Diagnostic for world-class railroad maintenance

Today, rail freight accounts for 14% of the nation’s freight tonnage, and by 2035, demand is projected to increase 69%. Demand for rail freight has already begun to exceed capacity, raising red flags about constrained capacity limiting revenue growth.

The most viable alternative for increasing capacity of existing lines is for railroads to adopt a world-class maintenance program. A.T. Kearney has developed a comprehensive framework for assessing railroad maintenance organizations and identifying their strengths and weaknesses. The diagnostic is a key, first-step for senior leaders because it illustrates how far their organization has progressed toward a world-class maintenance program.

Railroad Maintenance: Stages of Excellence Diagnostic

The diagnostic is performed through a series of comprehensive interviews across the railroad’s organization. Based on the information, the diagnostic provides an analysis of key performance factors and a mapping against maintenance benchmarks across various dimensions. The topics in the diagnostic include:

  • Demand capture
  • Planning process
  • Maintenance execution
  • Work-order closeout
  • Leadership

Through the diagnostic, each dimension is classified into one of five stages of excellence. The diagnostic also identifies specific development opportunities for process improvement and change management programs tailored to individual needs.

A.T. Kearney’s Stages of Excellence Diagnostic has been conducted by leading U.S. railroads, oil companies, and companies in other industries with linear assets, to redefine their maintenance operations.

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John Hubach, A.T. Kearney partner
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Chris Matthews, A.T. Kearney principal
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