rail transportation of finished vehicles - aar
TRANSCRIPT
RAIL TRANSPORTATION OF FINISHED VEHICLES
AAR DP & FC CONFERENCE
JUNE 2013
Industry Committees
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MPEC AILSC
SEFCC
VEQ TIPT MUAR Reload
Railroad/OEM Committee Structure
MULTI-LEVEL POOLING EXECUTIVE COMMITTEE - MPEC
The Multi-Level Pooling Executive Committee is accountable for managing an efficient/time-responsive forum for resolving automotive industry transportation and distribution requirements.
AUTOMOTIVE INDUSTRY LOGISTICS STEERING COMMITTEE - AILSC
The Automotive Industry Logistics Steering Committee comprised of auto manufactures that transport motor vehicles by rail and focus on resolving automotive industry transportation and distribution concerns.
SPECIAL EQUIPPED FREIGHT CAR COMMITTEE - SEFCC
The Special Equipped Freight Car Committee is made up of Railroad mechanical representatives charged with developing and maintaining specifications and standards of specially equipped rolling stock including multi-levels.
VEHICLE AND EQUIPMENT QUALITY TASKFORCE - VEQ
The Vehicle and Equipment Quality Task Force is responsible for the prevention and elimination of rail related damages to motor vehicles and improving equipment cycle time.
RELOAD STEERING COMMITTEE
Reload Steering Committee - Distribute empty multilevel equipment in order to achieve greater efficiency consistent with equitable treatment of participating railroads, satisfy customer and public needs, and minimize unproductive empty time, car mileage, and unproductive fleet investment.
Demand will be satisfied in a manner that achieves optimal railcar utilization consistent with equitable treatment of participating railroads and shippers.
Distribute multi-level cars to meet shippers’ loading requirements.
TRANSIT IMPROVEMENT PROCESS TEAM - TIPT
Create/Optimize Capacity Improve Multilevel Velocity Loaded Transit and Queue Empty Transit and Queue Accelerate Bad Order Repairs Mutual Accountability / Shippers and Rail Service Providers
MEXICO U.S. AUTOMOTIVE RAIL TASK FORCE - MUAR
Continuously improve the automotive rail process for Mexico related shipments to drive timely and damage free transportation of finished vehicles while facilitating the supply of empty multi-levels & railroad infrastructure to support Mexico demand.
Vehicle & Equipment Quality Task Force
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MISSION The VEQ is responsible for the elimination of rail related damage to motor vehicles and improving equipment cycle time.
Provide rail industry and auto manufacturers a forum to effectively discuss quality & safety issues surrounding the rail shipment of finished vehicles
Establish railcar requirements Establish vehicle securement system requirements Establish & monitor damage reduction initiatives Support technology for monitoring in-transit performance Initiate corrective action on high-damage corridors
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MAJOR ACTIVITIES
Explore equipment bad order cycle time improvement opportunities
Oversee AAR Quality Review audits at origin and destination facilities
Oversee testing of rail equipment requirements, including securement systems, paint contamination, ride quality, end doors, and cushioning
Produce quarterly industry vehicle damage statistics
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KEY METRICS Rolling 12 Month Damage Free Frequency is
consistently greater than 99.6% Audit Scores – Through Q1 2013
Origin 97.30% vs. 96% goal Destination 98.17% vs. 97% goal
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VEQ Technical Advisory Groups (TAG)
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LOW-PROFILE CHOCK IMPLEMENTATION
Joint TAG with SEFCC Measured the 8 critical zones on 123 different vehicles Measured all conditionally approved chocks
o Recommendation to SEFCC - sunset SCT co-polymer and clones Chocks 5.75 inches and greater 35.5% of fleet (approx. 5000 rail cars)
Recommendations on low pro chock definition and specifications due at next VEQ o Template of measurements to qualify as low-pro o Exploring changes to M990 with respect to overall chock height under load
Developing implementation plan
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JUMPED CHOCK INITIATIVES Develop data collection plan to enable shared chock
jump data for root cause and trend analysis Manufacturers donation of new model test vehicles Develop Comprehensive Plan for Testing at TTCI –
modify S810 Higher impact speeds and anvil weights – SEFCC approved Add VTU requirement – SEFCC approved Testing with new donated vehicles Filling all decks on multi-level during testing Real world chock application versus perfect test environment
application
Training on application and use of new chocks
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CAREFUL CAR HANDLING
17 multi-levels Lat-Lon equipped to measure ride quality
917,938 Miles logged 2G: Events = (0.009%) 1.5G: Events (0.046%) No Chock Jumps Reported on Monitored Multi-Levels
Exploring options to correlate damage data with impacts, if any
Data can be used to determine proper load limiter strap strength on chocks
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CYCLE TIME IMPROVEMENT OPPORTUNITIES
Pre-Trip Facilities Mapped 78 existing facilities and capabilities MAP Need to define level 1 - 3 capabilities Look at expanding current capabilities Look at TTX ability to distribute targeted multi-levels to closest
appropriate pre-trip facility
Multi-level Rust Acceptance Standard Establish a list of approved locations for scraping, painting and
inverted channel repair Cost of any work done will be car owner responsibility Combine with pre-trip facility map and capabilities Analyze for expansion
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VEQ UPDATE - AILSC
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Mike Nelson Toyota Logistics Services, Inc.
National Manager – Rail Strategy & Operations
AILSC Automotive Industry Logistics Steering Committee
A collaborative effort by the Automotive Industry OEM’s in the U.S. to improve the final delivery process of finished vehicles.
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AILSC
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Executive Committee (EC)
Chairman
Steve Tripp Chrysler
Mexico-U.S. Rail
Task Force (MUAR)
Chairman
Brian Burkhart General Motors
Reload Steering
Committee (Reload)
Chairman
Larry Strug Subaru
Vehicle & Equipment Quality Task Force
(VEQ)
Chairman Mike Nelson
Toyota
Vehicle Highway Transport Task Force
(VHTTF)
Chairman BJ Alicandro
Chrysler
Ken Fletcher Executive Director
Bob Weinbaum Legal Counsel
Transit Improvement
Process Team (TIPT)
Bill Mikkeksen
Ford
AUTOMOTIVE RAIL NETWORK – CIRCA 1960
Long Beach San Diego
Mexico
Portland
Denver Kansas City
Houston
Chicago
Canada
Dallas/Ft Worth
Seattle
San Francisco
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NA AUTOMOTIVE RAIL NETWORK - 2013
Long Beach San Diego
Portland
Denver Kansas City
Houston
Chicago
Canada
Dallas/Ft Worth
Seattle
San Francisco
Vancouver Winnipeg
Montreal
Mexico
Halifax
Newark
Baltimore
Jacksonville
New York Boston
Miami
Toronto
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AUTOMOTIVE SHARED FLEET
• Managed by TTX • Specialized Multilevel rail cars
• Bi-level – Pickups / SUV’s • Tri-level – Cars
• Approximately 50,000 Multi-levels in fleet • Fleet sizing by individual OEM based on shipping
forecasts • Automotive fleet “Key Performance Indicators”
• Transit on time performance • Quality – Damage incurred while in rail transit
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THEN TO NOW!!
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SHIPPER RESPONSIBILITY
OEM Involvement in Solution • Accurate TTX Forecasting
•Annual “Strategic” Forecast – HQ (2 years out) •2 week “Tactical” Forecast – Field Ops
• Proper blocking at load out • Improved communication
•Holds •Launches •Special requirements
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AILSC & VEQ Key Initiatives – Damage Prevention & Quality Establish rust standards for multi-levels Reduce “bad order” down time Support field repair vs home shop repairs Mexico production growth Contribute to railcar cycle time improvement Encourage flexibility in railcar design
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DAMAGE DURING PEAK VOLUME CYCLES
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12/31/2012
AUTOMOTIVE MULTI-LEVEL
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QUESTIONS?
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