to ‘mature’. This means there is a gap in the

management, maintenance and development of activities related to the network, which can mean a

corruption of the original objective and a wasting of resources intended for administration and

maintenance. Close monitoring of the network becomes difficult and ineffective.



Of course the solution in question does present some notable positive aspects, such as the

strategic alignment, after two years have passed, with specific targets, the flexibility of dialogue and

cooperation with central authorities, the strengthening of the agency in relation to the share of

promotion taken by the TDPC, and so on.

Scenario C: (National) Operational Network of Local Cycling Networks. In practical terms Scenario C seeks the foundation of a new special-purpose agency to manage the

cycling network, but this is an agency which will evolve through two specific phases:

• The phase of ‘networking’ of the interested parties on the local and national level,

• The phase of ‘partnership’ i.e. the composition and operation of the agency.

In essence Scenario C adopts the solution of networking of the local networks on the national level, through a bottom-up approach in which potential interested parties and partners of the

network (stakeholders) ‘commit’ to mutually agreed objectives, both strategic and operational.

The solution proposed in Scenario C is seen, in the light of international experience, as realistic and

viable, engaging those parties directly involved, but presupposing the phase of networking, i.e. the

‘maturing’ of the network, which as a process requires external support, both political and

operational. The process would begin with the creation of an ‘organisational committee’ with

local representation, which would be expected within a specific time frame to proceed to

consultation on the founding of an agency, and to propose its operating regulations, with ‘local

operational circles’ which even before the founding of the agency would proceed to provide a

management framework for the cycle route network. Thus the period intervening before the

founding of the agency can be used productively in transferring negative and positive experiences.

Finally, the founding of the agency is not an end in itself, but is indicated as the best tool for the

creation of an ‘Operational Network of Local Cycle Route Networks’ on the national level.

This scenario presents many positive aspects, although the phase of ‘partnership’ harbours high

risks of failure, with the likelihood of there appearing different and incompatible views, as well as

initiatives in contrary directions, e.g. on the regional level, which would inevitably lead to the

breaking up of the network.



Sensitivity analysis – Evaluation of alternative scenarios The sensitivity analysis of the above factors usually involves assessment of the descending risk

likely to be presented by the formulated scenarios. In Scenario B in particular, owing to the negative

values, we also examine the ascending risk (appearance of more positive findings). A

characteristic, also, of Scenario C is the ‘scoring’ on the hypothesis of high risk in all possible cases,

in which case the descending risk appears reduced. Thus in this scenario there are assumptions of

combination of risks with interaction of various factors.

To define the risk (ascending or descending) we select ‘critical variables’, which shape for each

scenario the socio-economic aspects of the management of the network, with a specific hypothesis

concerning administration and organisation. We thus approach its ‘limits of endurance’ in terms of

adverse changes in the critical variables. Thus different criteria are selected for each Scenario.

Scenario C achieved the highest score and it is proposed that it be chosen for the further

investigation of the organisation, administration and management of the network.

From the sensitivity analysis of the various scenarios for establishment of the Management

Agency, and taking into account the critical methodological points, as well as the data extracted

from the study are as follows:

• The three scenarios under examination present relatively high levels of tolerance, i.e.

they are not regarded as particularly sensitive to changes in the individual

variables/parameters which define them.

• The incorporation of the Management Agency in the TDPC being established may be

a ‘logical’ scenario and lead to minimization of the risks of multidimensional activities,

but it is subject to uncertainty concerning the strategy, composition and operation of

the new agencies. If the TDPC had, say, 3-4 years operational experience, then the

parameters of this scenario would be less shifting and therefore the selection (or

otherwise) of the specific scenario closer to reality.

• The opportunities/strengths of Scenario C far outweigh the weaknesses with the

result that in the final analysis, despite the fluctuations in scoring, the general/final

picture of Scenario C appears positive.

• Scenario C is characterized – in its initial assessment – by a ‘balance’ of threats and

weaknesses. In the sensitivity analysis the weaknesses outweigh the threats, but in a

controlled manner.

• Scenario C serves the strategy of acceleration, the rapid establishment of cycling as a

distinct and important tourist product, in order to maintain and expand the competitive

advantage of Cypriot tourism (growth-accelerating expansionary strategy), insofar as

it is based on the enrichment of the tourist product with special-alternative forms of

tourism.



Factoring in the (realistic) timetable of construction of the cycling infrastructures (by 2012), the

maturing phases of the management agency also serve in this respect the logic of Scenario C.

However, this progression in time will not in future exclude a re-examination of Scenario A in combination with Scenario C, i.e. the idea of preparing the phase of networking of the networks,

for example, for the years 2008-2009, and the incorporation of the local cycling activities in the

PDTC. In this case the question of strategic management of the cycling network would need to be

resolved on the national level, e.g. through a ‘national management committee’.

As a general conclusion, the choice of Scenario C is an ideal option, despite the conditions it

entails, while there can be examination in the immediate future of the operational inclusion of the

cycle routes in the competence of the TDPC (combination of A and C).

TABLE: Selected scenarios for cycle route management network

SELECTED SCENARIOS

MEASURES-STRATEGY-CONTENT

1ST STAGE 2008-2009: Scenario C: bottom-up approach, identification of local social capital and levering of business initiatives

National Operational Network of Local Cycling Networks: • Networking Phase of social and business partners on

the local level, • Undertaking of maintenance • Gradual promotion of memoranda of cooperation on

departmental (maintenance of network) and national level (management-promotion of network),

• Establishment of national organisational committee for cycling network,

• Organisation of pilot events, attracting interest of private sector complementary activities (accommodation, tourist agencies, catering/restaurants etc. on local-national level),

• Pilot management of Troodos network. • Support-animation by CTO, possible use of external

advisor on organisation of networking of agencies. 2ND STAGE 2010: Combined Scenarios C-Α: Decision on ‘type’ of management agency

• Scenario C-Α: Incorporation of management of promotion of network in responsibilities of TDPC, with parallel expansion of their activities and additional funding, in accordance with the viability analysis of the management agency, or alternatively,

• Scenario C-C, Partnership Phase: creation of ‘autonomous’ management agency on national level with ‘regional representation’ through memoranda of cooperation



SCENARIO C:

CTO

RegionalTourism

Developmentand Promotion

Companies (TDPC)

Coordination of Cycle Route Management on the National Level:

Phase1: Memorandum of Cooperation of individual Agencies and Partners

Phase 2: Non-Profit Company (collective agency)

Local Tourist Leisure

Network (LTLN)

Regional Cycle Route Network

TDPCΕ1

TDPC2

TDPC3

TDPC4

TDPC5

TDPC6

Local government

Local cycling association


Local government


National Cycle Route Network

CTOCTO

RegionalTourism

Developmentand Promotion

Companies (TDPC)

Coordination of Cycle Route Management on the National Level:

Phase1: Memorandum of Cooperation of individual Agencies and Partners

Phase 2: Non-Profit Company (collective agency)

Local Tourist Leisure

Network (LTLN)


TDPCΕ1

TDPC2

TDPC3

TDPC4

TDPC5

TDPC6

Local government



Local government


National Cycle Route Network



Selection of organisational structure

Proposed Action Plan It is recommended that the agency be activated on the basis of a specific plan with specific activity

axes, defined in the following table:

Table: Proposed Axes of Action

Axis Years Description

1

2008 • Establishment of ‘Organisational Committee’ (national level).

• Preparation of Axis 2

2

2008-2009 • Activation of Networking Phase

• Local Operational Circles of Partners (local committees or working

groups)

• Awareness raising and information of local agencies and public

• Mobilization of agencies, establishment of local strategic alliances

• Animation-support by CTO (possible contribution of external advisor)

• Promotion of memoranda of cooperation (networking, local partnership

cooperation pacts)

• Establishment of ‘national committee for organisation and

management of cycle route network’.

• Pilot operation of Troodos network

• Undertaking of initiatives to publicize and promote the cycle route

network (ready and future networks).

3

2010 • Activation of Networking Phase

• Choice of scenarios C-C or A-C

• Evaluation of launching and activity of TDPC.

• Preparation of management agency (Scenario C-C). Funding and

commencement of operations of agency.

• Strategic Action Plan for Promotion-Marketing of Cycle Route Network

4 2008-2012 • Completion of cycling infrastructures – signing of cycle routes

Further analysis of the content of each Axis is offered below:

Axis 1: Organisational Committee (Ο.C.)

Provision is made for the required measures to prepare the networking phase of the local agencies

in order for consultation to begin on the local level. The ‘organisational committee’ undertakes all

measures to prepare an inventory of agencies, promote the idea, organize informational



conferences, etc.

The ‘organisational committee’ is intended to remain in place for a year and then be replaced by a

‘national committee for organisation and management of the cycle routes network’ which

will be set up at the initiative of the local partners.

The Organisational Committee has local representation and must, within a specific period, proceed

to inform, raise awareness and enlist the active involvement of local partners, in respect of the

issues raised by the organisation and management of the cycle routes, the founding of a

management agency (or the entrusting of the management to the TDPC), as well as proposing

operating platforms to the ‘local operational circles’ (local committees or working groups).

Axis 2: Phase of Networking of Local Partners - Consultation Axis 2 is initiated in order to establish a network of local partners and its anticipated results are the

framing of a joint strategy for the organisation and management of the network. Specifically, the

following measures are taken:

• Activation of local agencies in committees or working groups. Formation of ‘Local

Operational Circles of Partners’.

• Awareness-raising of local agencies and the public (funding necessary from CTO).

• Mobilization of agencies, establishment of local strategic alliances.

• Animation-support from CTO (possible contribution of external advisor).

• Promotion of memoranda of cooperation (organisation of networking).

• Establishment of ‘national committee for organisation and management of cycle route

network’.

• Pilot operation of Troodos network

• Undertaking of initiatives to publicize-promote the cycle route network (ready-future

networks).

It should be noted that the ‘Local Operational Circles of Partners’ can be organized under the

umbrella of an existing agency (e.g. Troodos Development Enterprise).

Axis 3: Phase of Partnership – Selection of Scenario – Activation of Management Agency.

This is the critical phase in which one of the scenarios C-C or C-A is selected. Specifically:

• Scenario C-Α: Incorporation of management and promotion of network within the

competence of TDPC, with parallel expansion of their activities and additional funding, in

accordance with the viability study of the management agency, or alternatively,

• Scenario C-C, Partnership Phase: creation of an autonomous management agency at

the national level with ‘regional representation’ through memoranda of cooperation

• In choosing one of the above, account must be taken of the launching and activity of the



TDPC.

• In the event of scenario C-C being chosen, measures must be taken immediately to create

the agency, provide initial funding and commence operations (completion of hiring-staffing

of agency, procurement of necessary equipment, etc.).

When the agency commences operations a strategic plan will need to be drawn up for raising the

awareness of the public and promoting the network and the sport of cycling in general. The

operations of the agency will include educating and informing the public through programmes,

conferences or visits by tourists to the regions where the cycle routes are located.

The agency will also monitor and gather data concerning the use of the network and the prospects

for further exploitation. These data may form the object of studies and reports which may be

prepared either using the agency’s own resources or by employing external associates.

Publicising facilities Cycling facilities need to be publicised and cycling promoted to maximise cycle use. These

activities can include:

• media releases to announce complete routes or facilities

• providing a cycle network map showing cycle routes, cycle-friendly routes

and cycle parking facilities

• providing network signage to indicate recommended cyclist routes.

Axis 4: Completion of cycling infrastructures – highlighting of cycle routes

At the same time work will proceed on the cycle route infrastructures, a spur to successful

completion of the networking and partnership phases.

The construction of the cycle route infrastructures will be associated with broader initiatives to

promote the regions of the networks (Local Tourist Leisure Networks). The management agency

may contribute to promotion of the region by programmes showcasing its natural beauty, while

through improvement of the existing infrastructure visitors will be able to enjoy without impediment

what the region has to offer.

Likewise the process of improving the infrastructure must take into account visitors’ needs and

interests so that any intervention reflects and responds to them.

The active engagement of the management agency in the preparation and organisation of events



on the regional and national level will prove a significant field of its activity. To this end it must

actively enlist the decentralized network of partners, the local authorities and the private sector.

Another significant field of activity will be the operation of a special website, from which electronic

services can gradually be provided.

.



Basic level of organisation of agency

Basic competences

The basic activities developed subsequently are directly associated with the four action axes

proposed, which meet the needs faced by the network.

Competences:

• Briefing, active engagement and animation of the local partners in respect of the

organisation and management of the cycle routes.

• Framing of a joint strategy for organisation and management of the network.

• Development of strategic plan to raise public awareness and promote the

network and cycling more generally, featuring briefing, raising the awareness of

and educating the public through programmes, conferences or tourists’ visits to

the regions of the cycle networks.

• Monitoring and gathering of data concerning the use of the network and its

prospects for further exploitation. These data may form the object of studies and

reports which may be prepared by the agency itself or by employing external

associates.

• Coordination and harmonization of the cycle route network with national

strategies for tourist development, bearing in mind the needs, potential and

special features of each area of the network.

• Monitoring of developments in respect of possible funding for development and

promotion of the network and taking measures to render the network eligible for

such funding.

Administrative Board and staffing of services

The role of the Board is to lay down the guidelines and course of action of the Agency and operate

as a guide in the implementation of all the activities it undertakes.

The Board will consist primarily of representatives of the agencies involved with the network. It is

important that these representatives have a real interest in and benefit from the operation of the

network and bring together a wide range of knowledge extending from the use of the network in

Cyprus to the local characteristics, in order to bring to the Board, and vice versa, the views of the



agency represented. The members of the Board must also have the communication skills to be

able to play the role of mediator between the organisation they represent and the Management

Agency, and convey effectively views, decisions, problems and needs from one to the other. The

role of each member of the Board is to facilitate the process (Facilitator) of coordination between

Agency and local networks.

Documents

Feasibility Study concerning the System for the …cyronmed.basilicatanet.it/documents/20080926160634_632.pdfFeasibility Study concerning the System for the Sustainable Organisation