Alan H. Shaw

Operations and safety

In December 2022, Shaw announced a new strategy for Norfolk Southern at the company's Investor Day, the first since he became CEO, that placed less of a focus on operating ratio and precision scheduled railroading. Precision scheduled railroading is a method that the Class I railroads deployed to streamline operations, particularly during the COVID-19 pandemic. Shaw's strategy, instead, focuses on building the resources required to provide reliable service throughout the year, instead of frequently furloughing employees. The plan also includes investing in locomotives, track improvements, rail yards, technology, and employee training during economic downturns.

Under Alan Shaw's management, Norfolk Southern implemented several safety protocols as part of a six-point safety plan in which Norfolk Southern will add about 200 more hot bearing detectors to its rail network.

In May 2023, Shaw and 12 union leaders, issued a safety letter to employees and union members committing to enhanced rail safety for employees and communities served by Norfolk Southern.

Under Shaw, Norfolk Southern reported 37% fewer accidents on its main lines in the first 10 months of 2023 than in the same period of 2022. Norfolk Southern was the only one of the top five freight railroads with a decrease in accidents during this time period.

East Palestine derailment

He has drawn attention in the wake of the February 3, 2023 East Palestine railroad derailment of a 150-car train and chemical leakage in East Palestine, Ohio. He visited the community in the week following the accident. He followed this with a public letter to the community, which began, "We will not walk away, East Palestine." On a second visit he met with the city's Mayor Trent Conaway, Congressman Bill Johnson, Fire Chief Keith Drabick, and first responders. On February 22, 2023, he appeared at a town hall on CNN hosted by Jake Tapper. In the town hall, he apologized to East Palestine residents, saying, "I'm terribly sorry for what has happened to your community." He added, "I want you to know that Norfolk Southern is here, and we're going to stay here. And we're going to make this right."

In July 2024, Shaw attended the groundbreaking of a $25 million park renovation project in East Palestine.

Compensation

Shaw's compensation in 2023 increased by 37% in his first full year as CEO. His total pay grew from $9.8 million (US) in 2022 to $13.4 million (US) in 2023, with base improving to $1.1 million and stock options rising from $2.2 million to $10 million.

While Norfolk Southern has donated to Ohio elected officials through its corporate PAC, Shaw has eschewed donating directly to politicians. Instead, he donates to the company’s good government fund.

Recognition

Shaw has pointed to resiliency as a key aspect of the company’s strategy. He has been praised for implementing customer-centric service and changing the culture. In 2023, Shaw was awarded the Railroad Innovator Award by industry publications Progressive Railroading and Rail Trends. He has pointed to his upbringing as to how he developed the values of integrity and doing the right thing.