Cn Case Study
Executive Summary:
My decision as the President and CEO of CN, Hunter E. Harrison, is to continue with our strategic focus on continuing to improve productivity and customer service along with a new directive moving forward to continue to grow our sales, profits, cash flow and market value. CN will implement a new strategic focus to expand the share of rail traffic in North America by directing overseas traffic flows on to our network. In order to grow with expansion possibilities in North America being limited and the growth in NAFTA trade declining, CN requires a solid strategy to capture the growing importance of Asian markets. CN will invest and/or partner in international logistics as a freight forwarder intermediary to assist in capturing the growing Asian trade market with North America to ensure the traffic is on our network.
CN has become very successful since the privatization and deregulation in order to take advantage of the growing demand due to the North American Free Trade Agreement. As a private company, we have successfully become the only North American transcontinental railroad and the largest railroad in Canada. We serve major ports on the Atlantic and Pacific coasts, the Great Lakes in Canada and also the ports of New Orleans and Mobile on the Gulf of Mexico. The new CN network today also serves every major metropolitan area in Canada as well as 10+ major rail hubs in the United States. CN is a true North American railroad with a clear competitive advantage over competitors as CN provides a single-line service between facilities in Canada, United States and Mexico. This network is built to handle the additional traffic that can be generated from the increasing Asian market that CN’s intermediaries in international logistics will secure to flow through North America.
Immediate Issue and Secondary Issues with Impact Analysis: CN has overcome great challenges and improvements within the rail industry in North America due to the
My decision as the President and CEO of CN, Hunter E. Harrison, is to continue with our strategic focus on continuing to improve productivity and customer service along with a new directive moving forward to continue to grow our sales, profits, cash flow and market value. CN will implement a new strategic focus to expand the share of rail traffic in North America by directing overseas traffic flows on to our network. In order to grow with expansion possibilities in North America being limited and the growth in NAFTA trade declining, CN requires a solid strategy to capture the growing importance of Asian markets. CN will invest and/or partner in international logistics as a freight forwarder intermediary to assist in capturing the growing Asian trade market with North America to ensure the traffic is on our network.
CN has become very successful since the privatization and deregulation in order to take advantage of the growing demand due to the North American Free Trade Agreement. As a private company, we have successfully become the only North American transcontinental railroad and the largest railroad in Canada. We serve major ports on the Atlantic and Pacific coasts, the Great Lakes in Canada and also the ports of New Orleans and Mobile on the Gulf of Mexico. The new CN network today also serves every major metropolitan area in Canada as well as 10+ major rail hubs in the United States. CN is a true North American railroad with a clear competitive advantage over competitors as CN provides a single-line service between facilities in Canada, United States and Mexico. This network is built to handle the additional traffic that can be generated from the increasing Asian market that CN’s intermediaries in international logistics will secure to flow through North America.
Immediate Issue and Secondary Issues with Impact Analysis: CN has overcome great challenges and improvements within the rail industry in North America due to the