Введение
Disruptions in logistics and transportation services can be a thorn in the side of any operation. Recently, CPKC has acknowledged service disruptions related to technology and is taking steps to remedy these issues by mid-July, tackling key challenges, and refining their operations to maintain their standing in the rail transport sector.Current Challenges Faced by CPKC
Since May 3, CPKC has been facing numerous disruptions in their network operations due to a transition in technology. This period saw an uptick in dwell times—that is, the amount of time cargo spent waiting at terminal yards—along with missed switches and a backlog of operations.The decision to consolidate CPKC’s IT systems following the merger of Canadian Pacific and Kansas City Southern in 2023 marked a key turning point. This merger was meant to enhance the railroad’s capabilities across its routes from Mexico to Canada. However, the implementation of new information technology systems faced stumbles, creating a perfect storm for operational delays.
Проблемы качества данных
One of the core issues identified is the data quality that drove the troubles CPKC is currently facing. The railroad faced difficulties in maintaining accurate inventories of rail cars and their precise locations. Problems were exacerbated by the interchange data for connections with other carriers, particularly at legacy-KCS sites where new processes had to be thoroughly reworked.In practice, this means that without accurately compiled data, work orders needed to process deliveries couldn’t be created effectively, leading to long queues in classification yards and customer facilities. Such bottlenecks translate directly into operational inefficiencies, like increased dwell times and delays in transporting customers’ goods.
CPKC’s Action Plan for Improvement
To combat the ongoing service disruptions, CPKC has announced a Service Action Plan that broadly focuses on two areas: updating inventory data and restoring fluidity within the network. The overarching goal is to ensure customers can reliably track and manage their shipments—essential for maintaining competitiveness in the logistics landscape.Implementing New Strategies
CPKC stated that they have launched an initiative to update their inventory data, allowing operating personnel to create waybills efficiently. These waybills outline all crucial shipment details, including origin and destination.SWAT-like Support Teams
Unique to this action plan are specialized cross-functional teams—akin to SWAT teams—dedicated to operational efficiency. These teams consist of experts across diverse fields such as operations, IT, and network support, and are dispatched to problem areas facing the brunt of service disruptions. Significant actions taken include:- Restoring missing car inventory data via site assessments for cars in yards and facilities.
- Collaborating with customers to ensure accurate billing for railcars and proper input of data.
- Providing training for operational staff on effectively using CPKC’s system tools to streamline workflows.
Network Fluidity Restoration
In terms of enhancing network fluidity, CPKC is also taking several or alternative routes for efficient operations. Notable measures include:- Rerouting cars to bypass Shreveport Yard, prioritizing the processing of backlogged items on the legacy-KCS network.
- Utilizing CPKC’s existing operational network to help organize railcar deliveries and pickups at customer facilities.
- Temporarily embargoing railcars destined for customer sites operating at capacity to ensure a more manageable flow of operations.
Future Considerations for CPKC
While CPKC remains cautious about predicting when full service levels will return—labeling it “too early” for firm forecasts—the railroad is aiming to have operations returned to normalcy by mid-July. Initial recovery efforts already display promising signs of improvement, indicating a path toward resolution.Additionally, the company has committed to transparency with the Surface Transportation Board (STB) by submitting weekly reports detailing recovery efforts and operational performance metrics for the duration of the service dilemmas.