I somehow missed this when it was first put up last September, but it might be interesting context for Amtrak discussions in light of the changes since then.
https://skift.com/2019/09/07/skift-global-forum-preview-amtrak-ceo-wants-to-bring-airline-nimbleness-to-the-rails/
Skift is a company geared toward providing intelligence to the travel-services community. I have not seen them provide a similar interview with Flynn yet, and it may be highly interesting to compare the two 'on-the-record' approaches.
JPS1“Just a much more commercial focus.” Sounds like Anderson wanted to run Amtrak like a customer focused business. What a novel idea!
How did you conflate commercial focus with customer focus? The closest thing that can be said was that he was cost focused.
I think you misunderstand the difference between commerical focus and customer focus. Just in case you aren't sure about the difference, just look at the airlines and how they keep installing smaller seats, adding more charges for what used to be part of the ticket, etc., etc.,...that's commerical focus, now compare that to Southwest, who still refuses to charge for checked bags, have not installed narrower seats in older aircraft(as United, American and Delta have all done just to squeeze more people on board) or even Alaska...those are two airlines focused on customer service. Notice the difference?
A commercial/customer focused business is one that provides a service that customers are willing to pay for. It includes a variety of factors. In the case of Amtrak, the users are not willing to pay the full cost of the service. They don't even come close on a fully allocated cost basis.
In the case of Southwest Airlines, as an example, the customers are willing to pay the full cost of the service and provide a reasonable return to the shareholders.
In my opinion there's a difference between 'commercial' and 'customer' focus, although both are important elements in "profitability" in business. There ought to be a formal distinction between running a business to bring in the greatest marginal revenue and running a business where every penny is pinched and owners lie awake at night in fear they've left money on the table somehow.
i think it's clear Anderson was sacked when he took his political strategy of undesirable consequences of mandatory profitability one step too far. In my opinion what he should have done when the wheelchair people ran their scam was to point out that the next time they played that game they would be responsible for the full Amtrak cost to accommodate them, and then ensured that either the ADA enforcement be revised to say that reasonable accommodation on trains could be restricted OR that full Congressional/administrative support for outlandish levels of ADA 'compliance' could be assured (including a specific understanding that no such 'cost' would be included in enforcement of the 2015 'profitability mandate).
Instead he came off looking like Scrooge for not letting those poor disabled people not ride in large numbers ... which wasn't the point ... I guess thinking it would spur Congress to fix the situation in a way that eliminated the loss.
One basic principle of customer-centricity is always how far you 'go the extra mile'. Anyone who's ever been in non-price-taking business knows "the customer is not always right" but also that you build a relationship with customers and treat them as more than a revenue source to be disregarded as soon as you get the money. Shadow has provided some reasonably good examples of how that's done ... and how to distinguish manipulations of the relationship from over-and-above customer service.
GERALD L MCFARLANE JR .that's commerical focus, now compare that to Southwest, who still refuses to charge for checked bags, have not installed narrower seats in older aircraft(as United, American and Delta have all done just to squeeze more people on board)
.that's commerical focus, now compare that to Southwest, who still refuses to charge for checked bags, have not installed narrower seats in older aircraft(as United, American and Delta have all done just to squeeze more people on board)
Southwest Airlines seat width is 17 inches. The 737Max does have wider seats, of course that aircraft is not in service.
https://seatguru.com/airlines/Southwest_Airlines/information.php
Delta has no in service mainline aircraft with less than 17 inch width, and most are wider than the Southwest standard. The MD88 is listed at having a 16.8 inch width, however that aircraft type was recently retired from service by Delta.
https://seatguru.com/airlines/Delta_Airlines/information.php
An "expensive model collector"
Who said Anderson was sacked? I must have missed it; I am under the impression that he agreed to take on the role for two years or thereabouts and then hand it over to another person.
He left early, he left fast, he left right in the middle of key policy changes. I'm sure there's plenty of the usual political retconning, but go back and follow the chronology of his little issue with the handicapped 'optics' and how Congress was setting up mandatory meetings for him to explain. As I mentioned, if he had been a little more bureaucratically savvy he would have seen how to turn the thing into a teachable moment. He just played the same approach that worked in the past, thinking once again it would be 'working toward profitability' in the smaller details. It really, really did not work.
Overmod He left early, he left fast, he left right in the middle of key policy changes. I'm sure there's plenty of the usual political retconning, but go back and follow the chronology of his little issue with the handicapped 'optics' and how Congress was setting up mandatory meetings for him to explain. As I mentioned, if he had been a little more bureaucratically savvy he would have seen how to turn the thing into a teachable moment. He just played the same approach that worked in the past, thinking once again it would be 'working toward profitability' in the smaller details. It really, really did not work.
As I mentioned, if he had been a little more bureaucratically savvy he would have seen how to turn the thing into a teachable moment. He just played the same approach that worked in the past, thinking once again it would be 'working toward profitability' in the smaller details. It really, really did not work.
So in effect you have no idea why he left!
JPS1So in effect you have no idea why he left!
Overmod JPS1 So in effect you have no idea why he left! Not exactly; just more than you.
Not exactly; just more than you.
Since you don't know anything about me, how could you know what I know?
Unless you were in the board room when Anderson's departure was agreed to by the Board of Directors, you have no idea why he departed.
JPS1A commercial/customer focused business is one that provides a service that customers are willing to pay for.
You have watered down the term "customer focus" to meaninglessness. It's like when a busines announces a cut in service, the notice often starts with "In order to serve you better..."
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Since a posting was deleted, the personal argument should be ended completely, but Anderson's competence to be Amtrak CEO was questioned here even before he assumed the job and seems to me to still be something to discuss.
daveklepper Amnderson's competence to be Amtrak CEO was questioned here even before he assumed the job and seems to me to still be something to discuss.
Not by me, I think he made a few initial mistakes but overall his tenure was very positive and for once we had someone in the CEO position of Amtrak that thought like a businessman instead of a railroader. In my view Amtrak needs more of that if it is to reduce costs further and reduce the taxpayer waste. I think for example the effort to demonstrate to Congress that they cannot get the level of service everyone wants to see on LD trains with just wishful thinking. That Congress actually has to appropriate more money was a refreshing change from the past CEO's who would all attempt to make due with what they were given.
Also Anderson's approach on the Southwest Limited was pure genius in my view, look at all those poor plains states he got to cough up more money to support the train and thus removed tens of millions in support costs from Amtrak books. His solution did look stupid but I don't think he was ever serious about implementing it but rather was using it as a hammer to get the states along the route to act with financial contributions. It worked.
Likewise the elimination of everyone in the dining car down to one attendent I think was a smart move. I think the microwave meals that suck was a bad move he should have really implemented a better microwaveable or convection oven product there (so that was a slip up). I think if he can figure out a way to eliminate checked baggage or convert it to a red cap service somehow, it will be even more costs removed from train operations and then drop the baggage cars, possibly have them converted to coaches or baggage dorms (combines).
Andersons ability to use the dining car and lounge car to differentiate more between the Coach Class and Sleeping Car Class passengers was a smart initial move that would support a potential substantial price increase for sleeping car space later. To me it looked like he was starting to position Amtrak for more market differention between coach and first class on the LD trains probably with the intent to do a lot more there in the future once he had the money.
Unfortunate he is not sticking around longer and hopefully, Flynn has Andersons ability to obtain more funding or reduce costs from various areas as Anderson did.
Overmod He left early, he left fast,
He left early, he left fast,
Except he hasn't left.
a-sully-moment-for-amtraks-anderson
"Anderson, who for three years has voluntarily worked without an Amtrak paycheck, will remain through year-end as an adviser to incoming CEO William J. Flynn"
That's certainly a long way more sensible than the stories that have been provided, with details missing from most of the coverage I've read.
Also, indirectly, it proves JPS1's point, doesn't it?
Incidentally, the story quoted (which does not appear to have an 'ax to grind') appears to indicate the right kind of concern for his people, something that has often been absent from discussions of Anderson's style here and on other railfan-oriented boards and forums.
MidlandMikeIt's like when a busines announces a cut in service, the notice often starts with "In order to serve you better...
I've noticed this countless times.
Well said.
Refer to my 18-month old letter just reposted on "Are LD trains worth riding..." thread.
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