September 14, 2018 TEGMA. How We Resource the Railroad for Reliability. Grant Janke AVP Network & Capital Planning

Transcription

1 September 14, 2018 TEGMA How We Resource the Railroad for Reliability Grant Janke AVP Network & Capital Planning 1

2 We are an Assembly Line Pull and spot, classify, and transport cars Products: Intermodal, Manifest, Bulk (A) Customer / Serving Yard (B) Terminal (B) Terminal (B) Terminal (A) Customer / Serving Yard (C) Line of road (C) Line of road 2

3 5 Critical Resources Enable Production Shared & Interconnected Main Lines Workforce Terminals Locomotives Freight Cars 3

4 5 Critical Resources Long lead time required to place resources (Lead time for expansion shown in Italic) Main Lines months Workforce 6 9 months Terminals months Locomotives 12 months Freight Cars 12 months 4

5 Business Planning Process Have the right resources, in the right place, at the right time Bi-annual process Cross departmental exercise Foundation for transportation and resource plans Business Planning Process 5

6 Market Forecast How is the carload forecast developed? Seasonality Drivers SAS Forecasting Trends Forecast Process Statistically based modeling Economic indicators Supplemented by market intelligence Trends & seasonal patterns Annual process initiated in August Prophecy Regions 6

7 T-Plan Modeling Converts cars to trains Utilizes Multirail software Flows market forecast across network Places cars on trains Incorporates empty cars flows Line of road Terminals Compares base period to forecast Multirail Screen Shot 7

8 Resources: Crews Right location, right craft, right time Support ~3,700 starts per day One start equals four TE&Y professionals Location specific, by labor agreement Seasonality swings demand by 1,000+ people over the course of the year Crew Planning Process 8

9 Resources: Crews Hiring plan developed via modeling, supported by process Key drivers: 1 st starts Attrition Efficiency Training capability Hiring plan phased to meet demand, by hub Seasonality Track renewal Training capability Accounts for surge capability AWTS, cutback engineers, borrow out supply, and low miles Crew Planning Process 9

10 Resources: Locomotives Share asset across the Network High Horse Power 7,300 active units 22 System locomotive shops ~4,500 mechanical locomotive employees Low Horse Power 10

11 Resources: Locomotives Demand based on gross ton miles Mathematically derived Key drivers Utilization (velocity / dwell) Reliability Business mix Horsepower per Train: Grade, performance, tonnage Forecasts: Weekly, annual, long-term Accounts for surge capability Locomotive Planning Process GTM s from Marketing By Month & Train Type Locomotive Productivity Active Fleet Size Review Plan Takeouts by model Acquisitions Asset Team Review Executive Asset Team 11

12 Resources: Terminals Tools Analytical / Deterministic model (MIT base model) History (parametrics) Hump Yard Cars / Day 1,600 1,500 1,400 1,300 Classification Yard Ft. Yard Worth Throughput Yard Throughput Capacity Performance High 100% Performance Analytical Capacity Actual Throughput 90% 80% Low 70% Inputs Track-feet of major components Fluid utilization rate Processing rates Train Plan / Peaking Maintenance Classification Departure Receiving 1,200 60% Informs 1,100 50% Improvement initiatives 1, % Investments 12

13 Resources: Line of Road Single Track Siding Tools Analytical / Deterministic model Simulation (RTC industry standard) Inputs Distance between sidings Speed, Product mix Peaking, Maintenance Recoverability Siding length Simulation Single Track Mainline Informs Maintenance scheduling Variability reduction initiatives Train and schedule design Investment project design and priority 13

14 Resources: Freight Cars / Inventory Velocity vs. Operating Inventory Fixed infrastructure network Performance is impacted by inventory Critical that we work together for the good of all Operating Inventory Velocity (MPH) 14

15 Resourcing the Railroad Have the right resources, in the right place, at the right time Driven by market forecast Informs need for five critical resources Based on analytics, supported by process Cross departmental exercise Ongoing communication is critical Business Planning Process 15