Canadian national railway company Harvard Case Solution & Analysis

Canadian national railway company Case Study Solution

Abstract

The case illustrates the dilemma in the Canadian National Railway company, which has currently acquired the Illinois railways. The Chief operating officer of the company Harrison, has identified some of the key issues that are pertinent for the low performance, leading tolow productivity. Since, CN has acquired Illinois, it is crucial for Harrison to align and curtail the organizational culture. In a way that, offers the right integration of human efficiency and performance efficiency both at the same time. In doing so, he has to reframe the organization culture and structure .To deal with early quits and late start of work in work days. Since, practice has been engraved in the culture, Harrison will find it difficult to implement new plan without resistance from the employees.

Keywords:  Organizational Culture, Emotions, Resistance, Early quits, Change.

Introduction

Canadian National Railway, is one of the oldest railways service in Canadian Market. Over the period of time, the railway has expanded its services .By including more track sand employing the employees ,up to 70,000.Tellier the CEO of the company, along with his aim and vision, to make Canadian national railway something more than just a railway .Restructured the overall strategy and culture of the organization .Since ,the Canadian national railway started rendering losses, Tellier reduced the span of its functions ,by reducing number of tracks .To impose strong control and monitoring over the process .It also reduced the number of employees and developed  culture of performance, as the key basic foundation of the job security. The move improved the company’s productivity ,and also enhanced the EBTIDA in the industry.

Since ,Canadian National also owned different subsidiaries and SBUs in hoteling and radio streaming industry they channelize the resources and energy at the right place. Also, secure the company from investing in loss inuring functions that are receiving the profits of the company. Recently, the company has acquired Illinois railways ,which in cured losses .However, due to its well-developed functions and potential to reduce the competition .The company bought the Illinois railways.

After acquiring Illinois railway, Tellier hired Harrison, as the COO of the company ,who would be responsible to streamline the process, and improve the productivity of the company .By managing the people and culture of the organization, during the initial time period. Harrison has identified key loopholes and issue, with the company’s organizational culture .In which early quits is the main issue, followed by late work initiation in work days. Since ,early quits is a severe issue, Harrison has to start by aligning and dealing with the late work first. Which will ultimately align and synchronize early quit issues in the organization. Since, low productivity incurs additional cost per head cout. It is important for CN to reduce the operation cost and improve the productivity. To increase  the profitability of the company in long run.

Analysis

Canadian National Railways faced the issues of early quits, due to unduly ease from the supervisors and the organizational vision. To offer the early quits an aim to seek improved productivity, due to increase care that will develop ownership in the employees. Since, after the economic downturn and emergence of other railways, the functions of company became unprofitable .Mainly, due to the increased cost and reduced pricing in the industry, which demanded the management to reduce and cut off some of the process and SBUs like Radio streaming and Hotel services. To focus on the railways business and divest the money gone in unprofitable operations.

Teller identified the crucial point, which involve increase cost and proposed to streamline, the loading process of shipment that ties the maximum cost of the process. This improved the company performance and made it to acquire Illinois railways. Since, Teller has invested great time and energy in the business, in order to sustain those practices and productivity level .Tellier hired Harrison, as the coo of the company and he will take care of railways.

Canadian national railway company Harvard Case Solution & Analysis

 

 

Since, the company Illinois is facing the issues of low productivity, which has resulted as an outcome of early quits and late work start up. The early quits enables the people to leave the shift of 8 hours, 4 hours early. The Company follows the following practice, in an attempt to motivate the employees and sustain the performance level. However, the strategy has effected business negatively, as it has increased the per-headcount cost .Also, it reduced the productivity, making the operations go in loss.......................

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