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Case Study

Norfolk Southern Railway: A Disastrous Train Derailment in East Palestine, Ohio

Coil, I., Upadrasta, S., Skukla, Y., O’Rourke, J. S. (editor)
December 1, 2023
SKU:
BUS-009707
Region: 
North America
Topic: 
Strategy & General Management, Operations
Length: 
13 pages
Keywords: 
Railroad Safety, Norfolk Southern, Disaster Response, Hazardous Materials, crisis communication
Copyrighted by: 
University of Notre Dame
Student Price: 
$4.00 (€3.71)
Average rating: 
0

A Norfolk Southern Railway train derailed in the small town of East Palestine, Ohio, releasing a large volume of hazard chemicals into the surrounding environment. Norfolk Southern CEO Alan Shaw has just become aware of the disaster and must decide how to respond, as intense criticism mounts. 13 pp. Case #23-03 (2023)

Learning Outcomes: 

1. To highlight the conflict arising, as a company and industry try to balance the need for safety and regulation with the need for speed, reliability, and profitability.
2. To encourage a discussion regarding current U.S. railroad safety regulations and their effectiveness in preventing accidents.
3. To explore various strategic options available to the management of Norfolk Southern in tacking this problem.
4. To encourage analysis of Precision Scheduled Railroading (PSR) as a technology and business strategy.
5. To illustrate how regulators and railroad companies must collaborate to produce viable solutions.