Western Railroad Discussion > Executive leaves UP after reporting to COO Jim Vena for 2 weeks

After two weeks of answering to new UP Chief Operating Officer Jim Vena,
Executive Vice-President and Chief Strategy Officer Lynden Tennison has announced his retirement.
He spent 27 years at Union Pacific.

A first casualty of Precision Scheduled Railroading implementation, or just a coincidence?


SEC filing -

https://www.sec.gov/Archives/edgar/data/100885/000010088519000042/unp-20190129x8k.htm

From a January 7th press release -

"Tom Lischer, Union Pacific's executive vice president - Operations,
and Lynden Tennison, executive vice president and chief strategy officer,
will report to Vena."

     Would love to have heard that conversation.

What do you need a strategy officer for under PSR? Who needs strategy when all focus becomes fixed on short-term gains?

Any number of possibilities in Tennison leaving.
However, such occurences in business are not uncommon.
ALLEN
 

It could go either way.  I've come across new executives for whom I was given the offer to work, and after listening to their mental diarrhea spill onto the conference table not making one ounce of sense, have politely declined to even interview.  Likewise, not uncommon for a new executive appointed to shake things up to quickly decide some of the oldheads need the opportunity to "spend more time with their families."

MC6853 Wrote:
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> Who needs strategy when all focus becomes fixed on
> short-term gains?

Thank goodness Im not the only one who sees that PSR is just another short term money grab.   Welcome to America.

ShortlinesUSA Wrote:
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> It could go either way.  I've come across new
> executives for whom I was given the offer to work,
> and after listening to their mental diarrhea spill
> onto the conference table not making one ounce of
> sense, have politely declined to even interview. 
> Likewise, not uncommon for a new executive
> appointed to shake things up to quickly decide
> some of the oldheads need the opportunity to
> "spend more time with their families."


+1 on that

Many new leaders want their own team.

When Jack Welch left GE, he selected Jeff Immelt to replace him. The guys who weren't selected left GE.

And went on to head Boeing, Chrysler, 3M, Home Depot, etc. Cashing out of GE at a pretty good time.

Posted from Android



Edited 1 time(s). Last edit at 01/30/19 06:38 by Lackawanna484.

     I left the company I worked for ( 38 years ) 9 years ago with the same thing going on there. The new college kid managers knew nothing ( don't know - don't care syndrome ) and they have pooped off three entire types of business we led the world in. Their diarrhea mentallity tells them it is not important, they MUST make a name for themselves.

dcfbalcoS1 Wrote:
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>      I left the company I worked for ( 38 years
> ) 9 years ago with the same thing going on there.
> The new college kid managers knew nothing ( don't
> know - don't care syndrome ) and they have pooped
> off three entire types of business we led the
> world in. Their diarrhea mentallity tells them it
> is not important, they MUST make a name for
> themselves.

Exactly! More than 25 years ago, before I retired from EMD, it didn't take very long for most of us "senior salaried employees" to figure out that all those Harvard MBA "kids" were only taught how to get ahead in their company, NOT how to get their COMPANY ahead!

No doubt Tennison didn't want to go through the hell change over to PSR.  Don't blame him. He will enjoy sleeping late and hearing all the hell his buddies will be going through.

HotWater Wrote:
-------------------------------------------------------
> dcfbalcoS1 Wrote:
> --------------------------------------------------
> -----
> >      I left the company I worked for ( 38
> years
> > ) 9 years ago with the same thing going on
> there.
> > The new college kid managers knew nothing (
> don't
> > know - don't care syndrome ) and they have
> pooped
> > off three entire types of business we led the
> > world in. Their diarrhea mentallity tells them
> it
> > is not important, they MUST make a name for
> > themselves.
>
> Exactly! More than 25 years ago, before I retired
> from EMD, it didn't take very long for most of us
> "senior salaried employees" to figure out that all
> those Harvard MBA "kids" were only taught how to
> get ahead in their company, NOT how to get their
> COMPANY ahead!

The flip side of "I have exactly the same loyalty to my company as they have to me"

My second employer paid for my MBA, rotated me into various management level positions, etc. Some of our sales guys were third generation, taking over regional operations from their dads. They knew their territories, knew their clients, knew their needs.

Then, it became all about cost.  "Good enough" became good enough to buy, and customized solutions went out the window.

Some people just can't deal with change.  lol

tomstp Wrote:
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> No doubt Tennison didn't want to go through the
> hell change over to PSR.  Don't blame him. He
> will enjoy sleeping late and hearing all the hell
> his buddies will be going through.

If you've been thinking about retiring, thinking about doing something new, maybe going to a few funerals, maybe seeing a grandchild, you consider options.

It's not unusual to vest an outgoing executive's stock options and grants, bump up their package, maybe pay for a non-compete, etc.  Pays for a new sail boat, time with the grand children, house in Arizona or Florida, maybe more international cruises, etc.

Lynden was pretty old school UP, and pretty confident in his opinions.  

Question on accountability, it's not the management's fault if an in situ program ie Quality, PSR, etc doesn't work,
just ask any of them.

Out

rantoul Wrote:
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> If UP's business results are so poor that the
> entire operation has to be scrapped and changed,
> why isn't the CEO being held accountable?

The stock has done pretty well over the recent slide, and recently sold at a premium p/e.

One big question is whether the economy will hold up, and that is a huge driver on the UP price.

FWIW I think the CEO has done OK. The board, on the other hand, could be a lot better...

Posted from Android

The old saying, FUMU was alive and well on the SP and now is being used on the UP.   

F #%k Up, Move Up.




Nudge

I am a fan of PSR and EHH approach.

That said I will vote my shares AGAINST the current mgt and BOD

As TAW stated yesterday on the Passenger Board, this is more like PSM  Precision Stock Manipulation.  I agree.

PWM

Waybiller Wrote:
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> Lynden was pretty old school UP, and pretty
> confident in his opinions. 

Thanks for posting that. I was waiting for a perspective on Mr. Tennison.

Lance Fritz didn't have the guts to let him go, so he brought in an outsider (Vena) to create "conflict." I'd think enough TO members are familiar with this playbook, unless they are too busy kissing ass for their own good.

Would be nice if someone can post Mr. Tennison's accomplishments at UP. I wish him well.