Providing Benefits

for the Long Haul

Car Hire Management & Efficiency

Whether your railroad is an owner or user of railroad freight cars, car hire has a significant impact on cash flow.  Owners of freight cars rely on car hire cash flow as compensation for their investment. Contrarily, car hire is typically the second largest operating expense for many interline railroads.

If your railroad is trying to find ways to improve its car hire revenue or reduce car hire expenses, we can help.  The Railroad Consulting Network excels in car hire optimization.

For a brief Primer on how car hire is computed Click Here!  

Car Hire Optimization

Car hire optimization is an analytical approach to improve the car hire cash flows of your railroad.  Through an in-depth review of car hire payables and receivables we can determine root-causes of car hire anomalies and where performance opportunities can be achieved including:

  • Increasing operational and car management efficiency
  • Improving freight car utilization
  • Increasing car hire earnings & decreasing car hire costs
  • Improving data quality and eliminating erroneous car movement reporting
  • Proper registration of freight equipment in UMLER
  • Eliminating negative budget variances

Key Benefits:

  • Improved cash flow and profitability
  • Management information to support appropriate corrective actions
  • Increased revenues & reduced costs
  • Improvement in asset utilization, operational efficiency and operating ratio
  • Reduction of on-line car gluts and storage
  • Elimination of budget variance through proactive management
  • Operational & Administrative efficiency