Motor Transport 27 May 2019

Sharp ■ Informed ■ Challenging

27.5.19

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Axis runs out of road and goes into administration

By Chris Tindall

Contract hire and rental firm Axis Fleet Management has entered administration and ceased trading.

Insolvency experts at FRP Advisory were appointed to the company, headquartered in Long Hanborough, Oxfordshire, on 10 May. A statement from the administrator said: “Challenging trading conditions resulted in cashflow difficulties and despite efforts to find a buyer for the business, a sale could not be achieved.

“This left the directors with no option but to place the business into administration. At this point, the business ceased trading with immediate effect and 20 employ-

ees were made redundant.”

The statement added: “The joint administrators are working with the redundancy payments service to provide support for affected employees at this difficult time.

“The team is also working closely with the company’s funders and customers in dealing with the hire fleets and is seeking to realise the assets of the business to secure the best outcome for creditors.”

Calls to the firm went unanswered but a former employee confirmed that a skeleton staff had been retained to aid the administrators.

Axis Fleet Management appeared to have been struggling

JOINING THE FORCE: Campeys of Selby has made its pallet network debut by joining Palletforce, covering selected DN postcodes around Doncaster. Founded in 1930 with one truck, Campeys now has a fleet of 55 vehicles and a staff of 70. Paul Campey, the company’s MD, is the grandson of founder Harry Campey. Paul’s son, also called Harry, is transport manager, and he said the decision to join Palletforce was the next logical step in the further expansion of the company. “We were looking at various networks that we thought would be able to provide the support we needed to expand and take our business to the next stage,” he said. Palletforce has more than 100 members, with five new companies having joined this year, including Millfield Haulage and Wyvern Cargo.

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for a while; its last set of accounts for the year ending 31 March 2018 revealed a £4.3m pre-tax loss on a £25.2m turnover.

In its business review, the company said it had been “a very challenging year” and added: “The key drivers of the loss were low asset utilisation during the first half of the year and high operational costs as a result of the increasing average age of the fleet.”

Des Evans, honorary professor at Aston Business School and a former non-executive director at the firm, said: “The rental market is suffering from very high levels of competition. There are very low rates and the residual values market and the used vehicle market in combination has proven to be very high risk in terms of end of contract values of equipment.

“Axis is just a victim of that market sector: high competition, low margins, high risk and collapsed residual values.”

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22/05/2019 16:27:38

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XPO takes over British Gypsum transport needs XPO Logistics has begun managing building-product manufacturer British Gypsum’s transport requirements, overseeing distribution from five manufacturing sites and four outbases.

The operator said it would use its cloud-based digital freight marketplace, XPO Connect, to create an “integrated transportation network” for its client.

Although XPO Logistics did not comment on the mix of own fleet and sub-contracted transport attached to the contract, it did confirm that “core fleet and subcontract partners will operate with the same delivery standards and the technology via XPO Connect”.

XPO Logistics will also manage all downstream processes for British Gypsum, such as load securing, yard management and weighbridge operations.

It is introducing a new fleet dedicated to British Gypsum as part of the deal. The vehicles will meet TfL’s forthcoming Direct Vision Standard and qualify for FORS and CLOCS accreditation.

The duration of the contract was not disclosed.

British Gypsum previously used three main subcontractors – DHL Supply Chain, CEVA Logistics and John Jempson & Sons – to manage transport across its five sites. They declined to comment as MT went to press.

Support follows a seven-month trial by the logistics firm in Germany

Platooning gets thumbs up from DB Schenker

By Carol Millett

DB Schenker has given the thumbs up to introducing truck platoons in its operation after completing a seven-month trial in live traffic of the technology.

The trial, sponsored by the German government and operated

by DB Schenker, MAN Truck & Bus and Fresenius University, saw two electronically linked loaded trucks driven 15m to 21m apart over 35,000km on autobahn 9 between the Nuremberg and Munich branches of DB Schenker.

Alexander Doll, director of Deutsche Bahn, DB Schenker’s parent company, said the trial had demonstrated that platooning could be used extensively in the

company’s logistics network. “We have analysed our European transport network and it is safe to say that approximately 40% of the kilometres travelled could be carried out in platoons,” he said.

MAN CEO Joachim Drees said the project had demonstrated a reduction of between 3% and 4% in fuel consumption, adding that “platooning is an important step for us on the way to automation”.

During the trial the platooning system operated smoothly 98% of the time, requiring active driver intervention only every 2,000km.

The platoon truck drivers also praised the driving comfort and the general sense of safety.

Professor Sabine Hammer of

Fresenius University noted that the test brought about a significant change in the drivers’ previously sceptical attitude. “A general sense of safety and trust in the technology is echoed in the drivers’ assessment of specific driving situations,” she said.

The drivers also reported that while they found cutting in by other road users “disagreeable”, they did not class it as “critical” due to the fast response times of the system. However, it prompted them to recommend that the gap between vehicles be reduced to between 10m and 15m.

A British-led trial, involving DAF and DHL, is due to take place on UK motorways this year.

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23/05/2019 14:56:12

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The Palletways CEO will be succeeded by Luis Zubialde from 1 July

Palletways boss retires

By Chris Druce

James Wilson, the man behind the transformation of Palletways into the UK’s largest pallet network, is to retire. After two decades with TNT, Palletways CEO Wilson (pictured right) bought into the business with backing from Phoenix Equity Partners in 2004.

Originally established by Andy Hibbert and Steve Aston in 1996, the deal provided an exit for then owner 3i and saw Julian Maturi hand over the reins.

Maturi subsequently returned to the network for a second stint and currently holds the role of Palletways chairman.

Back in 2004 when Wilson took over, Palletways had a UK focus but under his leadership it has been transformed into a panEuropean business operating in 24 countries, which delivers more than 45,000 pallets a day.

Wilson will be succeeded by Luis Zubialde, previously the head of Palletways UK and currently Palletways Group’s chief operating officer, on 1 July.

Hakan Bicil, CEO at Imperial Logistics International, which purchased the group in 2016 from Phoenix Equity Partners for £163m,

said: “We would like to thank James Wilson for his long-standing service and commitment, and the pioneering work he has undertaken for the Palletways Group.

“We wish him a very happy and well-deserved retirement, and I am delighted that we shall still be able to call upon his extensive knowledge and experience in the future.”

Wilson will continue as a consultant to the company.

Following news of Wilson’s exit,

Palletways Group has appointed Michael Sterk to the newly-created post of chief commercial officer, effective from 1 July 2019. Sterk has worked for Imperial Logistics since 2009, most recently as director, business unit retail & consumer goods.

The revised Palletways Group executive board comprises Zubialde; Richard Myatt, chief financial officer; Thomas Olsson, chief information officer; and Sterk.

Truck registrations in significant Q1 rise HGV registrations surged by 21% to 11,859 units in the pre-Brexit first quarter of 2019, according to the latest figures from the SMMT. Registrations of rigids, at 6,339 units, showed an increase of close to 13% year on year, while artics were the star performer with registrations 32.3% higher than a year ago, at 5,520.

SMMT said that a number of large orders and strong market incentives had helped drive registrations after flat performances during 2017 and 2018. The organisation’s chief executive Mike Hawes said: “The significant rise in truck registrations is certainly welcome news but it is important to remember that large fleet orders can have a big impact on this relatively small volume market.

“Despite the increase in demand, ongoing political and economic uncertainty is still a significant factor for businesses and we may see the market level out throughout 2019.”

Stobart staff to strike over terms Unite members at Eddie Stobart Logistics’ (ESL) Walkers Snacks Food contract were set to strike over the operator’s failure to honour an existing industrial agreement, as MT went to press.

Staff at Walkers Snacks Food joined ESL via TUPE last year after the snack manufacturer outsourced its transport.

The union has claimed that ESL has ignored the 50 HGV drivers’ negotiated terms since then, and opted to enforce its own. Unite balloted staff in March over the issue, and has now revealed that on a turnout of 95.2% the vote for strike action was unanimous.

It has announced two periods of strikes: the first from 31 May until 4 June, and the second from 7 June until 11 June. There will also be an overtime ban in place.

Eddie Stobart Logistics was approached for comment.

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SCANDI STYLE: Scania (GB) has opened a new UK Customer Support Centre, with Torbjörn Sohlström, Sweden’s ambassador to the UK, doing the honours. Speaking at the event, Scania (GB) MD Martin Hay said: "Scania came to Milton Keynes in 1981 and today is one of the largest employers in the area. In addition to growing sales of our trucks, buses, coaches and engines over the years, we have also developed a host of associated services; truck rental, used sales, finance and so on. All of this requires extensive dealer and customer support, which is why we are referring to our new premises as our UK Support Centre rather than our headquarters." The unveiling came as Volkswagen's plan to sell Traton Group, which contains the Scania and MAN brands, was revived.

Following a board meeting this month, Volkswagen said the previously stalled IPO would go ahead "before the summer break, depending on further developments on capital markets".

27.5.19

23/05/2019 14:52:53

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22/05/2019 11:24:10

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Wincanton’s finances are steadily improving after moves by the 3PL to shed low margin work

Playing to its strengths

By Chris Druce

Wincanton’s share price is trading at its highest level in a year, and despite a fall in turnover the 3PL’s operational strength appears to have pleased its critics for now.

Setting the tone, Gerard Khoo, a broker at Liberum, slapped a buy recommendation on the stock after stating that Wincanton – trading at around 270p per share as MT went to press – represented a ‘compelling valuation’.

In a trading update in April, Wincanton signalled that a decision to shed low margin work would see group turnover fall, something Khoo picked out.

“The fall in revenue reflected the timing of contract losses coming ahead of wins in the year, but the growth in profits suggested the lost business was not making much of a contribution,” he said.

“Outgoing CEO Adrian Colman appears to be leaving the group in good shape,” Khoo added.

It appears to be a sentiment that’s shared. Last year Gatemore Capital Management – which made headlines after it effected regime change at DX Group – was agitating for the 3PL to sell either its Retail & Consumer or Industrial & Transport divisions.

But in a statement issued after the results were published, its tone had changed markedly.

Liad Meidar, managing partner and chief investment officer at Gatemore Capital Management, said: “We are pleased that today’s results show Wincanton continuing to move in the right direction, and we support changes spearheaded by the new chairman [Martin Read] which should position Wincanton for further success.

“The market seems to be catching on, with Wincanton dramatically outperforming peers in the 6 MotorTransport MTR_270519_006.indd 6

logistics sector over the past year.”

A full year dividend per share of 10.89p, up from 9.9p a year earlier, will have done no harm either.

It means that James Wroath, who will succeed incumbent Colman by October this year, will enjoy something akin to a honeymoon period at the 3PL. Colman has continued the work begun by his predecessor Eric Born, the Swiss judo champion who professed that when it came to Wincanton, boring was best.

Boring for Born meant improving the 3PL’s profit by increasing turnover and lowering costs. He left in summer 2015, handing over to group FD Colman.

Wroath, currently chief operating officer, North America, for Lufthansa subsidiary LSG Sky Chefs, will have plenty to digest as he takes the lead.

Profit is sanity

Wincanton saw annual turnover fall in the year ended 31 March 2019 but profit increase, thanks to a strong performance in retail that offset contract losses elsewhere.

Turnover was 2.6% lower for

the period at £1.14bn (2018: £1.17bn). Pre-tax profit (normalised to strip out exceptional items such as restructuring) was up 6.3% to £49.3m (2018: £46.4m).

Net debt was down by more than a third year-on-year at £19.3m.

Colman said: “This year, we have seen key areas such as our retail general merchandise business grow strongly, demonstrating the real value we deliver to customers.

In the second half of the year we secured substantial new contract wins that should position the group well in the coming periods.”

Those new business wins included EDF Energy, Weetabix, Co-op, HMRC, Aggregate Industries, Roper Rhodes, HapagLloyd, Jollyes and DCS Group.

Renewals included Asda, Loaf. com, Halfords, Micheldever Tyre Services, Lucozade Ribena Suntory, Marley, Ibstock, British Sugar and Valero.

An increasingly important part of the group’s business, turnover in Retail & Consumer increased 2.5% to £708.9m with underlying operating profit up 5.1% at £31.2m.

Retail General Merchandise is far and away the largest compo-

nent of this division and it enjoyed strong growth, up 9% to £423.8m.

This offset falls in Retail Grocery and Consumer Products segments.

Wincanton attributed growth overall to the full year benefit of new contracts with IKEA, Wilko and Wickes. This helped mitigate the loss of Tesco (which brought some of its warehousing back in house) and Premier Foods, which went to XPO Logistics.

The pay-off

Having been through a restructure and lay-offs, Industrial & Transport appears to be heading in the right direction. While the headline reduction in turnover of 9.9% to £432.6m in the period is far from ideal, underlying operating profit growth of 3.9% to £24.1m suggests the tough decisions in recent years have had the desired effect.

In its results statement Wincanton said it had exited or reduced exposure to a number of lower margin areas, including its transport for Britvic, a contract that went back to rival Eddie Stobart after just over a year with the 3PL. Despite this, Wincanton continues to look after warehousing for Britvic at Rugby and Lutterworth.

Within industrial and transport its transport services business segment was the biggest loser on paper, with turnover 18.6% lower at £171.4m year on year. Wincanton said this was in part due to the late start of contracts that therefore did not offset losses.

It pointed to a deal with DCS Group, to provide nationwide transport and management of inter-site transfers, as an example of what’s to come there.

New man Wroath will certainly be hoping this is the case as he prepares to take the reins.

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22/05/2019 15:56:50

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Fowler Welch in Delamere deal

Hargreaves steels itself

By Chris Druce

Hargreaves Services is keeping a watching brief after client British Steel went into liquidation.

In a statement issued ahead of official confirmation that the business had entered the insolvency process, the group confirmed it had worked with British Steel for the past eight years. It had been supplying materials handling and other services at Immingham Port and Scunthorpe, both in Lincolnshire, during this time.

Approximately 170 Hargreaves Services employees are involved in the provision of these services.

The statement said: “Until the future of British Steel is clarified, the potential impact on Hargreaves cannot be fully determined. The board estimates that the group has a net exposure of approximately £4.5m to British Steel comprising trade debt and work-in-progress balances, some or all of which may prove to be irrecoverable if British

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Temperature-controlled specialist Fowler Welch has won a full supply chain contract with Delamere Dairy to handle its Marks & Spencer volumes. The operation will run from its Nuneaton site.

Fowler Welch will be responsible for stock collection, stockholding, order processing, picking and distribution of the dairy’s M&S goods, as well as providing full customer services support. It has also developed an advanced shipping notice messaging process for multiple clients, which it said helped clinch the deal.

Delamere Dairy operation director Alan Whiston said: “During the visit to the Fowler Welch Nuneaton site we were struck by the exceptional service levels and on-site dedicated customer support.

“These factors are important to us in selecting a supply chain partner and are why we chose Fowler Welch to look after this important retail client.”

Operator outlines exposure as British Steel enters insolvency process

Steel is unable to continue trading.

Redundancy and associated employment costs may result in a further non-recurring charge of up to £3m against group profit.

Potential asset write-downs and leasing obligations amount to an additional £1.5m, resulting in a possible total exceptional charge of £9m.”

It added that if British Steel ceases to trade, group revenue in the next financial year could be

reduced by approximately £11m and pre-tax profit by £1.3m.

British Steel was placed into compulsory liquidation last week (22 May). In a statement the official receiver, acting for the Insolvency Service, said: “The immediate priority following my appointment as liquidator of British Steel is to continue safe operation of site.

The company is continuing to trade and supply customers while I consider options.”

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23/05/2019 16:41:37

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New guidance from senior TC sets out concerns about ‘self-employed’ drivers. Chris Tindall reports

TCs warn over bogus driver status Concerns that haulage operators and drivers are avoiding tax by claiming self-employed status inappropriately has led to revised guidance being issued by the traffic commissioners – along with a warning that regulatory action will be taken if it is not heeded.

HMRC has long held concerns that companies are treating staff as self-employed, or are hiring drivers through their own companies, in ways that bypass tax laws and result in unfair competition.

A statement in the senior TC’s statutory guidance document five, updated this month, stresses that HMRC believes “in road haulage it is rare for someone to be genuinely self-employed unless they are an owner-driver”.

It continues: “HMRC is aware that some companies wrongly believe that anti-avoidance legislation does not apply and that HMRC cannot pursue workers, agents and their companies.

“In general, someone is selfemployed if they are in business on their own account and bear the responsibility for the success or failure of that business.

“Conversely, they will be employed if they personally work under the control of their engager

and do not run the risks of having a business themselves.”

According to legal experts Shulmans, being self-employed still provides a taxable benefit and sometimes this benefit is split between the O-licence holder and the driver, benefiting either one party or both.

Loss of revenue

Jim Wright, Shulmans employment law partner, said: “In either instance, however, HMRC sees that the use of so-called selfemployed drivers creates a loss of tax revenue.”

He said the new guidance applied a legal test, which includes that where a driver is “subject to a right of control” then the relationship is one of employment, not self-employment.

“The challenge for O-licence holders in respect of drivers is therefore twofold,” he said. “Firstly, how can a licence holder claim that it has the supervision over, and direct and control of, its drivers if those drivers are described as selfemployed?

“Secondly, any use of selfemployed drivers who are not owner-drivers potentially opens up an argument that the O-licence

holder, by being in breach of the new guidance and facilitating a loss of revenue to HMRC, cannot be of ‘good repute’.

“Both of these issues could lead, ultimately, to the loss of an O-licence,” warned Wright.

Senior TC Richard Turfitt said he had done his best to communicate the line followed by HMRC, and that the TCs would take operators to task if they did not abide by it. “It’s about your ability to control the people in charge of your expensive piece of plant – your ambassadors on the road.

“It interlinks with your hard-won customers and yet you don’t have control of that driver.”

Tax bill

Rod McKenzie, MD of policy and public affairs at the RHA, said that in an industry that does not pay well, there is a temptation to play the self-employment card. “It results in years of apparent bliss followed by an unpleasant and large tax bill that is crippling when the authorities catch up with you.

“For lorry drivers and employers, to be properly self-employed you have to have an O-licence, you have to have your own truck – probably with your name or your company

name on it – and you need to work for more than one client.

“If you are going to work every day with the same employer driving his or her trucks and not having your own O-licence, then you are employed and you should be paying PAYE,” he said.

Under pressure

McKenzie added that the RHA board had put pressure on the senior TC to take action with operators that flouted the rules. “If you are a good, law-abiding operator and have your own O-licence, but you fiddle your taxes, then you are not a compliant operator,” he pointed out. We don’t see why compliant, law-abiding operators should be punished due to the dubious practices of other people.”

Turfitt acknowledged he had had “a bumpy ride” from the association, but said: “The RHA’s board members are saying to me: ‘why aren’t you doing more about this?’

I don’t have the resources. I don’t want to be charging more fees. This is occurring because margins are so tight.

“But what I can do is say to the industry: don’t get caught doing this. You will put us in a position where we will take action.”

Royal Mail eyes shoppers with parcel postbox trial Royal Mail is to roll out 1,400 parcel postboxes across the UK in an attempt to win a greater share of the online shopping market.

The move follows a successful trial of 17 parcel postboxes in Northampton and 13 in Leicester last year.

If this latest trial is successful, Royal Mail will look at converting all its existing postboxes to take parcels. The company has 115,000 postboxes across the UK. Royal Mail, which last year delivered 1.3 billion parcels, is targeting its parcel postboxes at small businesses, online marketplace sellers and customers who are making increasing numbers of returns.

Businesses and marketplace sellers will be able to use the converted postboxes – which feature a wider aperture and a more secure design than existing boxes – to post parcels that are pre-paid 8 MotorTransport MTR_270519_008.indd 8

through Royal Mail’s Click & Drop service. Customers will be able to post returns parcels that include a Royal Mail barcode.

Analyst Frank Proud, director of Apex Insight, said Royal Mail could corner the C2X market with its parcel postboxes.

“Royal Mail could be pushing on an open door here. Carriers are becoming less interested in C2X as the level of complaints is much higher than B2C. Customers often don’t package or label their parcels properly or get the address wrong so carriers are not as enamoured by this sector as they once were.”

The move to put additional parcel postboxes in place was announced as Royal Mail unveiled a new five-year strategy based on parcels growth and international expansion to ensure its future in the face of declining letter volumes.

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23/05/2019 10:31:53

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New natural gas facilities offer operators an alternative to diesel

CNG Fuels powers on with station openings

By Carol Millett

Natural gas fuel supplier CNG Fuels is set to open five new natural gas refuelling stations this year.

The five new public access stations will be located in Warringt on, Erdingt on, Northampton, Larkhall in Scotland and at Knowsley, near Liverpool.

The company already operates three biomethane compressed natural gas (Bio-CNG) gas stations at Leyland, Lancashire and Crewe in Cheshire. A further eight stations are planned for next year.

All of CNG’s new stations will supply renewable biomethane approved under the DfT’s Renewable Transport Fuel Obligation (RTFO) scheme.

CNG Fuels has claimed its biomethane cuts greenhouse gas emissions by up to 85% and is

35% to 40% cheaper than diesel.

The new Warrington station, which is already under construction, is expected to be the largest public access gas refuelling station in Europe. Located at Omega South on the M62 it will be able to refuel 800 HGVs a day and serve 12 vehicles simultaneously.

Construction has also started on a station at Erdington, close to the M6 in Birmingham. The station will be able to refuel more than 600 HGVs a day.

Both stations will open in the autumn, along with a third, at the Red Lion Truckstop off the M1 at Northampton that will be able to handle 350 HGVs a day.

Philip Fjeld, CNG Fuels chief executive, said: “Our customers are already planning to order hundreds of new biomethanefuelled trucks and we have interest from companies which run a third of the UK’s HGVs. “We’re making it easier for fleet operators to switch from diesel by developing a nationwide network of biomethane stations on major trucking routes and at key logistics hubs.”

Jack Richards starts delivering in a Jiffy Jack Richards & Son has won a deal for distribution with Jiffy Packaging.

Having worked together on a partial contract for the last three years, the haulier has now secured the contract in full, which went live at the start of this month.

The three-year deal sees Jack Richards providing transport nationwide for the manufacturer that has a head office and production facility in Winsford, Cheshire and a network of DCs across the UK. To service the contract, the haulier has bought several DAF XFs, although it didn’t specify the exact number as the resource will fluctuate in line with the client’s requirements.

Jiffy Packaging MD Richard Gregg said: “With all the ongoing investment in our company, we now have a transport company that will grow with us.”

LoCITY lowdown Gnewt Cargo proving that electric fleets can cut emissions and deliver big savings It is widely recognised that air pollution is an ‘invisible killer’, which is causing a national health crisis and leading to thousands of premature deaths annually across the UK. In London, the mayor is committed to doing everything in his power to reduce toxic air pollution, which damages children’s lung growth and increases the risk of asthma and cancer.

Nearly 50% of harmful pollution emissions in the capital are from vehicles.

To address we are delivering bold action, from cleaning up London’s bus and taxi fleets, to launching a £23m polluting van

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scrappage scheme and introducing the world’s first Ultra Low Emission Zone.

However, freight traffic in London remains a key area of focus as it has steadily increased due to the popularity of online deliveries. A third of all traffic in central London is from diesel vans and HGVs. The mayor is supporting a project with delivery company Gnewt Cargo to demonstrate the benefit of moving to electric vehicles - comparing their emissions, performance and costs with equivalent diesel delivery vans.

Results so far have been impressive and reveal a diesel van is 45% more expensive to run than an electric van. The statistics show that replacing all diesel vans with electric vans in London could provide up to a £60m benefit to the local environment (in carbon emissions, noise reductions and air quality improvements) and a total cost reduction of £1.7bn to van operators in one year.

With this project we want to prove the commercial viability of these vehicles. The majority of the 26 trial electric vans are retrofitted Nissan eNV200s that have been

modified to carry a larger amount of cargo, which results in fewer journeys, further helping to cut congestion and vehicle mileage.

I hope these strong findings will encourage delivery companies throughout London to help us protect our environment, join the electric revolution and electrify their commercial fleets.

■ The Mayor of London Electric Vehicle / Gnewt project is part of the Low Emission Freight and Logistics Trial, funded by the Office for Low Emission Vehicles (OLEV) in partnership with Innovate UK. It commenced in June 2017 and is due to conclude on 31 December 2019. The project is funded by Innovate UK – Arup is responsible for monitoring the data collected from the vans during the project.

Shirley Rodrigues was appointed in London as deputy mayor for environment and energy in October 2016.

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22/05/2019 15:49:20

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Dry goods business not included in William C Hockin (Tankers) purchase

Greenergy buys Hockin

By Carol Millett

Transportation fuel supplier and distributor Greenergy has bought Barnstaple-based William C Hockin (Tankers) as part of plans to expand its long-distance operations.

Founder and MD Bill Hockin, who will join Greenergy’s board as a non-executive director, said he had no plans to sell his dry goods haulage operation William C Hockin (Transport). The Hockin tanker division, which comprises 20 vehicles, will be integrated into Greenergy Flexigrid as a specialist long-distance operation. Greenergy Flexigrid is the fuel distributor’s in-house haulage business.

The deal includes the transfer of 20 drivers to Greenergy Flexigrid, which employs 500 drivers and runs a 130-strong fleet of trucks and trailers.

Greenergy chief executive Andrew Owens, said William C Hockin’s tanker division had

worked with the company for 10 years and provided exceptional support for speciality movements such as bioethanol and super gasoline trunking.

Owens told MT that rapid growth in Greenergy’s business over the past few years had prompted the acquisition. He said: “We were the lion’s share of Hockin’s tanker business and it was doing the lion’s share of our long-haul operations. The growth

of our trunking operations has been relentless and that growth has given us the opportunity to invest in tanker operations.”

■ Greenergy is being investigated by the Serious Fraud Office (SFO) over “certain aspects” of biodiesel trading. The SFO said: “Searches were conducted on 30 April at five sites across the UK and sites in the Netherlands and Belgium. Four individuals have been arrested and released without charge.”

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Everywoman 2019 shortlist announced A shorlist of 46 individuals makes up this year’s Everywoman in Transport & Logistics Awards programme. The winners will be announced at a ceremony in London on 13 June at the Grosvenor House Hotel.

This year’s awards programme will see two winners per category – one Industry Leader with a breadth of experience and one individual at any stage of their career who is going Above and Beyond. For the first time there will be an Apprentice of the Year.

Everywoman co-founder Maxine Benson said: “Women account for only 18% of the overall transport and logistics industry, which is a cry for urgent change to be made, considering the value they add. Encouraging women to pursue senior positions is crucial for the growth of the sector.

Building the future of logistics means highlighting the role of technology and emotional intelligence in more creative job roles."

■ For the full list, go to everywoman.com.

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News

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Business Solutions sale fails to lift carrier out of loss, with Ukranian cyber attack costing £32m

Cyber attack costs TNT UK dear TNT UK continued to make a loss in its most recent trading period despite the one-off gain from the sale of its Business Solutions division, its latest accounts show.

The accounts for the year to

31 May provide further guidance suggesting the cost to the business of the cyber attack that crippled its operations in June 2017 was in the millions.

TNT UK said the NotPetya cyber attack that involved the spread of a virus via a Ukranian tax software product had, along with the sale of its Business Solutions division, reduced revenue by 8.4% or approximately £56m on an annual basis. Although TNT UK did not publish a turnover figure for its divested Business Solutions divi-

sion, the difference in annual turnover between continuing and discontinued operations in the period was £24m.

The operator, now part of FedEx Corporation, reiterated that it had taken approximately nine months before the majority of TNT Express’s services were restored following the cyber attack.

However, the full effect of the attack, including the recovery of business data, took until the third quarter of the financial year – autumn 2018 – to fully overcome,

the accounts state. It added that parent FedEx was unaffected and no data breach or loss occurred as a result of the attack.

MT approached FedEx Corporation for comment but was directed to a recent filing for the group to the US Securities and Exchange Commission. This stated the cost of NotPeyta to the group business was approximately $400m (£358m).

Business Solutions was sold on 1 May 2018 for £88m in cash resulting in a £53.9m profit on disposal.

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Truck cartel viewpoint I am writing regarding your Viewpoint in the 13 May edition of MT (‘CAT truck cartel review saga’, page 20) about the legal action. It is incorrect to say that claimants need to prove to the CAT’s satisfaction that there was indeed a cartel. DAF, Daimler/Mercedes-Benz, IVECO, MAN, and Volvo/Renault all confessed to their involvement and the European Commission (EC) fined them £2.6bn as a result.

This admission by the manufacturers proves their guilt in the claims brought before the CAT. The CAT simply has to accept that a cartel existed and there can be no argument on this point. The EC separately established Scania’s involvement and it is included in the RHA’s claim.

When looking at whether operators might have passed truck price increases on to customers as a result of the cartel, it is not just a matter of asking who paid for the increase. Manufacturers have a high threshold to overcome before the tribunal would be willing to accept that operators passed on price increases to customers [and therefore there was no harm].

It is also worth noting that the haulage sector is highly competitive and runs on tight margins; operators would always find it difficult to pass on any increase in costs to customers in this environment.

Finally, it is important for MT readers to distinguish between the legal claims being brought by the RHA and UKTC. While the RHA has more than 10,000 operators signed up or registered to its legal claim, as far as the RHA is aware, UKTC does not have any.

Richard Burnett chief executive, RHA 27.5.19

22/05/2019 16:35:14

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Viewpoint

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Let’s talk about mental health N Steve Hobson Editor Motor Transport

ot being a big fan of national awareness weeks – how many of you know that May is National Walking Month? – I have to admit that Mental Health Awareness Week (13-19 May) almost passed me by.

But the issue of mental health among HGV drivers was prominent at the recent CV Show and a number of operators – including O’Donovan Waste – have grasped the nettle and started taking the issue seriously.

It is a shocking fact that the biggest cause of death among men under 50 is suicide and, with men making up the majority of the driving population, it is a disproportionate problem for the transport industry.

Assessing the mental as well as physical health of drivers is not something that can or should be ignored

by employers. It is tempting to avoid opening what could be a can of worms and rely on drivers to self-assess their fitness to drive. Even getting drivers to complete annual questionnaires about their physical, mental and medical conditions may not be enough to meet the duty of care owed by operators to their staff and the wider public.

Tragedies such as the M1 minibus and the Glasgow bin lorry crashes could possibly have been avoided if the drivers had admitted their problems, and there is clearly a huge responsibility on drivers to ensure they are safe to take to the wheel.

But that does not absolve employers of their responsibility to take steps to ensure that the person they hand the keys to every day is in a fit state: mentally as well as physically.

Performance is cause for optimism W Jason Whitworth M&A partner, BDO

hen it comes to merger and acquisition activity in the logistics industry, 2019 was always going to herald tough conditions.

However, while transport and logistics companies are right to remain cautious, it isn’t all doom and gloom. Our latest ‘Logistics and Supply chain management quarterly review’ paints a more positive outlook for the sector, with emerging opportunities equal to the challenges.

There are clearly benefits to be had in consolidation around logistics, plus interest in new technology platforms underpinning automation and efficiencies in supply chains.

Recent M&A figures have certainly remained strong and illustrate the fact that companies continue to target growth, remaining acquisitive despite the challenging climate. Looking back at the end of 2018 we saw a four-year high for deal volume in the final quarter, demonstrating a continued confidence in the logistics market. Similarly, Q3 2018 saw the highest combined deal value in four years, hitting £371m.

Last year also saw an interesting shift in terms of investment. Brexit and associated economic concerns gave rise to

14 MotorTransport MTR_270519_014.indd 14

an expected fall in interest from global markets, however M&A activity didn’t decline, but was instead bolstered by domestic activity, with the lion’s share of acquisitive companies based in the UK. Last year, 50% of buyers were UK-based businesses versus just 23% in 2016.

European buyers accounted for just 23% of total deal activity in 2018, compared with 40% in 2016. It’s a largely unavoidable shift given the changing dynamics, but it’s encouraging to see that demand remained robust, with UK-based logistics companies continuing to push ahead with growth strategies.

Brexit will undoubtedly bring unprecedented challenges during the next 12 months, and the UK logistics and supply chain industry is at the head of the charge. As well as in developing trade links in Europe and beyond, growth is achieved by supporting retailers as e-commerce continues to outpace the high street, and in harnessing new technology to deliver greater operational efficiencies.

The newspaper for transport operators

To contact us: Tel: 020 8912 +4 digits or email: name.surname@roadtransport.com Editor Steve Hobson 2161 Editor-in-chief Christopher Walton 2163 Head of content Chris Druce 2158 Deputy head of content Hayley Pink 2165 Group production editor Clare Goldie 2174 Deputy production editor Jo Saunders 2173 Key account manager Andrew Smith 07771 885874 Display telesales Barnaby Goodman-Smith 2128 Event sales Richard Bennett 07889 823060 Tim George 0755 7677758 Classified and recruitment advertising rtmclassified@roadtransport.com Head of sales Emma Tyrer 07900 691137 Divisional director Vic Bunby 2121 Head of marketing Jane Casling 2133 Head of events/MT Awards Stephen Pobjoy 2135 Managing director Andy Salter 2171 Editorial office Road Transport Media, Sixth Floor, Chancery House, St Nicholas Way, Sutton, Surrey SM1 1JB 020 8912 2170 Free copies MT is available free to specified licensed operators under the publisher’s terms of control. For details, email mtsccqueries@roadtransport.com, or call 01772 426705 Subscriptions Tel 0330 333 9544 Quadrant Subscription Services, Rockwood House, Perrymount Road, Haywards Heath, West Sussex RH16 3DH Rates UK £135/year. Europe £163/year.

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Got something to say?

If you would like to contribute to MT’s Viewpoint, email steve.hobson@roadtransport.com 27.5.19

23/05/2019 11:33:45

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22/05/2019 16:28:42

Conference report: Microlise

Tech is top of the agenda At this year’s Microlise conference the focus was on new technology and how it can enable growth, streamline operations and deliver environmental benefits.

Christopher Walton reports

I

nnovation was the theme of the eighth annual Microlise conference, held earlier this month at the Ricoh Arena in Coventry, as speakers from the logistics and road transport industry looked to the future in front of 1,200 delegates.

Headline speaker Andreas Marschner, vice-president of EU Amazon Transportation Services, outlined the e-commerce giant’s plans to transform the supply chain.

Since launching 21 years ago in the UK, Amazon has spread across the EU to employ 85,000 full-time staff running 40 fulfilment centres.

“There is a lot of possibility in what a website can do but we would not meet the customer promise without the logistics to back it up,” he said. “I am still searching for the customer asking us to be slower. If you work with Amazon you will have plenty of discussions about keeping the customer promise. We want to hit that 100% of the time. Customers expect 365 days of the year delivery.”

Operationally, that means Amazon is looking to reduce its touchpoints throughout the supply chain. While the traditional set-up is warehouse to logistics provider to 3PL distribution hub to postal delivery unit to customer, Amazon wants to go to a fulfilment centre to postal delivery unit to customer flow.

“That means you can shop for next day delivery and it takes points of failure out of the delivery chain. We are developing our own tech in this area to make the overall flow as seamless as possible,” added Marschner.

When operators think about innovation today, thoughts immediately turn to alternative fuels, of which Felix Kybart, vice-president of alternative drives at MAN Truck & Bus, was more than happy to outline.

Proof is in the pudding

Its eTGM, which takes 80 minutes to charge delivering a range of 180kms at 26 tonnes, is “selling like hot cakes” and is being trialled with operators in Europe. “These trucks drive every day,” he explained. “[And] these are companies that have European-wide engagement. They have exceeded 120,000km so far. They went all through the winter. Not a single day did they need to come in for repair unexpectedly. We have proved their operation and we have gained experience regarding charging.”

Kybart said that given the evolution of electricallypowered commercial vehicles he was convinced that total cost of ownership by the beginning of the 2020s will be equal with diesel.

“If you [want to] buy a diesel truck for distribution in the city my recommendation will be to go electric, because the TCO will be lower over the coming years. With elec16 MotorTransport MTR_270519_016-017.indd 16

tric trucks you are running emission-free and are silent.

You can work at night and pass through where people live. Since it is emission-free you can even drive right into the building. That means new degrees of freedom in how you approach logistics.”

Road network

Innovation in road transport and logistics is not just restricted to changing distribution patterns and drivetrains, but covers the use of the roads themselves. Elliot Shaw, executive director of strategy and planning at Highways England, said: “We are trying to improve the ways our roads operate now and in the future.”

Given that the strategic road network handles 68% of all freight movements in the UK (and 76% of all freight in the UK moves by road) road carries the load and requires support and investment.

“The government is committed to £15bn in improving the way the road network operates. These are major transformational schemes like junction improvements, managed motorways. The data is showing they are making a real difference,” he said.

He listed the agency’s achievements: “Manchester congestion is at its lowest level in three years. Smart motorways are a pain when they are being introduced, but they do reduce congestion. We have delivered 650 noise abatement schemes to reduce the impact of the road network. And we are working to implement electric vehicle chargers, so you are never more than 20 minutes away from a charging point.”

Innovation is also coming to industry watchdog the Office of the Traffic Commissioner (OTC), according to senior traffic commissioner Richard Turfitt.

“Although the focus of this conference is technology, innovation and the future I’m starting in the past,” he said.

“Motorised transport began about 120 years ago, and a minister for transport came 10 years later... Ten years after that came the first traffic commissioners. Regulation and regulators have been modernising ever since.

“The first ever annual report from 1932 captures thoughts on responsibilities and standards at the time.

The South Wales TC said setting up an independent tribunal to grant licences was one of the biggest innovations. The TCs have represented a level of continuity for industry. There are few regulators as transparent in publishing regulatory statistics and the reason for decisions. It must continue to be so, but in a form that represents the changes in your business,” he added.

The OTC is aiming for 100% new and variant applications online. This, said Turfitt, would depend on system 27.5.19

23/05/2019 12:30:32

and user readiness. “We can now offer virtually the full gambit,” he said. “It was clear that the old platform was not fit for purpose.” In late 2016 it launched its Vehicle Operator Licensing service (known as VOLS) on gov.uk.

It is now reducing average application times and operators can change operating premises and increase fleet size using a digital signature.

“The way in which we use data will be so important to the future. We can monitor times on licence applications.

It is a priority in terms of the services we provide. Getting operational capacity is important to your business. That is why we are reducing the average processing time to 35 days by 2021.”

The appliance of compliance

Innovation in compliance also saw the introduction of Earned Recognition last year, and according to DVSA director of enforcement Marian Kitson the scheme now encompasses 7% of the UK commercial vehicle fleet.

In the past 12 months the DVSA has checked 79,489 driver hours, where it found 73,458 offences and issued £7.03m of fines.

“The great majority of vehicles are achieving high standards,” said Kitson. “I want to direct my resources to the serially non-compliant, and with the support of the TCs take them away from the roads. Nobody should be profiting from non-compliance.”

The future of transport isn’t just limited to operational and compliance activity – it should mean the increasing diversity of the workforce to include more female and BAME employees. Unite national officer Adrian Jones pointed to the three female winners at the 2019 Microlise Driver of the Year awards as a sign of progress.

He said, however, that the industry and government had not done enough to change road transport’s perceptions as an employer: “How are we addressing imbalances in gender, ethnicity and age?” he asked. “We are not seeing much activity. Women make up 1% of the workforce. BAME is 3%. The average age is 53.”

Jones surveyed conference delegates to ask: “In the last 12 months have you recruited a BAME driver?” More than half (56%) said yes, while 15% said no and 29% said they were unsure.

“Far too many businesses underpay drivers for the skills and responsibilities that they have,” he added. “Drivers are expected to be paid just above minimum wage. If we continue to fish in the same pond we will catch the same fish. We need to look at how we can do things differently.

There are loads of companies out there looking at apprenticeships but it is not the ultimate solution.” ■ 27.5.19

MTR_270519_016-017.indd 17

MotorTransport 17

23/05/2019 12:31:03

Alternative fuels

The engines of change

In his final article on alternative fuel vehicles, Martin Flach looks at how operators UPS and Howard Tenens have adopted electric and gas-powered fleets

W

ith 120,000 items of powered equipment globally and a further 200,000 pieces unpowered, package delivery and logistics specialist UPS has one of the largest fleets in the world.

Luke Wake, international director of the automotive engineering and advanced technology group at UPS, is proud of the organisation’s commitment to alternative technologies. It started using electric vehicles back in the 1930s, and although they worked, the internal combustion engine prevailed, and it was not until the 21st century that they started to be adopted again. In the UK this was in 2008 with 20 electric vehicles from Modec. Most are still running, says Wake, which is remarkable considering the demise of Modec and the Zebra (sodium nickel chloride) battery technology that was used at the time.

Part of the reason for their success, believes Wake, is that the vehicles are ideal for the intense urban operation that they carry out from a depot in Camden, north London.

Using the right vehicle for the operation is always more successful than trying to alter the operation to be able to use a particular technology. With 150 drops per day and predictable routes, the walk-though design of the Modec has been ideal for the UPS operation.

Modec was probably just too early for the market, considers Wake, and the lack of OEM alternatives at the time led UPS to use some retrofit conversions that have served well to cover the transition to mainstream products.

It is currently evaluating an ARRIVAL electric vehicle, which is the start of the next phase of alternative fuel vehicle (AFV) adoption.

Not that UPS has been idle over the last few years – its global AFV fleet now exceeds 10,000 items and the company board has created some challenging targets:  2020 – 25% of all new vehicle purchases will be AFVs;  2025 – 25% of all energy purchased will be renewable;  2025 – 40% of all ground fuel purchased will be alternatives;  2025 – 12% reduction of absolute greenhouse gas emissions for all global operations with no exemptions for business growth.

“To achieve these targets, we have to be taking steps every year,” says Wake. “We can’t arrive at 2025 and hope a magic wand will solve the issues.”

For the urban vehicles in the 3.5-tonne to 7.5-tonne category, the route is clearly focused on electric vehicles and Wake considers that total cost of ownership is vital but the real challenge to OEMs is to achieve equality of capital expenditure as well. To get there the issue will be scaling up volumes and removing all the extra costs of low volume production.

As electric vehicle numbers rise, the grid supply to the 18 MotorTransport MTR_270519_018-019.indd 18

depot can become an issue but recent work carried out as part of an Innovate UK project together with UK Power Networks has led Wake to believe that smart charging can be a game changer. Before you start to invest in substations, you need to consider the total energy requirements of the fleet and the depot, and the number of hours available for charging. Compare this to the power supply available over those hours and you can see if the supply is sufficient. If it is, then the issue becomes an algorithm able to organise the charging within the power constraints of the site. Fortunately for a single-shift fleet, the need for rapid charging is not an issue and this helps limit the power requirements.

UPS is also running some Tevva Motors extended electric conversions of Mercedes-Benz Varios. These are needed for areas where the stem mileage is higher. A good example is Birmingham, which is served from the Tamworth depot. A pure electric retrofit 7.5-tonne vehicle will have a usable range of 75km, says Wake. Tamworth is more than 30km from Birmingham city centre and so the vehicle would be unable to do any deliveries if it needed to get back to base. The range extender, together with geomapping, enables UPS to run pure electric in the urban areas and use the internal combustion engine while out of the city on the motorway. It will also remove any issues with seasonal variance on range that can be a problem with pure electric in winter.

On the heavy fleet, starting in 2011, UPS deployed 20 dual-fuel Mercedes artics with Hardstaff conversions.

They worked well with a 60% gas substitution, and some are still in use now. Gas is the clear here-and-now solution for heavies, believes Wake, with the benefit that methane from fossil sources or biomethane will be interchangeable on the vehicle with no adverse effects.

27.5.19

22/05/2019 16:27:59

motortransport.co.uk

Although methane slip was an issue with the artics, Wake believes that the technology helped as a stepping stone towards OEM vehicles. Their legacy is the infrastructure – UPS now has its own liquefied natural gas (LNG) station at its Tamworth site, and technicians and drivers have been trained on natural gas vehicles. All of this will prove beneficial to UPS as it puts dedicated Euro-6 vehicles from Iveco and Scania into the fleet for evaluation side by side.

It’s going to be important to understand the comparisons of capital expenditure, fuel consumption and maintenance costs to enable decisions to be made for the vehicle purchases in 2020, says Wake. “With 25% being alternative fuel, we have to get it right.”

Gas-powered heavies at Howard Tenens

Family-owned and run logistics firm Howard Tenens has been at the forefront in the use of gas for heavy commercial vehicles. Executive director Ben Morris says the company started in 2009 with dual fuel Mercedes-Benz vehicles from Hardstaff, which enabled the staff to gain experience of alternative technologies.

The vehicles were 6x2 and ran with compressed natural gas (CNG), which proved challenging for sufficient range. Trials were made with tanks mounted on the trailer coupled to the tractor via an umbilical connection similar to suzie hoses. This worked OK but proved a constraint in matching only tractors and trailers with the equipment. There were also issues with connections, similar to those with pneumatic and electric suzies.

Working with Hardstaff and Mercedes, Howard Tenens was able to achieve a revised layout, which enabled enough gas to be stored on the artic to render the trailer tanks unnecessary.

In 2013, Howard Tenens was successful in getting funding from the Low Carbon Truck Trial, which enabled the company to convert 38 units using Prins technology for the first time, on Mercedes and DAF vehicles. On the whole, the technology was reliable, says Morris, and the last of these are only just coming off fleet now, although one will still be kept in use as it only does low mileage. The funding also enabled Howard Tenens to build a grid connected CNG station at its site in Swindon.

At the time, 50% of the fleet over 3.5 tonnes was running with dual fuel, and in percentage terms it was by far the biggest alternative fuel heavy truck fleet.

27.5.19

MTR_270519_018-019.indd 19

Close monitoring with telematics showed where the vehicles worked well and less so, in terms of fuel savings and payback, and this enabled the firm to consolidate all the vehicles at the Swindon site.

Euro-6 proved more challenging for the dual fuel convertors but the Prins conversions on DAF worked well and two units are still in service.

The latest Low Emission Freight and Logistics Trial by the Office for Low Emission Vehicles saw Howard Tenens succeed in its bid for funding to evaluate dedicated gas vehicles, and two Scania 26-tonne 6x2 rigids were put into the fleet in October 2017. They have been very successful, says Morris, so much so that a further two units have just been added to the fleet. Despite an efficiency loss of 22%, by using biomethane, the company saw a 75% reduction in CO2 compared with diesel units.

Importantly for the bottom line, the fuel cost saving is working out at 8p per mile, giving a three-year payback.

The real desire for Morris is a 6x2 CNG artic as the annual mileage will be higher and the payback quicker.

The team was keen to see the Agility/CNG Fuels conversion of an Iveco Stralis at the recent CV Show but the preference would always be for an OEM product.

To Morris, CNG will always be preferable to LNG as it is simpler, and above all easier for the drivers, with driver buy-in being vital for successful adoption in the fleet.

There are no real secrets to success, says Morris; it’s all the usual things:  good KPIs and effective evaluation;  good relationship with supplier and dealer;  good support for parts and repairs;  committed management who support the journey.

Morris is surprised that more fleets haven’t moved to gas vehicles as he believes it is the only solution for heavy trucks. He adds that and he and his team are always willing to discuss their experience with others who may still be wary of making the switch.

Having spoken with four fleet operators during this series of articles, the messages are clear when considering alternative technologies. Talk to as many people as possible in the industry before you start, then ensure that you allow enough time for monitoring any vehicle trial so that your conclusions are sound. Those who are already using alternatives are all convinced of one thing – the time to start is now.  MotorTransport 19

22/05/2019 16:28:17

Trailers

Roaring ahead Tiger Trailers has successfully expanded both its product range and customer base since it was set up in 2014, as Steve Hobson reports

T

iger Trailers has come a long way since it was set up five years ago by brothers and joint MDs John and Steven Cartwright, after the pair resigned as directors of family firm Cartwright Group. Cartwright was founded in 1952 by father and son, the late Stanley and Alan Cartwright; John and Steven are Alan’s sons (John’s first name is in fact also Alan) and the swish new Tiger head office and factory in Winsford, Cheshire is called Alan Cartwright House in his memory. Steven’s son Jack is now employed by Tiger as commercial manager, with John’s son Thomas employed as business improvement manager.

In 2014, John and Steven set up Tiger in a 107,000sq ft former Boughey Distribution DC and a couple of years later, Steven told MT: “We are building 25 to 30 trailers a week with the capability of doing around 40, dependent on type. What we have put in here we could unbolt and move somewhere else. If we reach capacity here, we would keep the principle the same and relocate to a bigger shed.”

Capacity was indeed reached in 2018, prompting the move in February 2019 to the new £22m, 20-acre site.

Phase one has a 168,000sq ft factory and office block, expected to turn out 2,500 trailers and rigid bodies in 2019, but there is room to increase the factory’s size again if needed. While the brothers remain very much handson with the design and construction of trailers (John is the engineer while Steven looks after sales and marketing alongside sales director Darren Holland), they have appointed a new manufacturing director, Richard Else, who has 28 years’ experience with Jaguar Land Rover and more recently McLaren, to run the factory.

“It gives some flexibility to both parties,” says Else. “If Tiger wants a bigger factory, we increase the size. The factory is a pretty basic warehouse-type construction and has plenty of space outside.

“It’s got doors either side of the building and the factory’s been designed so it’s a lot more efficient to move the materials through the building. It’s got a roadway round three sides whereas at the old factory, because we only had a yard on one side, we had to operate it in a U-shape effectively. Here, because we have doors either side we just go straight through and turn the products in the yard.”

John adds: “When we made the planning application a couple of years ago, it was for phase one and phase two. There is planning approval for another 80,000sq ft, so it’s going to be a 250,000sq ft building. Once we feel it’s the right time, whether that’s in a year, two years or

20 MotorTransport MTR_270519_020-021.indd 20

whenever, we know we can build on the end without affecting any of this.”

Despite the extra space, Tiger is for the time being retaining its model of fabricating its own chassis, subcontracting much of the smaller sub-assembly fabrication and concentrating on design and assembly.

“The business model we set up originally has stayed the same,” says John. “We are focusing more on the assembly than the manufacturing side, and we’ll continue to do that. Potentially, we could build more trailers just by doing less manufacturing and more assembly.

“We are continuously evolving our designs to ensure they are easy to put together. Even though we have laser welders, we are dealing with professional laser and press companies who build these components really accurately.”

The existing factory employs 250 and capacity could also be increased by taking on more people and working more shifts.

Else says: “We run two shifts at the moment. We have a day shift, which 80% of the workforce are on, and we’ve got a small team of people working nights, primarily welding, but they are a fairly flexible group as well. They will do paint, they’ll do some assembly and they set things up for the day shift.

“Until you've got stability in the new factory, you wouldn’t want to put four shifts on, but that’s another opportunity to grow capacity.”

The Cartwrights could reasonably have expected the UK to be well out of the EU by the end of March 2019, but at the time of writing the UK’s future status was still unclear. But John says demand for Tiger trailers has remained buoyant despite the economic uncertainty.

“Our order book is very good,” he says. “That previous factory down the road there was just to get us going. It was always going to be a compromise, because the yard was never going to be big enough. So yes, we would have done it anyway.”

When Tiger was established it concentrated on ambient trailers and bodies, focusing its innovative thinking on improving double-decks, safer load restraint systems and aerodynamics with its patented tapering Tiger Tail.

These kept the old factory full but it now has the capacity to develop new lines such as refrigerated units.

“When we started off, we’d said we were going to concentrate on dry freights,” says Holland. “We now make the full array of semi-trailers, drawbars, fixed decks and moving decks. Now the plan is to make fridges here later this year or early next year. They will probably be double-decks and rigid bodies to start with.”

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ers, shaving off around 850kg by using higher grade steel supplied by Tata. Between 15% and 20% of Tiger’s output is bodies for rigid trucks, and it has contracts to body 3.5-tonners for FedEx and 7.5-tonners for Hovis. Steven Cartwright sees an opportunity to build these lighter too.

“We’ve got all this knowledge we’re gaining on the big trailers, so we want to put it in all the equipment,” he says. “It doesn’t matter whether it’s a truck or trailer, if you make it half a tonne lighter, you’re going to carry more load or use less fuel.”

The opening of the bigger factory has also enabled John to “go off-piste and develop something completely new” – the Tiger Deck loading dock. This is a lifting platform that sits at the back door of warehouses and allows the rapid unloading of fixed-deck double-deck trailers. “We initially built three for one of our customers, B&M, then they ordered another three and now they’ve ordered 21,” says John. “They’re building a 1 million sq ft warehouse in Bedford and our 21 loading docks are going to be fastened to the side of their building. Ours can actually go inside the building after it has been put up, because it splits in half. That’s a real success story of innovation completely different to a trailer.”

While Tiger’s initial orders came from clients the brothers already had a relationship with, it has since picked up some large new accounts.

“The fleet engineer at Eddie Stobart, Stuart Smith, was here in the autumn with the fleet engineer from Tesco, Cliff Smith,” says John. “We had a really good meeting and Cliff, who hadn’t dealt with Tiger before, says ‘the reason I’m signing is because Stuart says you make really good trailers’. You can’t beat that, with customers who respect each other.”

One of Tiger’s appeals to operators is its ability to develop bespoke trailers to exactly match their application, but this constant prototyping comes at a cost – and lead times of up to 24 weeks. While it has no plans to build vanilla trailers for stock or rental it has developed a Fast Track range of standard units that will offer a quicker turnaround to its customers.

“We’re saying to customers, ‘you can have the spec you want but that trailer’s £24,000 and 24 weeks’ lead time, or alternatively, why don’t you have one of these?’” says Holland. “It’s a Tiger Fast Track, it’s got a galvanised chassis, and it’s £20,000 and a 12-week lead time. It won’t be basic, it will be one which we’ll always be making and it can still be specced with customer-enhanced options.”

Despite the extra capacity at the new factory, lead times have gone up because the order book has swelled to over 1,000 units, a quarter of which are double-decks. “At the 27.5.19

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moment we are selling into September, October, November, December and then into the next year,” says Holland.

John adds: “It would’ve been easy for us on day one to have a scattergun approach and try and grab hold of everybody. We didn’t do that. We’ve grown organically, and the aim was to bring on good quality customers and retain them. We want to keep our customers and then bring in new ones, and that’s exactly what we’re doing.”

Apart from a small fleet of double-decks it inherited from AO, Tiger has no plans to compete with its trailer hire customers by starting up its own rental operation.

“We deal with a number of different rental companies.

Ryder and Hireco buy a lot of trailers from us so we’d rather work with them,” says John. “We’re introducing our customer base to them, and equally they’re bringing their customer base to us.”

The UK trailer industry looks set to be joined by another player in Northern Ireland, MAW Engineering, formed

by Mark Cuskeran, until last year MD of SDC, and William Stobart, formerly chairman of Eddie Stobart Logistics.

John is aware of Cuskeran’s plans and has no worries about another competitor. “It's going to be interesting but I believe they are going to be building more specialist trailers like moving floors,” he says. “Tiger is a British company, and we design and make our own chassis and bodies in a modern factory to a very high quality.” ■

TIGER TALE: main picture, from left, John and Steven Cartwright with Richard Else in the new factory; above, Tiger Trailers is, for the time being, fabricating its own chassis

TAKING THE LOW ROAD While continental Europe is dominated by the giant trailer builders like Schmitz Cargobull and Krone, Tiger has exported some specialist trailers for UK customers.

“There’s not much export going on at the moment but we’ve actually got 180 trailers operating in Europe,” says John Cartwright. “There is definitely an opportunity for certain trailer types like double-decks. We’re about to build some with independent suspension, which is quite common because of the 4m height restriction.”

Tiger is applying the same low-ride-height design to a batch of UK trailers to carry forklift trucks.

“That’s an interesting contract,” says John. “We’re going to build quite a number of these forklift truck carriers for a UK customer. That will create a range of forklift truck trailers which become a new Tiger model that we can sell to other people who move forklift trucks.

“It’s been quite a lot of design work and we have four different designs because there a lot of different models of forklift truck. Our concept is a step-frame trailer with a tail-lift or a ramp, but you can’t have any angle on the trailer that is more than 7 degrees. They all have independent suspension and cabriolet sliding roofs as well.”

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Emissions control

Freight expect

If you’re in logistics and you haven’t heard about the GLEC Framework, then listen up.

There’s a change coming and it’s being driven by an unlikely source.

Andy Salter heads to Amsterdam to find out more

S

ophie Punte, the charismatic executive director of global not-for-profit organisation the Smart Freight Centre (SFC), is – by her own admission – a hugger. I know this, because on our first meeting I approached with outstretched hand only to have this swiped aside before finding myself in a bear hug. You can see why she is making great strides among the global logistics giants.

SFC is on a mission to assist business in reducing its global carbon emissions footprint and, from what we hear, Punte and her team are triggering a change in boardrooms and operating centres around the world.

“Freight is the Cinderella of transport and of the multinationals,” she says.

It’s an interesting comparison: freight and logistics as the ignored gem, waiting to burst into the limelight. SFC as fairy godmother might be stretching the analogy, but it is indicative of the facilitating role Punte sees the centre playing. “Because freight is often outsourced, many multinationals feel ‘it’s not really my responsibility. I paid for the services by someone else’. There’s been a tradition of turning a blind eye to the environmental impact of the freight supply chain.”

Let’s be clear, Punte is a logistics advocate, working with, not against, industry. As the SFC website states – “Our vision is ‘Smart Freight’, a transformation to an efficient and environmentally sustainable global logistics sector”. Punte articulates the vision better: “We’re aiming to provide multinationals with the guidance on how to calculate, set targets and select solutions that reduce emissions and then help them by connecting them through initiatives, consultants and others who can support them along the way. Throughout this journey, we aim to recognise them for their efforts and achievements. We can trigger the change.”

Planning ahead

At the core of the SFC’s work together with its Global Logistics Emissions Council (GLEC) is the so-called GLEC Framework, which seeks to provide a universally agreed methodology as the industry standard for logistics emissions accounting and reporting. It’s got some significant traction among multinationals and the logistics giants – Heineken, HP, Dow, DB Schenker, and DHL are some of the members. Punte says: “My vision at the time of setting up SFC was to drive transparency of carbon emissions from the logistics supply chain through industry standards and help companies take ownership by using these standards to report and reduce emissions.”

Punte started her business career in 1995 working for KPMG and the United Nations in Europe, Australia and Asia on corporate social responsibility (CSR) activities where her orbit swept through the logistics universe and she found herself drawn into discussions about freight.

“Logistics people are not necessarily motivated by carbon reduction; they have businesses to run,” she says. “The way we position our framework is about optimising the logistics supply chain and minimising emissions. It’s the combination of the two. An optimised supply chain has the benefits of better service to customers, hence cost-reduction opportunities. My notion is that carbon is a better indicator of efficiency than the price paid for logistics services because you can negotiate on price but you cannot negotiate on emission impact.

“By companies starting to determine their carbon 22 MotorTransport MTR_270519_022-023.indd 22

footprint, they can use it as a very good proxy for identifying inefficiencies. I wish the mentality of companies were to change – that they don’t see logistics really as a cost, but as an integral part of their business worth investing in. Carbon accounting provides an opportunity to get insight in your supply chain, but also can be used in the future to optimise your access to customers. It’s very much a business benefit that goes beyond the ‘let’s save the world’ message.

“The pressure to adopt low-carbon solutions is only going to increase. In this narrowing window of freedom, I say ‘take charge of your own footprints’. Start accounting now, because then you are in charge of managing your footprint in the future. The longer you wait, you more you leave it open for activists, governments, and investors to dictate how business will behave. You don’t want to be in that position.”

Punte accepts getting the majority of companies to act on climate change and pollution is a challenge and SFC has developed the Smart Freight Leadership initiative as means of supporting those companies leading the way in this area and mobilising others to act. “If you have a few multinationals setting the course, then government will feel more confident to follow with policy,” she argues.

“Get that interaction between a few leaders, with government following, then the rest of the industry gets sucked along. For that you need leadership. So we’ve looked at literature, at problems at work, at what companies have already been doing and we came up with three behaviours that leading businesses exercise globally: one, they report emissions and set reduction targets; two, they implement solutions as buyers or suppliers of freight services that reduce emissions; and three, they collaborate with each other and advocate for sector-wide action.”

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ctations

Accessibility of the GLEC Framework has been a criticism thrown at SFC. Much of the initial focus has been on getting global consensus on the theoretical elements of logistics emissions accounting. While experience with over 30 companies showed that the GLEC Framework works, it’s not hands-on enough for general business. “This summer, we’re going to come up with an updated GLEC Framework that is more practical,” Punte explains. “More hands on, a step-by-step approach to do it. The methodology itself hasn’t changed, but the way it’s presented will be.”

Standard bearer

With the establishment of the GLEC Framework that is probably going to be the basis for a new ISO standard, the natural extension has been to explore how calculation results are used to inform customers: “Many of the carriers and 3PLs are concerned each of their clients will ask for emissions to be reported using a different methodology, a different reporting format, and will have different contract conditions that are incompatible. The resources that carriers and 3PLs are investing in just responding to customers and tendering for them is a nightmare. To complement the GLEC Framework, we have developed the GLEC Declaration through an EC-funded project called LEARN, which gives a standard menu of what to report on. We hope that more and more companies will ask their 3PLs or sub-contracted carriers ‘can you just issue me a GLEC Declaration?’.

“The GLEC Declaration will help with getting companies to not only calculate, but also report more consistently. That Declaration then gets included in the procurement practices, so that customers start saying ‘I’m giving you a contract and I want you to calculate your emissions 27.5.19

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using the GLEC Framework and I want you to report it to me using the GLEC Declaration’.”

HP is among the first multinationals to change its contracts this way.

Another pillar of SFC’s activities is the introduction of the Smart Truck Fleet Management (STFM) programme. While the GLEC could be considered a top-down approach, STFM is more focused on the front line of operational road freight. Here, SFC has developed a series of training and advice modules to assist transport managers and the people at the coalface of logistics to drive improvements in their fleets.

“We looked at the gap between the multinationals as customers of freight and the coalface of freight operators.

If you look at road freight carriers big or small, many don’t give a hoot about CO2. They are often operating on a 1% to 2% margin, and the customer only asks them about the price, and being on time and flexibility. Contracts are often issued for one year and renegotiated after six months,” Punte says.

“We looked at how we can assist in bridging the gap.

In parallel, we also find that, especially in developing countries, the professionalism in the sector is lacking.

In India or South Africa, for example, no truck driver wants his son to be a truck driver. With that in mind, we thought: how do we convince road freight carriers to do something, and make them do something better?

“We developed a training course called Smart Truck Fleet Managers that is targeted at the fleet managers or transport managers of larger road freight carriers. It gives them an understanding of what you can do to manage your fleet more efficiently. There are five components: the vehicle, the fuel, the drivers, IT or transport management systems, and finally monitoring. The monitoring includes collecting operational and fuel data and calculating emissions, and by the way, if you then need to report to your customer, we can make sure it conforms to the GLEC Framework, but those carriers don’t need to hear that it’s the GLEC Framework.”

Courses are now being rolled out globally with training already given in China to over 80 fleet managers working for carriers that serve multinational customers like IKEA, H&M and Shell. Again, collaboration between buyers and suppliers of freight services, supported by government, is what gets you furthest.

Interviewing Punte is a whirlwind of ideas, sprinkled with passion. It’s clear she has a belief in her work that gives her a resilience and strength to push on in enabling logistics to become more environmentally efficient.

“There are many roads to Rome,” she says. “As long as people keep walking on that road , then we can make a difference. I don’t mind making mistakes, I’m making lots. Smart Freight Centre may not succeed in its mission, but I’m going to give it my all to make it work. If you have a 1% chance of saving the world from climate change, I’ll go for that. I’m not someone to say ‘the odds are stacked against us, let’s give up’.” ■

FURTHER DETAILS For more information on the GLEC Framework, Smart Freight Leadership, Smart Truck Fleet Management and SFC’s other work, go to: smartfreightcentre.org.

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Parts

More than the sum of its parts Dealership service contracts are the lifeblood of the industry, get them wrong and it could cost time and money. Simon Jack reports

B

eing able to rely on a dealer or workshop that is well stocked with parts is essential if operators want to maximise the use of their vehicles. If a truck is out of action, it means lost revenue and relationships with customers can be damaged.

As Brian Templar, chairman of logistics consultancy Davies & Robson, points out: “Vehicles are really tools to help you do a job. If you receive professional support from your local dealer you can keep vehicles available for making money.”

Getting vehicles with faults back on the road as soon as possible is always a priority – with efficient scheduling of regular maintenance following close behind.

“Ideally you want work done when it is not interfering with your delivery schedule. That typically means evenings and weekends,” he says.

Manufacturers are keen to use their service packages as a selling point and see them as a great way of getting closer to their customers. That means an efficient flow of parts is vital.

Sam Whittaker, director of customer service and parts at Mercedes-Benz Trucks, explains: “Service contracts are the lifeblood of the business. The ability to look after customers is an essential part of our offer.”

The company offers four types of service contract, ranging from a complete R&M service to a more basic package covering routine servicing along with those that extend the warranty on the vehicle – in all, 72% of its customers have some form of contract.

The full service offering, called Complete Service, guarantees that if a vehicle is off the road for more than 24 hours a replacement will be provided, or its financial rental equivalent.

Whittaker says that an extensive range of parts is kept locally. As well as those requested by dealer workshops, these are sometimes ‘pushed’ out to the dealerships if a new model is being launched or if a specialist requirement has been identified in a local area – they can be returned if they are not subsequently sold.

There is also a national distribution centre for parts in Milton Keynes, which is supported by the company’s facilities in Germany. If necessary, parts can be flown, trucked or occasionally even transported by taxi.

Scania (GB) also places importance on its supply of parts. As well as those kept in the dealership, orders are sent by 8am from its Midlands warehouse if made before

24 MotorTransport MTR_270519_024-025.indd 24

8pm the evening before and from its warehouse in Belgium if requested before 4.30pm.

Steve James, the company’s general manager of contract services, says that if there is a vehicle-off-road (VOR) situation, the repair progress is monitored carefully through to a conclusion. “We try to make it a slick process so that, no matter what the problem is, we have the vehicle back working as quickly as possible,” he says.

Delivering the goods

Scania helps provide cover if a vehicle has come to an involuntary stop for more than 24 hours, but it is also possible to build in cover for regular maintenance if an operator needs it. James says the company’s approach is to tailor its services to customers’ needs. “We have set packages but we can build on top of them,” he says.

This can sometimes involve adding to the expertise at a particular workshop so as to be able to support certain types of truck. However, in the case of very specialist vehicles, only the chassis of the vehicle is covered while other equipment would need to be repaired elsewhere.

“We are flexible about it, starting with the chassis and building up from there,” James explains.

Volvo Trucks is another OEM to rely on a range of supply options when it comes to parts. It claims

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HAULIERS NEED TOP SERVICE, NOT FREE TRUCKS Efficient workshops are high on the list of attributes when it comes to operators choosing what make of vehicles to purchase or lease.

Steve Granite, CEO of Abbey Logistics Group, which has a number of vehicle marques in its fleet, says that R&M is a critical factor, including where the workshops are located. “The network of dealers is crucial as any off-route running can be very costly. Abbey tends to use dealer networks but also uses third-party maintenance providers such as Prohire that can complement the dealer network with suitable maintenance facilities closer to our depots,” he says. He believes that good support is necessary to operate efficiently. “If you don’t use good-quality R&M providers you will pay the price in vehicle downtime, as defects are not rectified properly first time, leading to repeat failures.”

Iain Mitchell, MD of John Mitchell Haulage and Warehousing, which runs MAN and Scania trucks, also says that good R&M is an important factor when purchasing vehicles. “The supplier must firstly be able to meet our O-licence requirements and secondly be able to provide a cost-effective service. Cost of maintenance, the time of day when vehicles are maintained and workshop location are the major factors for us,” he says.

He would not, however, expect a complimentary vehicle while R&M is carried out. “It would be nice but someone has to pay for this and it tends to be the customer, so I would rather have my vehicles maintained when I do not need them on the road earning.” Like many others, he believes that remote diagnostics will make a huge impact in the future. “This is the way forward. If a workshop knows what the issues are with a truck it must help the workshop to prepare and keep my downtime to a minimum,” he says.

the stock held in dealerships meets around 93% of requirements.

James Lister, Volvo Trucks head of commercial pricing, product and logistics, says: “We have a DC in Rugby that can satisfy well in excess of 90% of the outstanding balance of orders. Although parts from this support warehouse are normally available on an overnight basis for next-day delivery, a courier can be organised at any time of day or night.”

For parts that are not available within the UK there is an overnight service based in Gent.

Volvo, too, offers a range of R&M packages, from basic servicing and inspection up to fully inclusive Gold contracts that include repairs and replacement vehicles, if requested. Lister says that this can include specialist vehicles, which could be located close to customers.

“Generally the customer is in the strongest position to know what the options are locally to them and find the right specification required,” he says.

Renault Trucks does not include replacement trucks as standard while repairs and servicing are undertaken, but will do so if agreed under one of its R&M packages, called Excellence. It also promises to cover vehicle replacement costs if a part cannot be supplied within two working days. Where possible, it will also support specialist vehicles. Derek Leech, Renault Trucks service market and retail development director, explains: “Maximising uptime for all our customers is an absolute priority and we support every customer by offering a tailored service that meets their critical business needs.”

Complete package

The efficiency of the parts operation and R&M service can influence truck purchasing decisions but there are other factors involved.

Matt Lawrenson is MD of Imperial Commercials, the largest DAF dealer in the UK but which also runs MAN and IVECO franchises. He says: “Many of the manufacturers offer similar packages so the location of workshops is key, along with a good reputation as a service provider.”

The company runs 32 workshops, both at dealership premises and at standalone facilities. Lawrenson believes that working with operators is vital to minimise downtime.

“Planning all maintenance and inspections with customers allows them to juggle their fleet requirements. The aim should be to eradicate the unexpected – it’s all about communication,” he says. ■ 27.5.19

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REMOTE DIAGNOSTICS

Many see the role of remote diagnostics as vital in keeping vehicles on the road – and something that will become more important in the future.

If trucks are connected via 4G and 5G networks, it is possible to identify faults before they become too serious. That means repairs can be carried out at the same time as a routine six-week inspection so the vehicle does not need to come into the dealer twice. Crucially, parts can be ordered before the vehicle comes in.

Renault’s Derek Leech comments: “The real-time monitoring of vehicle data offers opportunities to reduce service time, fix issues before they become problems and prevent further failures in the long term.”

Scania’s Steve James also believes that this kind of approach brings efficiencies. “We have algorithms that tell us how a vehicle is performing and, if it is due a service, we can tell the workshop what to do when it comes in,” he says.

Mercedes-Benz offers remote diagnostics under a product called Uptime, which monitors sensors around the vehicle. “Connected trucks can feed back information on a regular basis and prevent breakdowns by letting customers know if there is a problem,” Whittaker says.

He says that during 2018, 180 breakdowns were prevented by the company’s technology; 2,160 repair jobs were carried out during regular inspections; and information about features such as AdBlue levels, diesel particulate filter regeneration and trailer brakes were provided on 4,540 occasions.

Imperial Commercials’ Matt Lawrenson comments: “The technology is constantly evolving and is set to play a more significant role in future by making sure the parts are there for a scheduled repair with the minimum of downtime.”

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MT Awards 2019 shortlists Innovation Award Sponsored by MT profiles the shortlists for this year’s awards Brigade Electronics

The near-silent approach of electric vehicles can endanger both pedestrians and cyclists.

With around 11 million electric vehicles set to take to UK roads by 2030, Brigade Electronics sought a solution to this rapidly growing safety issue. The Quiet Vehicle Sounder, which can be fitted to an electric, hybrid or hydrogen fuel cell-powered vehicle, emits a continuous sound until the vehicle reaches speeds above 20mph when tyre and wind sounds are enough to act as a warning. The sound is directional, so pedestrians can judge where a vehicle is, as well as varying in pitch and tone as the vehicle speeds up or slows down.

Blended tones and frequencies are used to ensure the sound is distinctive without being irritating and can be heard clearly in close proximity while being less noticeable beyond that.

Our judging panel praised the simplicity of the solution to a relatively new problem. “A small business has taken on a global challenge and produced something that will save numerous lives,” said one of our judges.

Grid Smarter Cities

The delivery driver’s nightmare of searching for available kerb space during city drop-offs could be over with Grid Smarter Cities’ intelligent kerbside management app. Dubbed Kerb, the patented system allows operators to pre-book normally off-limit kerb space with local authorities or extend time-restricted loading periods.

An app directs drivers to the designated bay, which it displays virtually, and alerts the recipient to their arrival. Parking attendants are automatically informed of the driver’s right to park in the bay. Costs are set by the local authority and graded on the time of day, the vehicle’s energy efficiency and the area’s congestion levels. Grid Smarter Cities says Kerb can help to cut congestion and pollution levels, help operators reduce fuel costs, cut parking fines and increase delivery efficiencies.

The judging panel admired the way Kerb tackled a difficult problem with new technology.

“This is an elegant solution that benefits the operator, the local area and the environment,” one of our judges concluded.

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Microlise

Microlise has invented a warning system that aims to help hauliers avoid costly bridge strikes. The Driver Hazard Warning (DHW) system consists of a comprehensive database of bridge locations put together using local authority information, crowd-sourced map data and Microlise’s own investigations. This is combined with a mapping system that gauges the vehicle’s proximity to bridge hazard locations.

An app alerts drivers to approaching height, weight and width restriction hazards, giving them enough warning to be able to re-plan their route if necessary. Customers can also notify Microlise of hazards they wish to add – either general or specific to the company’s own operations.

The judges liked the way Microlise had gathered existing data and combined it with complex technology to create a simple to use in-cab system to improve driver safety. “This is a very good solution to an existing problem, which is marketable and easy to adopt,” one judge commented.

Wheely-Safe

Wheels that detach from a moving truck can become deadly missiles, reaching speeds of up to 150kph and heights of 50m – the Transport Research Laboratory estimates there are between 150 and 400 wheel detachments a year.

The Wheely-Safe system is designed to identify loose wheels and alert drivers and operators to this danger as well as providing other safety benefits. The system uses sensors, which straddle two wheel nuts using a specially designed bracket. If a nut is loose by 1mm, a signal is transmitted to the solar-powered display unit in the cab, alerting the driver to pull over. Alerts can also be sent directly to the transport office using the vehicle’s telematics system. Wheely-Safe can also detect brake issues through onboard heat sensors, and alert the driver and operator to over or under-inflated tyres using pressure monitoring sensors.

The judging panel liked the simplicity of the solution and the additional safety features. “This fills a real need in the market. The potential benefits are substantial and it can be applied to a plethora of vehicles,” said one judge.

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22/05/2019 16:08:34

KMAX GEN-2.

Delivering more mileage.

The KMAX GEN-2 When it comes to your business, it’s all about efficiency. You need a robust tyre that gives superb mileage across a range of regional roads - and that’s exactly what the KMAX range from Goodyear delivers. And because we never stop innovating, we’ve created the new KMAX GEN-2 - a tyre with improved traction on all roads, in all weather conditions, throughout its entire life.

Discover how innovative the next generation KMAX GEN-2 is at truck.goodyear.eu

For further information email uk_marketing@goodyear.com or visit truckforce.co.uk, contact us.

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22/05/2019 11:35:57

MT Awards 2019 shortlists Sponsored by

Business Excellence Award McCulla (Ireland)

McCulla (Ireland) provides temperature-controlled storage and distribution throughout the UK, Ireland and continental Europe.

Established in 1969, the company remains family owned and this year is celebrating its 50th anniversary. The business has grown significantly over the years, most recently achieving a turnover of £24.1m. McCulla (Ireland) believes its success is due to the successful marriage of technology with a personalised service, which has allowed it to foster customer-led partnerships.

Strong CSR, turnover and profit growth and a commitment to integrate apprentices within the business were all big ticks for our panel when they studied the submission. One of our judges remarked that McCulla (Ireland) had been on an admirable journey. “They’re focusing on what matters, getting back to basics and getting it right,” they said.

Another added: “A very low staff churn is a good sign and they have buy-in from the workforce with incentives based on performance. That can be challenging.”

A third judge said: “It’s a tidy and well managed business, which has been innovative and fleet of foot.”

Whirlpool UK Appliances

Whirlpool UK is the only major domestic appliance manufacturer to manage a home-delivery service directly to consumers. The business’s logistics division, Hotpoint Home Solutions (HHS), is one of the largest movers of white goods in the UK as a consequence, delivering one million products to consumers’ homes and small trade annually.

Despite this, its fleet statistics and training activities are impressive, according to our judging panel. The process is “end to end” encompassing everything from when the customer first places their order, right the way through to unpacking, installation, removal of their old machine and packaging for 100% recycling. The operator's principle strategy during 2018 was business excellence = people excellence and corporate social responsibility, which formed the basis of its entry. This included the WOE (Whirlpool Operating Excellence) programme, introduced to bring about a mindset change, harmonising processes, reducing and removing waste.

One of our judging panel asked: “Would I like to deal with them?

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Absolutely. From the customer’s point of view this is an excellent business”. Another described it as a “class act” that had got its act together against the backdrop of a number of legacy issues from the units that today make up the business, and grown with its customers.

Palletforce

Pallet network Palletforce has more than 18 years under its belt, and it’s a tale of a profitable business, demonstrating year-on-year growth, and Motor Transport award-winning technology (super forklift trucks).

Backed by continual investment in infrastructure, technology and services, the network experienced record growth and volumes in 2018.

With new, enlarged hub capacity – 620,000sq ft in Burton upon Trent able to handle 30,000 pallets a night – and the support of parent company EV Cargo, Palletforce today offers a range of European and even global services (via an internal, freight forwarding function), creating the capacity to enable growth for its UK haulier members.

In 2018, its annual turnover was £116m, up 11% year on year; operating profit was £4.62m, an increase of 8% on the previous year, while its total pallet volume set another internal record, increasing 8% to 3.75 million compared with a year ago. The network has also recruited for 100 new positions as it continues to stride forwards. While 15 new haulier members signed up last year, the submission detailed a pallet delivery performance that is at an all-time high for the network, aided by an investment in sortation technology and use of the ARC tracking system to preview inbound freight before arrival.

“An impressive financial performance and track record, with an admirable commitment to investment, staff recruitment and development,” said one of our judges. Another judge picked out the pallet network’s outstanding customer service and strong employee retention rates.

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MT Awards 2019 shortlists Sponsored by

Best Use of Technology Award Air Products

In 2018, the introduction of new technology enabling real-time driver coaching and remote lone worker monitoring helped Air Products push safety performance improvements across its workforce of 353 drivers.

The app-based technology has significantly improved driver engagement in the company’s Data Enabled Driver Coaching Programme, reduced vehicle incidents and improved driver efficiency.

The company’s drivers have wholeheartedly endorsed the success of the technology, with 75% voting in favour of including the results of the safety system into a performance-related pay scheme.

Judges particularly liked the fact Air Products had focused on the ‘people element’ of rolling out new safety technology and ensured it was accessible to all drivers.

DPD

Parcel delivery specialist DPD has used the power of co-creation with its customers and its people to produce technology breakthroughs. Its Design Space system has engaged 22,000 of its four million app users in an online community where they can help redefine the delivery experience by suggesting and voting on new service ideas, two of which have already been brought to market.

The company also engaged with its driver workforce in a project to completely redesign its hand-held devices, resulting in a new, more reliable and more user-friendly device.

Judges were impressed with the technology behind Design Space and felt its rollout was handled in a very structured way that engaged with customers.

Ocado

Online food retailer Ocado has an ambition to become the UK’s most environmentally-friendly supermarket, and strives to ensure its multitemperature hub and spoke model is as efficient as possible.

Using engine-driven compressors on the refrigeration systems on its Sprinter fleet, it set itself the challenge of reducing excess idling from vehicles

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loading and awaiting dispatch. The Temperature Stop Start system was developed in conjunction with Mercedes-Benz, GAH and Azura Engineering and allows the vehicle to make decisions about whether or not the engine should be running, based on location, fridge temperature and battery charge level. Once the vehicle body has reached target temperature, and the fridge is not in demand, the vehicle engine will automatically shut down.

The judges felt this was an “excellent project that has overcome obstacles” to support Ocado's aim of lowering its environmental impact; a very well thought-out solution presented in a clear way.

UPS

To overcome the challenge of charging an entire fleet of electric vehicles within existing grid capacity restraints, UPS partnered with UK Power Networks and Cross River Partnership on the Smart Electric Urban Logistics (SEUL) project, an initiative to develop radical new charging and battery storage technology for urban electric fleets. The resulting ‘smart grid’, a world-first operating system installed in UPS’s Camden depot in north London, is capable of simultaneously recharging an entire electric fleet using artificial intelligence that responds to network grid capacity, thus electrifying UPS’s central London fleet without the need to upgrade the energy grid.

Judges liked the fact UPS had not only developed a “world-leading” solution, but also wanted to share its knowledge with the industry.

VLS

Utility industry specialist VLS is owned by Northumbrian Water Group and Northern Powergrid. The company manages 4,500 vehicles across 100 operational sites; supplying, managing and maintaining fleets of all sizes. VLS wanted to develop an online integrated driver/vehicle/ workshop maintenance system that would improve compliance and provide clear vehicle status visibility to the business, its customers, auditors and the DVSA. Previously there were disparate systems covering operations, ranging from driver defect reporting apps to workshop bookings and supplier payments. VLS wanted to bring them all together to create a smoother workflow for staff and customers alike.

The judges praised the strong project implementation across such a large fleet of different vehicles and plant machinery and felt it was an impressive use of technology for a complicated challenge.

27.5.19

22/05/2019 16:03:08

The long haul. Mastered.

H-DRIVE 002 Why tame the concrete jungle when you can master it? Designed to command motorways with ease, the Bridgestone H-DRIVE 002 tyre delivers best-in-class fuel HIÆ&#x201A;FLHQF\ DQG ZHW WUDFWLRQ RXWSHUIRUPLQJ LWV FRPSHWLWRUV DQG WRS UDWLQJ IRU ZHW JULS

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22/05/2019 11:43:27

Offers everything. Except ordinary.

The new Actros. EDITION 1.

The first of a new generation. The launch of the new Actros is being celebrated with a limited special edition of just 35 units for the UK – the “EDITION 1” available as 6x2 or 4x2. With added comfort, added exclusivity and added safety – thanks to outstanding innovations such as MirrorCam and Active Brake Assist 5. And all available with flexible Mercedes-Benz financing and service terms. www.mercedes-benz-trucks.com For more information scan the QR code.

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22/05/2019 11:46:54