In: Operations Management
what is the efficiency and effectiveness of Canadian Pacific Rail in terms of their supply chain and human resource management. explain in atleast 350 words?
About Canadian Pacific
Canadian Pacific is a transcontinental railway in Canada and the
United States with direct links to major ports on the west and east
coasts. CP provides North American customers a competitive rail
service with access to key markets in every corner of the globe. CP
is growing with its customers, offering a suite of freight
transportation services, logistics solutions and supply chain
expertise.
Efficiency and effectiveness of Canadian Pacific Rail in terms of their supply chain
Canadian Pacific is proud to report another record-setting month in the movement of Canadian grain and grain products. In April, CP moved a best-ever monthly total of 2.8 million metric tonnes (MMT) to market, bettering the previous record set in November 2019 by more than 100,000 metric tonnes (MT).
"CP's family of professional railroaders continues to deliver for our customers and the economy during this extremely challenging COVID-19 period," said Joan Hardy, Vice-President Sales and Marketing Grain and Fertilizers. "By working collaboratively with our customers from field to port, we have been able to find synergies and efficiencies to drive the grain supply chain forward. CP's service excellence and best-in-class team have enabled us to move more grain steadily throughout this crop year, with an impressive surge in April as the Port of Thunder Bay opened for the spring shipping season."
CP's performance in April comes on the heels of CP announcing that January, March and Q1 2020 also saw record movements. At 21.4 MMT of grain and grain products shipped crop year to date, CP has moved 51 percent of the grain and grain products originating by rail in Canada, 6 percent more grain this year than at the same point last year, and 8 percent more than the previous three-year average. Based on metrics generated by the grain shipping community, CP has moved 54 percent of the whole grains moved by rail from the Canadian prairies this crop year. CP foresees strong grain shipping for the remainder of the 2019-2020 crop year now that the Port of Thunder Bay has reopened and is operating at maximum capacity and efficiency.
"CP has been moving significant amounts of grain throughout the year and will continue to do so as farmers deliver the balance of last year's crop and begin planting for the 2020-2021 crop year," said Hardy "CP is proud to be working in lockstep with the entire supply chain in delivering for North Americans and beyond."
The supply chain advancements by CP and its customers are yielding significant productivity gains from field to rail to port. CP's investment in high-capacity hopper cars will see 5,900 new cars added to the railway's grain shipping fleet. CP's fleet of new grain cars, now at more than 2,500, is adding more than 1.1 tonnes of extra grain per railcar compared to the same period last year. The new hopper cars can carry 15 percent more volume and 10 percent more weight compared to the older cars they are replacing.
Canadian Pacific Railway (CP) and its shortline and regional railroad connections gathered during the weekend to discuss ways to move the North American supply chain forward.
The talks took place as part of CP Reconnect 2018 Short Line and Regional Railroad Conference, officials said.
“Our shortline and regional connections are integral to the business we do here at CP,” said John Brooks, CP’s senior vice president and chief marketing officer. “Reconnect 2018 was an excellent opportunity to touch base with these key stakeholders and help them understand CP’s vision, while also getting a better look into their own priorities and business goals. By sharing ideas and strategies we are able to generate innovative ways to serve new and existing markets together.”
Brooks was joined by his senior team including Joan Hardy, vice president sales and marketing, grain and fertilizers; Jonathan Wahba, vice president sales and marketing, intermodal and automotive; and Coby Bullard, vice president sales and marketing, merchandise and energy, chemicals and plastics.
CP said officials interacted with 39 shortline and regional partners who attended the event from throughout North America. Shortline and regional connections provide more than 10 percent of CP’s yearly carloads and contribute 14 percent of CP’s annual revenue across its network.
“It’s essential for shortlines like Iowa Northern Railroad to meet with Class 1 railroads to maintain a great working relationship. It benefits both networks,” said Dan Sabin, president of the Iowa Northern Railroad. “Thanks to this conference we were able to gain a better understanding of CP’s vision for its business, how we fit strategically into that plan and how we can help enhance the service we provide together. This helps keep our operations running smoothly and effectively.”
CP said attendees shared ideas that the company believes will enable the Class 1 and its customers to work on joint operations more efficiently.
“We look forward to ongoing collaboration as we put more strategic dots on the map and find win-win opportunities that move the transportation supply chain forward and help drive sustainable, profitable growth,” Brooks said.
Efficiency and effectiveness of Canadian Pacific Rail in terms of their human resource management
Diversity and inclusion at CP
Two thousand eighteen was a milestone year for CP by nearly every performance measure. We delivered record-setting results both financially and operationally, and continued to be a safety leader for the 13th consecutive year among Class 1 railroads, with the lowest Federal Railroad Administration reportable train accident frequency. Our people drove these achievements.
While we are moving in the right direction, we recognize the need to do more as an organization to achieve our desired diversity and inclusion outcomes. We are working on programs and opportunities to ensure we are attracting, retaining and developing the best people and skill sets for CP
In 2018, we further defined what diversity and inclusion means at CP and created a strategy focused on leader accountability, and fostered respect and inclusion at all levels of the organization. Working collaboratively with our employees, communities along our network and with partner organizations in Canada and the U.S., we continued to progress and support CP’s commitment towards a more representative and inclusive workplace. Initiatives included:
Engaging Their leaders
At CP, they follow the philosophy of leading by example. This work begins with those in positions of leadership. Support for their diversity and inclusion vision is woven into our corporate processes and fully endorsed by their executive team and Board of Directors. As of December 31, 2018, CP’s Board of Directors has six men and four women. As of July 15, 2019, CP’s Board consists of six men and five women.
According to CP,"We are a founding member of the Canadian Board Diversity Council, an organization dedicated to advancing diversity on Canadian boards, and a member of the 30% Club, a leading international organization focused on developing a diverse pool of talent for all businesses. Members of the 30% Club commit to better gender balance at all levels of their organizations".
CP’s executive team receives quarterly progress reports on the company’s efforts to increase diversity and inclusion in the workplace, while the Board receives these updates twice a year.
In December 2018, Andrew F. Reardon announced his retirement from CP’s Board as of May 7, 2019. Mr. Reardon was a board director since May 1, 2013, and Chair of the Board since July 20, 2015. Isabelle Courville, a Board director since 2013, became Chair of the Board May 7, 2019, making history as the first-ever woman at CP and the first-ever woman across all Class 1 freight railroads in North America to hold this position. Under Ms. Courville’s leadership, CP will continue to refine its diversity and inclusion strategies to better respond to the challenges of our changing workforce.
Employment equity in Canada and the U.S.
Canada
As a company that operates in Canada and the U.S., CP must comply with several regulatory requirements to ensure proper workforce representation of various groups identified under federal law.
In Canada, they not only meet, but strive to exceed the Employment Equity Act ‘s (EEA) requirements to attain a representative workforce that includes the four designated groups identified by the act: women, Aboriginal Peoples, visible minorities and persons with disabilities.
CP’s long-term employment equity goals are calculated in conjunction with the Canadian government’s Workplace Equity Information Management System (WEIMS). CP has continued to increase the percentage of women it employs in Canada over the last three years. We believe working with external organizations such as the League of Railway Women, and the formation of internal programs such as our CP Women’s Meet and Greet events, will assist in continuing this trend. To learn more about CP’s diversity and inclusion initiatives to support and celebrate women in the railway industry.
United States
In the U.S., CP’s representation goals are governed by the Equal Employment Opportunity Commission’s (EEOC) laws and regulations to attain a representative workforce that includes women, minorities, individuals with disabilities and protected veterans as the four designated groups identified under the law.
CP works in conjunction with the Office of Federal Contract Compliance Programs and EEOC regulations to establish yearly diversity representation goals.
In the U.S. diversity goals are determined yearly based on CP’s departmental hiring needs, workforce representation and the geographical area of recruitment CP is targeting to hire from, for a particular location.
In addition, diversity goals are only required for two of the four designated groups: women and minorities; and only in locations with 50 or more employees, where these groups are under-represented.
In 2018, they identified 11 locations on their U.S. network that under EEOC criteria required set diversity goals for women and minorities. We established targets to increase representation in all of these locations by year-end, resulting in:
A highlight from 2018 was the noticeable improvement in representation of protected veterans. CP’s Veterans Club, founded in 2018, was created with a goal to help veteran employees feel supported and find community after starting a career with the railway.
Diversity initiatives at CP
According to CP,"Throughout 2018, we executed various initiatives to support diversity and inclusion among our workforce in Canada and the U.S., and within the designated groups identified by the EEA and the EEOC . Programs and activities focused on increasing employee engagement by providing a better understanding of diversity and inclusion practices at CP, through increased communications, consultation and education. We also made progress on refining our strategies regarding attracting, developing and retaining talent across all designated diversity groups, to ensure future growth and business success."
Women
In 2018, CP continued to support the advancement of women within the organization through several programs and initiatives, focused on providing female employees with resources regarding career planning and development, including:
Indigenous Peoples
CP’s approach to Indigenous relations acknowledges and respects the history and diversity of Indigenous Peoples in Canada and the U.S.
They strive to build mutually beneficial relationships by working closely with Indigenous community leaders, local government bodies and Indigenous-based organizations to support meaningful dialogue and opportunities for economic growth and development, employment and training programs.
In 2018,they continued to demonstrate our commitment in these areas through targeted recruitment initiatives, corporate sponsorships and attendance at various Indigenous-related events, including:
CP’s Indigenous Mechanical Recruitment Program
In 2017, the CP and Unifor Joint National Employment Equity and Human Rights Committee reviewed CP’s mechanical workforce, identifying under-representation of Indigenous employees in railcar mechanic positions.
As with any safety-sensitive role at CP, those working as a railcar mechanic must meet specific requirements, such as proof of completion of a high school diploma or a General Equivalency Diploma (GED).
Recognizing that not all potential Indigenous candidates meet these requirements due to various economic and social barriers, CP created the Mechanical Indigenous Recruitment Program later that year as a pilot initiative, seeking to facilitate the acquisition of a GED for applicants meeting all other hiring requirements.
The program’s goal was to hire a cohort of five successful applicants as railcar mechanic apprentices, where upcoming openings and attrition allowed. CP engaged the Centre for Aboriginal Human Resource Development Inc. workforce solutions service in Winnipeg and Siksika Employment & Training Services in Alberta to source potential candidates.
In January 2018, the pilot program achieved its goals by hiring five Indigenous candidates in the following positions: three railcar apprentices in Winnipeg, with a high school diploma or a GED; and two railcar apprentices in Calgary, seeking to obtain a GED.
Both CP management and Unifor Joint National Employment Equity and Human Rights Committee representatives were involved in the employee onboarding process and continued to provide coaching and follow-up support as necessary.
A growing ongoing initiative, CP considers the program a success based on the following achievements and learnings:
CP employees’ Indigenous awareness and education
In addition to online learning and training resources, they offer a wide variety of in-person educational training workshops, lunch and learn sessions, seminars and courses throughout the year, to aid in the development of their leaders and employees.
In 2018,they hosted two workshops facilitated by third party Indigenous expert consultants, providing crosscultural Indigenous awareness training for CP employees. The sessions sought to improve awareness and promote understanding of Indigenous history, culture, norms and behaviours in the workplace.
Military veterans’ program outreach activities and achievements included:
Veteran career planning and development
To assist veteran employees with a successful transition into railroading, in 2018 we created five separate military management trainee programs. Depending on rolespecific requirements, programs run 11 to 16 weeks in duration and teach the critical skills needed to perform in a front-line management position at the railway.
Front-line management positions include:
Veterans who express interest in these programs are interviewed and assessed for suitability based on their transferable skills and qualifications. Successful candidates learn the specifics of their role by engaging in classroom and on-the-job training. Part of their preparation also includes spending time within other CP departments to ensure they develop a good understanding of the company and railroading industry as a whole, for a seamless transition into their new role upon graduation.
Here are some of the reasons why Canadian Pacific Railway Limited was selected as one of Alberta's Top Employers (2020):