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February 15, 2010. Norfolk Southern Corporation. Georgia Tech Global Logistics Scholars. Agenda. Overview of Rail Industry Norfolk Southern Systems Network Conclusion. Dustin Schneider. Education B.S. in Logistics and Transportation from the University of Tennessee

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february 15 2010
February 15, 2010

Norfolk Southern Corporation

Georgia Tech Global Logistics Scholars

agenda

Agenda

  • Overview of Rail Industry
  • Norfolk Southern
    • Systems
    • Network
  • Conclusion
dustin schneider

Dustin Schneider

  • Education
    • B.S. in Logistics and Transportation from the University of Tennessee
    • M.S. in International Logistics (EMIL) from The Georgia Institute of Technology (in Progress)
  • Career
    • Dow Chemical – Transportation Department
    • Norfolk Southern
      • Trainmaster
      • Process Improvement
      • Transportation Planning – Train Scheduling, Car Blocking and Classification, Shipment Scheduling and Monitoring
railroad industry

Railroad Industry

  • Rail industry is highly interdependent
  • Rail industry is international
    • CN operates from Montreal to New Orleans
    • KCS operates from Kansas City to Mexico City
  • Rail Industry is represented by AAR (American Association of Railroads)
warren buffett

Warren Buffett

  • "The nation's future prosperity depends on having a well-maintained rail network that keeps the American economy moving.”
  • He said Berkshire's $34 billion investment in BNSF is "a huge bet on that company, CEO Matt Rose and his team, and the railroad industry."
  • “Railroads have become far more efficient over the years. There were a million and a half people employed in the rail industry after World War II. Now there are about— less than 200,000 in the United States, and they’re moving far more goods. So it’s really become efficient.”
statistics

Statistics

Source: AAR (American Association of Railroads)

blocking and classification

Blocking and Classification

MACONP

CHATTP

CINTIP

classification yard

Classification Yard

Hump

Receiving Yard

Classification Yard

Forwarding Yard

Mechanical

outbound train chattanooga

Outbound Train - Chattanooga

CT01 - DCATRP

CT02 - FRNFTP

CT03 - ROMEP

CT04 - CONWAP

CT05 - DETP

CT06 – CLEVELP

CT07 - CSXT

CT08 - CINTIP

CT09 - LOUIVLP

CINTIP

ENGINES

DCATRP

FRNFTP

blocking and classification2

Blocking and Classification

  • Identify Feasible Blocks
  • Distance Cost
  • Link Adjustment Factor
  • Block Type Adjustment Factor (Priority)
  • Block Adjustment Factor
  • Yard Type Cost
  • Class Yard Adjustment Factor
blocking and classification3

Blocking and Classification

  • Minimizes relative distance and handlings
  • Tactical vs. strategic
train scheduling1

Train Scheduling

  • Considerations
    • Customer and service requirements
      • Time
      • Distance
    • Congestion
    • Minimize resource usage – manpower, locomotives, track configuration, dwell time, etc.
  • Tactical vs. strategic
shipment planning and monitoring1

Shipment Planning and Monitoring

  • Automated re-trip process
  • Provide ETA’s
    • Website
    • EDI – Steamship Lines, Other Railroads, Etc.
  • Monitor – Customer Service Center
  • Shipment ETA Accuracy is key corporate metric
shipment eta accuracy

Shipment ETA Accuracy

  • Measures proper execution of operating plan
    • Local pickup and delivery
    • Train performance
    • Connections
  • Shipment consistency and transit time become product of operating plan was operational discipline is established
shipment planning intermodal

Shipment Planning - Intermodal

  • Current
    • Train Arrival
    • Grounding
  • In Development
    • Place to Ramp (PLRM)
    • Pull from Ramp (PURM)
shipment planning intermodal1

Shipment Planning - Intermodal

  • Why is Place to Ramp Important?

This is the point at which transportation turns car over to intermodal operations

  • What needs to be done?
    • Develop scheduled placement to and pull from ramp times
    • Develop placement event reporting
    • Develop metric to compare the two
yard inventory management

Yard Inventory Management

  • Train Arrival – Report inventory into a yard
  • Train Departure – Report inventory out of a yard
  • Track Move – Report movement of cars within a yard
  • Interchanges – Report movement of cars to or from another carrier
  • Industry – Report pull or placement of cars at a customer’s facility
train control system

Train Control System

  • New generation system necessitated by security risks
  • System wide dispatching system with disaster recovery capability
  • Movement Planner optimizes train movements based on business objectives and real time events
intermodal inventory management

Intermodal Inventory Management

  • Transportation systems for all traffic
    • Blocking and classification
    • Train scheduling
    • Yard inventory management
    • Train control
  • Intermodal specific applications
    • Intermodal equipment (trailer, container, chassis, etc.
    • Shipment planning and monitoring
slide37

PanAm Southern

Corridor

Mechanicville

Ayer

Detroit

Bethlehem

Chicago

NY/NJ

Harrisburg

Philadelphia

Columbus

Decatur

Heartland

Corridor

Cincinnati

St Louis

Lynchburg

Pritchard

Roanoke

MidAmerica

Corridor

Norfolk

Fulton

Charlotte

Corinth

Memphis

Birmingham

Atlanta

Crescent Corridor

Shreveport

Meridian

Meridian Speedway

Jacksonville

New Orleans

Titusville

Titusville

meridian speedway

Meridian Speedway

Lathrop

Chicago

Memphis

Atlanta

Shreveport

Previous Routes

New Route

Los Angeles

slide39

Chicago

Norfolk

Los Angeles

Shreveport

Previous Routes

New Route

Meridian Speedway

heartland corridor route
Heartland Corridor Route

Heartland Corridor Route

Norfolk Southern

Intermodal Network

  • Reduce Transit to Chicago by 1 Day
  • Will Shave Approx. 225 Route Miles Off Each Container Move to Chicago
  • Greater Efficiencies

NS Intermodal Network

Terminals

Current DS Route

Secondary DS Route

Current Single Stack Route

Port-Heartland High Speed Doublestack Corridor

project overview

Project Overview

  • 30 Tunnels ( 4-VA, 2-KY, 24 WV)
    • 26 Completed
    • 8 Through Truss Modifications – All Completed
    • 3 Overhead Bridges – 1 remaining
three phases of tunnel work

Three Phases of Tunnel Work

  • Phase I: October 2007 – May 2009
  • Phase II: August 2008 – March 2010
  • Phase III: July 2009 – July 2010
slide43

Virginia Division Map

Pembroke Tunnel

Eggleston #1 Tunnel

Eggleston #2 Tunnel

Phase 1

Cowan Tunnel

slide44

Pocahontas Division Map

WV

Hemphill #2 Tunnel

Big Sandy Tunnel #7

Antler #1 Tunnel

Big Sandy Tunnel #4

Hemphill #1 Tunnel

Antler #2 Tunnel

Twin Branch #1 Tunnel

Welch Tunnel

Big Sandy Tunnel #3

Twin Branch #2 Tunnel

Big Sandy Tunnel #2

Huger Tunnel WB

Vaughn Tunnel

Big Sandy Tunnel #1

Huger Tunnel EB

Williamson Tunnel

Big Four #2 Tunnel

Hatfield Main 2 Tunnel

Hatfield Main 1 Tunnel

Big Four #1 Tunnel

KY

Glen Alum Tunnel

Phase 1

Cooper Tunnel

Gordon Tunnel

Phase 2

West Vivian Tunnel

VA

Phase 3

Laurel Tunnel

Roderfield Tunnel

slide46

Crescent Corridor

Riverton

Major Terminal Investments

greencastle pa

Greencastle, PA

  • Encompasses roughly 209 total acres
  • Purchase Price- Approx. $20M
  • Final closing in June 2010
mccalla birmingham al

McCalla – Birmingham, AL

  • Encompasses over 311 acres
  • Purchase price – Approx. $12M
  • All acquisitions closed by mid December 2009
rossville tn
Encompasses almost 949 total acres

Purchase price- Approx. $14.5M

Acquisitions closed December 30, 2009

Rossville, TN

transportation speed 29 hour goal memphis to harrisburg

Transportation – Speed29 Hour Goal - Memphis to Harrisburg

  • Eliminate speed restrictions in cities and other areas
  • Upgrading signal systems - 60 mph instead of 40 or 50 mph.
  • Modifying track geometry- faster speeds around curves
  • Evaluate faster speeds for intermodal trains around curves – top of rail lubrication
  • Improve interlockings and connections
  • Motive power review
  • Cars with ECP brakes
ns international volume flows

NS International Traffic with an East Coast Focus

2006: 42%

2007: 49%

2008: 55%

2009: 60%

NS International Traffic with a West Coast Focus

2006: 58%

2007: 51%

2008: 45%

2009: 40%

NS International Volume Flows

slide53

Austell

IN-GATE

Office

OUT-GATE

Parking Lot

Parking Lot

Loading/Unloading

Loading/Unloading

whitaker yard

Whitaker Yard

  • Intermodal terminal in Austell, GA
  • Situated on 450 acres and with convenient access to Interstate 20
  • 20,000 feet of unloading tracks
  • 26,000 feet of support tracks
  • 3,000 parking spots for 53-foot trailers
  • 450 spaces for container stacking
  • 10 inbound/outbound lanes for trucks.
whitaker yard1

Whitaker Yard

  • Performance Metrics
  • Safety and Security
  • Technology
  • Constraints
  • Growth