Personality

Martin Merrick.

EXECUTIVE ORDER

Volvo Group Australia President Martin Merrick has been tasked with steering the company through one of the most challenging periods ever faced by local markets as industry comes to grips with the fallout from COVID-19. A roadmap, however, is at the ready and includes launching four new models, future announcements in electro-mobility and big plans for investing additional development resources into the Mack brand.

PM: Euro 6 emissions are not currently mandated in Australia, yet VGA has made some significant sales to major fleets. Is it time the Australian government took more interest in what the industry is doing?

MM: I think there is a clear support for Euro 6 to be mandated and I know the Truck Industry Council and a number of industry associations are working closely with the government. We’ve been importing Euro 6 trucks since 2017 based on customer demand. We now see the demand is increasing and we have now invested circa $25 million to build Volvo Euro 6 vehicles here locally, rather than import them. That sort of investment and technology is not just about Euro 6 emissions but leads to safer and more productive and easier to drive trucks. We are also investing $100 million over the next four years in our Mack product strategy which will also include Euro 6.

PM: When will we start to see the new Volvo models which were revealed in Sweden in March?

MM: We’re launching four new models for Volvo Trucks which has been a significant investment of 10 billion Swedish Kroner (approx. $1.56 billion AUD) and of course the Brisbane Truck Show would have been the perfect stage to showcase those new models. We couldn’t just hope about how many of our dealers and customers will be able to travel across borders so we had to make a tough decision early not to participate and a lot of people perhaps felt we were premature in what we decided and I understand that. We just felt that hoping for the best was not a good strategy.

PM: Your predecessor Peter Voorhoeve put a lot of effort into aligning the model line-up across the three brands. Is that going to continue under your watch?

MM: Absolutely. Thanks to the work that has been done under Peter’s leadership and the fantastic team here, we’ve got three fantastic brands that compete in different segments. We have the Volvo Group CAST system

(Common And Shared Technology) and we have local engineers. Everything has to be a business case and having a Mack medium duty truck, for example, wouldn’t really stack up for us. Having this local value chain here in Australia we can be sure we have the right line up and we can manufacture the trucks here that are fit for the Australian environment. Currently with the global teams and in Australia, we see increased discussions around electro-mobility, automation, connectivity, and hydrogen fuel cells so that with future technologies we’ve already set out a roadmap.

PM: Is Volvo, as a group, looking at choosing between platooning and autonomous vehicles for continued development?

MM: When it comes to R&D we’ve got to have alternative solutions and we don’t place our bets on just one, but I would say that currently we are going much more towards autonomous. Actually, in Australia platooning has been here for many years in the form of B-doubles and roadtrains. It’s mechanical platooning and perhaps this is what Europe should be looking at rather than the platooning technology. Mechanical platooning is successful and works so well in Australia.

PM: Do we have any idea yet on how the UD-Isuzu situation is going to evolve?

MM: We’re still working through this at a global level but from an Australian perspective for the dealers and customers here, there will be no change. We will continue to be the importer of UD Trucks so from a customer and dealer perspective it will be business as usual. This is not just a sale of UD Trucks to Isuzu, it’s a strategic alliance and also a global technology alliance. I can’t comment from a global level what the future alliance and partnership will look like, but what I can say from an Australian level it’s business as usual.

PM: Can we expect changes in local production?

MM: This year marks 50 years of Volvo Trucks in Australia and we have been proudly building trucks since 1972 at Wacol. We’re proud to create jobs,

Merrick speaking at Followmont’s Celebrating Women in Transport event. build fantastic trucks and support not just the Australian transport industry but the Australian economy as a whole. Last year, between parts for production, non-automotive purchases and logistics, we spent, circa, $400 million in the local economy. We get many customers who are proud to buy Australian made. We’re investing in the future of our products and from 2018 to 2022 we’ll have invested over $70 million in our factory here. The four new Volvo models (FH16, FH, FM and FMX) will be built here in Wacol. I have to add that we have done this since 1972 without the need of any subsidies from the government whatsoever.

PM: Is an Australian produced Volvo as good as a Swedish produced Volvo?

MM: I have been very fortunate in my career of 32 years with Volvo to have travelled and visited many factories and what we see here at Wacol we don’t see anywhere else in the world. The engineering and the quality of the build are fantastic. And these trucks are out on the road working in extremely arduous conditions and they’re not just fresh to the market — its year after year performance. So I’m going to say, ‘yep’, I believe the locally made Australian produced Volvo’s are the best in the world.

PM: In terms of sales is it important you are able to finish 2020 at number one?

MM: For us to be number one in market share is very important. Of course, it’s a big thing but perhaps for me the most important number one is customer satisfaction. If we look at Volvo, Mack and UD together we are at 31 per cent market share. Our dealer network and our customers have been great so every three in ten new trucks that have been registered this year are from the Volvo Group. To have the number one Heavy Duty position for the Volvo brand here that would be fantastic and we respect what the competition has done over many years. Yet, I would prefer to have the number one in customer satisfaction than number one in market share.

TRIUM

Sue Swain’s family has gone through some devastating tragedy, yet Statewide Car Carriers continues to be a successful and respected transport operator.

Warren Swain managed Statewide Car Carriers for 14 years before he and wife Sue decided to purchase the business in 1990. Strategically located on the NSW Central Coast between the major car markets in Sydney and Newcastle, Warren and Sue started with four trucks and trailers and Statewide grew steadily due to its increasing reputation for honesty and reliability. Then in October 2000, just after the Sydney Olympics, Warren lost his life in a tragic workplace accident. “He was my hubby, my best friend and my love, and we lost him aged just 47,” recalls Sue. Sue’s son Mark Broadhead had recently joined the operation and urged Sue to continue with the business although they faced some significant challenges. “The banks didn’t want to know me, and basically I was a woman in a man’s world.” says Sue. “At that point I decided to prove them wrong.” Mark stepped up from being a driver to the role of Transport Manager as Statewide grew to having eleven of its own trucks plus three subcontractors. “We expanded our reach, still doing Sydney to Newcastle as before while additionally servicing regions such as the

Hunter Valley and the Eastern seaboard all the way to Brisbane,” says Sue. In January 2016, an electrical fault caused a massive fire which burnt down all of the sheds on the property including the workshop and Warren’s classic EH Holden racing car. The family was dealt another devastating blow the following month when Mark was diagnosed with terminal cancer. “He kept so positive and was determined to beat it,” says Sue. “In the meantime, he redesigned and had the sheds rebuilt, refurbished them and bought all the replacement equipment.” Mark passed away on Mother’s Day morning 2017. He was 46. Once again, Sue had to call upon her own determination to make sure the business survived and kept its people employed. In 2020 Statewide celebrates its thirtieth year of ownership and management by members of the Swain family which now includes Sue’s daughter Sharon and grandsons Mitchell and Daniel. “Now I’ve got Mitchell and Daniel here there’s nothing can stop me,” Sue says proudly. “Mitchell has a Bachelor of Commerce and a law degree and reckons he came to work here so he didn’t have to wear a suit. He initially came in to do accounts and payroll, but he also loads

PH AMID TRAGEDY

trucks, drives trucks, and works out the loading when Daniel is not around.” Keeping in line with Warren’s and Mark’s philosophy to always buy quality equipment, most of the Statewide fleet now comprises of Kenworth and Mercedes-Benz prime movers. Maintaining their appearance is important to the company image and the drivers ensure they are kept immaculate inside and out. “I always believed in buying new trucks

and not to let them get too far out of warranty,” says Sue. “If I can keep rotating the trucks regularly I haven’t got to think about motors and big repair bills which saves me a lot of headaches.” Throughout all of the challenges and devastating periods, Sue has maintained a simple business philosophy. “Tell your customers the truth,” she says. “If we can’t do something within a particular timeframe, we’ll tell them upfront.” Other than some motorsport sponsorship, Statewide Car Carrying has never advertised and its growth has been fuelled by the organic increase in business of their existing car dealer clients, plus a steady stream of new customers has been created by word-of-mouth recommendations within the vehicle dealership industry. “We used to worry about pricing, and while that’s still important, honesty and service seem to be the factors which are most important to our clients,” says Sue. The legacies of Warren Swain and Mark Broadhead are much more than the dedications sign-written on every truck in the Statewide fleet. It’s the determination of their extended family and staff, under Sue’s guidance, to overcome any obstacles in their way that remains inspirational. There’s a nobility in knowing that success is earned by providing uncompromising honesty and outstanding service. At a time in life when many are looking to slow down, Sue Swain continues to be actively involved in the business and appreciates the support of her family, staff and clients in achieving a remarkable 30 year milestone. “I’d like to ease off a bit but when COVID hit I just had to come back in full time again,” she says. “The question is: why am I still here and trying so hard in my 69th year? The answer is simple: for my husband and my son. Statewide has kept my head busy and in a good space through all the tragedy, so here’s to another 30 years!”