A five-step playbook to help railroads realize the benefits of network optimization and automation
Freight railroads, by their very nature, are systems of interconnected assets. A typical class 1 railroad operates over 1,000 trains per day using thousands of locomotives, moves millions of carloads per year, and utilizes thousands of employees – all across a track network that spans tens of thousands of miles. Because of the immense scale and the limits of human capacity to comprehend the network implications of decisions made out of millions of possible options, decisions made by individual dispatchers for their territories may result in sub-optimal performance at the network level. In short, what is good for one territory may have cascading negative impacts on other territories.
Precision-scheduled railroading (PSR) has enabled great financial success at North American railroads. While individual railroads implemented elements of PSR uniquely, they generally all shared a common strategy to optimize key assets and maintain a strict operating plan. The result: improved operating efficiency.
So, what is next? How do railroads build on the success of PSR? The answer lies in the network. There is a compelling opportunity to be realized by rethinking how to operate the network for optimum performance, maximize asset utilization, and drive growth – to take precision scheduled railroading to the next level.