2. The Company Background
● One of the 4 largest railroad companies
● Manage the transportation to arrive and get back on time
● Competition: Concentrate more on Customer Services regarding to the Reporting System
● In 1995, Norfolk started using data warehouse
under the main purpose of customer service and cost data
● In 2002, Norfolk redesigned its operation
regarding to the Thoroughbred Operating Plan (TOP)
=> BI application allows customers to access their own
shipment details and records (11k users and 8k customers)
=>TOP attracts a lot of partners and supplier organization
& U.S government
3. NorFolk’s Decision Making
Regulated Industry
➔ Focused on efficiency
➔ Invested in a data warehouse
➔ Marketing and Cost departments pushed for
reports to be made
Unregulated Industry
➔ 1999 Managers invested in growth strategy and
acquired 58% of ConRail
➔ 2002 Thoroughbred Operating Plan (TOP)
managed inventory and route options
➔ TOP BI Application System was implemented
Competing on Services
➔ BI Application accessNS created
➔ Track 2012 leveraged BI across enterprise
➔ Currently investing in ERP System
4. The Result of Various Actions
Data warehouse:
> Help the Marketing and Cost Departments to understand:
How was NS serving its customers
What should Norfolk Southern charge its customers based on the
cost of moving goods from one point to another
Implementation of TOP:
> Reduction in rail car cycle time
> Millions of dollars of annual savings
> NS strengthened its ability to compete on service to its customers
BI application - AccessNS:
> User base grew to more than 11,000 users in 8,000 customer
organizations
> Deliver 4,500 reports daily
> Better customer service
5. What We Think of NorFolk’s “Management”
Positive Management, Best Practice has been followed
Internal / External Best Practices such as:
Organizing
Investment
Leading / Planning
Implementation of new tools
Resources:
Human resources
Technological resources
Natural resources
Financial resources
6. What We Think of NorFolk’s “Technology”
❖ Track 2012’s Strategy and applications:
1. Service → “Intermodal Operational Dashboard”
2. Managing Fuel Use → “Industrial Engineering”
3. Logistics → “Multilevel”
4. Car Distribution → “Empty”
5. Workforce Productivity → “Crew Call”
6. Human Resources → “Workforce Planning”
❖ Thoroughbred Operating Plan (TOP)
1. Maximize assets and time.
2. Allow to monitor performance and make
adjustments.
3. Information on real time about
shipments.
❖ accessNS
1. Allow customers to manipulate fields of
information to know about their reports.
2. Easy-use software.
3. Easy and quick tracking, improving
emergency responses.
4. Allow the customer service to focus on
improving services.
Positive Management,
The team feel that the Norfolk has been following best practices during the conduct of their project. Indeed, they have used availables resources efficiently and effectively in order to accomplish their objectives.
Internal / External best practices have been used by the company such as
- Organizing (Marketing and IT department have worked togheter for the reporting system)
- Investment (in growth strategy- conrail – double Norfolk size Transactional system and process)- BI application funded by Committee of Senior-level-Management
- LeadingPlanning / (Thoroughbred Operating Plan BI
Implementation of new tools ( to redesign their operations )
-
Proceeding to the deployment and manipulation of human resources, financial resources, technological resources and natural resources. Management is also an academic discipline, a social science which aims to study social organization.
Resources:
- Human resources
- Technological resources
- Natural resources
- Financial resources
So basically those are the reasons why we think that Norfolk has follows good management practices