H O W T O M O R R O W M O V E S

Transcription

1 HOW TOMORROW MOVES

2 DEFINING THE HIGHLY AUTOMATED RAILROAD A.J. Erdman Director Project Controls 21 March 2017

3 WHO WE ARE Vision To be the safest, most progressive North American railroad, relentless in the pursuit of customer and employee excellence. Purpose To capitalize on the efficiency of rail transportation to serve America. Core Values It starts with the customer People make the difference Safety is a way of life Fact based Right results, right way

4 CSX BY THE NUMBERS Operates in 23 states, the District of Columbia and two Canadian provinces 21,000-mile rail network 36 major classification yards and terminals 240 Short Line partners 70 ocean, river and lake ports

5 RAIL IS VITAL TO AMERICA S ECONOMY PRODUCTIVE World s safest, most productive freight transportation system in the world EFFICIENT A single train can carry the load of more than 280 trucks VITAL Overall rail volumes have doubled since 1980 RESPONSIBLE Railroads have invested over $460 billion in their plant and infrastructure in the past 30 years SUSTAINABLE A 10% shift of freight from truck to rail yields fuel savings approaching 1 billion gallons per year

6 CSX ENGINEERING MISSION STATEMENT Provide safe and reliable infrastructure to optimize customer service, enable growth, and ensure public and employee safety while capitalizing on the efficiency of rail transportation to serve America. We accomplish this mission by: Systematic inspection Focused capital replacement Government and industry partnered construction Timely quality repair $1.8B in capital and operating expense annually

7 CSX ENGINEERING BY THE NUMBERS

8 6 UNIQUE PROJECT TYPES Communications and Signals Train Control systems (signals and switches) Positive Train Control - PTC Federal Mandate for Train Safety Design and Construction Track structure and Capacity Public Projects Outside Party/Government RR crossing Structures Bridges and Tunnels Facilities Buildings and Yard infrastructure

9 THE ISSUES WE FACED Scope increase Significant increase scope for Signals group due to PTC regulation Significant increase in capacity projects due to increased market demand Culture No enterprise PMO or Project Controls Organization Standardization present but limited to individual engineering groups Limited definition of project management processes and KPIs Limited visibility to shared resources across lines of business Limited collaboration between organizations

10 THE ISSUES WE FACED Tools and Software Disparate systems used for project management 15 year old incumbent system $2M annual maintenance Difficult to upgrade or integrate Others reluctant to join Wide usage of spreadsheets & legacy systems Mainframe use is still ongoing Limited mobile capabilities

11 PROJECT CONTROLS CHALLENGES Re-tool Engineering Department Project Management Must handle 6 project types Idea to Closeout Enable Enterprise level information sharing and reporting Reduce dependency on silo PM tools Drive PM and Data Standards Establish Engineering level WBS and CBS Align processes where it makes sense Enhance project visibility and coordination opportunity Provide enhanced Capital Planning capabilities Ideas with OOM Estimates Projects with Detail Estimates (Class 1 and 2)

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14 UNIFIER CENTRAL HUB FOR PROJECTS Unifier has 28 Integrations with Critical Business Systems Application Outbound Inbound Oracle Financials (EBS) 6 9 Enterprise Plans Management 1 Maximo PMT 1 1 Web Portal (Project Ideas) 1 RailDOCS (Legacy PM System) 3 Geographic Info System (GIS) 2 Burco (Material Inventory) 4

15 UNIFIER 5 LEVEL HIERARCHY

16 UNIFIER PROJECT SHELL

17 UNIFIER BUSINESS PROCESSES (BP) - 56 SCOPE MONEY PROCESS TIME REFERENCE Create Project Accounting Budget Codes Action Items Construction Labor Tracking AIS Plans Estimates Budgets Agency Agreements Construction Notes CBS Reference Project Ideas Budget Changes Bill of Materials Construction Notice to Proceed Company Agency Project Requests Cost Summary Changes Log Project Summary Report Item Master Service Agreement Material Container EBS Status Contacts Changes Shipments Milepost Database Service Agreement Payments Estimate At Completion Deliverable Register Project Closeout Milepost Range(s) Service Agreements Labor Costs Design Register Risks Notification Log Sub Project Request Other Costs Detailed Engineering Project Completion Notification Submittal Purchase Order Invoices Discrepancy Report Project Contacts Purchase Orders Issues Project Notes Requisition Bill of Materials Location Construction Labor Location PSR Project Status Survey Register Location Software Vendors Locations

18 COST-OS - ESTIMATING OOM/Detail Estimates for all 6 Engineering project types Direct integration to Unifier for Estimate BP, Locations, BP and BOM BP

19 P6 PROJECT SCHEDULING Supporting schedules for Engineering Detailed Project Schedules Capital/Portfolio Planning Cost-OS integration Receive OOM estimates for planning pipeline Receive Detail Estimates for project schedule Two-Way integration with Unifier Planned integration with Unifier via Gateway or ibroker

20 EBS (ORACLE FINANCIALS) Direct integration with Unifier Financials Budgets Budget changes Actuals to Cost Sheet Purchasing Service Agreements Service Agreement Changes Service Agreement Payments (submit invoice via Unifier) Requisition Bill of Materials Purchase Orders

21 OTHER SYSTEMS IBM Maximo EAM Enterprise Asset and Configuration Management Integrations allow PMs to view existing asset during design phase IBM Maximo PMT Progress Measurement Tool Receives construction scope/work package from Unifier Package used as baseline for daily task management Construction Progress reported back to Unifier via integration GIS ESRI DB Integrations allow for project location lookup and location validation EPM Enterprise Plans Management CSX homegrown tool Provides rail specific needs for design plan handling Direct integration with Unifier for plans status and plans access

22 LESSONS LEARNED Is your organization ready? Change leadership - Executive support is critical Cultural acceptance Business willing to change or even compromise Find and groom your internal champions How well do you REALLY know your business? Project lifecycle Process maps Current applications/methods used Financials Budgets, Actuals. How are they used? WBS/CBS Design Help the business keep it simple (it s better for everyone)

23 IMPROVING BUSINESS VALUE Information sharing and project visibility across Engineering Significant coordination opportunity for resources Analytics and dashboards possible due to standardization Measurable analysis between estimates and project financial performance Results in better estimates and improves planning/cash flow Consolidation of similar functions across groups Automation of many manual processes via Unifier workflow Reduction of charge/coding errors on actuals (EBS) Huge opportunity to analyze project data and seek improvements

24 WHAT S NEXT FOR CSX? Unifier build - Phase 2 ( ) Design and Construction (D&C) - Capacity Structures Bridges and Tunnels Cost-OS build - Phase 2 ( ) Class 1 and 2 Estimates for D&C, Structures and Facilities Class 3,4 and 5 Estimates for Signal based projects Additional integrations of GIS/EAM data to Cost-OS and Unifier (2017) Facilitates Project kick-off data with in-service data Updates in-service assets with project completion data Additional BI Publisher development (2017) Primavera Analytics development (2018)

25 Questions?

26 HOW TOMORROW MOVES

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