Unified Plan 2020 will launch Oct. 1 and will be rolled out in phases across the entire Union Pacific rail network, Union Pacific said. Resulting benefits are expected to help the railroad achieve its 60 percent operating ratio goal by 2020, on the way to achieving a 55 percent operating ratio.
“We are not currently meeting customer expectations,” said Lance Fritz, Union Pacific’s chairman, president and chief executive officer. “Unified Plan 2020 is our path forward to secure our place as the industry leader in safety, service and financial performance.”
Precision scheduled railroading is operational at other large North American railroads, driving improved service reliability for customers, increased operating efficiency and reduced network complexity, Union Pacific said. Key principles being incorporated into Unified Plan 2020 include:
• Shifting the focus of operations from moving trains to moving cars;
• Minimizing car dwell, car classification events and locomotive power requirements;
• Utilizing general-purpose trains by blending existing train services;
• And balancing train movements to improve the utilization of crews and rail assets.
The plan will first be implemented on Union Pacific’s eastern North/South corridor, creating more streamlined operations between Wisconsin and Texas. Further rollout will occur in phases, with initial implementation across the entire rail network expected by 2020, the railroad said.
Union Pacific will lay out Unified Plan 2020 in an investor conference call at 8 a.m. ET Wednesday. The call is accessible on Union Pacific’s website.