Focus March 2015 by Charmont Media Global

MARCH 2015 | R85.00

On Transport And Logistics focusontransport.co.za

Using the sun to build your

Fixing Africaâ&#x20AC;&#x2122;s borders a group effort

MAN

Global Focus turns 100!

No getting away from the skills shortage? Coping with congestion in Cape Town

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d |FOCUS| March 2015

March 2015 |FOCUS| 1

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Johanna Baleng – Depot Manager, Mossel Bay

Johanna – Depot Manager, Mossel Bay

Midrand Depot

OUR PLAN WORKS TO CREATE OPPORTUNITIES FOR OUR PEOPLE, OVER AND OVER AGAIN.

Megan – Transporter, PE

Midrand Depot

Wendell Harts – National Depot Durban Depot

Vissershok Depot

Pieter Buckle – Recycler, PTA

Pieter – Recycler, PTA

Vissershok Depot Vissershok Depot

Vissershok Depot

We’re in the business of aiding employment, SMMEs and the environment. REDISA manages the process of turning waste into worth via a circular economy and award-winning Waste Tyre Management Plan. It’s already making a remarkable difference to so many lives – a success we hope to keep repeating. For a look at our latest achievements, statistics and positive stories worth celebrating, please visit our website.

JOIN THE JOURNEY | www.redisa.org.za | 2 |FOCUS| March 2015

/wasteintoworth |

@wasteintoworth

Cover

MARCH

MAN has been assembling trucks and buses at its Pinetown Assembly Plant since 1962. Today the plant is 100-percent carbon neutral. Find out how the company has achieved this on page 10.

contents 42

On Transport And Logistics Published monthly by Charmont Global Unit 17, Northcliff Office Park, 203 Beyers Naude Drive, Northcliff, 2195. P O Box 957, Fontainebleau, 2032, South Africa Tel: 011 782 1070 Fax: 011 782 1073 /0360

EDITOR Charleen Clarke Cell: 083 601 0568 email: charleen@focusontransport.co.za Assistant Editor Gavin Myers Cell: 072 877 1605 email: gavin@charmont.co.za

24 BURNING BORDERS?

SUB-EDITOR Jeanette Lamont Cell: 083 447 3616 email: jeanette@charmont.co.za

Road transport within Africa is no doubt a risky business. With wasted time, incidents of corruption and lost loads and vehicles, it’s expensive, too. One of the ways we can begin

JOURNALISTS Jaco de Klerk Cell: 079 781 6479 email: journalist3@charmont.co.za

fighting this is to sort out the situation at the continent’s many borders. How can this be achieved?

Claire Rencken Cell: 082 559 8417 email: journalist2@charmont.co.za

34 WANTED: MORE SKILLED PERSONNEL Skills shortages continue to bedevil the logistics and supply chain industry. MARIO

INDUSTRY CORRESPONDENT Frank Beeton Tel: 011 483 1421 Cell: 082 602 1004 email: frankb@econometrix.co.za

LANDMAN, head of the Institute of Logistics and Supply Chain Management, elaborates. 42 THE THRILLS AND SPILLS OF DAKAR 2015

TECHNICAL CORRESPONDENT Vic Oliver Cell: 083 267 8437 email: voliver@mweb.co.za

GIANENRICO GRIFFINI brings us an exclusive interview with Ayrat Mardeev of the Kamaz Master Team – winners of Dakar 2015.

PUBLISHER Tina Monteiro Cell: 082 568 3181 email: tina@focusontransport.co.za

44 BUSINESS AND PLEASURE Chinese Manufacturer Great Wall Motors (GWM) is set to create a stir in the much-loved

ADVERTISING SALES Margaret Phillipson Cell: 083 263 0451 email: margaret@focusontransport.co.za

South African bakkie segment with the new Steed 5E. We take it for a spin. 60 CHANGING TIMES

Megan du Toit Cell: 060 503 3092 email: megan@charmont.co.za

With increased congestion levels and heightened commuter needs, Cape Town is certainly in the transport spotlight. We speak to one of the city’s most prominent

CIRCULATION MANAGER Bev Rogers Cell: 078 230 5063 email: bev@focusontransport.co.za

operators, to see how it is handling the scenario.

DESIGN AND LAYOUT Nelio da Silva email: nelio@focusontransport.co.za PRINTING Camera Press © Copyright. No articles or photographs may be reproduced, in whole or in part, without specific written permission from the editor.

charmont media global

2014

REGULARS 4 Steering Column 6 Wheel Nut 8 Vic’s View 46 Global Focus 52 Short Hauls 56 Subscription form 58 Naamsa figures 59 FOCUS on Bus and Coach 62 Global bus 64 Hopping off

March 2015 |FOCUS| 3

STEERING COLUMN

And so

the killing

continues … This country’s claims to fame

I know what you’re thinking: the population

and technology can only deliver so much. If

are somewhat alarming. We

of New Zealand – at 4,5 million – is far lower.

we don’t change policy we will still be killing

Spot on right. We have 53 million people

1 000 people a year in 2030 – that is

living here. So, multiply the New Zealand

unacceptable. Driver behaviour, skills and

death toll by 11,7 … and we still shouldn’t be

training will be the key focus for our future

killing more than 199 people. Our situation is

research and policy work.”

seem to have mastered the art of destroying our country and its people …

totally unacceptable!

It was the annual figure of 1 000 that

Hot on the heels of the e-mail from

really hit home. We kill more than 1 000 a

New Zealand came another one from the

month. And that’s a slow month … |FOCUS

United Kingdom, which also got me thinking. The United Kingdom is home to around 64 million people. The Department of Transport over there recently released its annual road

DOWNLOAD OUR FAB NEW APP!

safety statistics … and there were 1 711

Charleen Clarke

deaths in the year ending September 2014,

FOCUS has an utterly marvellous,

a four percent increase compared with the

truly brilliant, mind-blowingly terrific

previous year.

new app! (Yes, you get it, I am rather

The e-mail came from the Institute of

proud of it.) It is ever so easy to

Advanced Motorists (IAM), which described

navigate and it contains oodles of

the figures as “hugely disappointing”. The

useful information. For instance, you

charity blames many years of government

can read current feature stories

cutbacks and the resulting drop in visible

and regular columns from the

policing for the increase in figures.

magazine. You can download an

“It is disappointing that, after many years

e-book, meaning you can read the

somewhat

of solid falls in the numbers of people killed

entire magazine off line! Our app

fascinating e-mail from New Zealand.

and injured on our roads, the government has

also links you to bits and pieces

It came from John de Pont, president

taken its eye off the ball. These figures reflect

such as our Facebook pages, recent

of the International Forum for Road

our view that cuts in visible policing and road

Tweets, videos … and much, much

Transport Technology. He was commenting

safety spending has had an impact, with a

more.

on the road fatalities in that country over the

third successive quarter of increases. While

We have received stunning

2014 festive season.

these new figures can in no way be regarded

feedback on our app. Let me know

as a trend, they are a big concern,” noted Neil

what YOU think about

Greig, IAM director of policy and research.

it! E-mail charleen@

recently

received

A total of 17 people were killed in that country over the Christmas season – and he was aghast, because it was more than

“Recent transport ministers have been

double that of the previous year (when seven

lucky. The recession had slowed traffic

people died). “Something is going badly wrong

growth. New car technology has delivered

with road safety,” he reported.

safer roads year on year, and most accident

The e-mail really got me thinking. Compare these figures to South Africa. A total of

black spots have now been engineered out of existence,” he added.

1 368 people were killed here over the same

Neil stressed that a change in driver

period last year. I think we should be aghast

attitude had to happen. “This is an opportunity

too, but I’m not seeing too many aghast

for us to prove the key underlying part that

people running around and fixing this sorry

driver skills and behaviour play in road safety.

situation.

Most crashes are caused by human error,

4 |FOCUS| March 2015

focusontransport.co.za

STEERING COLUMN

You’re not buying this. What you’re buying is so much more than a truck. It’s a commitment. A partnership. A whole system designed and built around the working life of a vehicle. Founded on the principle that Total Operating Costs are more important than initial purchase costs. Fuel, as we all know, is the big one. A significant part of the Total Operating Cost over a truck’s lifetime. So it makes more sense to buy an economical truck than a cheap one. Which is why we make economical trucks. Not cheap ones. Reliability is a huge deal as well. So you won’t be surprised to hear that Scania trucks deliver the highest levels of uptime in Southern Africa, and our wholly-owned dealer network focuses all its energy on minimising downtime. Driver capability is another big cost area, which our driver training programmes are tailored to help you manage and develop. The same goes for our finance and insurance approach. We believe in understanding the daily needs of your business, rather than just looking at the risk. Also our new Fleet Management System is the perfect embodiment of our partnership attitude, giving you access to amazing detail on everything from coasting to heavy braking, and then the coaching support you need to help manage not just your fleet, but your entire cost base. So if you’re just buying trucks, we’re probably not the supplier for you. But if you believe what you’re actually buying is a partnership, a commitment, a total transport solution, then we should talk.

There is a better way. March 2015 |FOCUS| 5

wheel nut

The perils of

bureaucracy Does anyone enjoy dealing with

government institutions or their corporate brethren? I can’t imagine so …

Gavin Myers

e’ve all watched some or other TV show in which someone in high office, or a similar organisation, is accused of being “a spineless bureaucrat” or “a bureaucratic fool”. But, what is a bureaucrat? Should we be bureaucratic? Do we need bureaucracy? Here’s a short English-cum-politics lesson … By Wikipedia’s definition, a bureaucracy was historically a government administration managed by departments staffed with officials who have not been elected. Today, bureaucracy is the administrative system governing any large institution. Likewise, a bureaucrat is defined as an official who is rigidly devoted to the details of administrative procedure. The thing is, though, bureaucracies tend to become too complex and then inefficient or inflexible – hence the slurs directed towards those poor chaps in the TV shows … Unfortunately, that’s the nature of the bureaucratic beast – it’s certainly nothing South Africans are unused to. Pick any vehicle licensing centre, for instance. Heck, in the modern sense of the word, pick a large non-governmental institution, like an insurance company, and see if you have much more luck … The bureaucrats themselves are not exactly “rigidly devoted to the details of

6 |FOCUS| March 2015

administrative procedure”, either. Unless, that is, they work for everyone’s favourite bureaucratic institution – the South African Revenue Service (SARS). So, why this little rant-cum-English-cumpolitics lesson? Regular readers will remember my December column, in which I detailed the demise of my three personal vehicles. Well, I bought a new one at the beginning of this year – which resulted in one of the most stressful two weeks I’ve had in a long time. “Mr Myers, we can’t get the vehicle registered in your name, because of outstanding vehicle licence fees.” Well, that was a shock – with one car traded in, one sold and the last written off, how could this be? It turned out that the chap who bought the one I sold had not filled in the change of ownership papers and registered it in his name (important lesson there for prospective sellers – always make sure that YOU do this). A week-long scramble ensued to get everything sorted out, only to be told that I couldn’t do much because the car that had

been written off, three months earlier, had not yet been deregistered from my name by the insurance company (which had long since received the original licence certificate). Four visits to the bureaucrats at Johannesburg’s Marlborough and Sandton licensing departments (who each kindly filled in the pieces of information that the other had neglected to mention …) and many a call through the various bureaucratic levels of my insurance company later, and I was well and truly stuck … The morning my 21-day temporary permit was to expire arrived, and I had got nowhere. In a desperate bid to get my new steed “road legal” I begrudgingly paid the outstanding amounts and the penalty fees, and now sit with two gleaming licence disks for two vehicles I no longer own … Phase two of my battle commences. Bureaucracy: great by definition, but a real pain for the masses; especially when the bureaucrats who drive it don’t do their jobs properly. |FOCUS

More road safety billboards Following last month’s Wheel Nut – in which I spoke about a Department of Transport billboard that warns against texting and driving – I noticed yet another effort on Johannesburg’s Beyers Naude drive, just down the road from our office. Its message? “Thank you for not drinking and driving – love Grandma & Grandpa”. As opposed to playing at one’s ego (like the texting and driving message), this one pulls at the (presumably younger) motorist’s heart strings. Short of being read by someone who has lost a loved

one to drinking and driving, I’m not so sure of the effectiveness of the message … Unfortunately, that blinding, consequencefree “it’ll never happen to me” attitude is seemingly set as the default within the general South African driver’s psyche. What do you think? Have you seen any similar billboards around Johannesburg (or the country)? We all have family, friends and colleagues, not necessarily involved in the transport industry, who use our roads every day; so, do send us pics and your comments about this road safety campaign.

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JH B/E

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We know it takes a lot more than wheels and a chassis to keep things moving forward. It takes a clear understanding of how your business operates. It takes expertly trained people who care about providing the best advice and the best service possible. Hino prides itself on delivering cost-effectiveness and operational efﬁciency. It’s why every Hino is built for your business. – SO NO MATTER WHAT YOUR BUSINESS, YOU CAN KEEP ON TRUCKING.

March 2015 |FOCUS| 7

VIC’S VIEW

Twelve tanked-up

tips

Even with the fuel prices trending downwards, there is still more that vehicle owners can do to reduce fuel consumption and increase their profit margin

ith a sluggish world economy, that is showing no positive signs of recovery in the short term, truck and bus operators are facing tough times and reduced operating profits. Optimising the fuel consumption of your fleet is one way to reduce operating costs and increase fuel economy. A small reduction in fuel consumption results in a big financial saving in the fuel bill. In addition to savings achieved by managing your vehicles’ fuel consumption, other variable operating costs will automatically also be reduced – as optimum fuel consumption cannot be achieved without driving the vehicle in a proper, professional manner. The gain is further reflected in reduced maintenance and tyre costs. Good driving techniques are one of the main means of lowering the fuel consumption of vehicles. It is important, therefore, to include drivers in the management of fuel. One of the best ways to motivate and encourage drivers, to achieve good fuel consumption results, is to give them an incentive based on the savings achieved

8 |FOCUS| March 2015

against a set fuel consumption target. To set a realistic and fair target, get the average expected fuel consumption figure from your vehicle supplier for your particular vehicle. Then, measure the fuel consumption that the vehicle is currently achieving by running it on the normal route that it travels and accurately record the consumption. On this test run make sure that an independent and honest person accompanies the driver to ensure that the information is correct. Now, set a realistic and achievable fuel consumption target for your driver and offer some reward based on the savings that are made. To assist drivers to obtain good fuel consumption, make them aware of the main driving style factors that affect fuel consumption. Speed Travelling in excess of the current speed limit drastically increases fuel usage of trucks and buses. To illustrate the increase in fuel consumption at higher speeds, the following consumption figures for a 357 kW (480 hp) truck tractor coupled to a set

of interlink trailers and carrying a load of 34 t, both ways, between Johannesburg and Durban, were supplied courtesy of TransSolve: • At 80 km/h the fuel consumption would be 57,5 l/100 km • At 100 km/h the fuel consumption would be 61,1 l/100 km. Excessive Idling Many vehicles that are used in a distribution type of operation, where fleet management is often not well controlled, idle for long periods. This poor practice is bad for the engine, and causes fuel wastage. A poorly maintained brake system, where air is lost via faulty brake valves, is sometimes the reason that drivers do not switch off their engines while stopping to offload. This is because they know that on start-up they will have to run the engine for a while to build up air brake pressure again. Driving outside the green band Most trucks are fitted with a rev counter that is marked with a green band, indicating the most economical rev range. Driving

vic’s VIC’S view VIEW

within this green band produces the best fuel consumption and helps the driver obtain optimum performance from the engine. Smooth driving Gentle acceleration and smooth driving is a key factor in reducing fuel usage. Anticipation of stopping distances and letting the truck roll towards a stop avoids harsh brake applications and also helps save fuel. Overloading Overloading is illegal and also increases fuel consumption. Assist your drivers by teaching them the correct load that their vehicle can legally carry, and the importance of placing the load in the correct position on the truck. Tyres Underinflated tyres cause an increase in rolling resistance, which, in turn, affects the

fuel consumption of the vehicle. As a rule of thumb, a ten percent under-inflation in tyre pressure results in a one percent increase in fuel consumption. Poor vehicle maintenance Poor vehicle maintenance is a major cause of high fuel consumption. Tarpaulins Loose and badly secured loads and tarpaulin covers cause extra air resistance, which, in turn, burns more fuel. Fuel theft Fuel theft is taking place in many operations. In those where fuel consumption is well monitored it is very difficult for this to occur undetected. Air resistance Air resistance is an important factor.

Endeavour to keep frontal areas of trailers and bodies as small as possible. Correct vehicle selection The truck must be correctly engineered, have sufficient power and the right drivetrain to ensure the best possible productivity and fuel consumption. Route planning Plan your route carefully to achieve optimum vehicle productivity and fuel consumption. With the high cost of operating trucks and buses, in a highly competitive market, fuel costs are one of the major costs incurred in the running of your vehicle. In some long-distance operations the cost of fuel exceeds other fixed and variable costs. A good operator cannot afford to neglect the management and control of this important cost element. |FOCUS

One of this country’s most respected commercial vehicle industry authorities, VIC OLIVER has been in this industry for over 50 years. Before joining the FOCUS team, he spent 15 years with Nissan Diesel (now UD Trucks), 11 years with Busaf and seven years with International. Do you have a comment or thought you would like to share based on this column? Visit www.focusontransport.co.za and have your say!

The potholed path to the future: how can transport operators survive?

Join the FOCUS Conference and Truck Test Lunch on Friday, May 8, and get the answers to these questions! We have a line-up of utterly exceptional speakers, including: Riaz Haffejee, CEO of Sumitomo Rubber SA; Paul Nordengen, Research Group Leader, Network Asset Management Systems, CSIR Built Environment; Adrian van Tonder, Senior Manager, RTMS and PBS, Barloworld Transport; and Loan Sharp, economist, Free Market Foundation (FMF).

New legislation is in place: how can transport operators avoid jail time?

2015

ON TRANSPORT AND LOGISTICS

TRUCK TEST

Venue: Time: Price:

Automechanika, Nasrec, Johannesburg 10.30 for 11:00 R1 400 per person including lunch, or pay R10 000 for a table for eight March 2015 |FOCUS| 9

cover story

Minimum energy, maximum

production

The MAN Pinetown assembly plant produces variants of the company’s low, medium and heavy range truck and bus chassis to global standards. It now also leads the way as one of the company’s most energy-efficient plants in the world

ny reputable company will tell you that, to be taken seriously and be able to offer consistent levels of service and quality, all aspects of the organisation must be aligned to the same level of consciousness. This is especially so, in these times of ultracompetitive marketplaces and the raised importance of safety, health, environmental and quality (SHEQ) issues. It’s for this reason that the MAN Truck & Bus South Africa Pinetown Assembly Plant has become the most recent of the company’s global plants to take the lead and improve its environmental situation. It is now 100-percent energy independent and 100-percent CO2 neutral. How has MAN managed such a feat with the 53-year-old facility? It has been achieved by installing photovoltaic (PV) solar panels. Heiko Kayser, plant manager and vice president of truck and bus chassis production at MAN Truck & Bus SA, explains the concept: “We are part of the MAN worldwide production network, so we need to align our processes to other plants and follow worldwide standards. The PV solar panels are part of our Green Production initiative, to reduce energy consumption and CO2 emissions.” “One of the MAN Climate Strategy objectives is to reduce the company’s carbon footprint by 25 percent by 2020. The

10 |FOCUS| March 2015

successful implementation of the PV solar project is a reflection of MAN’s commitment to environmental responsibility,” adds Lynette Kühn, quality assurance manager, MAN Truck & Bus SA. Kayser continues: “The different solutions are tailored to the areas in which the plants are located. In South Africa, for example, there is a lot of wind and sun, so the PV solar system is the most efficient for us.” MAN decided on this system following a feasibility study conducted in 2013, which included a market analysis and business case. The energy generated by the PV solar panels is used to drive all production processes and electrical equipment such as computers and lights. With current production volumes being ten units on the single shift being run at the moment (the plant’s installed capacity over two shifts is 6 600 units per annum), there is the guarantee of a surplus. Kayser and Kühn explain: “We generate 810 000 kWh per annum, and our current consumption is only 790 000 kWh. The PV installation is an embedded installation – linked to the grid – so anything we produce over and above our needs is fed back into the grid. The system prioritises the use of the available renewable energy provided by the PV system at all times; should additional capacity be required, this energy will then be drawn from the grid.”

While the PV installation might be the biggest news at the moment, it’s not the end of the environmentally friendly, qualityfocussed story from whence your locally built MAN comes … The building’s old asbestos roofing has been removed and replaced with inverted box rib (IBR) sheeting, which also incorporates more transparent sheets to improve natural light in the working environment resulting in less energy usage for lighting. A new wash bay has been built that incorporates a water recycling facility to reduce water consumption, and a new worker-friendly finishing spray booth was installed during December 2014, to ensure controlled levels of paint emissions into the atmosphere. As Keiser is keen to point out, though, it’s not all about impressive technical solutions. “As management we try to lead by example, educating staff and increasing their awareness to reduce energy usage. “Do you need a light on? Have you switched off your tools when you’re done using them? It’s about understanding. It is the responsibility of MAN as well as all of its employees. We have to start now in order to support our next generation.” In this world of smoggy cities, skyrocketing prices and dwindling resources, we couldn’t have said it any better ourselves. |FOCUS

DWFCOL 518530

Bridgestone South Africa announces changes to its commercial tyre operations. Sales and distribution of all new and retreaded truck, bus and earth mover tyres will be spearheaded by a newly- formed company within the Bridgestone Group, Bridgestone South Africa Commercial (Pty) Ltd. Part of the change is the introduction of accrediting selected Supa Quick branches as Bridgestone Commercial accredited dealers. Allowing customers to access Bridgestone Commercial products through Bridgestone Commercial service centres or accredited Supa Quick dealers.

Available at selected Supa Quick outlets Tel: 011 387 2000

www.bridgestone.co.za

March 2015 |FOCUS| 11

2015

TRUCK TEST It’s the final

countdown With Truck Test 2015 little more than a month away, the excitement is palpable. CLAIRE RENCKEN talks to some of the participants and suppliers about what lies ahead

ino has been involved with

He has the following to say: “Over the years

equipment for both categories this year.

each of the Truck Test events

we have never had any major hiccups, but

This will, therefore, be the first time that

to date. “We have learned

we have learnt a lot about putting together a

it will be a true performance test of the truck tractors.

many valuable lessons and

truck test that has credibility. Every time we

gained lots of experience in the process. We

start planning the next test, we immediately

“Extra-heavy commercial vehicles are

are now even more positive about the event

apply what we have learnt from the previous

the lifeline of road transport between all the

than we were in 2012, when it was held for

year, and we try to keep it as simple as

major hubs in South Africa. Understanding

the first time,” says Gert Agenbag, product

possible.

the performance of these vehicles and the

planning and development manager at Hino South Africa. Adrian van Tonder, a senior manager

“This year we are going to be testing

cost of ownership numbers are key factors

extra-heavy truck tractors and that’s

in ensuring that the correct vehicles are

always exciting. We have some great

selected for the correct applications.”

at Barloworld Transport, has also been

vehicles

have

For others, this year’s event is a first.

involved with the event since its inception.

managed to standardise all the trailing

participating

and

This is the case for Alcoa South Africa.

On Transport And Logistics

ONBOARD TYRE INFLATION

12 |FOCUS| March 2015

The first Truck Test, in 2012, featured extra-heavy vehicles – which make a triumphant return this year.

MD, John Jewiss, says: “For Alcoa, this

into in South Africa, this year’s event is of

56-t GCM rating. With this combination,

is a great platform to give fleets and

paramount importance to us.”

we hope to achieve a good productivity

original equipment manufacturers (OEMs)

Hino will be entering two vehicles in the

a true, unbiased reflection of day-to-day

test this year. Agenbag explains: “First, the

Van Tonder concludes: “This year

measurable aspects that impact the

Hino 700 Pro 229 2845 steel suspension

we have selected a very interesting and

transport industry.

figure.”

with single sleeper cab will be combined

challenging route, so I cannot wait to see

with the three-axle trailer at a 49-t gross

how the trucks perform. It’s also great to

255 kg on an extra-heavy truck (just over

combination mass (GCM). Our goal is to

be part of the team spirit that comes to

23,5 kg per wheel compared to steel)

achieve good fuel consumption with this

the fore between all the participants at

so on a full rig of 26 wheels, you can,

combination.

Truck Test. For the rest of the year they are

“Alcoa

wheels

can

save

theoretically, increase your payload by

“Second, the Hino 700 Pro 229 2848

fierce competitors in the marketplace, but,

611 kg. Since the extra-heavy commercial

air suspension with double sleeper cab will

at Truck Test, the guys work well together

vehicle segment is the only one we sell

tow the interlink combination trailer at a

and have some fun while doing it.” |FOCUS

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March 2015 |FOCUS| 13

TRUCK TEST 2015

Braking the mould

The Truck Test series wouldn’t be possible without the support of all those involved – including the individual component suppliers, such as WABCO, which is supplying GRW with trailer braking systems. GAVIN MYERS reports

ccording to Enoch Silcock, MD of WABCO Automotive South Africa, around 40 percent of the braking systems supplied by the company go to original equipment manufacturers of trailers, meaning the company has a very good relationship with its industry counterparts. It is, therefore, supplying braking systems to GRW for the trailers being built for Truck Test 2015. “We’ve dealt with GRW right from the beginning,” he says, explaining that WABCO has been participating in the South African market for more than 45 years. “We’ve always had a very good relationship. GRW’s customers look for high-spec, world-class

14 |FOCUS| March 2015

brake systems, so we offer them the technology they’re looking for.” In the case of the trailers being built for Truck Test 2015, Silcock explains that the company’s standard anti-lock braking system (ABS) drum brake system has been chosen for the task. “Only around ten percent of the market currently has disk brakes, so GRW has chosen the most widely used system, as these trailers are being built for benchmarking purposes. This is our base braking system. It meets South African Bureau of Standards (SABS) and international standards for braking, aiding stability and shortening stopping distances by preventing lock-ups.”

Currently, the law states that all new trucks and trailers have to be equipped with ABS. The ABS does offer some very important benefits, even though it may not be the most sophisticated offering in WABCO’s portfolio (for that you’d have to look to the company’s configurable Electronic Braking System (EBS), which is rapidly gaining market share thanks to the slew of advanced safety adaptations it offers). The ABS has been kept basic so that nothing can confuse a maintenance team, yet the solenoid technology used in the system gives faster braking response. One can run diagnostics on the system to check

TRUCK TEST 2015

Left: The ABS unit is one of WABCO’s most tried and tested offerings.

information such as the ABS function and system component integrity, but additional functions, such as a configurable input output (I/O) plug, have been removed. “WABCO has actually designed this particular system around third-world markets, such as South Africa and Brazil. We’ve been running this technology locally for over a year now; overseas they’ve had it for over ten years. This system is tried and tested,” says Silcock. As this is WABCO’s first association with the Truck Test series, Silcock is keen to use the opportunity to demonstrate the company’s involvement and interest in the event. A WABCO support team will run with the trucks to Komatipoort and back, and the company’s Middleburg and Nelspruit distributors will also be on standby if needed. “Ultimately there’s GRW’s backup as well, but I’m confident there will be no problems,” he says with intent.

Generally speaking, the company undertakes a more technical support role, rather than field support. “We’ll recommend one of our 41 sub-Saharan African distributors or service centres – which are graded according to their capabilities. We focus our support mainly on the trailer side of the industry, because that seems to be where the skills are lacking.” While the company will be interested to see how well its systems perform on the road, Silcock explains that to really test a braking system there needs to be sustained testing with a fleet. He says that the company has done this numerous times in the past, demonstrating differences in the frequency of breakdowns and lining life, for example. “If we can guarantee such high-quality systems, our clients see that it is worth paying a bit more initially, rather than replacing

systems three or four times in the same timeframe. “We’ve had very few comebacks with our ABS units. In South Africa, systems come back as a result of bad maintenance, not factory faults … We offer a one-year warranty on all our systems, and on the ABS used in Truck Test 2015. We are happy to give extended warranties on the components, because we know they work,” he enthuses. In this vein, Silcock explains that operators are becoming more savvy: “We have to change as the market develops, but ten years from now the whole market will probably be running EBS. Operators are looking beyond the initial cost of a vehicle to the full cost of ownership.” Happily, the industry’s savvy operators will also be looking at Truck Test 2015, and will no doubt be impressed by WABCO’s enthusiastic involvement. |FOCUS

March 2015 |FOCUS| 15

TRUCK TEST 2015

BPW thinks

transport

This year, BPW has jumped in axles and all, as one of the Truck Test suppliers to nine Afrit and seven GRW trailers. CLAIRE RENCKEN gets the inside track from BPW managing director, André Cilliers

“T

he Truck Test is a good

competitively light. The air suspensions are

fitted with BPW axles and suspensions will

marketing opportunity

lightweight, but we’ve brought the heaviest

be sold after the event. We intend to keep

for us. It also gives us

version of them here to South Africa, in order

track of who buys each trailer, and cultivate

the chance to show

to compensate for the local road conditions.

relationships with those transporters, in

the industry our intent to support the

Our products are tried and tested. They have

order to provide them with the best after-

market with our product,” begins Cilliers.

been on the market for ten years with slight

sales support possible.

“BPW has been in the country since 1945 – we are not a fly-by-night company. We focus heavily on after-sales service and product support. “In addition, one of our biggest selling points is low cost of ownership, because, even though our products may cost a little more initially, they last longer and result in

“We strive to be system partners with trailer builders, as well as being mobility partners with our end users. That is why our company slogan is ‘We think transport’.”

lower maintenance costs in the long run.

upgrades (all for the better) here and there.

“We strive to be system partners with

We need to communicate this philosophy

Most importantly, they have been adapted to

trailer builders, as well as being mobility

to our end users – the transporters. Truck

suit South African conditions.”

partners with our end users. That is why

Test provides us with an ideal platform to do just that.” The products that will be used on certain trailers during the test are from BPW’s

He adds that BPW is selective about which new products it brings in to South Africa, as ours is a market that is traditionally resistant to change.

our company slogan is ‘We think transport’,” Cilliers concludes. One thing is for sure, BPW is here to stay. The company has managed to steadily grow

standard product line – the ECO Plus

“This year’s Truck Test is of huge interest

its market share over the past 15 years, even

range of rigid axles and the Airlight II air

to us, because it targets the extra-heavy

during the economic crisis. Clearly, it intends

suspensions.

commercial vehicle segment of the market,

to continue doing so – the company’s new

Cilliers explains: “The rigid axles are rugged,

which is where we sell most of our products.

interactive website is just one example of how

have an extremely high load capacity and are

We know that the 16 trailers that have been

it is staying ahead of the game. |FOCUS

16 |FOCUS| March 2015

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TRUCK TEST 2015

Truck Test 2015 is nearly upon us. The vehicles will set off on April 15 for the fourth instalment of this informative event. We talk to Dirk Meyer, brand leader Freightliner Trucks South Africa, for the scoop on the goals and expectations of this newcomer to Truck Test

ays Meyer: “This is the first

FleetBoard

Daimler’s

well-known

the company to combine Mercedes-Benz

Truck Test event in which

telematics service that increases fleet

Financial Services and fleet management

Freightliner will partake. Other

efficiency. With a FleetBoard unit onboard,

products.

Daimler truck brands have

one can monitor the performance of both

entered into other past events, however, and

truck and driver from wherever you are, at

used

performed very well.” He adds that Daimler

any time.

concept launched by Mercedes-

TruckStore, the specialist commercial

vehicle

Trucks takes each and every opportunity

Available remotely on a PC, smartphone

Benz South Africa in 2012,

to demonstrate why it is one of the world’s

or tablet, this data can be used to analyse

is based on the European

leading truck manufacturers.

and optimise the efficiency of an entire fleet.

model. In Europe, TruckStore

“In order to do this, we participate in

“The savings are dramatic as a fleet’s fuel bill

is the number-one address

events such as FOCUS on Transport’s

and maintenance costs can be reduced by

for buying and selling used

Truck Test,” Meyer points out. “This is where

15 percent,” says Meyer.

commercial vehicles. Locally,

commercial vehicles, such as our Freightliner

“Truck Test 2015 is the perfect platform

it is one of the biggest used

Argosy Cummins 500, are tested under

for us to showcase the benefits of our

commercial vehicle outlets

genuine road conditions that they have to

FleetBoard Professional Driver Training

in the southern hemisphere.

endure on a regular basis.”

programme,” Meyer points out. “A thoroughly

TruckStore

offers

This is the vehicle (Freightliner’s best-

trained driver can mean an increased bottom

selection of brands, ages

selling model) which will be put through

line for an operator, and, more importantly,

and types of vehicles – all

its paces in this year’s event. Truck Test

safer roads for all users.”

classified as Gold, Silver or

2015 features extra-heavy commercial

He adds that driver training and skills

Bronze according to clearly

vehicles and this is the only segment

development play critical roles in the effective

defined TruckStore standards.

in which the brand competes. “We are

management of any fleet. “FleetBoard offers

This classification serves as

very eager to demonstrate the abilities

tailored courses and training to achieve this

a reliable confirmation of the

of our product,” says Meyer. “This is

goal, resulting in the optimal utilisation of the

age, condition, mileage and

also a chance for us to publicise our

vehicle and improved efficiency.”

service component of the

value-chain offerings, namely; FleetBoard,

CharterWay – a set of vehicle leasing,

vehicle. The company also

CharterWay, Mercedes-Benz Financial

maintenance and servicing products modelled

offers an extensive range of

Services and TruckStore.”

specifically for the fleet owner – enables

services for used commercial

Put to the

test 18 |FOCUS| March 2015

TRUCK TEST 2015

vehicles such as finance, insurance and

standardised environment – Meyer points

feedback about the conditions in which its

warranties.

out. “The results will assist truck operators

drivers operate, as they spend a lot of time

when making critical buying decisions.”

behind the wheel. “As comfortable and user-

The most important part of Truck Test 2015, however, is the opportunity it

He continues: “We are very close to our

friendly as our cabs are, we are always

presents to demonstrate the performance

existing customers and constantly work on

looking for other ways to innovate further and

of the Freightliner Argosy in a real-life and

improving the performance of their vehicles.

to continue to be leaders.”

This test will allow us the opportunity to evaluate these improvements.”

He adds that the test will also demonstrate just how frugal the brand’s engines are, while

Meyer tells FOCUS that Truck Test is

providing the necessary power for varying

also an opportunity for the company to get

loads and distances. “Apart from achieving exceptional fuel consumption, we are certain that the low tare weight of our product will help to achieve a high productivity factor,” says Meyer. “Venturing into the unknown is what we are most excited about, however, as this is the first time that Freightliner will be competing in the Truck Test event,” Meyer tells FOCUS. “The trucking industry is a competitive one, where the demands and requirements are often highly complex and require solutions that are geared towards vastly improving efficiency, while reducing costs … “Freightliner has a proven product in the market, but it will be very interesting to see how the results compare to the performance figures we have built up over the years.” |FOCUS

March 2015 |FOCUS| 19

TRUCK TEST 2015

Priceless benefit

Engen has been an organising partner behind the Truck Test series since its inception. GAVIN MYERS engages in some questions and answers with Lindsay Bassett, Engen Commercial Fuels key account manager: transport, to understand why participation in the test is so important to the company

hat sort of participation

rely heavily on the service levels that they

when the results are published. This affords

will Engen have in the

provide (including secure parking facilities,

transport companies a clearer picture of the

test this year and which

food offerings, competitive fuel pricing,

performance of the tested vehicles, under

Engen garages will be

and so on) to attract business on to their

controlled conditions, but on public roads.

used?

forecourts. “Word of mouth” references

This can assist them to make more informed

At the moment we will sponsor the fuel. The

are very important in their endeavours and

buying choices.

test is planned to start from Super Park (the

Truck Test 2015 allows these Engen sites

This year’s test, which will include identical

head office of Super Group) in Isando. We’ll

to showcase their hospitality and facilities to

trailers and loads behind the participating

use the Belfast One Stop on the N4 (on both

the transport industry.

truck tractors, will provide an even more

legs) for brunch, with Lebombo Truck Stop

Their prompt and positive responses when

relevant comparison of performance. It is

at Komatipoort being used as the overnight

we approached them to become involved,

extremely important for Engen to be able

parking facility and for refuelling between the

clearly demonstrates their commitment to

to demonstrate our commitment to the

two legs of the trip.

the truckers travelling on the N4.

transport industry (one in which Engen is the

What are the Truck Stop/One Stop

What value does Engen see in the Truck

managers’ thoughts regarding the test?

Test programme?

Retail highway sites, such as Belfast Engen

By far the biggest value that Truck Test

What has Engen learned from its participation

1 Stop and Lebombo Engen Truck Stop,

offers is the information, which appears

in the Truck Test series over the years?

largest supplier of fuel), by partnering with

20 |FOCUS| March 2015

Truck Test 2015.

TRUCK TEST 2015

The camaraderie between truckers and

road conditions, with plenty of significant

the dedication of the original equipment

gradients. It is a route that accurately

manufacturers to produce the best, safest

and realistically represents typical routes

and most fuel-efficient vehicles possible, stand

plied by 6x4 combinations, and will provide

out as features. In addition, the recognition

valuable information on comparative vehicle

that Engen receives from stakeholders within

performance.

the transport industry, has confirmed how

Engen is well represented along the N4

valuable Engen’s support of the Truck Test

route and is proud to be able to showcase

programme is.

two of our trucker-friendly sites.

Have any of your clients ever commented on

How do you think this year’s test will differ

Truck Test and/or your involvement in it?

from the last running of 6x4s in 2012?

Each year, since 2012 when the Truck

The slightly shorter duration and the fact that

Test series began, we have received

Truck Test 2015 will not form part of another

numerous positive comments from many

event, such as the Road Freight Association

of our transport customers. Generally, the

(RFA) Convention back in 2012, will keep the

sentiment is one of appreciation for Engen’s

focus very much on the performance of the

support of what is seen by many transporters

various trucks taking part.

as a true “value-add” to their businesses …

Hopefully, the experience gained by the

the ability to make better-informed choices

organisers since 2012 will ensure an even

on vehicles for specific applications, due to

smoother and more enjoyable two days for

information gathered during the Truck Test

all those involved.

programme.

In addition, the planned “group braai”, at the Komatipoort Golf Club, between the two

Above and below: The last running of 6x4 truck tractors was in 2012, at the inaugural Truck Test series event.

What do you think of the new route this

legs, should be a good opportunity for all the

year?

drivers, support crews and organisers to

The Johannesburg to Komatipoort route

relax and network. Finally, the use of identical

is ideal for this year’s test of 6x4 truck

trailers on his year’s test will, no doubt, make

tractors, because of the length of the route

the comparative performance information

and the fact that it includes a variety of

even more relevant. |FOCUS

March 2015 |FOCUS| 21

TRUCK ????? TEST ????? 2015

Great expectations

Martin Dammann, MD of Hellberg Transport Management (HTM), one of organising partners of the Truck Test series, goes through the finer details of Truck Test 2015 and gives us his expectations for this year’s event

ith over 80 percent of the players in South Africa’s extra-heavy commercial vehicle segment (EHCV) taking part in Truck Test 2015 – entering some 16 vehicles – this will be one of the most representative tests, ever, of what is currently available to the market. According to Dammann, it should also return some neck-and-neck results. “In 2012, we had fuel consumption and productivity differences of up to 15 percent. This year, I expect a difference of less than five percent between the vehicles. The overall performance of all the vehicles should be far more similar than the last time we ran 6x4s in 2012.” There are numerous reasons for this. Dammann highlights the fact that each year the original equipment manufacturers (OEMs) are better prepared, as well as a unique point relating to Truck Test 2015 – the fact that all the gross vehicle mass (GVM) ratings and trailers used will be identical. “The idea of having the same trailers and GVMs for the two categories will level the playing field considerably. In this regard, it’s great having AfriSam, Afrit and GRW on board, making it much easier for the OEMs to participate, as trailers and loads are not their core business. “OEMs will be making far more use of the live tracking information provided by Ctrack, mainly to monitor each other’s progress. With speed playing such an important role in the overall results, they’ll want to make

22 |FOCUS| March 2015

sure they’re making the right decisions,” he As is standard practice in the Truck Test continues. series, HTM’s TransSolve software will provide This time round, the 6x4s will run from simulations of expected vehicle performance Super Park in Jet Park, on Gauteng’s East before the test, as well as corroborating Rand, to Komatipoort near the Mozambique the final results. “We’ll probably simulate at border. The route starts at 1 700 m above different speeds to see how driving technique sea level, going all the way up to around will affect overall performance. We want to 1 900 m at Belfast and then down to 160 m (almost sea level) at Komatipoort. “There’s also a mountain pass at Schoemanskloof, after Machadodorp, which will challenge even the most experienced drivers,” adds Dammann. “The route is also about 150 km shorter each way than the route between Johannesburg and Durban. This means it will be far more manageable to do all the travelling and refuelling in daylight, making it less stressful overall,” he says, noting that the current road works on the route should Vic Oliver (left) and Adrian van Tonder watch closely as Dammann be complete by the time the (right) checks the fuel level of a vehicle during Truck Test 2014. test happens; allowing for a clean run. improve even more on our accuracy, and this Operationally, Dammann says that time we’d like to add in vehicle specs as well,” vehicles will be weighed on the TRAC N4 notes Dammann. weighbridge near Middelburg, to doubleIn conclusion, he says: “This test is really check the weights taken when loading them relevant to the local market – we’re only at AfriSam. The truck tractors will also testing equipment that is readily available be weighed empty so that tare masses can to customers in South Africa. There’s be compared to the manufacturers’ specs … nothing special that will optimise a vehicle’s “quite often a controversial point,” he says. performance in the test.” |FOCUS

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cross border

Burning

borders? Road transport within Africa is no doubt a risky business. With wasted time, incidents of corruption and lost loads and vehicles, it’s expensive, too. One of the ways we can begin fighting this is to sort out the situation at the continent’s many borders. GAVIN MYERS asks how this can be achieved

frica is known for its many

That’s the roads taken care of (at least

when parked in congested areas at the

intriguing cultures, mysteries

in theory), but a much bigger problem is

borders, are an accident waiting to happen.

and legends; untamed jungles,

the border-crossing situation. It’s long been

This was referenced mainly to Beitbridge,

wildlife and waters; searing

said, by many industry players and experts,

between South Africa and Zimbabwe.

heat; bloody conflicts; and relentless health

that Africans are making cross-border trade

Beitbridge has been temporarily spared

epidemics … And, among those in the

and growth more difficult for themselves. As

such an event, and Kasumbalesa was the

transport industry, for the overall shocking

a result of the administrative, bureaucratic

recipient instead,” said Barney Curtis, of the

road network and poor border operations

and/or corruption-based red tape, it takes

Federation of East and Southern African

across its many states.

far too long for vehicles to make their

Road Transport Associations (Fesarta), at

way through the various checkpoints and

the time.

Thanks to much foreign investment, the road infrastructure is slowly being improved (we won’t go into the politics underlying the

“roadblocks”.

“The problem remains and something has

This was highlighted, in November 2014,

to be done about it – either give dangerous-

by a tragic incident at the Kasumbalesa

goods vehicles fast clearance, or give them a

Namibia’s north-south B1 highway, for

border crossing, between Zambia and the

special parking area. We know that borders

instance, has recently been in the news for

Democratic Republic of Congo (DRC). A fire

are congested and space is at a premium,

a N$ 239-million (R238,7 million) contract

broke out when two tankers collided on the

but the stakes are too high to not make some

awarded to Aveng Grinaker-LTA to upgrade the

DRC side of the border post. Gasoline from

concessions,” he continued.

stretch between Windhoek and Okahandja.

one tanker leaked out and caught fire when it

subject).

Following

the

incident,

numerous

It is said to be one of the most dangerous

made contact with a wood stove in a nearby

roads in that country and is being upgraded

kitchen. Over 200 trucks were parked in

“The scale of this disaster is a wake-up call

to a dual carriageway. There will be two

the area at the time, 48 of which were

for all of us involved in moving freight across

interchanges; each with a north- and south-

subsequently burnt out. Four people died.

borders, whatever our role, and I believe

bound bridge, and a service road is also being constructed.

24 |FOCUS| March 2015

transport bodies added their opinions.

“It has been stated on many occasions,

that the implications must be dealt with at

that vehicles carrying dangerous goods,

all levels. In my view, it warrants a special

cross border

meeting of corridor institutions, transporters

this, which could have been avoided, to make

transporters at the border posts and dry

and border agencies, among others, to put

governments sit up and take notice. It will be

docks as convenient mobile warehouses?

urgent measure in place to minimise the

interesting to see the outcome.”

Once the goods are sold or required for

risk of this kind of situation being repeated,”

Reed outlines some practical steps to

delivery, they are conveniently released. The

notes Barbara Mommen, CEO of the Maputo

improve the situation: “The bottom line is that

distributer is thus not out of pocket as far

Corridor Logistics Initiative.

vehicles should not stand at any place, being

as duties are concerned. The money is

a border post or a dry dock. Vehicles should

already in the respective distributers’ bank

arrive and depart.

accounts – at the cost of the transporter

“The idea would be to pressure our respective governments to stick to relevant agreements pertaining to the transport of

“Standing time costs money, increases

dangerous goods, and to ensure proper

the opportunity for theft and hijacking, and,

Both parties aim to promote dialogue and

implementation of these agreements and

therefore, inflates transport costs, not to

support regarding these key issues, but red

relevant legislation.

mention the lack of facilities that lead to

tape is again getting in the way. Following

major health hazards for drivers and related

the fire incident, Curtis stated that an official

people.

investigation was to be set up, and that

“In addition, to implement, as a matter of urgency, special measures for the handling

…” he notes

of dangerous-goods vehicles at our border

“Border posts and dry docks should be

Fesarta would follow the matter closely and

posts. It is imperative, too, that the ministers of

operated on a risk-management basis only,

work together with its member national road

transport of the region provide the necessary

not as a holding pen. There should be no

transport associations to determine the best

political support to ensure that this is not

reason, whatsoever, why a vehicle departing

way to avoid similar occurrences.

repeated ever again,” she continues.

South Africa for the northern territories

At the time of writing, the Federation

Harold Reed, executive member of

cannot proceed directly to the offloading

had not received any feedback. FOCUS

the Transport Operators Association of

point, with minimum delay, when it arrives

also approached the Cross-Border Road

Zimbabwe, says that the streamlining of

in that territory. With today’s modern

Transport Association (CBRTA) for comment,

the logistics chain needs urgent attention

technology, the duties, and any other

but at the time of writing had received only

by African governments. “I have made this

requirements, should already be in place and

promises of feedback.

clear at every Southern African Development

the loads pre-cleared.

Community (SADC) and regional meeting that

“The question that should be raised is:

I have attended. Maybe it takes a disaster like

Are the respective clients not using the

We look forward to hearing back from all parties concerned, and bringing you an update. Our region depends on it. |FOCUS

March 2015 |FOCUS| 25

BUDGET REVIEW

Not disastrous, but could be better

On February 25, Minister of Finance, Nhlanhla Nene, delivered South Africa’s annual budget speech to Parliament in Cape Town. Azar Jammine, director and chief economist of Econometrix, offered some interesting analyses of what was said. CLAIRE RENCKEN reports

s it does every year, Econometrix held its 30th annual budget conference, in Sandton, the day after the speech was delivered. This year’s conference was sponsored by Business Report. The figures that are sticking in everyone’s minds are a one percent tax hike for all, an overall 80,5 cents increase in fuel levies (the general fuel levy will increase by 30,5 cents per litre and the Road Accident Fund levy by 50 cents per litre), and an overall growth forecast of two percent for 2015 (revised down from an expected 2,5 percent in October last year), which will hopefully rise gradually to three percent by 2017. What does all this mean? Is our country doomed, or is there a dim light flickering at the end of the tunnel? “The economic situation in which South Africa finds itself is not entirely of the country’s own making. Our economy is very closely linked to the world economy. With commodity prices being depressed, our exports have been negatively affected, and, therefore, so has the government’s revenue. “However, what is cause for concern is that our country’s trend of rising debt is worse than those of other emerging economies. About 60 percent of our problems can be attributed to domestic factors,” says Jammine. He continues: “Even though there has been a bit of an economic recovery after last year’s

26 |FOCUS| March 2015

debilitating strikes, what is worrying is that private sector capital investment has turned negative over the last year, due to a lack of confidence in our economy.” Then, there is of course the fear that electricity outages will damage our growth going forward. “I don’t want to overstate the effects of load shedding. I think the government has been realistic in its forecast, and has factored the effects of load shedding into its calculations. However, some businesses in the private sector believe that if load shedding intensifies, economic growth will be even lower than two percent, and have, therefore, predicted their growth to be a more modest one to 1,5 percent,” explains Jammine. “Another area of concern, is that, while Nene spoke about the funds that will be allocated to education, healthcare and safety and security, what is often overlooked is that more and more of the government’s budget is actually being devoted to serving the country’s debt, and proportionately less is being spent on these basic social services,” he points out. So, what might the future hold? “Make no mistake; things are going to be tight for a good few years. Fiscal austerity is going to be needed if the government is to stop its debt levels from rising. Over the next few years, we may see the introduction of wealth taxes (which will be based on assets rather than on income), and value-added tax (VAT) will go up.

“In terms of the cost of fuel, even with the increase in the fuel levies and the imminent increase in the fuel price, we should still be paying less per litre than we were this time last year,” Jammine reckons. As for the currency, he predicts that we’ll be looking at much the same trend as the last few years, with the rand continuing to gradually depreciate, without any major collapses in currency. “It’s hard to draw an overall conclusion about the budget speech,” says Jammine. “Some of it was good, some of it wasn’t. It was a bit of everything. Nene was caught between a rock and a hard place, and he did what he could under the circumstances, but it was nothing great. There is a lack of trust between the government and the private sector, and if we’re going to save this sinking ship, better coordination and cooperation between the two are vital.” He adds: “What’s more, we’ll need bold, decisive leadership going forward. Otherwise, we’ll just continue to trudge along at two to 2,5 percent growth over the next few years, which isn’t a disaster, but it could be so much better.” Jammine concludes: “On the upside, international investors seem to be gradually regaining a little bit of confidence in our economy, which will help us to start consolidating our expenses.” |FOCUS

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FINANCE AND

INSURANCE

Triumphing over

tough times?

Some say that the world is overcoming the effects of the recent recession, while others warn that we shouldn’t jump the gun … One thing is certain – it has changed how business is done. We take a look at how the commercial-vehicle finance and insurance industries have been affected

he recession, or the general

first step in order to create sustainable, long-

“This emphasises some very important

economic decline, that hit the

lasting transport solutions.”

parameters such as one customer one

world markets around the end

same

account, dedicated customer approach

of the first decade of the 21st

time, due to the perceived high risk to the

and focus on total operating economy when

century (its exact scale and timing is still being

financial market, customers and banking

offering Scania products, services and

debated), varied from country to country. Its

institutions suffered from lack of access to

finance/insurance. No silos, no politics, no hot

affects rocked the world, however.

financial resources and liquidity during the

potatoes … ”

In terms of overall impact, the International

Novotny

continues:

“At

the

crisis years.”

He adds that Scania believes this holistic

Monetary Fund (IMF) concluded that it was

He emphasises that this wasn’t an

strategy will help its customers to become

the worst global recession since the Second

easy situation. “It created a shift, however,

more profitable, more efficient and spend

World War.

where customers turned to alternative

less time and effort on administration and

“In general, there is always a flipside

means of finance, such as finance provided

operating processes – “so that they can focus

to the coin,” says Petr Novotny, managing

by original equipment manufacturers,

on the core areas of their businesses”.

director of Scania Finance and Insurance. “The

leasing and insurance solutions,” Novotny

aftershock has led to a search for efficiencies

tells FOCUS.

So the recession wasn’t all evil, necessarily, but it did leave its mark … “The market

within the commercial automotive sector. This

“This alternative to the traditional financial

recovery was relatively quick in terms of

directly influences all parts of the value chain,

institutions helped to ease the tough market

volume, but other areas took far longer to

to which the finance and insurance business,

situation and increased market liquidity in the

recover,” Novotny points out. “Prices of used

undoubtedly, belongs.”

automotive business sector.” It also led to a

vehicles, for example, remained at lower levels

number of benefits for the commercial vehicle

for years.”

He adds that operators also became more eager to understand the total cost of

market …

He continues: “Higher market risk had a

operation and total operating economy of their

“Scania Finance and Insurance offers a

negative effect on the levels of lease payments

fleets. “These areas are crucial, and are the

flexible and customer-need-based approach,”

to logistics providers, and consequently, on total

28 |FOCUS| March 2015

FINANCE AND

INSURANCE

Petr Novotny, MD Scania Finance and Insurance, says that involvement with transport companies has allowed financial institutions a better understanding of operators’ risks and rewards.

cost of operations. The financial sectors are now much better prepared to tackle financial or operational rises, due to active involvement with the transportation companies and better understanding of rewards and risks in the commercial vehicle operations.” This is a good thing, as 2015 might have its own challenges in store … David Molapo, head of fleet management at Standard Bank, says that heavy economic storm clouds lie ahead for the South African fleet industry in the coming year. “The good news is that many local fleet operators have not yet begun to fully utilise the modern tools and technologies that can help them to weather the storm.” He adds that those that have already implemented precision-management tools (not only the latest vehicular technology and telematics, but also management systems and services) are set to increase their competitive edge as South Africa enters a turbulent economic year. “South Africa’s recent credit rating downgrade by Moody’s, from Baa1 to Baa2, combined with the end of quantitative easing, and the start of rising interest rates in the United States, is pushing down local business confidence,” Molapo points out. These conditions are doing no favours to key sectors, such as manufacturing, and 2015 could possibly see South Africa lose further vehicle production contracts, among others, to more competitive manufacturing economies. “Under current economic conditions, fleet managers are also given little time to plan for expanding their fleets, because new contracts tend to come in sporadically,” says Molapo. “As a result, mistakes, such as buying the wrong

reports, is available to fleet owners who take

expect further integration with the automotive

type of vehicle for the job, tend to increase.”

the time to access it.

value chain, resulting in more efficient

He adds that fleet managers need to

By analysing fuel consumption and

budget for an inflation level of at least the

comparing it to national averages, for example,

processes and higher value offerings to end

current six percent. “Despite the gloomy

faults in vehicles, as well as driver behaviour,

“I think we will see a shift towards

outlook, fleet managers can ride out the year

can be picked up. The resulting incremental

transporters buying transport capacity at

and emerge with a stronger, more efficient

savings could result in huge efficiencies, which

a fixed fee,” he continues. “In this solution

fleet – provided they fully embrace the systems

give the fleet a competitive edge in difficult

you have the whole package: full vehicle

and methods available on the market.”

economic circumstances.

maintenance including; parts, insurance,

customers,” Novotny tells FOCUS.

One of these includes Standard Bank’s

“The range of precision-management tools

finance, fleet management systems and driver

fleet card, which is vastly underutilised. Many

available to fleet managers is unprecedented,”

support … with a predefined uptime guarantee

fleet owners are simply “convenience users”

says Molapo. “On the technological side,

at a fixed rate per kilometre or tonne.”

and implement only one of the advantages –

telematics can now give detailed analysis of

the fact that they no longer have to give cash

vehicle performance and driver behaviour.”

to drivers to fill up. Meanwhile, a huge amount

The future also looks promising for the

of information, in the form of automated

finance and insurance industries. “I personally

Novotny points out that transporters need only add drivers’ salaries and the cost of fuel to total cost of operation when calculating cost per kilometre. |FOCUS

March 2015 |FOCUS| 29

focus on tyres

BRIDGESTONE COMMERCIAL

is born!

Bridgestone, a household name within the transport industry, is now focusing on the commercial tyre business like never before – with the formation of an all-new company

he Bridgestone name is far from new to South African truckers. On a global front, the name has existed since 1931, when founder Shojiro Ishibashi established the business. Incidentally, the company name comes from an English translation of his surname. The company has been active in the South African market since the proverbial pa fell off the bus. It has done much more, however, than just sell tyres. For instance, Bridgestone was integral to the formation and success of the Caring Truckers Aids Drive, a charity administered by Charmont Media Global. The Caring Truckers Aids Drive was initiated in 2000 by FOCUS in conjunction with Bridgestone. In fact, the charity – which has had a huge impact on Aids orphans in South Africa – was the brainchild of Bridgestone’s Shaun Wustmann. Thanks to his inspiration, the Salvation Army recently received a Mazda5. The vehicle was handed to the Ethembeni Babies Home in Johannesburg, and the team

30 |FOCUS| March 2015

there was ecstatic with the new set of wheels. This haven for abandoned babies, some of whom are HIV/Aids-infected, was in dire need of a vehicle to ferry babies and toddlers, particularly those who need antiretrovirals (ARVs), to hospital. The company has now decided that the time has come to truly make its mark on the commercial truck tyre market. And, on March 2 this year, a new company was created within the Bridgestone Group; Bridgestone South Africa Commercial, which will specifically handle the sales and distribution of all new and retreaded truck, bus and earth-mover tyres. Bridgestone SA CEO, Mike Halforty, is upbeat about prospects for the new company. “Bridgestone Commercial will ensure our customers have the peace of mind of knowing they are dealing directly with Bridgestone. It will also allow us to consolidate our branding position and provide closer customer support, as well as position us for growth in the commercial market,” he adds.

Halforty has announced that Bridgestone Commercial will be led by Dries Lottering, in his capacity as managing director. “Dries has been with Bridgestone for many years and has extensive experience of the challenges faced by our commercial tyre customers,” notes Halforty. The launch of Bridgestone Commercial also sees selected Supa Quick outlets offer commercial tyres and services. Halforty comments that this move will result in closer ties with commercial customers, and explains that the accredited outlets will also be able to supply commercial retreads manufactured according to the South African Bureau of Standards (SABS) specifications. Bridgestone’s commercial tyres are already highly regarded, with the company having won “Best Tyre Brand” at the FOCUS ON EXCELLENCE Awards. “The time was right to ramp up our commercial operation to a new level,” Halforty says. “I’m certain that Bridgestone Commercial is going to set ever-higher standards in this segment,” he concludes. |FOCUS

Sync - 10715 - Focus

??????? ???????

RECYCLING DOWN TO AN ART Bandag have been specialists in recycling since 1957. Bandag’s cold retreading process is not only reliable and economical, but also aids in keeping tyres out of landfills thereby protecting the planet. Combine this with Bandag’s ISO 14001 environmental accreditation, and it becomes clear why using Bandag gives fleets and the environment the advantage. That’s what we do. Tel: +27 11 439 6000, Fax: +27 86 682 7027, e-mail: info@bandag.co.za or visit www.bandag.co.za

March 2015 |FOCUS| 31

focus on tyres

To reuse or recycle, that is the question

What is being done to counteract the negative effect that used tyres have on the environment? With different entities sharing one goal, there might be hope after all – Deon van der Walt finds out more

yres are, arguably, one of the

the framework of “global warming”. What

to Redisa, there is a growing demand for

most crucial components of

happens to these tyres when they are no

waste tyres that can be recycled and used

any motor vehicle. A passenger

longer usable?

to manufacture products made from the

vehicle’s safety depends on its

Annually, South Africa adds 11 million

tyres being in good condition, while tyres

tyres to already problematic landfills and open

can have a direct impact on a commercial

areas. Designed to be extremely durable,

With 34 operational depots in all nine

vehicle’s productivity.

tyres are notoriously difficult to recycle and

provinces, Redisa created 1 617 jobs and

take very long periods (up to 50 years) to

collected 81 542 t of waste tyres in the

biodegrade.

period from December 2013 to December

The mid-nineteenth century was the Genesis for the tyre as we know it today,

rubber, steel and textile derived from the processed tyres.

when Charles Goodyear invented vulcanized

Instead of just discarding the bald, worn-

rubber, which would later become the

out rubber to disintegrate, recycling or

Director Stacey Davidson says that Redisa

rubber used for the earliest tyres created

reusing will help save the planet – one tyre

is not a recycler, but supports companies

by inventors with similar, yet very different,

at a time.

that recycle and process waste tyres into

ideas. Since then, all road transport has become reliant on tyres. This poses an important question in

32 |FOCUS| March 2015

The Recycling and Economic Development

2014.

saleable products.

Initiative of South Africa (Redisa) plans to

“Our support ranges from business plan

clean the country of tyre waste. According

development, to assisting with environmental

focus on tyres

impact assessments. We offer regular

2 500 m² factory and a 1 000 m² warehouse,

application, timeous tyre removal and a proper

delivery of waste tyre feedstock to all recycling

and will feature modern equipment worth

tyre inflation maintenance programme.

companies that are registered with Redisa,”

R20 million.

says Davidson.

“Modern premium-quality retreads are on

Bandag (which has been operational in

par with new tyres and will almost certainly

One such operation is the joint venture

South Africa for more than 40 years) offers

outperform budget tyres. With its multiple ISO

between the Mathe Group, based in KwaZulu-

an alternative solution to cut down the ever-

certifications, Bandag is making sure that the

Natal, and PFE International. These two

increasing number of waste tyres – in the

manufactured product has the highest level of

organisations plan to build a multi-million

form of retreading.

conformity and reliability,” continues Naik.

rand rubber crumb manufacturing facility in

“Retreading as a discipline is the first

Bandag offers a guarantee on its

step in recycling efforts. With retreading

products with a further guarantee against

PFE

you extend the service life of tyres, thus

faulty workmanship or defective materials

International, says that the new facility will be

reducing tyres at landfills. In this way, the

used; helping to reduce the impact of waste

home to the Mathe Group, and is one of only

legacy scrap pile of tyres can be worked

tyres on the environment, for a sustainable

two KwaZulu-Natal companies registered

through the government’s recycling efforts,

future. |FOCUS

with Redisa.

which Bandag fully supports,” says Bandag

Hammersdale. Mehran

Zarrebini,

head

The Mathe Group, which currently

marketing manager Monal Naik.

*Deon van der Walt is the South African Guild

Bandag has a strict set of criteria to

of Motoring Journalists’ bursar student. He

with

optimise the retreadability of truck tyre

recently spent a month with FOCUS, where

the new manufacturing facility. Due to

casings. These include: the selection of

he was exposed to the local commercial

be commissioned in April, it consists of a

the correct tyre/casing for the desired

vehicle industry.

recycles tyres at an 850 m² factory, will significantly

increase

productivity

March 2015 |FOCUS| 33

SUPPLY CHAIN MANAGEMENT

Wanted: more skilled personnel

Skills shortages continue to bedevil the logistics and supply chain industry. MARIO LANDMAN, head of the Institute of Logistics and Supply Chain Management, elaborates

ogistics

and

supply

chain

management practitioners are

be incapacitated without these skills and

and soft skills, but also work experience –

services.

especially if they want to progress in their

reporting shortages of up to

Every year, investment in the road, rail,

careers, and use the benefits of the changes

64 percent in positions that

port and airport infrastructures continues

in the industry to the advantage of their

require a bachelor’s degree. Even at

to be a high priority with billions of rand

organisation.

operational level, where candidates need

invested in various projects in these areas.

Soft skills are of such importance to

a grade 12, a post-school certificate

In 2013, logistics costs were estimated at

the industry that surveys, conducted by

or a diploma, companies experienced a

R423 billion, and have grown significantly

the University of Johannesburg, found that

27 percent shortage in 2013.

over the last four years, when measured

practitioners place these skills, particularly

In South Africa today, the skills shortage

as a percentage of transportable gross

customer-focused management, well ahead

is the fourth-highest supply chain constraint.

domestic product (GDP) – primarily due to

of the required hard skills.

This is according to the Council for Scientific

fuel increases.

Students,

however,

prioritise

such

and Industrial Research (CSIR)’s tenth Annual

Developing efficiencies within end-to-

skills much further down their lists. This

State of Logistics Survey for South Africa

end supply chain integration is now critical

discrepancy could be accounted for by the

(2013), which reports that the lack of skilled

for strong financial performance, and to

lack of real-world experience in the industry

personnel, at all levels, continues to be a

mitigate the effect of volatile fuel costs.

on the on the part of the students. However,

major concern to the performance of supply

Thus, strategically, investment in logistics

it does create a gap between the needs of

chain management.

and supply chain management skills would be

employers and the skills pool available.

It is a challenge that affects virtually every

a vital contributor to a profitable bottom line.

Such a gap results in many candidates,

one of South Africa’s key economic drivers.

In such a rapidly developing and changing

despite having degrees, not being fully

Industries such as mining, manufacturing,

industry, skilled practitioners require hard

qualified for a position – especially when

retail and farming, for example, would

skills (traditionally taught academically)

they look to move into the more tactical and

34 |FOCUS| March 2015

??????? ???????

Future-proofing our clients supply chains

Smart stands for sustainable, measurable, adaptable, resourceful and transformational solutions. At Barloworld Logistics, we go to great lengths to design, implement, operate and manage smart supply chain solutions.

Simply put, ethical, economical and environmentally friendly solutions. Solutions that reduce costs, increase efficiencies and improve carbon footprints.

With innovative software and cutting edge technology weâ&#x20AC;&#x2122;re able to track, monitor and measure the impact on the environment at every turn.

Our culture of operational excellence enables us to find new ways to minimise waste while maximising productivity, profitability and performance.

While world-class corporate governance and global best practices ensure we create a sustainable future for our clientsâ&#x20AC;&#x2122; businesses as well as our own. A

To see how our smart supply chain solutions can improve your triple bottom line, call Mike Fanucchi 011 445 1600.

www.barloworld-logistics.com

March 2015 |FOCUS| 35

SUPPLY CHAIN MANAGEMENT

strategic roles of supply chain management. It is at this juncture that the industry runs the risk of losing skilled candidates to other courses and even careers. While many industry practitioners do recognise the need for more skills and believe further qualifications (such as a National Diploma or Bachelor of Business Administration degree) could help them, very few are able to take these traditional routes through academia, due to financial constraints and those of their working environment. For instance, attending regularly scheduled classes can be difficult for a practitioner with the type of work schedule common in the logistics industry. The traditional distancelearning alternative is also not viable, as this often does not offer appropriate support. It is this gap that needs to be filled by more responsive professional certifications, graduate training programmes and vocational associations. While the South African Production and Inventory Control Society (SAPICS) Operations Management Body of Knowledge Framework (OMBOK) found that the quality of tertiary degrees in the field was on par with other countries, and adequately taught the hard skills, professional certifications and membership of professional associations lagged behind â&#x20AC;&#x201C; and it is through these institutions that a better understanding of the soft skills could be developed. In response to these insights, the Institute of Logistics and Supply Chain Management (ILSCM) has developed a number of accredited qualifications that offer relevant, flexible education solutions. Dedicated to the industry and with a depth of research resources, the ILSCM is able to respond to changes and developments quickly, to the benefit of their graduates, practitioners and the industry as a collective whole.

The pulse of Africaâ&#x20AC;&#x2122;s supply chains

Although quantitative research is yet to be published about the impact these courses are having on the industry, ILSCM graduates, and

The

37th

annual

management

companies partnering with the ILSCM, have

conference and exhibition will be

professionals. The conference

reported an overall improvement in relevant

held from May 31 until June 2, at

offers practical and relevant

skills, particularly soft skills.

Sun City. SAPICS is the premier

information through educational

Indeed, empirical evidence is showing that

educational

presentations, case studies and

partnering with education providers is a highly

interactive workshops.

effective route for companies seeking to build

and

SAPICS

networking

event in Africa for supply chain

and

operations

their skills capacity and improve their overall performance. |FOCUS

36 |FOCUS| March 2015

??????? ???????

Exhibition Focus Areas Automechanika Johannesburg represents the ideal opportunity to:

6 – 9. 5. 2015 South Africa’s Leading International Trade Fair for the Automotive Industry targeting Trade Visitors from the Sub-Saharan Region

Showcase to the automotive aftermarket in a face-to-face environment where visitors can experience your products or services first-hand. Generate sales leads, advance the sales cycle and close sales Build relationships with prospects and meet new industry role players Cross-sell existing clients by informing them of products or services they may not be aware of Recruit new clients and distributors Build your brand and increase market awareness of your brand Launch new products/services or new applications and enhancements of your existing products/services.

www.automechanikasa.co.za Cement your position as an industry leader by entering the Innovation Awards staged alongside Automechanika Johannesburg. Open to entries demonstrating the latest technological advances and innovations the Awards provide a foretaste of the automotive aftermarket of the future. Enquiries: Wynter Murdoch – wynter@thefuture.co.za

Register for the Truck Competence listing and display the decal on your exhibit stand to demonstrate your capabilities in the commercial vehicle sector. Covering the entire value chain of the commercial vehicle aftermarket from parts and components to specialist workshop and collision repair equipment the Truck Competence programme recognises the important role of the commercial vehicle sector. Enquiries: Philip Otto – amsa@sashows.com

Planning of the Automechanika Academy programme is underway in consultation with industry associations and organisations. The programme of conferences, workshops and demonstrations is designed to keep you updated on the latest trends and technologies in the industry. Enquiries: Robert Kaiser – robert@automechanikasa.co.za

Entry into the Automechanika Green Directory celebrates the contribution your company is making to safeguard the environment. Companies exhibiting technology, products and services which are environmentally friendly and sustainable appear in the special green directory listing enabling visitors to easily locate environmentally friendly products and solutions.

Automechanika Johannesburg is licensed to SA Shows Messe Frankfurt

Enquiries: Robert, Perusha or Tina Tel: +27 11 494 5003 | e-mail: amsa@sashows.com

www.automechanikasa.co.za March 2015 |FOCUS| 37

supply chain

Ray Singh – managing director, customer solutions development at Unitrans, talks about innovation in the supply chain solutions industry

he supply chain solutions industry has grown in prominence with the expansion in global trade over the last 20 years. Trade flows have lessened in the wake of the recession and the net result has been that all major multinational businesses now understand the importance of an innovative supply chain strategy. In the current climate of economic decline and crisis, however, the supply chain business environment, across the world, has been an unforgiving one over the past few years. In recent times, the dramatic drop in trade volumes has been coupled with huge volatility in fuel prices and increases in commodity prices across the board. Times are tough! In response, the realisation in most boardrooms is that the supply chain is a key element of business strategy and success, and that an innovative attitude to supply chain management is vital to the resilience and sustainable profitability of the business. This is where innovative supply chain partners come into their own, and this supply chain innovation space is the one in which Unitrans plays. Unitrans is one of South Africa’s largest and most successful international companies engaged in the design, implementation and ongoing provision of innovative supply chain solutions. The Unitrans business has a major African focus, with operational presence and thriving customer projects throughout southern Africa, in key industry sectors such as mining, fuel, chemicals and gas, agriculture, construction and fast-moving consumer goods (FMCG).

The strength and reliability of the Unitrans business comes from its core assets – among them over 9 800 employees in ten countries, 330 000 m² of warehouse space and a total fleet of over 3 000 vehicles. These assets are put to use on behalf of clients in areas such as transportation, warehousing, distribution and freight forwarding. The business also focuses on specialised solutions in the industries in which it operates, where its expertise and long-term relationships have added value to its clients for decades. The Unitrans commitment to business innovation is key to adding value and adapting to challenging circumstances in all its core industries. The FMCG industry, for example, is one of the most competitive sectors in the market with regard to transport costs. Unitrans has been working with one of South Africa’s biggest international retailers since 2009 and currently fulfils the role of chief third-party logistics provider (3PL) for its distribution operation based in Gauteng, which also services cross-border operations to Botswana, Lesotho and Swaziland. The Unitrans fleet for the retailer stands at 241 vehicles, with around 610 drivers travelling an estimated 26 million kilometres per annum! Adding value for the client means thinking innovatively about the 3PL processes in place, and making them more efficient and effective in the overall management of the FMCG supply chain.

In the mining sector too, Unitrans has an unparalleled track record of load and haul and related services for many established clients. Here, innovation to continuously improve transport and supply chain operations is extremely important to the client’s profitability. Unitrans responds to this need by adding value to the core supply chain function in the mining sector’s load and haul operations. Innovation here has been focused on developing high-payload road trains using Performance Based Systems (PBS) and the Road Transport Management System (RTMS). Unitrans is now the biggest operator of road trains in Africa.

Unitrans; the byword is Innovation

38 |FOCUS| March 2015

supply chain

The road trains operated by Unitrans have a wide range of supply chain benefits. They can legally and safely increase payloads by up to 16 percent, since the trains are over 40 m long, with a payload of up to 122 t in four side tippers. They reduce fuel consumption per tonne distributed, as with greater payloads comes less need for additional fleet, and fewer trips. As a result, the road trains deliver better fuel efficiency than standard 56 t road legal trailer combinations. The reduction in fuel usage, per tonne of product transported, translates to substantial reductions in CO2 emissions – a factor crucial in communicating the value of sustainability initiatives to mining company stakeholders. Unitrans has 30 heavy-duty road trains in operation across southern Africa, which

include 16 new-generation road trains in the mining sector. An important focus for Unitrans, currently, is the intellectual capital value that it can add to these industry service offerings in a challenging global market. These include: • Network design; • Warehouse design and efficiency; • Inventory optimisation; • Distribution optimisation; • Transportation planning and execution. In each of these areas, Unitrans offers its clients a dedicated consulting team, which is involved in every phase of any supply chain solution, from design through to implementation, thereby ensuring seamless integration of planning with execution.

The business model employed by Unitrans is one guided by the intellectual capital and solution innovation at work in the business. In all of these supply chain areas – whether in networks, the warehouse, inventory or distribution – a solution design phase is followed seamlessly by implementation and management of the solution – incorporating specialised skills, methodologies and change management processes – to ensure optimisation. Unitrans continually goes beyond its contractual obligations, in looking to add value for its clients at every phase of the solution process. The company’s track record in its key industry sectors speaks to the success of the approach – one that is even more necessary in these challenging economic times. |FOCUS

March 2015 |FOCUS| 39

rail

Back on the

rails?

It’s said that South Africa’s rail industry is but a shadow of its former glory; volumes have remained flat over the past 20 years and many lines are in a state of disrepair. Our country’s rail industry is, however, not a lost cause …

outh Africa’s rail industry often receives criticism with regard to its operational standards and

infrastructure

(which

isn’t totally unfounded). The industry does, however, have its highs … A range of triedand-trusted F18 low-friction brake blocks, which have been used on goods trains across Africa since first being launched locally in 1967, are set to be introduced to the North American and European markets by DCD Metpro, a local on-tread, composite railwaybrake-block manufacturer. “Despite the fundamental design remaining unchanged for decades, the F18 range continues to be the most popular solution in Africa,” says Hlayisani Matelakengisa, DCD business manager for the rail and industrial division. “The only aspect of the design that has changed is that asbestos was removed from the composite in 2000; for health and safety reasons. The continued success is testament to our capabilities, which we plan to extend by testing for the North American

40 |FOCUS| March 2015

and European markets in the foreseeable future.” He adds that DCD Metpro has already achieved measurable success in international rail markets, particularly in Australia, through its ARG range of high-friction brake blocks. These are based on the same concept as the F18s, but designed for use in higher speed and friction applications (such as passenger train and transportation motor coaches). “The ARG range was launched in 2005, and is designed and manufactured specifically for the Australian market,” Matelakengisa points out. “Since its launch, this range has proved to be more cost-effective than any competitor product in Australia. Bearing this in mind, plans for expansion of the ARG range into new regions are currently being considered.” DCD Metpro boasts the capacity to manufacture up to 720 000 on-tread railway brake blocks and 1,4-million brake-blockbacking plates per annum. The Pretoria-based company currently manufactures 30 products for passenger, freight, locomotive and mining railways.

“DCD Metpro is well positioned to double its output without further investment,” says Matelakengisa. “In light of this, we will also focus on long-term expansion in Brazil, Russia, India and China (BRIC countries) – where South Africa is a strategic trade partner.” The rail industry isn’t only expanding abroad, however, Plasser South Africa and Gulfstream Energy are keeping our country’s railway infrastructure in motion … “An essential part of our service business is the maintenance of railway lines across the country,” says Deon Hellberg, financial director, Plasser South Africa – local partner and agent for Plasser & Theurer (a heavy, on-track maintenance machinery designer and manufacturer). From the manufacture and supply of new machines and spare parts, technical support, major component overhaul and machine refurbishment, through to regular maintenance, Plasser South Africa ensures the ongoing operation of South Africa’s railway transport system. “It’s a challenging business and one which demands operational efficiencies across all stakeholders and preferred suppliers,” says

RAIL

Hellberg. Key to Plasser South Africa’s ability to deliver service and maintenance, anywhere it is required, is the guaranteed supply and delivery of quality fuel products. “We use, on average, about 40 000 litres of fuel per month, with each delivery requiring anything from 10 000 to 20 000 litres,” continues Hellberg. “In addition, with no fixed depot of our own, the supply of fuel ‘on the move’, to whatever location we require, is critical.” The supply of fuel is a volumebased business, however, it is not always economically viable for larger players to deliver smaller quantities. Plasser South Africa found itself in this position with its previous supplier (a major oil company), which was not able to supply the required volumes to the remote areas in which Plasser South Africa operates. “The consequences of this are huge,” Hellberg points out. “Reliable access to fuel is critical to our service delivery. Without it we are incapable of meeting our service agreements.” Delayed deliveries result in problematic downtime, leading to both a loss of productivity and unnecessary costs, due to machines and maintenance personnel left idle for several days in remote locations. Consequently, Plasser South Africa began researching alternative fuel suppliers …

This led the company to the petroleum solutions provider, Gulfstream Energy. “After discussions with Gulfstream in 2010, we embarked on an initial test run of a few shipments, after which it was appointed as our preferred fuel supplier,” explains Hellberg. Shane Jegels, chairman and CEO of Gulfstream Energy, adds: “We believe in ‘making business easy’. In the case of Plasser South Africa, we understand that reliable access to fuel is essential to the smooth running of daily operations. To this end, we are committed to doing everything possible to ensure timeous delivery of fuel, thereby avoiding unnecessary downtime and breaks in productivity.” Orders are placed electronically with Gulfstream, which is currently delivering approximately 40 000 to 50 000 litres of fuel per month. “It’s seamless and smooth,” continues Hellberg. “Prior to delivery,

Gulfstream requests GPS coordinates to confirm exactly where supply is required, and then arrives on time every time.” He adds that there are definite advantages to dealing with an independent wholesaler, such as Gulfstream. “Unlike bigger corporates, management is directly involved in daily operational issues. We have a direct line to any member of the team, irrespective of seniority, whenever needed.” “It’s a win-win relationship,” adds Jegels. “We look forward to working with Plasser South Africa as it services our country’s railway infrastructure for many years to come.” South Africa’s rail industry certainly isn’t a lost cause. It is setting its sights on overseas markets and is forming smart partnerships to keep the locomotive wheels turning … but only time will tell if it’s getting back on track, or if there will remain reasons to rail against this transport mode. |FOCUS

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hree Kamaz pilots on the podium and another Kamaz truck in fifth position in the final ranking. Did you expect this result before the last Dakar? We worked hard to get good results, but no one imagined that we will have three places. We never try to predict events. The most important thing for us is stable driving.

We also have a very nice, fast truck. We’ve used new Liebherr engines to comply with Dakar regulations. We do not have much experience with these engines, but all the improvements and modifications that have been made by our engineers show that we are moving in the right direction. I should also note “the Chagin factor” in our success. His experience and advice are crucial.

in the mountains, when we rose in height. The special stage started at an altitude of 3 500 m and we rose up to 4 500 m. Breaking the engine was a big risk, so we had to check all the parameters even more carefully. It didn’t affect our physical state, as we trained a lot before the rally. The pace of this year’s rally surprised me. From the very beginning the first 15 trucks

What are the reasons for this stellar performance? Is it mainly due to the trucks, the team, the tactic of your team manager Vladimir Chagin, or the reliable Liebherr engines? All these factors are very important. First, we are a team. We work together as a harmonious mechanism; our work is well coordinated. We work for a common goal and not for an individual result. The second reason is very good preparation of the trucks, but again, this is thanks to the team – specifically our mechanics and engineers.

Tell us the story of your Dakar this year. Was it easier or more difficult than the 2014 rally? What were the most difficult and demanding stages? I remember a marathon stage that we drove for the first time. Eduard Nikolaev and I already had experience of stages such as this from when we were crew mechanics. It was important not to break the car and still show good results, as we had no help from our assistance crews that day. Dakar is always very difficult. The most difficult part this year was the special stage

drove within five minutes of each other. So any navigation mistake or breakdown throws you off at the end, and then it becomes difficult to win back lost time. We didn’t expect such high-speed special stages, where the average speed of the truck was 110 km/h – it is a furious pace for a truck, as the maximum permitted speed for trucks is 140 km/h. It was unusual. Dakar 2015 became the fastest rally, no matter whether we were off-road or not. The difficulty was that the front cars raised clouds of dust. It was particularly difficult

The thrills and spills of

Dakar 2015 GIANENRICO GRIFFINI brings us an exclusive interview with Ayrat Mardeev of the Kamaz Master Team, winners of Dakar 2015

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The big technical issue for Kamaz trucks this year was the Liebherr engine. How

Who among your competitors were the most challenging? We are very respectful of all our competitors. Gerard De Rooy from Iveco and Ales Loprais from MAN are very fast

What were the major steps in your career as a driver of rally trucks? In 2008, I was at the wheel of a race truck for the first time. It was a stage of the Russian Championship. I was 21 years old. My first victory was on the Russian Championship in Ulyanovsk in 2011. It was a difficult race. The next big result was a victory at the 2012 Silk Way Rally and, of course, the second place at the 2013 Dakar.

do you judge its performance? Were you forced to adapt your driving style to the new powertrain? It is the second time we’ve used the Liebherr engine in the rally. The most difficult thing in the beginning was to get used to the absence of the engine sound, as the Liebherr engine is not audible in the cabin. It is very dynamic, and we were happy with its technical characteristics. We had no

drivers and dangerous rivals. Loprais chose our tactics – he drove stably; trying not to make mistakes, and if we stopped or began to “battle” within the team we had a lot of problems. Hans Stacey (Iveco) is a driver with a lot of experience. He’s fine on windy, narrow routes. Martin Kolomy is a good driver too. He had everything it took to be on the podium – a fast truck and excellent driving skills.

My victory is devoted to my father who died in August 2014. Everything that I have done, my love for cars and motorsport – it’s all thanks to him. He was my first coach. In karting he was my mechanic, my teacher. My father really wanted me to win. And now there is the Mardeev name on the list of the Dakar winners. It is a pity that he can’t share with us this delightful event, but I think he feels it and is happy for me. |FOCUS

where it was not possible to overtake for better visibility. Only the vehicle that took the lead could win at such stages. The race was very unpredictable. The realisation that we were the winners came to me only when I was standing on the podium in Buenos Aires.

technical problems with the engine. Once again, I would like to thank the engineers in our team for the excellent revision of engine parameters.

As regular readers of FOCUS know, this magazine has been appointed an associate member of the International Truck of the Year (IToY)! FOCUS is the sole South African magazine to have joined this prestigious body. One of the advantages of this association is access to exclusive articles, specially written for FOCUS by ITOY jury members. This is one such article.

2014

March 2015 |FOCUS| 43

light brigade

Business and

pleasure

Chinese manufacturer Great Wall Motors (GWM) is set to create a stir in the much-loved South African bakkie segment with the new Steed 5E. DEON VAN DER WALT takes it for a spin

ffordability, practicality and a taste of luxury are key elements of GWM’s Steed 5E, as it falls squarely between the workhorse-orientated DNA of the Steed 5 (on our shores since 2012) and the luxury appeal of the recently launched Steed 6. The GWM Steed has matured rapidly and I just couldn’t get enough of it, with its abundance of personality and down-toearth good looks. The Steed 5E features an entirely new grille and styling features that call for a second look. What’s also new are the side indicators mounted into the mirror housings and the aerial now integrated in the windscreen. The upgraded interior, which significantly contributes to GWM’s achievements with the Steed 5E, has a genuine quality feel to it, with comfortable leather seats and a modern facia with piano-black finish throughout the cabin. When closing the doors of the Steed 5E, the fairly quiet thud gives a feel of quality. Extra sound-insulation material has been used to isolate the cabin of the Steed; reducing vibration and road noise. The Steed boasts a quality sound system accessed by a new touchscreen entertainment interface, which controls the radio, multimedia system and Bluetooth. It can all be controlled with relative ease, apart

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from the radio, which, for me, took some getting used to. The steering wheel still features remote audio controls. A small problem that I encountered is the reflection of the entertainment system in the back window. This tends to be a distraction when driving at night. A new, user-friendly climate control interface has been installed. GWM has extensively refined the VGT turbodiesel power plant, which produces 105 kW at 4 000 r/min and maximum torque of 305 Nm between 1 800 and 2 800 r/min. The reasonably powerful twolitre engine did not really scream smooth power delivery; there is considerable turbo lag in the lower half of the rev spectrum. Get the revs going, however, and the Steed could put a smile on your face. The diesel version of the Steed 5E has a claimed fuel consumption of 8,9 l/100 km. The first few gear changes in the morning feel like what I imagine it would be like to brawl with a medium sized boa-constrictor. Once it has been running for some time, though, gear-changing is surprisingly smooth. This should improve as the mechanicals are run in. Now, you might ask about everyday usability … The Steed offers plenty of legroom in the front and back for the taller folks among us. The steering is height

adjustable. The Steed also has revised rear seat cushions to improve seating comfort over long distances. The rear leaf springs mean that the ride quality of the Steed 5E can become somewhat choppy on uneven roads. Still, considering that part of its identity is that of a hard-working brute, it is not overly uncomfortable. The Steed 5E Xscape features include; a six-speed manual gearbox, 16-inch alloy wheels, dual front airbags, height-adjustable headlamps, and Anti-lock Braking System (ABS) with Electronic Brakeforce Distribution (EBD). Side steps complement the appearance of the premium trim level Steed 5E. GWM also offers a five-year/100 000 km warranty. The GWM Steed 5E 2,0 VGT Xscape, priced at R274 900, offers exceptional value for money to anyone looking for the best of both worlds in the bakkie segment. If GWM keeps going at this rate, I can’t wait to see what it has to offer in five years’ time. |FOCUS

*Deon van der Walt is the South African Guild of Motoring Journalists’ bursar student. He recently spent a month with FOCUS, where he was exposed to the local commercial vehicle industry.

Hyundai HD72. Smash through the workload. Turbo Protector•ABS•3-Year/200 000km Warranty and 1-Year/60 000km Service Plan

www.hyundai.co.za/commercial-vehicles

March 2015 |FOCUS| 45

T HE J UPITER D RAWING R OOM (CT) 45439/E

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GLOBAL FOCUS

100 Not Out! Global Focus scores a ton!!

FRANK BEETON has written about numerous important industry highlights over the past nine years. In this 100th edition of Global Focus, he recalls some of the key issues, and adds up-to-date comments on subsequent developments

ELCOME TO GLOBAL FOCUS This is the first in a new series of monthly features written exclusively for FOCUS. Our objective will be to keep you, our reader, fully informed on the latest developments taking place in the fascinating transcontinental world of trucks and buses. The information that you can expect to find here will cover technical developments, emerging new propulsion technologies, environmental legislation, new and interesting products and components, market sizes and participants, manufacturer groupings,

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relationships and realignments, and anything else that will help South Africans to better understand the dynamics in the global industry that may have an impact on local vehicle and equipment suppliers, and users, in the future. This is how we welcomed readers to the new column at the beginning of 2006. Apart from spinning off bus-related news into a separate Global Bus feature, we’ve kept pretty close to the objectives we set ourselves back then. Often, we have stuck our necks out to predict future outcomes and trends, and have dared to comment on the wisdom, or otherwise, of decisions taken in distant

boardrooms. Fortunately, these observations have usually been fairly accurate, so most of our readers are still talking to us! Paccar – A change of direction? During 2005, some questions emerged relating to the future sustainability of the “traditional” American line-haul truck with its “conventional” bonneted cab, and preferred selection of outsourced driveline aggregates. In the midst of all this speculation stands Paccar Inc. The first clue that something was changing was the emergence, during 2004, of DAF’s

GLOBAL FOCUS

new 12,9-litre engine with prominent Paccar branding. At the RAI Show held in Amsterdam during October, 2005, the second Paccarbranded engine to emanate from DAF, the 9,2-litre PR series, was introduced to the public. This Euro-5-capable, six-cylinder in-line power unit uses the SMART high-pressure fuel injection system, developed jointly by Paccar and Delphi for the 12,9-litre MX unit, and passes its exhaust gases through a DeNox catalytic converter. Available power outputs, at a maximum rotational speed of 2 200 r/min, range from 183 kW (250 bhp) to 265 kW (360 bhp), and the maximum torque rating will be 1 450 Nm delivered between 1 000 and 1 700 r/min. Right back in Global Focus 1 we predicted a significant change in direction for Paccar in terms of engine selection, and we were spoton. Today, Paccar’s own large-displacement engines remain standard issue in DAF heavyweights, and are offered as baseline equipment to Peterbilt and Kenworth buyers. The MX and PR engines are also manufactured in both Europe and North America. The trend towards “in-house”

engine fitment is now firmly entrenched in the American premium hauler market. Cummins Expands Cooperative Business

One of the main questions still engaging the minds of truck market observers and analysts concerns the future position of specialist driveline aggregate manufacturers, such as Cummins, Caterpillar, Eaton, Dana and ArvinMeritor, in an era when the major truck manufacturing groups are working increasingly towards sourcing the maximum number of the components making up their products from within their own families. This scenario has been largely driven by the need to comply with the increasingly stringent and expensive environmental legislation taking root in much of the developed and developing world. There can be little doubt that global players such as DaimlerChrysler and Volvo have moved into offshore acquisitions, particularly in the United States (US), to expand their total volume production bases, and that the indefinite continuation of the traditional North American “component truck”, offering an almost unlimited selection

of engines, gearboxes, axles and suspensions, is not in their corporate game plans. Clearly, the specialist aggregate suppliers need to develop effective counter-strategies if they are to continue to prosper in such an environment. Cummins Inc. has entered into cooperative ventures with Scania AB, Shaanxi Heavy-duty Trucks, Dongfeng, Kamaz, Iveco, New Holland, Westport Innovations and Tata Motors. These arrangements range from technology sharing, to joint component production facilities, to joint production and marketing of engines, and provide for varying degrees of visual Cummins identification on the finished product. At the end of the day, however, they all impact on Cummins’s global bottom line results. The flipside to the increasing adoption of “in-house” engine fitment by premium truck manufacturers, was the move by independent engine builder Cummins to reduce its dependence on the share of their business which it had traditionally enjoyed. As the years rolled out, Cummins increased its focus on smaller displacement

March 2015 |FOCUS| 47

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engines and emission-control technologies, and entered into numerous off-shore joint venture relationships. It even agreed to make Paccar-branded engines for that group’s lighter vehicle ranges. That strategy appears to have worked. GM sells its stake in Isuzu The relationship between General Motors (GM) Corporation and Isuzu Motors dates back to 1971, when GM purchased an initial 34-percent shareholding in the Japanese vehicle and engine manufacturer. Since then, the arrangement has been restructured a number of times, with GM’s participation building up to a high point of 49 percent. This has been mainly as a result of a number of subsequent equity injections that were required to support specific product and component programmes, executed by Isuzu, on behalf of the global GM family. At the end of 2002, following a period in which Isuzu had experienced substantial financial losses, the relationship was completely rearranged, with GM writing off its 49-percent shareholding, and subsequently investing US$ 80 million for a 12-percent holding in a financially restructured Isuzu. Several projects and operations were then grouped together

Could there be more to come from Navistar International?

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into a joint venture named GMI Diesel Engineering Limited, which ring-fenced activities mainly related to the manufacture and supply of diesel engines to GM operations located around the world. Now, at the end of March, 2006, comes the news that General Motors has been actively seeking buyers for some of its remaining 7,9-percent stake in Isuzu. The reports named industrial group and trading house Mitsubishi Corporation (which already holds 0,2 percent of Isuzu shares), trading house Itochu Corporation (0,7-percent shareholder) and Mizuho Corporate Bank Limited (2,8-percent shareholder) as the interested potential buyers. Subsequently, the sale of GM’s entire Isuzu shareholding to these three entities has been confirmed, accompanied by a statement that the two vehicle manufacturers would continue to cooperate in the mutual supply of vehicles to each other (Isuzu is more of a supplier to GM than vice-versa). GM’s exit from holding a financial stake in Isuzu in 2006 raised many eyebrows, but was echoed in Ford’s sale of nearly all its Mazda shareholding in 2010. These events were a portent of hard times ahead for the North American giants, with both GM and

Chrysler entering Chapter 11 bankruptcy protection in 2009. Isuzu was obliged to re-organise its US truck business as a result, but has subsequently retained some ties with GM through a light commercial product-related joint venture. Toyota used the opportunity to take a 5,9-percent stake in Isuzu, but has shown little appetite to develop any product-based relationship – seemingly to protect Hino’s interests. Rumours of some financial re-engagement between GM and Isuzu still surface from time to time. European vans are good (shared) business

If anybody finds the complex relationships between vehicle manufacturers difficult to follow, our advice is: stay well away from any attempt to unpack the European van scene! Integral panel vans are big business on that continent, and, according to recent reports, growing fast. In the United Kingdom (UK) alone, during 2005, the van market between 2,8 and 6,5 t gross vehicle mass totalled 144 561 units, a four percent increase on the previous year, which, in turn, was 20 percent up on the 2003 volume.

GLOBAL FOCUS

The potential confusion arises because most of these vans tend to look very similar, with short noses and square rears, and vehicle manufacturers have identified this category as a low-risk area for cooperative ventures. Hence, we have the Mercedes-Benz Sprinter, and Volkswagen LT with common structures (although the engines are different), the Sevel joint venture which builds the front-wheel-drive Fiat Ducato, Citroën Jumper and Peugeot Boxer models (again with some variation in power plant offerings), and the General Motors Europe/ Renault (and therefore, by association, Nissan) arrangement which produces the Vivaro/ Trafic/Primastar, and Movano/Master/ Interstar ranges. In 2006, we made the first of our many forays into the European van community. Since then, we have provided regular updates as new generations of product emerged. Most of the alliances still hold, although Mercedes-Benz and Volkswagen are headed for “divorce” in 2016. This may well lead to new alignments, particularly as Daimler and Renault-Nissan are progressively rolling out increased levels of model-specific cooperation, and Fiat has shown some signs of changing allegiance from Peugeot/Citroën to Renault. The MercedesBenz Citan light van has already sprung out of the Renault Kangoo/Nissan 200 family, and Toyota has started van collaboration with Peugeot/Citroën. Watch this subject for future developments. MAN and Scania … Can it happen? Since the period around the advent of the new millennium, when the final shape of the newer major motor industry conglomerates such

as DaimlerChrysler and Renault-Nissan-Volvo became apparent, there has been a feeling among observers of the heavier commercial vehicle element of the industry that at least one more major gathering together of manufacturers was still to take place. Currently, there are just a few “independent” players left in the trucking arena, including Fiatowned Iveco, Scania (18,7 percent owned by Volkswagen), MAN (which has recently formed a technological alliance with also-independent Navistar International in the USA), Tata (which bought bankrupt Daewoo’s truck interests), Hino (owned by Toyota, and cooperating to a limited extent with Scania) and Isuzu (recently “divorced” from equity ownership by General Motors, but with business links still retained). On Monday, September 18, 2006, MAN shook up the trucking world when it declared its interest in acquiring Scania for €9,6 billion, with the precondition that it wished to gain control of at least 90 percent of the Swedish truck maker’s shareholding, before executing the buyout. Based on historic performance, the resulting conglomerate would have become Europe’s biggest truck maker with roughly 28 percent of the continental market, edging out global leaders DaimlerChrysler and Volvo in this key geographic area. The offer was timed for maximum impact, with the industry gathering for the opening of the IAA show in Hannover, arguably the most important heavy commercial vehicle exhibition in the world, later that same week. Almost immediate rejection of the offer was forthcoming from the Scania board, as well as its major shareholders Investor AB, and Volkswagen (which controls 34 percent of Scania’s voting rights). The sole positive voice was that of Renault, a five percent shareholder, possibly as a hangover from Volvo’s EU-blocked 1999 bid to acquire Scania.

now threatens to become the world’s largest vehicle manufacturer and a very significant force in the commercial vehicle business. There is still work to be done on optimising the global footprint, however. Daimler Chrysler’s global engine platform breaks cover

DaimlerChrysler has released some preliminary information regarding its planned global engine platform for heavy trucks. Intended to eventually replace the separate ranges of engines currently manufactured by Detroit Diesel, Mitsubishi Fuso, and MercedesBenz in Germany and Brazil, the worldwide Heavy Duty Engine will initially be built as a 14,8-litre unit by Detroit Diesel at Redford, Michigan, for fitment in Freightliner products. Manufacture of this version is scheduled to start during 2007, following a $US 275-million upgrade of the Redford plant. This will be followed by a 12,8-litre version for the European market, which is scheduled to enter production three years later at Mannheim in Germany. While manufacture of the base engines for world markets will continue at Redford and Mannheim, final dressing and adaptation to local market requirements will be carried out at Kawasaki, Japan, and São Paulo, Brazil. Ultimately, the six-cylinder in-line HDE family will be extended to include 9,9, 12,8 and 15,6-litre displacement units, developing from 185 to 480 kW (248 to 644 hp), and up to 3 000 Nm of torque, and is intended to replace eight different engine types being produced globally by group companies.

DaimlerChrysler was subsequently dissolved, and Mercedes-Benz, Freightliner, Fuso and Western Star grouped together as Daimler Trucks. The Heavy-Duty Engine Platform This was only the beginning of a long and (HDEP) was a very significant development, for often bitter power struggle, which involved a number of reasons. MAN, Scania, Volkswagen and even Porsche. First, it explained the rationale behind Bids and counter-bids were made, and removing Detroit Diesel from the global “loose rejected, until Volkswagen eventually decided engine” business to become a sole supplier it had enough of the bickering, banged heads to the Daimler brands. Second, it supported together, and took control of the lot! the view that global truck-making partnerships Full control of MAN was achieved in 2012, would only work if large-scale component and Scania in 2014. The Volkswagen group rationalisation was the goal. And, third, it reflected a strategy to break down regional preferences which enabled the global strategy Global FOCUS is a monthly update of international news relating to the commercial vehicle industry. It is compiled exclusively to work. for FOCUS by Frank Beeton of Econometrix. Do you have a comment or thought you would like to share based on this column? The strategy is still rolling out, but its Visit www.focusontransport.co.za and have your say. success is ensured and major competitors, such as Volvo, are following suit.

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Volvo buys (all of) Nissan Diesel In the June 2006 Global Focus, we detailed Volvo AB’s new shareholding arrangement with Nissan Diesel Motor Company. In essence, Volvo had purchased a 13-percent controlling stake in Nissan Diesel out of the previous Nissan Motor Company shareholding, and had taken a four-year option to procure the six-percent balance still remaining in Nissan’s corporate hands. Then, on September 25, 2006, Volvo exercised its option to buy the balance of the Nissan stock, and also agreed to buy additional preferred shares in Nissan Diesel held by Mizuho Corporate Bank, Nissan Motor, Resona Bank, and Mizuho Trust and Banking. Upon conversion of all these shares to common stock, which was due to take place between April 2008 and April 2014, Volvo’s shareholding in Nissan Diesel would have reached an eventual level of 47,4 percent, making it by far the largest individual shareholder. It was also announced that Nissan Diesel was to be fully integrated into the global Volvo Truck family, although it would

retain its individual corporate and product identity, presumably in much the same way as Renault Trucks and Mack had done when they had been absorbed into the Volvo Group. Then, on February 19, 2007, came the announcement that Volvo had decided to expedite the process, by offering just over $US 1 billion for all the remaining Nissan Diesel shares. Subsequently, Nissan Diesel’s board of directors expressed its support of the offer, and, subject to the necessary approvals from the anti-trust authorities, Volvo should secure 100 percent effective ownership of the Japanese truck maker by the end of March, 2007. We had long been puzzled by Volvo’s apparent lack of interest in Nissan Diesel. It first appeared that this relatively small, but highly competent, Japanese truck manufacturer, had become an orphan of the complex Renault-NissanVolvo merger and reorganisation process that started as far back as 1999. However, all that was to change, and, after the transaction described above, the company was renamed UD Trucks

Corporation in 2010 (presumably to break the previously too obvious Nissan linkage). It has since been fully integrated into the Volvo AB family, and commenced a progressive process of repositioning to fit better into the group dynamic. Ford Cargo lives on At the beginning of the 1980s Ford was a significant force in the South African truck market. Its D Series cruiserweights, built in the UK, had a loyal following in the local distribution and public sectors, while the Louisville heavy haulers from Kentucky, USA, competed strongly with other brands offering the same Cummins/Fuller/ Rockwell driveline aggregates that were highly popular with long-haul truckers. However, by the end of that decade, Ford was out of the local heavy truck business, and was only offering a badgeengineered Mitsubishi Canter for nominal participation in the medium commercial segment. Despite the sale of Ford’s European truck interests to Iveco, and the subsequent disposal of the Louisville Line to Daimler,

Who could forget the MAN/VW/Scania saga?

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that renamed it Sterling, in 1997, the Cargo name, and shape, has not died. It still lives on in vehicles sold by Freightliner in the US, that took over the Sterling version when that brand was axed in 2009, and Ashok Leyland in India, that obtained rights to the design through its earlier relationship with Iveco. Even more surprisingly, Ford has continued producing recognisable Cargo products, under various nameplates, at Ford operations in Turkey, Brazil, Argentina and Venezuela. This information has all emerged in research since our attention was drawn to an announcement, in May, that a completely new Ford Cargo series was being launched in South America.

This resulted in the formation of a 50/50 joint venture, named NC², which was also intended to pursue global commercial truck opportunities overseas, with target markets identified as Australia, Brazil, China, Russia, South Africa and Turkey. Shortly thereafter, plans also emerged for global cooperation with Jianghuai Automobile Company (JAC) in China, recognising the growing importance of China as a market and manufacturing

Corporation also announced the sale of its shares in Mahindra Navistar Automotives Limited, and Mahindra Navistar Engines (Private) Limited, to its erstwhile Indian partner, Mahindra & Mahindra Limited. Thus, over a short period, a highly promising global expansion strategy seemed to have disintegrated, with only the JAC arrangement, covering the Chinese manufacture of Euro-5 MaxxForce engines, still in force.

We still don’t know the full extent of the importance of this thread, which first surfaced in mid-2011. We subsequently discovered that it had links to Ford’s truckrelated activities in Turkey and China, and suspect that it signals a rekindling of the manufacturer’s involvement in the broader global truck market. Ford has changed its global profile substantially since adopting its “One Ford” strategy in 2006, and has also moved significantly forward on the integral panel van front. Watch this one carefully! There is still much to come from Ford’s ongoing truck-related activities.

Navistar – The Good, the Bad and the Uncertain

Like many people in the South African truck industry, Global Focus continues to be puzzled by the uncertainty surrounding the fate of International trucks in South Africa. Navistar’s recent litany of ill fortune started with the termination of its long-running arrangement with the Ford Motor Company to supply PowerStroke diesel engines for the latter’s F-Series Super Duty pickups and van models. Just prior to that settlement, however, the industry was abuzz with news that iconic yellow metal manufacturer Caterpillar Inc. had agreed to cooperate with Navistar on engine platforms, and the introduction of a Cat-branded vocational heavy-duty truck in the North American market.

base for both trucks and engines, and the consolidation and expansion of the Mahindra Navistar Automotives Limited joint venture in India, which had first been established in 2005. However, in September 2011, there was a surprise announcement that NC² was to become a wholly owned Navistar subsidiary, which, presumably, ruled out subsequent direct involvement from the Caterpillar company, other than its continued sourcing of the Cat-branded vocational trucks for the North American market, and the offshore use of “Cat” branding on certain products, namely a series of International-built truck tractors for the Australian market. Subsequently, Navistar International

By 2014, we had become aware that Navistar International had very serious corporate issues related mainly to noncompliance, by some of its engines, to US emission requirements. As detailed above, an ambitious earlier strategy of global expansion through joint ventures had unravelled, and we even lost the iconic International brand as a supplier of new trucks to the South African market. We continue to be puzzled by Navistar’s efforts to build a presence for Cat-branded trucks in Australia, while the 100-unit per month South African business was just allowed to fade away. Maybe the final chapter in this most unfortunate saga has yet to be written! |FOCUS

Global FOCUS is a monthly update of international news relating to the commercial vehicle industry. It is compiled exclusively for FOCUS by Frank Beeton of Econometrix. Do you have a comment or thought you would like to share based on this column? Visit www.focusontransport.co.za and have your say.

March 2015 |FOCUS| 51

SHORT

HAULS half a tonne of stealth Nissan has launched the NP200 Stealth, which it says has “head-turning looks” (despite the name) and will combine the practicality of the NP200 with a unique design and luxury upgrades. It comes standard with air-conditioning, anti-lock braking system (ABS) and two airbags. It will also be identified by its special colour scheme, featuring dark grey techno paint. A nudge bar with a darkened steel finish is added to fit below the colour-coded grille frame. Nissan has further extended the gap between the standard NP200 and the Stealth by fitting charcoal black alloy wheels with red accents in the hubs, dark side and rear fitted Stealth decals and dark tinted smash-and-grab protected windows. Thoughtfulness also extends to the interior of the NP200 Stealth. Nissan has added an Alpine radio with Bluetooth and USB connectivity. The seats are upholstered in special eco leather with Stealth-embroidered logos. It features a 1,6-litre petrol engine and maintains its payload of 800 kg. The R168 000 price tag includes Nissan’s six-year/150 000 km warranty.

New blood at Powerstar Rodney Selesnick has joined the team at Powerstar as senior head of sales, bringing with him more than 15 years’ experience in the motor industry, especially in sales, parts and services. “Powerstar has complete faith in his abilities and leadership skills, and looks forward to a great future, with increased growth in the business,” says Bob Wang, Powerstar CEO. “I intend to grow and strengthen the dealer network and will also focus on sales training, to ensure that the sales team and our dealers are up to speed with our product offerings. This will ensure that we can offer our clients the best possible sales and aftermarket service,” says Selesnick. “It is going to be a challenging year, off the back of previous mine strikes and current power shortages. However, Powerstar is extremely optimistic about potential growth in our market segment, especially since the introduction of the new Powerland product range, which offers both highly affordable transport solutions, as well as aesthetically pleasing lines,” he adds. Selesnick’s appointment came after Mark Beukes left the company. “Mark brought about many positive changes to the business and its operations, which are evident in his success and track record in terms of sales volumes. Mark was always positive about the business and was a great ambassador for the Powerstar brand,” says Wang.

52 |FOCUS| March 2015

Xu Ping and Olof Persson make the Dongfeng – Volvo joint venture official.

Dongfeng-Volvo JV official Dongfeng Commercial Vehicles Co., Ltd. (DFCV) was officially established at the end of January; exactly two years after the Dongfeng Motor Group and AB Volvo signed a master cooperation agreement to form a 55/45 commercial-vehicle joint venture in China. According to DFG chairman, Xu Ping, the establishment of the new joint venture will enhance the competitiveness of DFCV’s core business and strengthen its research and development expertise in complete vehicle and key powertrain components. It will also actively expand its overseas business, which will increase the competitiveness of the Dongfeng brand in the global market. Utilising the technologies and expertise of both shareholders, DFCV will develop, manufacture and sell Dongfeng-branded vehicles in the medium- and heavy-duty truck, bus, special-vehicle chassis, engine and transmission sectors. The company will serve both domestic and overseas customers and develop its operations to meet the needs of a growing overseas customer base. Olof Persson, president and CEO of Volvo, says: “The establishment of DFCV entails a fundamental change in the Volvo Group’s opportunities in the strategically key Chinese truck market, which is the largest in the world. Together with Dongfeng, we will build a globally competitive company with excellent potential for growth and profitability inside and outside China.” At the launch ceremony, DFCV announced its strategic vision – From Chinese Dongfeng to global Dongfeng – with a threestep roadmap to: remain a leading Chinese truck brand; develop a solid presence in key growth markets; and, in due course, enter mature markets and become a globally recognised and respected brand. “DFCV will cooperate based on the principles of respect, trust and win-win. We are dedicated to strengthening our leading position in China and making Dongfeng Trucks a wellknown global brand,” concludes Huang Gang, president of DFCV.

??????? SHORT ??????? HAULS

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www.mixtelematics.co.za March 2015 |FOCUS| 53

SHORT HAULS

Ford expands van range

Good news for fans of the “Blue Oval!” The Ford Motor Company of Southern Africa (FMCSA) has extended its popular Transit Custom and Tourneo Custom range, adding three all-new models. The Tourneo Custom Limited short wheelbase (SWB) has been introduced to meet customer demand for a high-powered and more luxurious version of this model. It uses a more powerful 2,2-litre Duratorq TDCi engine, rated at 114 kW of power (at 3 500 r/min) and 385 Nm of torque (at 1 600 r/min). It’s claimed to consume 6,5 l/100 km on the combined cycle. This model is further distinguished by its high level of standard specification, including: full exterior colour coding, automatic headlamps, rain-sensing windscreen wipers, an electrochromatic rear-view mirror with integrated camera display, leather seats and side rear window blinds.

Only available in SWB configuration, this model retails for R485 000. The Transit Custom Kombi Van – available in Ambiente long-wheelbase (LWB) and Trend SWB configurations – has been added to appease buyers that require load-lugging ability as well as the capability to safely accommodate passengers. Both models can seat six people, while the Ambiente LWB model offers 4,35 m 3 of load space. The SWB Trend model offers 3,47 m 3, accessible via dual side loading doors with running boards. Standard specification closely mirrors that of the current Transit and Tourneo Custom Ambiente and Trend models. The two models are priced at R385 000 and R397 000 respectively.

BRIGHT STAR REVEALS 2014 RESULTS Mercedes-Benz South Africa (MBSA) revealed its annual revenue for the 2014 financial year at TruckStore in Centurion during February. The MBSA group, a subsidiary of Daimler AG, reported a five-percent increase in revenue with a total income of over R45 billion as opposed to an income of just over R43 billion in the 2013 financial year. “Although 2014 has seen growth, we had to prepare ourselves for the future, which also costs money. Another factor was the headwind we experienced in the exchange-rate situation,” explains Herbert Werner, CFO for MBSA. The Daimler commercial vehicle business delivered an excellent performance during 2014. The Daimler truck division (including Mercedes-Benz, Freightliner, Fuso and Western Star) sold over 4 250 units during 2014, which was an increase of two percent over the previous year. Mercedes-Benz trucks on its own revealed an exclusive growth of 8,25 percent, outperforming the overall market growth of 5,18 percent. Kobus van Zyl, executive director Daimler Trucks and Buses South Africa, adds: “With the launch of the Fuso Canter LIFT, Daimler Trucks and Buses achieved the best sales for Fuso in the past seven years, offering customers a truck that sets the benchmark in safety and economy.” Despite a two percent decline in sales during 2014 for the Daimler bus division, it still supplied the Go George public transport project with a total of 64 busses. All the buses feature Euro-5 engines.

54 |FOCUS| March 2015

“We are delighted with the commitment to public transport shown by government through the increased number of tenders published over the last 12 months,” says Van Zyl. “During this year we will commence with the delivery of compressed natural gas (CNG) and dual-fuel buses,” he continues. The van division also has a lot to be excited about this year, with two new Mercedes-Benz vans arriving on South African shores in 2015. The V-Class is expected to arrive in South Africa in June, with the new Vito following closely in July. “The introduction of the V-Class is testament to our mandate to continuously increase functionality, comfort and style across our range of vehicles. Its versatility and safety credentials will Above: Arno van der Merwe, certainly ensure that this CEO and executive director; vehicle becomes a future icon manufacturing, for Mercedesamong South Africans,” says Benz South Africa (left) and Nicolette Lambrechts, vice- Kobus van Zyl, executive director, Daimler Trucks and Buses president of Mercedes-Benz South Africa, show off a special Vans South Africa. Freightliner Argosy.

RFA Convention 2015

??????? SHORT ??????? HAULS

24 24 -- 26 26 May May 2015, 2015, CHAMPAGNE CHAMPAGNE SPORTS SPORTS RESORT, RESORT, DRAKENSBERG DRAKENSBERG Join us as the trucking fraternity comes together once again to discuss, debate and ponder over the challenges, opportunities and idiosyncrasies of the trucking industry. Centered on trucking and themed “Truckcentricity” - this year’s conference takes place over three days at Champagne Sports Resort situated in the tranquillity of the Central Drakensberg. “Truckcentricity” will showcase the following: • • • • • • •

Practical implementation of the consignee/consignor legislation The BBBEE Sector Code for the Road Freight & Logistics Industry Road safety - the cause & prevention of Accidents Greening the trucking industry - Lessons from the USA Meeting Supply Chain Expectations Impact of the Power Crisis in the Road Freight Industry An analyst’s view on the bond market downgrade & stability & volatility of our labour market For more information please contact Shantal on 011 974 4399 or email events@rfa.co.za

CHAMPAGNE SPORTS

RESORT March 2015 |FOCUS| 55 WITHOUT TRUCKS, SOUTH AFRICA STOPS!

SHORT HAULS

SKF HITS 100 April 12, 1914, marked an auspicious day on South Africa’s mining and industrial calendar when SKF opened its doors at number 23 Pritchard Street, Johannesburg. This global knowledge engineering company, then known as SKEFKO (South Africa) Ball Bearing Company Limited, went on to become Africa’s market-leading specialist in the delivery of innovative, world-class product and service solutions. To celebrate this 100-year milestone, SKF South Africa hosted a special customer day in the Solutions Factory based at the company’s headquarters in Boksburg, Gauteng. The formal proceedings included presentations by SKF South Africa’s

Crown Worldwide celebrates 50 years

managing director, Ian Cillié, who also introduced SKF president: industrial market regional sales and services, Vartan Vartanian. Special guest, economist Mike Schussler, provided a glimpse into the economic future of South Africa and the rest of the African continent. After key SKF customer, Vesuvius, shared the company’s SKF experience, SKF Solutions Factory manager, Sarel Froneman, invited guests on a guided tour through the facility to experience SKF’s engineering knowledge, core technologies and capabilities – all combined under one roof.

In February, Crown Worldwide, the largest private logistics company in the world, celebrated its 50th anniversary with festivities that spanned the globe. The company was launched by founder Jim Thompson from a tiny cubicle in Yokohama, Japan, in 1965, but it has grown into a corporate giant with a turnover of more than US$ 800 million (R11,5 trillion). It now provides transportation, mobility and relocation services, logistics and storage services in some 60 countries. Its brands include Crown World Mobility, Crown Relocations, Crown Fine Art, Crown Records Management, Crown Logistics and Crown Wine Cellars. Thompson, an American entrepreneur, who is based in Hong Kong, marked the anniversary on February 4, by presenting the mayor of Yokohama, Fumiko Hayashi, with special tributes to celebrate the founding of his business in the Japanese city. He said: “I started the company in 1965, from small beginnings and with very little capital – so to see it grow into an international global business is very special. It’s really a huge anniversary that I didn’t think I’d ever see. I’m very proud of all the people that helped us to get to this point.” Thompson’s visit was the first in a long list of events to mark the landmark anniversary of Crown Worldwide. Each of the company’s 265 offices across the world celebrated in their own way, including taking part in a “Golden Relay” of events to raise money for charity.

Vartan Vartanian (left) and Ian Cillié celebrate 100 years of SKF in South Africa.

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March 2015 |FOCUS| 57

naamsa

Commercial vehicle sales report for January 2015 Note: For the time being, Great Wall Motors SA (Pty) Ltd (GWMSA) and Mercedes-Benz SA (MBSA) will only report aggregated sales data. The GWMSA and MBSA commercial vehicle market split volumes are estimates based on historical trends and forecasting techniques. The totals listed below do not include MBSA figures. Light Commercial Vehicles < 3 501 kg AMH Fiat Group Ford Motor Company GMSA GWM – estimate JMC Mahindra Mazda South Africa Mercedes-Benz SA – estimate Mitsubishi Motors SA Nissan Peugeot Citroën SA TATA Toyota Volkswagen SA

Total: 13 460 624 49 2 428 2 346 250 54 172 87 18 43 2 500 13 146 4 287 443

Medium Commercial Vehicles 3 501 – 8 500 kg AMH Fiat Group Ford Motor Company GMSA Iveco JMC Mercedes-Benz SA – estimate Peugeot Citroën SA TATA Toyota Volkswagen SA Volvo Group Southern Africa

Total: 637 11 3 14 106 65 23 166 2 40 85 105 17

Heavy Commercial Vehicles 8 501 – 16 500 kg FAW GMSA Iveco MAN Mercedes-Benz SA – estimate TATA Toyota Volvo Group Southern Africa

Total: 280 39 51 4 8 40 35 55 88

Extra-Heavy Commercial Vehicles > 16 500 kg Babcock DAF FAW GMSA Iveco MAN Mercedes-Benz SA – estimate Powerstar Scania TATA Toyota Volvo Group Southern Africa

Total: 532 16 9 36 62 55 288 17 133 29 23 152

Buses > 8 500 kg GMSA Iveco MAN Mercedes-Benz SA – estimate Scania TATA VDL Bus & Coach Volvo Group Southern Africa

Total: 72 1 2 45 15 11 7 2 4

*Source: National Association of Automobile Manufacturers of South Africa (Naamsa).

58 |FOCUS| March 2015

On BUS AND COACH

How

Golden Arrow

helps move Cape Town

Volvo buses are electrifying Cape Townâ&#x20AC;&#x2122;s BRT a leader in Africa

bus industry

With increased congestion levels and heightened commuter needs, Cape Town is certainly in the transport spotlight. We speak to one of the city’s most prominent operators, to see how it is handling the scenario

t was announced last year that,

is undergoing significant changes at the

congestion and urban sprawl, adhering

despite its reputation as a mecca for

moment as further phases of the City’s bus

to timetables is becoming an increasing

the jet set to get away from it all, Cape

rapid transit (BRT) system are introduced.

challenge, requiring more resources to

Town is officially South Africa’s most

Despite this, there is still a significant under-

operate existing services.

congested city. TomTom’s fourth annual

provision of public transport options for

“There is a dire need for additional buses.

global traffic index measured over 95 000 km

thousands of Capetonians,” says Francois

On a national, provincial and metropolitan

of roadways in South Africa. Cape Town with a

Meyer, GM for Golden Arrow Bus Services

level there are severe financial constraints,

congestion level of 27 percent, ranked 33rd

(GABS).

which are delaying implementation of new

out of 138 global cities measured. (You’re

probably

wondering

GABS is Cape Town’s oldest operating

and additional services,” he notes.

about

bus company. In 2013, it became an official

Clearly it is now more difficult than ever

Johannesburg, well it measured 25 percent

vehicle operating company (VOC) for the City

to provide the service commuters expect.

and was rated the 48th most congested

of Cape Town’s MyCiTi service. Through its

How, among obstacles like increasing

city. That’s still nowhere as bad as the most

subsidiary, Table Bay Rapid Transit (TBRT), it

congestion

congested city, Moscow, at 74 percent.)

operates the trunk service along the Atlantic

and volatile fuel prices, does one offer

levels,

drivers’

strikes

Chances are that Cape Town will hold on

corridor from Table View to the central

consistent service levels to commuters

to its new title when the report is repeated

business district (CBD), as well as services

who desperately need reliable, efficient

this year. Clearly, the city’s residents are

from the CBD to Sea Point and Camps Bay.

ways of getting from A to B?

increasingly in need of public transport.

GABS is, however, operating at capacity,

For GABS, part of the solution is to

“The bus industry in the Cape Metropole

says Meyer. With the city’s increasing

implement stringent cost controls and

Changing times

60 |FOCUS| March 2015

bus industry

increased internal processes of quality

a world of possibilities for diagnostics and

Operators desperately need security to invest

management.

recording statistical information that can

in their businesses, which these will give,”

“Operators of public transport services

be used to better understand our fleet.

he says.

have to be extremely disciplined in every

Electronic ticketing systems are also

If there is one city in the country that

aspect of the service and, at all times,

being investigated, and Golden Arrow is

currently requires its transport operators

focus must be on the passenger and what

concertedly renewing its fleet and testing

to go above and beyond, it’s Cape Town. In

the passenger wants. We have learned

new vehicles in the process,” Meyer

conclusion, Meyer offers some friendly advice

through our 154 years that the only way to

remarks.

to local bus operators.

offer consistent, high-quality services is to

Aside from GABS, Meyer points out

“First, the operator’s business has to be

micromanage every aspect in the logistics

that there are critical issues facing the

on a sound footing and healthy at its core.

chain,” Meyer points out.

South African commuter bus industry, which

Operators then need to be in touch with

government needs to address.

the environment that they serve. They need

The need for reliable, safe, cost-effective GABS

“Changes to strategic personnel within

to have good relationships with role players

business. The company’s approach to change

national government departments have led

in the industry, and should also play an

and innovation is to balance it with the

to a loss of institutional knowledge and lack

active role in institutions such as universities,

specific needs of its passengers. That said,

of policy formulation. Ideally, personnel should

chambers of commerce and industry

in its drive for increased efficiencies, modern

enjoy a longer tenure in order to ensure

associations in order to keep abreast of

technology is beginning to play an increasingly

continuity.

trends.

transport

therefore

drives

the

important role.

“In this vein, policy finalisation and the

“In addition, operators need to employ

“The current trend is to move towards

implementation of long-term operating

the right kind of people with the right skills to

automation in terms of on-board operating

contracts is the single most important factor

be able to manage new developments in the

and maintenance systems. This has opened

affecting bus companies in this country …

industry,” he concludes. |FOCUS

March 2015 |FOCUS| 61

global bus

Full Electrification for

Volvo Bus?

FRANK BEETON reports that Volvo Bus is to start full production of hybrid-electric buses in 2016, and on the progress of India’s urban bus fleet renewal programme

ack in 2013, we reported

developing a proposal to construct a 300 to

Hybrid buses by Sales-Lentz in Luxembourg.

on Volvo Bus moving beyond

500 m electric road to test the concept – also

This operator was the first European user of

hybrid drivelines to the “plug-

in its home town of Gothenburg, during 2015.

Volvo Hybrid buses in 2009, and has clearly embraced electric buses as its intended

in” system, where battery

The proposed programme was to

recharging could take place independently

include the building of a section of road

of the normal hybrid’s internal combustion

equipped with wireless charging technology,

Volvo Buses, in turn, has indicated that

engine. By then, the concept of hybrid and

and to provide vehicles which use on-board

it has sold almost 1 600 hybrid buses

alternative driveline buses had already gained

batteries to receive the available charge

to date, and is moving towards increased

considerable momentum.

while passing over the enabled section of

electrification of its products, to provide

Field tests of the new plug-in hybrid

“electric road”. It has subsequently been

society with full electro-mobility. To this end,

system commenced in Volvo’s home town

announced that one of the stops on this

it launched its 7900 Electric Hybrid bus

of Gothenburg, Sweden, during May 2013,

proposed ElectriCity emission-free route is

at last year’s IAA show in Hannover, thus

using three test buses equipped with roof-

to be placed inside a building.

industrialising the plug-in technology that

mounted collector gear.

Late last year, Volvo Bus signed a

direction for the future.

had previously proved to be successful in the

The parallel hybrid system, carried over

global partnership agreement with ABB

from the original Volvo Hybrid design, made

Technologies of Switzerland to secure

This model differs from the earlier 7900

it possible for the bus to operate exclusively

the supply of standard-based e-bus fast

Hybrid low-floor bus in that it has a larger

on electric power at lower speeds, and

chargers for electric-hybrid and full-electric

battery package, and a collector installed in

progressively bring in the on-board, four-

buses. The associated automatic connection

the roof. Battery charging is carried out at

cylinder diesel engine at higher speeds, or

system will be located in the bus roof,

route termini, and can be completed in six to

for recharging the batteries.

and will connect with the fast charger at

ten minutes. Volvo claims that noise levels

selected charging stops.

of its Electric Hybrid (at some 65 decibels),

Subsequently, the Volvo Group announced

2013 Gothenburg test.

that it was also studying inductive charging

The first joint project to be executed

is similar to normal conversation levels.

technology, where the vehicle draws current

under this agreement will involve the

Series production is due to commence in

from under the road surface, and that it was

operation, from 2015, of 12 Volvo Electric

early 2016.

62 |FOCUS| March 2015

BUS STOPS

India’s urban bus fleet renewal In December 2005, the Indian government launched the Jawaharlal Nehru National Urban Renewal Mission

MyCiTi is tops in Africa

(JNNURM), as a wide-ranging programme intended, through a process of modernisation, to improve the

Despite the seemingly endless slew of bus drivers’ strikes in South

quality of life and infrastructure in the country’s major

Africa, the City of Cape Town’s MyCiTi bus rapid transit (BRT) system

cities.

has something to be proud of. In January it was recognised, by the

The initial phase ran until March 31, 2014. It has subsequently been followed by JNNURM-II, which was initially planned to commence in the 2013/14 fiscal year, but was deferred to the 2015/16 budget period to accommodate the Indian general election.

Siemens African Green City Index, as a leader in the field of African public transport systems. Cape Town is among the top cities in the Index for the length of superior forms of transport, such as metro or BRT lines. According to the MyCiTi website, the report makes specific mention

Part of the scheme involves the acquisition of large

of the historically underserved West Coast region, the prevalence of

numbers of new city buses by state transport undertakings.

minibus taxis and private vehicles, as well as the poorly maintained rail

This has resulted in the placing of substantial orders on

system.

India’s two major domestic bus manufacturers; Ashok Leyland and Tata Motors.

“It is with these challenges in mind that the City chose to roll out the service to the West Coast region first, particularly the previously isolated

The Ashok Leyland share of the business is made up

areas of Dunoon and Atlantis. The expansion of the service between

of some 4 000 buses at a value reportedly equivalent to

the economic centres of Cape Town, Claremont and Wynberg, and

€190 million (R2,53 billion).

the informal settlements in the south east part of the metro, is also a

The vehicles to be supplied are a mix of JanBus,

necessary development,” it states.

JanBus Midi and Viking SLF models, which are being

The report rates other key city domains, such as waste management

delivered to 22 state transport undertakings including:

(including reducing, reusing and recycling waste), environmental

Calcutta State Transport Corporation; Bangalore

governance, air quality and water as being above average.

Metropolitan Transport Corporation; Andra Pradesh State Road Transport Corporation; Jaipur City Transport; and Pune Mahanagar Parivahan Mahamandal Limited.

The City’s land use practices were also rated well above average – making Cape Town the only African city to achieve this rating. “The creation of an inclusive, world-class public transport system,

Readers may recall that we reported on the launch of

and of spaces for families to enjoy, or for commuters to travel through

the 12-m JanBus and eight-metre JanBus Midi models in

safely en route to their destination, is part of this administration’s aim

mid-2014, and noted that they provided a slightly different

to provide facilities, which make all of the people of Cape Town feel at

perspective on front-engined bus design.

home,” notes MyCiTi.

In pursuing a single-step entry and constant low floor height of 650 mm, Ashok Leyland had opted for a completely built-up configuration, employing integral, chassisless construction. This eliminated the cranked chassis frame that was traditionally used for low-floor bus designs and the associated capacity-robbing longitudinal seats over front and rear axles. The JanBus models are built at Ashok Leyland plants in Ennore and Bhandara. The Tata Motors portion of the business consists of more than 2 700 city buses, of a type specifically designed for the JNNURM programme. They are equipped with locally-built 6,7-litre Cummins ISBe engines, driving through Tata six-speed overdrive manual transmissions, or alternatively, an Allison full-automatic. The bodies feature an extra-wide passenger entrance, 400 mm floor height, front suspension kneeling function, closed-circuit television cameras, and an automated system that announces details of routes, stops and adjacent services. These buses are being built at joint venture Tata Marcopolo’s Dharwad and Lucknow facilities. |FOCUS

March 2015 |FOCUS| 63

hopping off

Worth the paper it’s printed on?

What may come of the e-toll report?

ost comments surrounding the e-toll report have, unsurprisingly, been negative. One newspaper summed it up quite neatly: “the can has just been kicked down the road once more”. True, but let’s cut the panel some slack. Given the messy run-up to the crisis now facing the South African National Roads Agency (Sanral), did we expect anything more than a patchwork of suggestions that satisfy no one? Considering the short timeframe allowed, this report is a huge improvement on the mechanistic, formula-based transport “studies” that have accompanied projects like the Gauteng Freeway Improvement Project (GFIP), Gautrain and bus rapid transit (BRT). The e-panellists have at least emphasised the human impact of transport schemes – a refreshing departure from the engineeringbased approach. Who would have expected a quote from the Moral Regeneration Movement as early as page three? One of the main themes of the report is the lack of alternatives to e-tolls. The biggest problem, by far, is the pathetic state of public transport throughout South Africa – the panel was clearly stung by the condemnation of inadequate public transport by different groups representing civil society. This column has repeatedly stated that better public transport would reduce the need for additional road space. We have been fed the nonsense that, because traffic is growing at seven percent a year, we need high-speed

railway lines and additional lanes on the freeway. We have never bothered to challenge this myth, resulting in the crisis we now face. Why is traffic growing at seven percent a year? Well, as soon as people earn R6 000 a month, they start using cars. Why? To escape our appalling public transport. By the time people earn R20 000 a month, almost all of them go to work by car. That is our problem, but the report fails to make the point … Sadly, it shoots itself in the foot as early as page seven when it proposes: “Complete exemption for low-income vehicle owners … this would cater for students at tertiary institutions who do not have access to public transport.” The last thing we should do is encourage low-income people to use cars! We should be doing everything to encourage all people, not only those with low incomes, to use public transport! The reference to students is also baffling. I’ve previously suggested that this group should be given a discounted bus/train pass for travel throughout the province. We can’t do that, however, as there is no provincial network of formal public transport in Gauteng, nor anywhere else in South Africa. Although it says all the right things about the need to coordinate public transport, a traffic authority, through ticketing, and so on, the report is still too polite. Presumably with an eye on its sponsor, it tells us that “the Gauteng Provincial Government (GPG) has begun to make progress in the long battle against transport inefficiencies and inequalities.” Nonsense! Let’s highlight the appalling record of the GPG in public transport … In 2001, a Council for Scientific and Industrial

Research (CSIR) report was sent to the GPG recommending a new bus route pattern for Soweto and surrounding areas. Nothing came of the report. It needs to be revived. In late 2007, the GPG created a body called the Gauteng Transport Management Authority (of which I was a member). It was disbanded in 2008. The GTMA again submitted the Soweto report, which was again ignored. In 2013, the GPG produced a 25-year transport plan. The public transport component of the plan refers to 164 bus routes that need to be introduced. These 164 routes require 8 000 new buses costing R24 billion, plus at least another R14 billion for bus stations on 740 km of proposed busways. I suggest that this scheme is as bogus as e-tolling, Gautrain, and the different BRT schemes. We can start to achieve the same results at far lower cost by reorganising the 2 500-odd buses that fall under the GPG’s control. While neglecting the basics, the GPG has nevertheless managed to expend huge effort and resources on giving us Gautrain, which costs the taxpayer R77 for each passenger trip! Finally, we return to the dismal role of the academic world in the area of public transport education, which the e-toll report delicately refers to as an “emerging field” (page 179). That’s a nice academic way of saying that we are clueless. Are we doing anything about it? Let’s scrap e-tolls, but leave the gantries as a monument to incompetence, mismanagement and neglect. Pay off the creditors, raise the fuel levy, “sort out public transport” (page 182) and then see what happens. We might be pleasantly surprised. |FOCUS

Vaughan Mostert developed a love for public transport early in life, which led to a lifelong academic interest in the subject. He recently retired as a senior lecturer from the Department of Transport and Supply Chain Management at the University of Johannesburg. Through Hopping Off, Mostert leaves readers with some parting food for thought as he continues his push for change in the local public transport industry.

64 |FOCUS| March 2015

Makes any engine feel like new Engen Dynamic Diesel is a fuel so advanced that it not only protects new engines, but also cleans the fuel systems of older engines to help restore lost power. Its trademarked detergent additive counteracts injector fouling â&#x20AC;&#x201C; increasing fuel economy and enhancing engine performance.

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FCB CAPE TOWN 10005584CT/E

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www.fishgate.co.za_CT_5550

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Collect parcel from 8 Albert St

Heavy traffic on N1 outbound

Deliver parcel to 5 Short St

Urgent delivery for 23 New Rd

Re-route to Long Ave to pick up load

Accident at corner of Church and Main St

Collect parcel from 45 Hope St

Take task management to the next level. Introducing On-the-Road from Ctrack, a complete in-vehicle system that features everything you need to ensure a more productive and efficient fleet. On-the-Road integrates task management with advanced navigation, messaging, optimal routing, PIN enabled driver identification, voice communication, driver behaviour feedback and even a front-facing camera – keeping your drivers informed, on the move and always visible. 012 450 2222 • sales@ctrack.co.za • www.ctrack.co.za

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Always Visible