OMAHA, Neb. – Union Pacific’s embrace of Precision Scheduled Railroading principles came just two months after Wall Street analysts peppered CEO Lance Fritz with questions about why his railroad couldn’t be more like CSX Transportat...
http://trn.trains.com/news/news-wire/2018/09/18-union-pacific-aims-to-boost-profits-service-with-precision-scheduled-railroading
Brian Schmidt, Editor, Classic Trains magazine
At my last review, my supervisor told me we were going to a new plan similar to PSR, but not exactly the same and they weren't calling it PSR. (Although I did see PSR mentioned in a message to employees.) I was told that some trains might become smaller and more frequent. That they didn't want to hold trains to maximum tonnage at the expense of service. Other local officials have told others about the same. That more engines and crews would be needed. Leading some of the latest batch of new hires I've worked with hoping this will keep them from getting furloughed.
I guess we shall see how it comes out. Whether we fit the customers to the plan or fit the plan to the customers.
Jeff
For UP, this is going back to some basics. If I remember correctly, when we (C&NW) were merged into UP, they had a system (inherited from MP) that made individual plans for each car, and could theoretically tell their customers when their car would arrive, on what train, etc. Then the railroad melted down with CNW, kind of recovered, then went completely down the tubes when the SP rail network was absorbed.If they're talking about shorter, more frequent trains, that's great. What I don't get is why they're purging their roster of units of any size. They may need them! I'm not at all sure what the current status for stored locomotives might be, but those low-horsepower units might be the ones to store, at least until things work out.In other news, UNP shares jumped nearly seven bucks today on this news. My own preduction is that these seven bucks will slowly disappear again. But the shareholders apparently see this as being good for them because they want to lower the operating ratio. They got theirs...now let's see whether customers and employees get theirs as well. (Someone recently said that when stock goes up, executive pay goes up...when stocks go back down, employees are laid off.) I hope it stays up, if for no other reason than that the lion's share of my 401K is fueled by UP stock.
Carl
Railroader Emeritus (practiced railroading for 46 years--and in 2010 I finally got it right!)
CAACSCOCOM--I don't want to behave improperly, so I just won't behave at all. (SM)
CSX took the precision out of Scheduled Railroading.
Never too old to have a happy childhood!
I was talking to a CSX conductor last night at the tail end of his train. They'd just made a pickup or drop (I forget which) and were getting back out on the main.
He told me that someone had decided that said moves would now be made at the end of the train, instead of right behind the power. Which now meant that the conductor had to make his way over 70 cars back to his power. Not bad last night, might be a little dicey with a foot of snow on the ground...
Meanwhile, a main is tied up just that much longer.
Larry Resident Microferroequinologist (at least at my house) Everyone goes home; Safety begins with you My Opinion. Standard Disclaimers Apply. No Expiration Date Come ride the rails with me! There's one thing about humility - the moment you think you've got it, you've lost it...
tree68I was talking to a CSX conductor last night at the tail end of his train. They'd just made a pickup or drop (I forget which) and were getting back out on the main. He told me that someone had decided that said moves would now be made at the end of the train, instead of right behind the power. Which now meant that the conductor had to make his way over 70 cars back to his power. Not bad last night, might be a little dicey with a foot of snow on the ground... Meanwhile, a main is tied up just that much longer.
Back in the day - Chessie System had one train that made scheduled rear end set offs. Train 396 - Originated from Saginaw, MI with Auto Parts, working it's way to Walbridge. From Walbridge the train carried two blocks, the head end had Wilmington auto parts, the rear end Baltimore auto parts, with a caboose separating the blocks.
Train operated to Bayview Yard in Baltimore. Upon stopping for a crew change, a Bayview yard job operated out on #1 Main and made a cut behind the caboose. With the crew changed and the cut made, the balance of the train proceeded to Wilmington with the cars for GM's BOP Plant at Wilmington. The Bayview yard job after having made the cut and watched the head end of 396 depart, then crossed over at the interlocking at Bayview and then coupled up to the set off and took it down the Sparrows Point branch toward GM's Baltimore Assembly plant.
396 is no more as GM no longer has assembly plants at Baltimore or Wilmington.
tree68He told me that someone had decided that said moves would now be made at the end of the train, instead of right behind the power. Which now meant that the conductor had to make his way over 70 cars back to his power. Not bad last night, might be a little dicey with a foot of snow on the ground...
THAT sounds like a decision made by a bunch of no-railroad-experience-semi-drunk corporate yes-men at a 3-martini lunch.
I wonder how that will work if CSX is still running their 200-car monster trains, and/or in -10 degree weather. Walk back 150 cars, make the move, walk further back (or pull by) for the air test, then walk up those same 200 cars.
Let's hear it for overtime!
zardozLet's hear it for overtime!
Nope. Not allowed overtime.
The opinions expressed here represent my own and not those of my employer, any other railroad, company, or person.
Larry, the account of dropping the rear car off reminds me of the story of the newly hired salaried man who had noticed the short lengths of rail with bent ends here and there around switches and were nver touched by the wheels of trains or cuts. He suggested that they be taken up, straightened, and used where they were needed. He was politely told that they where they were needed.
However, it may be a bit more difficult to tell whoever directed that switching that the car(s) to be be dropped off ahould be right behind the engine. Perhaps such a person should be invited to make a road trip in the winter and walk with the conductor?
Johnny
zardozTHAT sounds like a decision made by a bunch of no-railroad-experience-semi-drunk corporate yes-men at a 3-martini lunch.
Sounds like an order to try to pre-block the trains. It's all the rage now.
zugmann zardoz Let's hear it for overtime! Nope. Not allowed overtime.
zardoz Let's hear it for overtime!
The mileage componet of todays runs in many cases prevents Overtime starting until the crew has exceeded their Hours of Service time.
I dare you to find that purported decision maker on any Class 1 railroad in the past 30 years.
Talk about oudated stereotypes,
MICHAEL KLASSTalk about oudated stereotypes,
True. Most of them drink Monster drinks now.
And where is the rest of the story? (like pruning the system of lower performing lines? Heard that yesterday and today as well here in Chicago (plus Tony Hatch this morning, earlier than scheduled) )
MICHAEL KLASSI dare you to find that purported decision maker on any Class 1 railroad in the past 30 years. Talk about oudated stereotypes,
Red Bull & Vodka
jeffhergert At my last review, my supervisor told me we were going to a new plan similar to PSR, but not exactly the same and they weren't calling it PSR. (Although I did see PSR mentioned in a message to employees.) I was told that some trains might become smaller and more frequent. That they didn't want to hold trains to maximum tonnage at the expense of service. Other local officials have told others about the same. That more engines and crews would be needed. Leading some of the latest batch of new hires I've worked with hoping this will keep them from getting furloughed. I guess we shall see how it comes out. Whether we fit the customers to the plan or fit the plan to the customers. Jeff
Based on the webcast this morning, I wouldn't hold my breath. Everything boiled down to longer trains with less HP per ton, less locomotives, less T&E personnel, less managers, and more road trains stopping to block swap.
The only discernible rays of sunlight were Lance Fritz's commitments to keep service levels high for premium intermodal and to not shut down any hump yards. The Wall Street people on the call were noticeably underwhelmed that the OR guidance wasn't revised downward. Mr. Fritz might be looking for another job soon. Record quarters aren't enough. Your railroad has to be the anorexic OR queen of the block to get any props from Wall Street these days. The financial people still don't understand that CP and CSX were just short-term hatchet jobs.
ns145 jeffhergert At my last review, my supervisor told me we were going to a new plan similar to PSR, but not exactly the same and they weren't calling it PSR. (Although I did see PSR mentioned in a message to employees.) I was told that some trains might become smaller and more frequent. That they didn't want to hold trains to maximum tonnage at the expense of service. Other local officials have told others about the same. That more engines and crews would be needed. Leading some of the latest batch of new hires I've worked with hoping this will keep them from getting furloughed. I guess we shall see how it comes out. Whether we fit the customers to the plan or fit the plan to the customers. Jeff Based on the webcast this morning, I wouldn't hold my breath. Everything boiled down to longer trains with less HP per ton, less locomotives, less T&E personnel, less managers, and more road trains stopping to block swap. The only discernible rays of sunlight were Lance Fritz's commitments to keep service levels high for premium intermodal and to not shut down any hump yards. The Wall Street people on the call were noticeably underwhelmed that the OR guidance wasn't revised downward. Mr. Fritz might be looking for another job soon. Record quarters aren't enough. Your railroad has to be the anorexic OR queen of the block to get any props from Wall Street these days. The financial people still don't understand that CP and CSX were just short-term hatchet jobs.
Wall Street is building itself up for another 2007-2008 crash. Wall Steet's visions of the business cycle have become shorter term as the years go by and communication/data technology advances.
It seems to be getting to the point that BNSF, being privately owned, will be the only carrier that will be making their own business decisions for their own business reasons - not the BS that Wall Street is forcing upon them.
There was a rumor floating around a while back that Fritz was thinking about running for office. I don't know if it was supposed to be for the state or federal level.
We've been doing rear end setouts and pickups at terminals (where usually there is a van and utility man to help) for sometime. They started it after a couple of fatalities happened where the person riding the shove was knocked off. (It also led to rules restricting when one could ride a shove and a litany of things to discuss during the job briefing.) It's kind of a pain when it's a small block of cars, but a lot better when trying to setout 7 or 8 K feet of cars. Just pull through a yard track and double or triple over what doesn't fit. (If there's no clear rail to pull through, then you're right back to square one on handling large amounts of cars while shoving. Then you are handling the through train plus the setout.)
Speaking of cost cutting. Last night I went to work at 1240am. I noticed in our bulletins a crossing protection order issued about 940pm, 3 hours earlier. It was only on one track in two main track territory, the other track wasn't affected. We got to the last control point before the crossing about 7am and were held. They were single tracking on the good track around the crossing. Heard over the radio that there was an impassable broken rail. The break was in the crossing circuit and that's why protection had been disabled only on one of the tracks, hence the crossing order. Instead of fixing the broken rail once it was found, they decided to just wait until the section gang started their regular work day the next morning, avoiding overtime. That's the first time I've ever seen that happen on the main track. G-55 in action. (I told the conductor that the real reason was that they were out of replacement rails and the store wouldn't open until morning. I forget exactly who they get them from. I think it's either Rails-R-Us or Roadbed, Oil Bath and Beyond.)
jeffhergertI forget exactly who they get them from. I think it's either Rails-R-Us or Roadbed, Oil Bath and Beyond.)
Be glad it's not where a certain carrier gets their equipment: Rail-Mart, where the product is made in China with prison labor and all the specs are fudged.
Overmod Are those almost as ordered, but close enough ones? "So what if it's left handed, we marked it as a right, so, close enough". jeffhergert I forget exactly who they get them from. I think it's either Rails-R-Us or Roadbed, Oil Bath and Beyond.) Be glad it's not where a certain carrier gets their equipment: Rail-Mart, where the product is made in China with prison labor and all the specs are fudged.
jeffhergert I forget exactly who they get them from. I think it's either Rails-R-Us or Roadbed, Oil Bath and Beyond.)
CShaveRRFor UP, this is going back to some basics. If I remember correctly, when we (C&NW) were merged into UP, they had a system (inherited from MP) that made individual plans for each car, and could theoretically tell their customers when their car would arrive, on what train, etc.
The MP/UP has had car scheduling since 1972. Each car, when released gets a "trip plan" that is dynamically changed as the car moves aling the railroad. Plus they can measure each yard with regard to how well they execute the plan for that car, making connections right train right day, etc. etc. They use that to forecast train sizes, make decisions on whether or not to run extras, annul small trains, how many engines a terminal will use, how many engines a train needs, which trains/cuts need to be switched next to protect connections, etc. MP/UP's been using that for over 30-40 years.
Dave H. Painted side goes up. My website : wnbranch.com
BaltACD CSX took the precision out of Scheduled Railroading.
Deggesty Larry, the account of dropping the rear car off reminds me of the story of the newly hired salaried man who had noticed the short lengths of rail with bent ends here and there around switches and were nver touched by the wheels of trains or cuts. He suggested that they be taken up, straightened, and used where they were needed. He was politely told that they where they were needed. However, it may be a bit more difficult to tell whoever directed that switching that the car(s) to be be dropped off ahould be right behind the engine. Perhaps such a person should be invited to make a road trip in the winter and walk with the conductor?
MikeInPlano BaltACD CSX took the precision out of Scheduled Railroading. But if recent stories are too be believed, PSR is starting to show results at CSX.
But if recent stories are too be believed, PSR is starting to show results at CSX.
The Precision derailment in North Carolina is proof!
ns145 Based on the webcast this morning, I wouldn't hold my breath. Everything boiled down to longer trains with less HP per ton, less locomotives, less T&E personnel, less managers, and more road trains stopping to block swap. The only discernible rays of sunlight were Lance Fritz's commitments to keep service levels high for premium intermodal and to not shut down any hump yards. The Wall Street people on the call were noticeably underwhelmed that the OR guidance wasn't revised downward. Mr. Fritz might be looking for another job soon. Record quarters aren't enough. Your railroad has to be the anorexic OR queen of the block to get any props from Wall Street these days. The financial people still don't understand that CP and CSX were just short-term hatchet jobs.
I watched the town hall video for employees. On the face of it, they talk about doing PSR, but not exactly the way EHH did. Reading between the lines, the goal appears to be about the same. Reduce the need for assets, although maybe not to the point of dismembering the physical plant to sell off land, and crews. They hope not to lose any customers over the implementation, and feel that any they do lose will be won back (except those that they won't want back because they don't fit the "plan".) because we will be so much better. They are going to tell some customers that they may need to modify how they do business with UP. Possibly move some unit train business to the manifest network. What was mentioned kind of made sense, but some of the "changes" mentioned were more under the control of the railroad than the customer.
A couple of "between the lines" items that I caught. That we may find that a lower velocity may be good for the manifest business, reliability is more important then speed. That enroute work events may be our "friends" and not the enemy they used to be thought of. I think this does mean fewer and larger manifest trains. (Maybe we need to start painting the equipment maroon and change the name to Chicago-Great Western.) That instead of multiple manifest trains on a route working some intermediate yards while bypassing others, it may mean one (or a few depending on traffic lane) land barge that works every intermediate yard between points A and Z on it's run. (They have recently ran a 17000ft manifest, I think as a test. It took 2 or 3 extra crews because of problems, but I'm sure it was a rousing success. There was talk of 20000 ft manifests earlier this year.) I get the feeling that reliability, in the form of getting the car to the customer may not improve, but our predictability will. It may still take longer than it should to deliver, but we will be able to at least give a better target date/time. They did mention block swapping. I hope they remember picking up more than one solid block of cars from a single previous train at a single location means the entire train will require a new air test.
There were a few times while watching the team responding to some questions I was saying "liar" to the screen. There was one when even my wife knew they were less than truthful. If they actually believe what they were saying in answer to that question, we are in trouble.
jeffhergertThere were a few times while watching the team responding to some questions I was saying "liar" to the screen. There was one when even my wife knew they were less than truthful. If they actually believe what they were saying in answer to that question, we are in trouble. Jeff
Trouble is at the door! Slowing everything down increases car hire expenses as well as increasing the number of cars needed to sustain the same level of product movement between shipper and consignee.
FIgures don't lie but Liars do figure.
The proof of the pudding is in the eating. Time will tell. It seems that the MBA's don't know what they don't know. And the beatings will commence to convince those that can't make it happen that the plan will succeed if only they would do their job as they were expected to do, impossible or not.
Interesting quote from a Railway Age news story on Unified Plan 2020 (https://www.railwayage.com/freight/up-more-like-csx/):
We believe the market reaction should be somewhat positive as long as it appears UP is fully implementing PSR and not doing “Precision Railroading Lite.” Indeed the company has the opportunity to boost investor confidence in the attainability of its OR goals and unlocks the possibility of the company exceeding them.”
Other analysts have differing opinions. Said Wolfe Research, “PSR has never been implemented without Hunter Harrison, and UP hasn’t announced any management changes to bring on executives with a long history of PSR at CN, CP, or now CSX. And we’re not sure it can be implemented in phases as UP plans to do. So it seems fair to [lessen] the likelihood of complete success for UP and certainly the pace of change relative to CSX over the past year.”
Another observer noted that UP’s OR “has plateaued even though its stock price is doing well. But absent operating ratio improvements at least equal to other properties, indicating that current management is weak on achieving operating/efficiency goals, somebody else—think an activist hedge fund—could show up for a proxy fight, and we know how that goes.”
We know how that goes indeed. Jim Squires and the folks at NS are next on the chopping block.
Now I really don't have any operational experience with a railroad, other than railfanning it and what I have been able to gleen from reading etc. With that said though, its no secret that UP has been having a lot of operating problems recently. Its a pretty common sight for me on my daily commute as I pass the UP mainline to find three or four trains, dead on the line and waiting to proceed. I don't know all of what cause's it, but its pretty strange when returning a full 8-10 hours later on that part of the commute, and passing the same trains still parked in the same location. If that isn't a service delay, I don't know what is! Do I think PSR has had issues in the past? Yes. But there is a small possibility that UP, more-so than any other system in the nation needs it right now. I just hope these changes improve actual train performance and not just a show of force to appease just the investors.
MikeInPlanoBut if recent stories are too be believed, PSR is starting to show results at CSX.
If you don't eat or drink for a week, you will also begin to show "results".
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