Have Railroaders Gone Too Far?
Yellow train sitting on the tracks.
If you’ve been dealing with railroad delays and supply chain issues, you’re not the only one. While consumers and business owners dealt with delays over the past several months, it seems railroads were doing better than most people thought. The main concern with railroaders appears they are making more money while conducting lean operations. This issue leaves us wondering if railroaders are contributing to the cause of supply chain issues.
What Is the Current Railroad Issue?
While there are several issues surrounding railroad shipping methods, the main issue is precision scheduled railroading (PSR). PSR is helping railroads increase profits while operating very leanly. This also means they don’t have enough staff or resources to run their operations properly and deliver on time. Although this streamlining process seemed beneficial in the beginning, experts don’t see any value right now.
While PSR looks differently within each railroad system, the general idea should provide reliability and consistent service for customers. Instead of waiting for long cars, freight rail services keep cars moving for transportation. The idea should promote efficiency by streamlining freight shipping efforts. However, railroaders now realize it’s more delays and, therefore, frustrated customers.
Have Railroaders Gone Too Far?
The good news is that railroaders are seeing the negative side of PSR. What they intended for streamlining purposes has caused a major flaw in the system. The intention of PSR is to keep cars moving at all times. However, this does not always happen because there is not always a need for cars. While railroads want to increase volume and efficiency, PSR is not the best course of action. Now, many railroads across the country are working to ensure they have the staff and resources in place to meet their customers’ needs in the new year. Although the Pandemic and worker shortages contributed to the railroad issue, PSR plans were happening before the Pandemic began. Now, railroaders are focusing more on operating ratios rather than PSR. They hope by focusing on the balance of expenses and revenue, they will boost operations again. Experts suggest railroad management should focus more on operating ratios if they want to keep employment and revenue. Although railroaders went too far with implementing PSR and causing customer frustration, they are working hard to correct the mistake.
What Does This Mean For My Business?
Over the past several years, many industries saw an issue with relying on railroad transportation. Farmers noticed an issue with PSR when cars of food rotted after remaining in transit for several weeks. Grain and oil industries experienced similar issues when their products arrived too late. Many companies doubt the railroads will increase productivity and consistency in the new year, causing other businesses to consider alternate means of shipping.
If you operate a business that ships products domestically or internationally, you may experience railroad issues as well. However, partnering with an experienced company who handles time critical shipping logistics can save you time and prevent stress in your business operations.
Let Trifecta Transport Help
Trifecta Transport partners with thousands of businesses and helps them manage their shipping needs. We are an all-in-one-source for shipping logistics that can help businesses navigate shipping issues and guide them in better operations. We work with many companies to find the best rates and schedules for our customers. Our experienced team also provided support to help them navigate issues so they can save time and money.
Contact Our Team Today
Are you looking for an experienced team who can help you navigate shipping logistics in your business? Contact Trifecta Transport today and let us know how we can help you.
