Truck Parts & Service 0518 by Richard Street

Two Distributor of the Year winners to merge | Tenneco buying Federal-Mogul

Recruiting technicians now ... and tomorrow WITH AN EYE ON THE FUTURE, THE INDUSTRY WORKS TO FILL TODAYâ&#x20AC;&#x2122;S NEED FOR TECHNICIANS MAY 2018 |

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Succession planning in the aftermarket 24

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Volume 54 | Number 5 | May 2018

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Editorial

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Recruiting technicians now … and tomorrow

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Features 24 Succession planning in the aftermarket

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Editorial | Lucas Deal

Finding your five quick questions By Lucas Deal, Editor lucasdeal@randallreilly.com

n late 2015 I bought new tires for my car. The tires I had at the time weren’t quite to the point where I absolutely needed to replace them, but you know that feeling in the fall when the wind goes from pleasant to evil, the sun decides it doesn’t work here anymore and you start instinctively evaluating every system on your vehicle like you’re about to go into space? That’s where I was. My heater needed to breathe fire. The wipers needed to give me the best view in town. And the tires? Well, like their friction friends in the wheel end, my tires needed to be ready to start working sno-vertime. (I’m sorry. That was awful.) Anyway, I had reached that point in the year where I had to determine if the equipment on my car would last through to the spring. When it came to my tires, I had concerns. They had done everything I’d asked of them since I’d owned the car, but my mileage and a wear check told me their end was on the horizon. Maybe they’d last another nine weeks, maybe only five. With the haunting vision of a snowy, congested Chicago roadway on my mind, I decided to avoid the future headache and get new ones that day. Then I did the one thing you hope every one of your customers doesn’t do, the one thing that makes your job and the job of every sales person in every vehicle industry in North America cringe. I went online.

I know, I know. I’m not sure what I was thinking. Being in this role in this industry I know a bit about tires, but I’m not the Michelin Man, either. I wasn’t educated enough to find the exact perfect option for my car and my needs. But, I had an Internet connection, so I went for it.

I did the one thing you hope every one of your customers doesn’t do … I went online. A couple hours later, I rolled into my local tire distributor with a list of allweather models I wanted to see. I was about 80 percent sold on one model, with a back-up plan in case my first choice was out of stock. I had become the challenging customer I write about. Fortunately for me, the sales consultant behind the counter was familiar with my brand of online expertise and about two minutes later

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we were looking at another tire I didn’t even know they had. It did everything I wanted, was warrantied for a longer period than my preferred online choice and was the same price. As Jim Pancero would say, I got hit with the five quick questions. Pancero, who keynoted the GenNext and CVSN Distributor Training Expo last month, says the five quick questions are probing questions sales professionals ask know-it-all customers that enable them to better understand their customers’ needs and determine if the product they came in for will actually work for what they want it to do. He says the questions can be anything a business wants them to be, but ideally, they should be simple questions — What is your daily route? How much weight do you need to haul? — that encourage a customer to respond. Pancero says he first developed the idea when working with John Deere’s dealer network as a way to better help its counter people assist customers who entered stores wanting to buy a lawnmower. Says Pancero: “When you ask the questions, it allows you to regain control of the buying process.” The customer’s allegiance shifts from his Google search to your expertise. It creates a relationship that can become the partnership every business wants. And because I know you’re wondering, the tires the salesperson recommended have been excellent. Of course they have.

Editorial | MacKay & Company

Succession planning needed By John Blodgett MacKay & Company

noticed a group the other day I think is in dire need of succession planning. Its leader seems to take chances that are incredibly reckless, and I have to believe that, ultimately, they are going to kill him. Maybe they already have a plan in place, which is why the leader acts so bold (or stupid). The group I’m referring to is a flock of Canadian geese who live by our office. My office is three floors up and I look out onto a busy four-lane street. Our building is near a large pond and every so often these geese make the hike from the building across the street to that pond. The leader of these geese never seems to look both ways when crossing the street. He — I am assuming it is a he based on the reckless nature of this act — bounds across the lanes with his team following him. I typically don’t know they are crossing the street until I hear cars slamming on their brakes and their horns honking. The leader acts as though he owns the road. But as I know in my travels around this area, not all geese crossings end successfully. I have seen more than a few dead carcasses. Hence, the need for a good succession plan. Also, I question, why not fly? I assume when these geese are in Canada they don’t debate whether they should fly or walk to warmer climates. Why doesn’t

this conversation come up when crossing a busy street? If I had the best power of all superpowers, flying, you would never see me walking. If I was on my couch and wanted a beer, no way am I walking to the fridge, I’m flying. Got to get up in the middle of the night to use the bathroom? No walking and stubbing my toes on furniture, I am flying and hitting walls. Walking is so human.

Regardless of the nature of the leader of a business (reckless or not), a good succession plan needs to be put in place and communicated. But, I digress. Regardless of the nature of the leader of a business (reckless or not), a good succession plan needs to be put in place and communicated. You can pay your employees well and provide good benefits and a good work environment but, for some, if they have

concerns about the future of the business, you may lose them. For example, say Bob works at ABC Truck Parts. Bob works for and likes Mary — she is a real dynamo in the industry and knows how to grow a business. She also is the owner of the company. What if Mary gets hit by a car and dies walking across the street (following the geese)? Now, Mary’s husband Don is the new owner. Don’s a nice guy but he’s a dentist (and not a real dynamo dentist at that). He doesn’t know anything about the truck parts and service business. Bob may think, “We may get free dental, but will I be able to pay my bills if Don is running this business?” It’s usually your more senior staff who evaluates this, and it’s a harder hit to your firm if they leave. If they have asked questions about the succession plan and you have not given them a definitive answer, they are likely to consider leaving or be more open to considering options. In this market, they have lots of opportunities. Here at MacKay & Company we recently completed a five-year succession plan, which only took about 15 years to figure out (hopefully we are a little slower than the average firm). The lesson here is that it takes time, so the sooner you get started the better. Now, we have to start on our next one …

John Blodgett has worked for MacKay & Company for more than 20 years and is currently vice president of sales and marketing, responsible for client contact for single- and multi-client projects. He can be reached at john.blodgett@mackayco.com.

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Industry Focus

Maudlin International Truck & Trailer is opening its new headquarters in Orlando.

Performance Truck has moved its full-service Kenworth location in Victoria, Texas, to a newly renovated building.

Whiteford Kenworth has opened a newly renovated parts and service location in north Toledo, Ohio.

Dealer News Kenworth of Pennsylvania has opened a parts and service location in Muncy, Pa. Bruckner Truck Sales announces its entire dealership group has achieved Uptime Certification. TEC Equipment has added Hino Trucks to its product lineup at its Oakland, Calif., location. Worldwide Equipment President and CEO Terry Dotson has signed a Letter of Intent to purchase Mountain View Ford of Southeast Virginia. PacLease has named Kenworth Ontario PacLease (Toronto) and Allstate Leasing (Minneapolis) as its Kenworth and Peterbilt North American Franchises of the Year for 2017.

Paccar Parts has awarded TRP San Diego as the 2017 Global TRP Store of the Year.

Daimler Trucks North America has granted Western Star Northwest authority to add Western Star parts, service and warranty coverage to three existing Freightliner Northwest dealership locations in Mount Vernon and Yakima, Wash., and Redmond, Ore. Truck Centers Inc., has added Western Star franchises to both of its locations in South Bend and Elkhart, Ind. Volvo Trucks has awarded S&S Volvo of Lima, Ohio, as its 2017 Dealer of the Year for North America. The company’s 2017 Canada Dealer of the Year is Sterling Truck & Trailer Sales of Regina, Saskatchewan, and the 2017 Mexico Dealer of the Year is Tractocamiones y Refacciones de Chihuahua SA de CV of Chihuahua.

Power Heavy Duty adds Louisiana Company Fleet Supply Warehouse has joined Power Heavy Duty. Based in Houma, La., Fleet Supply Warehouse was established in 1974 and offers a large inventory of truck and trailer components. The company operates from

a 63,000 sq.-ft. warehouse to provide timely and reliable delivery service to much of southern Louisiana, including New Orleans, Lafayette and Baton Rouge. “The experienced management and sales team at Fleet Supply Warehouse

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have the product knowledge and proven expertise to meet the unique needs of each customer,” says Mark Iasiello, general manager, Power Heavy Duty. “We are pleased to welcome them to the growing family of Power Heavy Duty distributors.”

Industry Focus

7th ANNUA 1 E L TH

Distributor of the Year nomination period open Truck Parts & Service has opened the nomination period for our annual Distributor of the Year award. Sponsored by Interstate Billing, Meritor and Minimizer, the Distributor of the Year award is presented to a distributor who exemplifies excellent customer service, product knowledge and willingness to improve and evolve its business with industry changes.

ELM Repair earns Truck Service Expert Award ELM Repair and Refrigeration, led by Evan and Mary Lang, earned the 2017 HDA Truck Pride Truck Service Expert of the Year Award last month at the group’s Annual Membership Meeting in San Diego. The Langs founded ELM Repair and Refrigeration as a mobile service business with a focus on air conditioning maintenance in Edgar, Wis., in 1996. The company opened its first facility, a three-bay garage, in 2002, and expanded that facility to six bays capable of servicing heavy-duty trucks and

trailers in 2005. The company’s growth continued throughout the decade, joining the TSE program in 2009 and opening a new stateof-the-art 33,183 sq.-ft. facility with 21 service bays in 2015. In accepting his award, Evan Lang thanked his family for supporting his dream to open the business and their continued support in its growth and successful evolution. Lang was also appreciative of his employees, adding “without them none of this would be possible.”

All North American distributors except last year’s winner Harman Heavy Vehicle Specialists are eligible for this year’s award, and we encourage the entire aftermarket and trucking industry at large to nominate the aftermarket distributors believed to be most deserving of our unique industry award. To nominate a distributor, please go to www.dotynominations.com.

FleetPride adds Midwest business FleetPride has acquired the assets of Hardy Brake & Electric, based in Evansville, Ind., with a second location in Owensboro, Ky. Founded in 1950 by Alfred and Aline Hardy, the company was later sold to their daughter Sandra and her husband Bob Kerney. Bob has managed Hardy Brake & Electric for nearly 50 years, and in retirement he serves as an advisor to his son Mark. “I am very happy to announce the addition of Hardy Brake & Electric to FleetPride,” says FleetPride CEO Al Dragone. “The combination of locations, culture and expertise make this a valuable addition to our company.”

Northeast Truck and Trailer adds Mississippi facility

WABCO building new Americas HQ in Michigan

Northeast Truck and Trailer has broadened its reach across the Louisiana-Mississippi Byway with the opening of its sixth store in Pearl, Miss. “Our business is growing and we’re fortunate to have a solid team of experienced people that are excited to tackle the challenge of growth and expansion. They come to work every day ready to help solve our customers’ problems, whether it’s a special part or a customized trailer repair,” says Randy Walker, president at Northeast Truck and Trailer.

WABCO Holdings announced last month it is building a new Americas headquarters in Auburn Hills, Mich. The facility is currently under construction and is expected to open in the third quarter 2018. The 102,000 sq.-ft. facility represents a significant investment and demonstrates WABCO’s increased commitment to serve commercial vehicle manufacturers, fleet operators and aftermarket customers in North America,

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according to an announcement. “WABCO’s investment in a new Americas headquarters reflects our leadership in technologies that advance the safety, efficiency and connectivity of commercial vehicles in this region,” says Jon Morrison, WABCO president, Americas. The new facility will house approximately 200 employees when it opens, including employees who are currently located at separate sites in Rochester Hills and Troy, Mich., the company says.

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Industry Focus

Tidewater Fleet Supply adds Richmond location Tidewater Fleet Supply has a new location in the Richmond, Va., market. Now in its 10th year serving the

Richmond area, Tidewater relocated to 9501 Burge Ave., in December. The company’s recently renovated 17,000

sq.-ft. facility at the location has a large storefront, and held a grand opening celebration last month.

Distributor acquisition expands HDA Truck Pride

Dana driveline acquisition falls through

National Auto Parts Warehouse (NPW) has entered HDA Truck Pride through its recent acquisition of Associate Jobbers Warehouse (AJW) of Boaz, Ala. AJW is a long-standing member of HDA Truck Pride. With the acquisition of AJW, NPW now has a facility that services Alabama, Western Florida, Georgia, Tennessee, Louisiana, South Carolina, Kentucky and Mississippi. “We are excited for the NPW and AJW team and the new doors this acquisition opens for them. We look forward to working with the team as they continue to grow. We are very pleased to have such forward-thinking and growth-oriented members,” adds Tom Tecklenburg, chief commercial officer of HDA Truck Pride.

Dana Incorporated announced March 30 it acknowledges the decision by a majority of the shareholders of GKN plc to accept the proposal by Melrose Industries plc to acquire GKN. As a consequence, it appears unlikely that Dana’s proposed combination with GKN Driveline will proceed. “We are, of course, disappointed by today’s outcome and continue to believe Dana would be the best owner and operator of GKN Driveline,” says James Kamsickas, Dana president and CEO. “This has always been an opportunity, not a required or critical asset. Dana is a strong, thriving company, and we will continue our focus on the execution of our enterprise strategy, delivering for customers and remaining responsible stewards of our shareholders’ capital.”

Eaton expands Authorized Rebuilder program Eaton has added DEX Heavy Duty Parts to its expanding network of Authorized Rebuilders in North America. DEX currently employs 51 people at the company’s 38-acre and 210,000 sq.-ft. remanufacturing center, warehouse and office complex in Advance, N.C.

“DEX becomes our seventh Authorized Rebuilder and is one of the country’s largest suppliers of refurbished and remanufactured truck parts,” says Tim Bauer, vice president, aftermarket, Vehicle Group North America. “Adding

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DEX represents a significant step forward for Eaton as we continue to expand our Authorized Rebuilder program with well-established and well-respected rebuilders in strategically important locations throughout North America.”

Industry Focus

Inland Truck Parts, Drive Train Industries joining forces Drive Train Industries (DTI) and Inland Truck Parts & Service have signed an agreement to combine their 100 percent employee-owned companies. This merger, which is expected to be completed this year, brings together two titans of the trucking aftermarket. Inland Truck Parts earned the first ever Truck Parts & Service Distributor of the Year award in 2002; Drive Train Industries followed in earning the title in 2003. DTI has nine locations across Colorado, Wyoming and New Mexico. Inland Truck Parts has 35 locations spread across 11 states (Montana, North Dakota, South Dakota, Wyoming, Nebraska,

Iowa, Kansas, Missouri, Oklahoma, Texas and Louisiana). “We couldn’t have found a better company to partner with,” says Greg Klein, CEO at Inland Truck Parts. “Drive Train Industries is well respected in the industry and has a long legacy of providing high-quality parts and service to their customers. We are thrilled to join forces with a company full of outstanding employees, and the fact that we are both employee-owned will make the combination all that much easier.” “We are proud to associate with a company that supports the independent aftermarket to the extent that Inland

Fleet services business announces acquisition Dickinson Fleet Services announces the acquisition of Fleet Enterprises, with operations in Michigan, Ohio, Indiana, Pennsylvania and Tennessee. The company says the acquisition will expand and enhance mobile trailer repair services offered by Dickinson Fleet Services. The acquisition also provides a complement of new assets, giving Dickinson Fleet Services additional resources to service its national customer base, the company says. “The acquisition … provides us a service and technology platform that will enable us to provide a superior level of semi-trailer repair service for our customers,” say Ted Coltrain and Mike Dickinson, executive officers, in a joint statement on behalf of Dickinson Fleet Services.

does,” says Jim Burke, CEO at DTI. Adds Bruce Sommerville, vice president of operations at DTI, “This combination is a perfect fit for both companies, both culturally and geographically. We believe there are tremendous synergies to be gained on both sides.” Inland Truck Parts also added two Texas businesses to its rapidly expanding footprint of stores earlier this spring. The first acquisition is Drive Shafts Unlimited, located in San Antonio. The second acquisition, Truckers Equipment Inc., is headquartered in Corpus Christi, Texas, with satellite locations in Pharr and Harlingen.

Tenneco to acquire Federal-Mogul Tenneco has signed a definitive agreement to acquire Federal-Mogul. Federal-Mogul is being acquired from Icahn Enterprises L.P. for a total consideration of $5.4 billion to be funded through cash, Tenneco equity and assumption of debt. Tenneco also announces its intention to separate the combined businesses into two independent, publicly traded companies through a tax-free spinoff to shareholders that will establish an aftermarket and ride performance company and a powertrain technology company. The company says the acquisition is expected to close in the second half of 2018, subject to regulatory and shareholder approvals and other customary closing conditions, with the separation occurring in the second half of 2019. “This is a landmark day for Tenneco with an acquisition that will transform the company by creating two strong leading global companies, each in an excellent position to capture opportunities unique to their respective markets,” says Brian Kesseler, CEO at Tenneco. “Federal-Mogul brings strong brands, products and capabilities that are complementary to Tenneco’s portfolio and in line with our successful growth strategies. Unleashing two new product focused companies with even stronger portfolios will allow them to move faster in executing on their specific growth priorities.”

Truck Parts & Service Calendar Event information can be submitted at: www.truckpartsandservice.com/story-ideas/

Aug. 7-10 Aug. 23-25 Sept. 8-12

ADS International Convention & Trade Show, San Diego Great American Trucking Show, Dallas CVSN Aftermarket Distribution Summit, Braselton, Ga.

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Industry Focus

People In The News Richard Reynolds, president and dealer principal at Peach State Truck Centers, was named the 2018 American Truck Dealers (ATD) Dealer of the Year. Jodie Teuton, vice president of Kenworth Reynolds of Louisiana, is the new chairwoman of the ATD. Talbert Manufacturing has hired Steve Gardonyi as Canadian sales manager. Great Dane has appointed two vice presidents of Gardonyi manufacturing: Axel Gros and Jim Stevenson. Pressure Systems International has hired Steve Miller as senior director of engineering. Ginger Jones, senior vice president and chief financial officer at Cooper Tire & Miller Rubber Company, will retire as a full-time executive later this year.

APC Automotive Technologies has appointed Frank Frederick executive vice president of sales for the combined APC sales team. Midwest Wheel Companies Frederick has added Ryan Taylor as territory manager in Kansas City and appointed Keith Hughes as account manager, accessories. David Barbeau has rejoined Hart Marx Advisors as a vice president and member of Barbeau the advisory board. TruckPro announces Shawn Powers has joined the company as vice president and chief information officer. Longtime Daimler Trucks executive Friedrich W. Baumann has joined Navistar as senior vice president, strategy and planning. Minimizer has Kyle Hamm as its Northeastern region territory manager and Royce Johnson as its Western region territory manager. Lubrication Specialties Inc., has added Brian Merz

GenNext, CVSN Distributor Training Expo earns rave reviews An updated format only helped add to the accolades for the GenNext and Commercial Vehicle Solutions Network (CVSN) Distributor Training Expo, held last month in Atlanta. Arguably the fastest growing event in the independent aftermarket, this year’s training expo brought 200 distributor sales professionals from Canada and the United States together to participate in highly valuable booth and classroom training with more than two dozen top aftermarket suppliers and the industry’s buying groups. These courses were combined with a new trio of keynote presentations on sales strategies, creating the busiest Distributor Training Expo in the event’s three-year history. “This is our first time being here. I

think it’s gone very, very well,” says Eaton’s Steve Case. “This was good for us to meet some of those folks we normally don’t get to see, and now we get to see if we can start fostering relationships with some of these guys who we don’t normally deal with one-on-one.” During a post-event exit survey, 70 percent of attendees said they were “Very likely” to recommend the event to colleagues with another 23 percent saying they were “Somewhat likely” to do the same. When asked about return participation, 83 percent of responders wanted to come back and 14 percent said they would consider it. “I think this could be almost a mandatory event, especially for young people who are moving up into sales,” says Anthony Walter at PBS Truck Parts. “They need to come here.”

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as the company’s director of national account sales. Link Manufacturing announces Zane McCarthy has joined the company as business development manager. Marx Group has promoted McCarthy Samantha Young to associate creative director and digital marketing manager. Joe Meyer has joined VIPAR Heavy Duty as the organization’s new program Meyer manager Hino Trucks has promoted Yoshinori Noguchi, CEO of North America, to executive vice president of Hino Motors Ltd. George Daniels was appointed executive advisor. Glenn Ellis was promoted to senior vice president, customer experience. Bob Petz was promoted to senior vice president, vehicle and parts sales. John Donato was promoted to vice president, parts operations. John Musial was promoted to vice president, service operations.

Class-action lawsuit against Cummins thrown out A class action lawsuit alleging that FCA and Cummins used emissions defeat devices on 6.7-liter dieselequipped 2007-2012 Ram 2500 and 3500 trucks has been dismissed by a federal judge. Citing insufficient evidence, Judge Terrence Berg for the U.S. District Court for the Eastern District of Michigan granted FCA’s motion for dismissal for a lawsuit filed in late 2016 by law firm Hagens Berman. In a detailed decision released last month, Berg writes in part that “… the Court finds that the well-pleaded facts in Plaintiffs’ Amended Consolidated Complaint fail to raise a plausible inference of wrongdoing.”

Industry Focus

Seidel Diesel Group named Honeywell Garrett distributor

In March, the Seidel Diesel Group (SDG) has become one of Honeywell Garrett’s master distributors for the United States and Canada, representing genuine Garrett original equipment turbochargers. According to the company, this new business relationship will provide Honeywell Garrett with additional distribution coverage while allowing SDG to provide a comprehensive offering across the country. “The Seidel Diesel Group is proud to work with such a prestigious organization as Honeywell Garrett. We are thrilled to be included in such an elite group as the other Honeywell Garrett master distributors and excited about the potential for our customers and employees,” says Paul Thoms, president of SDG.

ATRO adds California PDC ATRO Polyurethane Solutions has expanded its distribution capabilities with a new West Coast distribution center in Ontario, Calif. ATRO says the Ontario location joins the company’s existing St. Clair, Mo., Harrisburg, Pa., and Seattle warehouse locations. The company says will call is available from 7 a.m. until 3 p.m. PST at the new facility, and customers may pick up orders one hour after placement and confirmation.

Meritor enhances rebuilder website Meritor has announced its authorized drive axle carrier rebuilders in Canada are listed on TruckDown.com’s locator map to help end-users with a breakdown quickly identify the nearest dealer or wholesale distributor stocking the replacement parts, according to an announcement. Capital Gear, Coast Powertrain Ltd., ULT Powertrain and The Gear Centre, and their combined 24 locations across Canada, are the first in a network of companies in Meritor’s North America Authorized Rebuilder Program that rebuild Meritor 145, 14X and 160 products. “Finding a remanufactured carrier is important, but it’s also critical to find the right product rebuilt with 100 percent Meritor genuine content,” says Terry Livingston, senior director, specialty sales for Meritor.

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Industry Focus

TRC Reman debuts training-centric website TRC Reman has released a new website geared toward product training and customer assistance. In today’s information overload

world, TRC Reman says it can be difficult for technicians to easily access all of the technical bulletins, installation instructions, etc., aimed at assisting them when

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installing today’s sophisticated drive train components. As a result, TRC has developed Drive-Trainer.com, an effective, streamlined way to get only the “necessary” information to customers that will help them prolong the life of their products and decrease failures due to common installation issues. “Field failures cause downtime, lost revenue, expense and frustration for all parties involved,” says Dave Olsen, CEO of TRC. “Drive-Trainer.com will increase customer satisfaction by providing the information the customer needs get the best out of their product bought from TRC. We are excited to provide this tool to our customers.”

Karmak partnering with Helion Karmak has signed a reseller agreement with Helion Trucking Technologies, the number one provider of IT managed solutions in the U.S. The partnership between Karmak and Helion allows heavy-duty businesses to leverage one team for all things related to software, hardware and network. Helion ensures clients are operating with the best IT infrastructure, help desk support and defense systems on the market, while Karmak’s DMS technology continues to help clients achieve better operational and financial outcomes, the company says. “Karmak is very pleased to partner with Helion to offer a broader solution to our customers in the heavy-duty industry, which we have serviced for over 35 years now,” says John Pacione, president and CEO of Karmak. “Dealers should expect their technology vendors to work as partners,” adds Erik Nachbahr, president and founder of Helion Trucking Technologies.

4/30/18 8:47 AM

Tech Updates

SAFETY RECALLS

The following are safety recalls issued by the National Highway Traffic Safety Administration:

Autocar is recalling certain 2014-2018 Xpeditor vehicles equipped with a factory installed methane detection system. The circuit protection for the methane detector may be inadequate, and the harness may be improperly routed. In the event that the wiring harness carries excessive current, the harness may overheat, increasing the risk of a fire.

chassis equipped with Cummins ISL engines. The power steering hose on the affected vehicles may be routed incorrectly and, as a result, the hose may rub against the power stud on the starter motor, possibly causing electrical arcing and a power steering fluid leak. Electrical arcing in the presence of leaking power steering fluid can increase the risk of a fire.

Hino Motor Sales is recalling certain 2018-2019 NE8J, NJ8J, and NV8J trucks. The engine valve train adjustment screw lock nuts may not have been properly tightened manufacturing, possibly resulting in them coming loose within the engine and damaging it. The damage to the engine may result in it shutting off and increasing the risk of a crash.

Daimler Trucks North America is recalling certain 2017-2019 Western Star 4700, 4900, 5700, and 6900 trucks. The affected trucks have a power stud that passes through the bulkhead. In certain circumstances the power stud may contact the bulkhead and result in an electrical arc. An electrical arc can increase the risk of a fire.

DTNA is recalling certain 2007-2018 Thomas Built Buses Minotour school buses built on GM chassis and equipped with wheelchair lifts. The wheelchair lift may be operated while the vehicle is in Neutral or Drive. If the wheelchair lift can be operated when the vehicle is not in Park there is increased risk of injury to the lift user.

DTNA is recalling certain 2014-2019 Thomas Built Buses Saf-T-Liner C2 school buses equipped with propane engines. The propane fuel line may contact the j-hook body support bracket that could cause chafing resulting in a propane leak. A propane leak in the presence of an ignition source can increase the risk of a fire.

Doepker Industries is recalling certain 20152016 53 ft. Tridem Galvanized Highboy Flatdeck Semi trailers. The lower rail main beam flanges may crack, possibly causing the load to shift and spill onto the road If the load shifts and spills onto the roadway, there is an increased risk of a crash.

Maxey Trailers is recalling certain 2017-2018 A3X, A5X, and A6X trailers. The suspension arms on these vehicles may crack if they were installed without additional supporting welds around the suspension arm. If the suspension arm cracks, the trailer will not be able to handle the load, making the trailer inoperable. Additionally, the axle may come loose during travel, increasing the risk of a crash.

DTNA is recalling certain 2014-2018 Thomas Built Buses Saf-T-Liner C2, Saf-T-Liner HDX, Saf-T-Liner EFX, and Minotour school buses, equipped with certain Syntec-brand S3B, NonRestraint, Wall Mounted Seats. The wall mounting bracket may crack, which may cause the seat to not remain secured in place in the event of a crash. In the event of a crash, if the seat does not remain secured to the wall, the occupant has an increased risk of an injury. DTNA is recalling certain 2014-2018 Thomas Built Buses Saf-T-Liner C2, Saf-T-Liner HDX, Saf-T-Liner EFX, and Minotour transit buses, equipped with certain Syntec-brand S3B, NonRestraint, Wall Mounted Seats. The wall mounting bracket may crack, which may cause the seat to not remain secured in place in the event of a crash. In the event of a crash, if the seat does not remain secured to the wall, the occupant has an increased risk of an injury. DTNA is recalling certain 2018-2019 Freightliner Custom Chassis (FCCC) XCS motorhome chassis equipped with wheels that have Freightliner-logo shaped holes. These wheels have a valve stem stabilizer that may dislodge and damage the valve stem. Valve stem damage can result in loss of air pressure in the inner tire, causing an overload of the outer tire and increasing the risk of a crash. DTNA is recalling certain model year 2011-2017 Freightliner Custom Chassis Corporation (FCCC) XBR, XCL, XCM, and XCR recreational vehicle

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Ford Motor Company is recalling certain 2018 F-650 and F-750 vehicles equipped with 6-speed automatic transmissions and 2018 Ford F-150 and Expedition vehicles equipped with 10-speed automatic transmissions (excluding Expedition vehicles with a Rotary Gear Shift Dial on the console). The gear shift cable clip may not be properly seated, allowing the transmission to be in a different gear than indicated by the gear shift lever position. If the gear shift cable clip becomes unseated or dislodged, the gear shift lever position may indicate that the transmission is in ‘Park’ when it may be in a different gear. Additionally, despite selecting ‘Park’, if the parking brake is not applied before the vehicle is exited, the vehicle may roll. Either scenario increases the risk of a crash. Forest River is recalling certain 2018 Forest River Surveyor recreational trailers, model ORSVT247BHDS. The Federal Placard on these vehicles incorrectly indicate a tire size of ST225/75R15D needing 65 PSI and a rim designation of 15X6.0JJ, however, the vehicle is actually equipped with ST205/75R14C tires needing 50 PSI and a rim designation of 14X5.5JJ. As such, these vehicles fail to comply with the requirements of Federal Motor Vehicle Safety Standard (FMVSS) number 110, “Tire Selection and Rims.” As such, these vehicles fail to comply with the requirements of 49 CFR Part 567, “Certification.” If the operator goes by the incorrect information on the Federal Placard they can over inflate the tires and cause premature tire wear, increasing the risk of a crash.

Navistar is recalling certain 2018-2019 International LT trucks. When the hood is in the closed position, the fender splash panel may rub on the inlet fuel line fitting to the fuel/water separator, causing abrasion damage to the fitting and possibly resulting in a fuel leak. A fuel leak in the presence of an ignition source can increase the risk of a fire. Additionally, fuel leaking onto the roadway may increase the risk of a crash. Navistar is recalling certain 2000-2001 International 4700, 2000-2002 4900, 2001-2003 8100 (TranStar) and 9100I, 2002-2003, 2005, 2007-2009, 2012-2014 and 2016-2018 DuraStar, 2012 and 2014-2017 ProStar, 20142015 TerraStar, and 2018 LT trucks. These vehicles are equipped with Kidde Plastic-Handle or Push Button ‘Pindicator’ fire extinguishers that may become clogged, preventing the extinguisher from discharging as expected or excessive force may be needed to activate the extinguisher. Additionally, in certain models, the nozzle may detach from the valve assembly with enough force that it could cause injury and also render the product inoperable. In the event of a fire, if the fire extinguisher does not function properly, it can increase the risk of injury. For a full list of the affected fire extinguisher models visit: https://static.nhtsa.gov/odi/rcl/2017/RMISC17E062-5427.pdf Spartan Motors USA is recalling certain 20042007 Spartan Emergency Response Gladiator vehicles equipped with Timoney Independent Front Suspensions. Inconsistent machining may result in fatigue cracks developing over time in the front axle spindles, causing failure of the spindle and the possible separation of a front wheel from the vehicle. A wheel separation from the vehicle can increase the risk of a crash.

M a y 2 0 1 8 | T R U C K PA R T S & S E R V I C E

Cover Story

By Bill Grabarek, Online Associate Editor billgrabarek@randallreilly.com

Recruiting technicians now â&#x20AC;Ś and tomorrow

With an eye on the future, the industry works to fill todayâ&#x20AC;&#x2122;s need for technicians. 14

T R U C K PA R T S & S E R V I C E | M a y 2 0 1 8

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he shortage of technicians in the heavy-duty truck service industry has been an ongoing problem, leading many businesses to seemingly try everything and anything to hire techs they need now. While filling today’s needs, many in the industry also are trying to develop a steady stream of future talent.

“Nothing we have done has allowed us to hire all the people we want. We could hire 40 more techs right now and put them to work,” says Greg Klein, president and CEO at Inland Truck Parts & Service. The company has 35 locations, 29 of which offer repair services, and it employs more than 150 technicians. Tim Grabow, vice president of operations at Blaine Brothers, is one of many in the industry who shares Klein’s frustration. Blaine Brothers is part of a family of companies that includes nine total locations, employing approximately 180 technicians. “We’re trying so many things. Nothing is off the table,” Grabow says. “If we think we can get some traction with an idea, we try it.” So, why is it so hard to find technicians? Service providers offer several reasons, including perception of the industry, noncompetitive pay and high schools basically programming students that college is the only path to the brass ring of a successful career. Marc Karon, president at Total Truck Parts, says many service providers don’t offer technicians competitive wages because they don’t want to raise their customers’ labor rates. “That is a big mistake. If you have the best shop and the best technicians,

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customers will pay a higher labor rate,” says Karon, who has six locations and employs more than 20 technicians at the three shops that offer repairs. According to Grabow, the workforce just isn’t there for the trades right now. “You either have a lot of seasoned technicians who have been at a place a long time and aren’t going anywhere or you have really new techs — and very few new techs are coming into the field.” The biggest struggle in getting young adults interested in the profession “is the perception that a repair shop, especially a diesel or heavy transportation repair shop, is dark and dirty and the work is back-breaking,” Grabow adds. “It isn’t like that anymore. We run very efficient, bright, clean shops.” The fundamental cause behind the shortage of skilled-trade workers, in general, is “in no small part due to the societal change that has occurred over the past several decades in which high school students are being told that the best path to a secure financial future is through a college education,” says Klein. Regardless of the reasons, the result is a taffy pull for talent. “The industry is constantly fighting over the same pool of techs, which isn’t big enough,” says Klein.

M a y 2 0 1 8 | T R U C K PA R T S & S E R V I C E

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Getting techs now Grabow says Blaine Brothers is being aggressive by posting positions on hiring sites as well as the Careers page on its website. In addition, the company is working with a third party to assist with advertising on Facebook more effectively. “It’s a full-time job,” he adds. On the topic of full-time jobs, about a year and a half ago, the company hired a human resources representative to improve its hiring process. “For years, our shop supervisors who already were busy with their day-to-day responsibilities [were also tasked with] hiring people,” says Dean Dally, Blaine Brothers president and owner. “The supervisors didn’t always make the best choices because they didn’t have the time or knowledge of how to hire the right person.” Dally says he has needed to be aggressive with hiring because his company just built a North American Trailer location. “After we did add this person, we realized how much better our hiring process became,” he says. Karon says hiring technicians is very difficult, but it became easier once Total Truck Parts realized what helps draw them. “Technicians want to work for companies with the best reputations and companies that are willing to invest in the best shop equipment. Technicians know that they are in demand and can command a significant salary, so you have to be able to pay them top dollar,” he says. But, to pay technicians top dollar, you have to be able to charge top dollar for your services.

“To do that, you have to be the best in your market,” Karon says. “The best is defined as being able to do the repair right the first time and being able to take care of all the customers’ needs. To help bring out the best, technicians are paid a commission based on quality and efficiency.” Several service providers say the quality of the facilities and company image inside and outside the businesses’ buildings can play a role in attracting needed help. “Our facilities need to be clean,” Dally says. “I believe the same goes for our vehicles. “We need to have our service trucks and tow trucks clean and attractive to provide people with a good impression.” Klein says his company tries to create an impressive image by building stateof-the-art facilities and providing all the latest diagnostic tools and equipment. “It’s a package, really, that we try to offer to make it attractive to come work for us because good techs have a lot of options of where they go to work,” he says.

Sweetening the pot To attract new hires and, just as importantly, retain current technicians, several service providers have added benefits, such as additional training, signing bonuses, assistance with school debt and tools, among other enticements in an effort to meet their staffing needs. Because the need for technicians is so great, many service providers try to trump other shops with higher wages

Nothing we have done has allowed us to hire all the people we want. We could hire 40 more techs right now and put them to work. — Greg Klein, president and CEO at Inland Truck Parts & Service

T R U C K PA R T S & S E R V I C E | M a y 2 0 1 8

Inland Truck Parts & Service built a 15,000 sq.-ft. facility in 2013 for its employees who want to advance their skills.

and signing bonuses. Despite this, Total Truck Parts has virtually no turnover, according to Karon. “When we hear of competitors trying to poach our technicians, we do our best to mitigate the pay difference,” Karon says. “Of the few technicians that have left, chasing the dollar, almost everyone has returned.” But fighting wage wars and offering larger bonuses could be a short-term fix, according to Klein. “The problem is if you get people who are willing to come to you for money, they will be willing to leave you for money,” he says. “At some point you’re going to reach a pain point where you can’t pay anymore.” An uncommon perk Inland offers is the company is 100 percent employeeowned through an employee stock ownership plan (ESOP). Different from

Cover Story

a 401(k), where an employee typically needs to put in money to get a match from the company, with an ESOP a significant share of the company’s profits is distributed to the employees, Klein explains. “They don’t have to put any money in to get that, just put up their sweatequity,” he says. “I think it makes a big difference in employees’ approach to their job every day.” Another way service providers retain technicians is by providing them with additional training. The benefit is twofold. Employees expand their knowledge and companies get technicians who are more highly skilled. “On-the-job training is one of the most important ways you can keep a technician,” says Craig Fry, executive director at Service Specialists Association (SSA). “I’m always amazed at the number

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of shops that offer only very limited training for fear their technicians might leave. They always say, ‘What if I spend all that time and money to train my technicians and they leave?’ Here’s a more frightening question: What If I don’t train my technicians and they stay?” In Olathe, Kan., Inland built a 15,000 sq.-ft. training center in 2013 for its employees. The center has two full-time trainers, three classrooms and a two-bay service shop “where we train on engine work of all kinds,” says Klein. The center also has workstations to provide training on transmissions, differentials and drivelines. In addition to sending its employees to training expos or to specific vendors, Total Truck Parts brings the training to them. “We bring in suppliers who come to our facilities and train the technicians,” Karon says.

TravelCenters of America (TA) and Petro Stopping Centers has locations in 43 states and in Canada and employs more than 3,000 technicians. In addition to offering free online training through Freightliner, TA offers paid training at one of three of its training centers, a program for employees who want to move into management and the company pays for technicians’ ASE testing. TA also provides a mentoring program for employees to help develop new hires. “The mentors’ function is to make sure new employees not only understand the concept of what they are learning, but also stand beside them while the new employees are performing the task, ensuring they are executing it correctly,” says Mark De Lima Jr., TA truck service field trainer. Mentors receive a bump in pay and, perhaps more importantly, they

M a y 2 0 1 8 | T R U C K PA R T S & S E R V I C E

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play a part in the future success of a fellow employee, De Lima adds. While service providers sweeten the pot with various perks to retain and attract technicians, there is an intangible one that Total Truck Parts offers, which is the family atmosphere it fosters, according to Karon. Once, when an employee required extended medical leave, Karon says employees donated some of their vacation time and the company matched those days so the employee continued to get paid while away. Another instance is when an employee’s house suffered severe hurricane damage. The staff took up a collection and the company matched the donation. If one of the company’s locations is shut down because of a hurricane, employees still get paid. “It’s always about family and it’s always about taking care of our people,” Karon says. Common perks in the industry to attract technicians fresh out of school are programs that reimburse their tuition or tools — or both. “If we can take some of that burden off of them, sometimes that can attract employees,” Grabow says. “We need them to be on their A-game, paying attention to what they’re doing. The last thing we want is them worrying how they’re going to pay for their tools or student debt.”

Back to school To deepen the future labor pool of heavy-duty truck technicians, service providers — to varying degrees — are getting in front of students to let them

Blaine Brothers is one of many service providers in need of heavy-duty truck technicians.

know the vocation is another option for them, help educate them and get them into the profession. There are several instances in the aftermarket where this is already happening, and one of the more well-known programs is what Mike Betts, chairman and CEO, Betts Company, is spearheading at the high school and collegiate level in the Central Valley area of California. Highlights include a groundbreaking earlier this year on a multi-million-dollar heavy-truck maintenance facility at Duncan Polytechnical High School and finalizing curriculum with the National Institute for Automotive Service Excellence (ASE) and the National Automotive Technicians

When we hear of competitors trying to poach our technicians, we do our best to mitigate the pay difference. — Marc Karon, president at Total Truck Parts

T R U C K PA R T S & S E R V I C E | M a y 2 0 1 8

Education Foundation (NATEF) at Fresno City College and Reedley College. On the dealership level, Peterbilt Motors Company has been enjoying a fruitful relationship with Universal Technical Institute. The Peterbilt Technician Institute (PTI) is an OEM-specific training program enabling Peterbilt to recruit UTI students and train them on Peterbilt trucks, providing dealerships with a constant source of techs familiar with the OEM’s vehicles. The 12-week program has trained and provided Peterbilt dealerships with nearly 440 technicians since it began almost five years ago. “PTI aids our dealer network by finding the new generation technician who is not afraid of embracing technology and the changes it brings to servicing Peterbilt vehicles,” says Brian Brooks, PTI director. “Each PTI graduate is well-versed in all online systems and diagnostic tools associated with the Peterbilt product. Because we attract young technicians, they

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Cover Story

An instructor leads a class at a TA Truck Service training center in Lodi, Ohio.

are more loyal to the Peterbilt brand and less likely to leave for a competing brand, thus reducing turnover and training costs within the dealer network.” Not every relationship between schools and the heavy-duty truck repair industry are as developed as the PTI program or Betts’ initiative, but that doesn’t mean these efforts don’t or won’t pay dividends. TA has a dedicated team for recruiting technicians, as well as service advisors and management. The company has established relationships with schools enabling it to provide in-school presentations and attend technical school career fairs. “We hire them upon graduation; however, there are some [TA] locations that are close enough to a technical school that we will hire them part-time while they are still in school,” says Chad Estle, TA lead truck service recruiter. Palm Beach State College in Palm Beach County, Fla., offers tech classes

and Total Truck Parts approached the school and asked if there was anything they could do for the students. The college invited them to talk to the classes, which they do, in addition to offering tours of Total Truck Parts’ facilities, Karon says. While working with Palm Beach State, Total Truck Parts learned the school needed parts for the trucks the students practice repairs on. “They can basically call us and get a part for cost,” Karon says. “They don’t ask for a lot of parts, and it’s something that gets our name out there.” Blaine Brothers attends Career Day events and helps local technical schools with parts and equipment and offers paid internships. The company also joined the advisory board of the Tri-District Career & College Readiness Initiative, created by school districts in the Minneapolis area. The program has enabled the company to talk with students and take them on

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tours of its facilities. “We’re able to get in front of the kids at a high school level, at 11th and 12th grade,” says Grabow. The company also got an unexpected surprise when it was approached by a group representing home-schooled students. “They asked if they could bring the kids through [the shop] to show them the different opportunities that are out there for work after high school or college,” says Dally. “Many of the shop owners I talk to tell me the schools aren’t teaching the skills they need. But whose fault is that?” asks Fry. “Schools are educators. They’ve never run a service facility. How is the school going to know what skills you need if you don’t tell them?” To that end, Fry developed the SSA COACH Program. Fry says he wants every shop owner to call a local school, regardless of whether it’s a high school,

Continued on page 23

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Recruiting technicians now … and tomorrow Continued from page 20 junior college, four-year college or trade school. “Tell them ‘I’m a local business and I’d like to get involved with your faculty advisory committee to help them understand how to better prepare their students for a career in my industry,’” he says. “Schools are hungry for this kind of interaction with business and it’s not going to take any more of shop owners’ time than they’re willing to give.” Shop owners can take additional steps, according to Fry, such as lecturing a class, speaking with parents’ groups, developing a student mentoring program and encouraging the school to become

Torque Parts_TPS0518_PG.indd 1 W W W . T R U C K PA R T S A N D S E R V I C E . C O M

I’m always amazed at the number of shops that offer only very limited training for fear their technicians might leave. They always say, ‘What if I spend all that time and money to train my technicians and they leave?’ Here’s a more frightening question: What If I don’t train my technicians and they stay? — Craig Fry, executive director at Service Specialists Association (SSA)

NATEF accredited. Hiring and retaining technicians, while working to develop a pool of future talent, requires a multi-pronged strategy, one that could include a combination of competitive wages, a good working environment, aggressive recruitment,

relationships with local schools, additional training and perhaps a few intangibles. Meeting staff needs likely will never be easy for the service repair industry, but these approaches to the problem could make it a bit easier to fill the technician void.

4/27/18 10:24 AM

M a y 2 0 1 8 | T R U C K PA R T S & S E R V I C E

By Lucas Deal, Editor lucasdeal@randallreilly.com

Operations

Passing the baton T

he independent distributor population is a greying group. Truck Parts & Service breaks the news of an aftermarket distributor consolidation almost monthly and the number of business leaders within five years of retirement significantly overshadows the number who entered the market in the last decade. Regardless of oneâ&#x20AC;&#x2122;s age, part of running a business is acknowledging the fleeting nature of the job. Eventually everyone exits. With that in mind, it is

important for all business owners to invest time early in their careers considering what they want for their business when they depart from it.

How do you want to exit? This question begets many others. Do you want to sell your business or just retire? Do you want to sell to a successor or are you looking for the highest bidder? What do you want for the future of the company you built and led? Ensuring the long-term success of

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oneâ&#x20AC;&#x2122;s company begins by answering these questions. Terry and Lee Resnick, partners at Resnick & Associates, an estate planning and business succession firm, say it is never too soon for business owners to consider their exit from their operation. Retirement planning for business owners is dependent on a direct and profitable exit from their business. A business owner who neglects to prepare for his exit can put his business, retirement and his employeesâ&#x20AC;&#x2122; futures at risk, the Resnicks say.

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The importance of strategy and preparation in executing a succession plan In a small business industry such as the aftermarket, most business owners have three options when exiting their business: to sell the company to a successor, typically a family member or manager; to sell the business to their employees through an employee stock ownership plan, or ESOP; or to sell the business to an unaffiliated third party. The Resnicks say the questions and exit options above are useful because they help paint a mental picture of an ideal exit scenario for a business owner.

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They force an owner to think about the end of their career and allow them to work backward from that point to formulate an exit and/or succession plan. And because the questions posed earlier can be addressed at any time, the Resnicks advise clients to be proactive and develop skeletal exit strategies — featuring contingency plans to support family members in case of a tragedy — well before they actually plan to retire. Preemptive exit and succession planning also can generate business growth,

as Allan Parrott has learned as president at Tidewater Fleet Supply. Still in his early 50s, Parrott says he started thinking about his retirement nearly a decade ago when he realized his company’s growth outpaced his capability for investment. “We had a business that was growing, but in order for us to keep up with that growth I was having to put more and more of my net worth into the business,” he says. “I was concerned if something ever happened to me or the business that it could take my family down.”

M a y 2 0 1 8 | T R U C K PA R T S & S E R V I C E

Operations

Allan Parrott, president at Tidewater Fleet Supply, says partnering with a private equity firm has allowed him to grow his business and better prepare for his exit when he is ready to retire.

Parrott researched his options and methods that will be used to minimize eventually partnered with an outside the tax burden to the buyer and seller investment firm that has provided after the sale. Tidewater Fleet Supply needed capital to “If you fail to address every issue, it expand while also lessening his requirecan lead to costly mistakes,” Terry Resnment for personal inick says. “We have seen vestment. Parrott says children frozen out of he isn’t planning to get a business” because out of the business any of the absence of an time soon, but he now updated financial sucfeels better about that cession plan by their process when it one parent. day comes. Additionally, in The Resnicks add cases where a business that such a proactive has more than one approach is particularowner, it is vital that ly valuable with regard owners work together to succession planning to ensure their exit because it provides a plans are written with – Allan Parrott, president at Tidewater Fleet Supply framework to be built the same goal in mind. upon when a successor Bill Ryan, CEO at is determined. Point Spring & Driveshaft, bought out The brothers add a successful sucthe second family with an ownership cession financial plan should feature stake in Point Spring last year, and is detailed instructions in several key areas, now working to finalize a retirement such as the operational actions required plan for himself that will allow him to to maximize the value of the company exit the business. His son Sean ascended before the sale, the purchasing plan that to the president’s chair in 2017 and is will be used for the sale, the strategy to managing the company’s day-to-day acquire liquidity to enable the succesoperations. Yet even with those responsor to purchase the company, and the sibilities off his plate, Bill Ryan says the

I was concerned if something ever happened to me or the business that it could take my family down.

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transfer of ownership has been draining. “There is so much you have to do to make sure you have each of your ducks in a row,” he says.

Groom your successor Though it’s not as mentally grueling as the aforementioned tasks, preparing a successor is likely the most time-consuming aspect of a succession plan. Selling a business is an exhaustive process, but it’s also one with clear parameters and a defined conclusion. Conversely, there’s no obvious identifier business owners can use to know when a successor is ready. The decision to pass the baton is much more intuitive. In many family businesses, fostering successors can occur organically. Mike Betts, chairman and CEO at Betts Company, says he started educating his kids on his family’s business decades before they were ever involved. Betts says he would bring his children to work when they were young as a way to show them his work and share with them the history of the 150-year-old Betts Company. He says he wasn’t trying to groom a successor so much as show his children that if one day they wanted to come to work with dad “for real,” they would

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Operations

Bill Ryan (left) poses with sons Ty Ryan (center), Sean Ryan (right) and grandson Ty Ryan (front) in front of an image of Bill Ryan, Sr., representing the Ryan family’s generational involvement in Point Spring & Driveshaft.

understand the business they would be Troy Zurbuchen says he remembers first joining. talking to his father about his retirement Bill Betts, Mike’s son and now presiand succession plan in the early 2000s. In dent at Betts Company, the years that followed, says he appreciates the his father educated him way his father showcased on the inner workings the business. of their business and his “There was never any responsibilities. Zurpressure that ‘This is the buchen says he entered five-generation family into the training eager business and one day and prepared, but was we expect you to work still blown away by the here.’ It was more of a job and everything his curiosity,” he says. “If we father did. wanted to learn more “You can take all – Bill Ryan, CEO at about the business and the courses, have all Point Spring & Driveshaft see the cool things that the accreditation and were happening there, he would show accolades and look great on paper, but us.” until you really hit the field of play and Sean Ryan didn’t feel any pressure understand all positions on that field of from his family, either. play, and their impact, you have no idea “It was almost an absence of pressure,” how big the commitment you made is he says. “So much so that I had to sit him and how the decisions you make affect the down at one point and tell him, ‘I want company community inside and out,” he to work for you.’” says. At Midwest Heavy Duty, President Another useful tool in training a

There is so much you have to do to make sure you have each of your ducks in a row.

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successor is having them work all over the business. The successors mentioned above say they all did that when they joined their family businesses as adults. Sean Ryan appreciated the strategy. “When I came in [to the business] I didn’t have a title for almost two years,” he says. “I kind of bounced around in different spots, meeting our people and helping them in any way I could.” Bill Ryan also enjoyed this period because it allowed Sean the chance to prove he was capable at all aspects of leadership. “He has incredible financial skills. I knew he could handle that aspect of the business, but it was important to see he could also build those relationships with employees, customers, buying groups,” Bill Ryan says. “I wanted to make sure he was up for that. “With each role, he continued to step up and show me he was ready for the next level.” Bill Betts says his experience was similar, and points to the relationships

Operations

Both Bill (left) and Mike (right) Betts have followed in the path of their fathers as presidents of their family’s 150-year-old company.

he made during that time as a key interest. confidence builder as he moved up the But unlike some of those purchasers company ladder. who wanted to integrate Parts For Trucks The Resnicks say the under their own busilatter is an extremely ness umbrella, the Millimportant and underers wanted to maintain prioritized aspect of sucthe Parts For Trucks cession planning. Businame and reputation. ness leadership requires The Raymonds were teamwork. Children who enticed by that and after ascend into managethe deal was concluded ment positions without agreed to stay on as vice employee support face a presidents to ensure a stiff challenge. successful transition – Lee Resnick, partner at “The ability to retain of ownership benefitResnick & Associates personnel should be part ting the Millers and the of a proactive plan,” says Lee Resnick. people of Parts For Trucks. Paul Raymond says that’s one of the “The new owners want to make sure reasons he and his brother Andy still go the company stays profitable and we into work each day. want to see the company sustained,” Paul The Raymonds sold their business, Raymond says. Parts For Trucks, to brothers Corey and Complete your transition Brett Miller last year. Unlike most sucFinally initiating a succession isn’t like cession situations, the Millers were not starting a car. There isn’t a clear and Parts For Trucks employees or related necessary first step. Financial preparation to the Raymonds when they took over, and successor training can be performed but they did own a large tire business in for years before a business owner has any the region. When the Raymonds were intention to exit his business. considering retirement and selling their But once a clear exit date appears on operation, the Millers were one of several the horizon, it is best to devise a simple potential purchasers who expressed

The ability to retain personnel should be part of a proactive plan.

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Operations timeline that will allow for a smooth transition of leadership and ownership. The Resnicks say timelines can vary depending on an owner’s post-transition plans, but from a financial perspective, the duo says a business owner with a well-devised exit plan should be able to transition his business to his successor in about a year. In cases where a successor is present in a business and ready to lead, a good first step is looping that person into financial discussions between the owner and his financial advisor. This transparent discussion ensures every party in the transition is fully aware of what’s ahead and allows the successor to begin formal preparations. As the corporate financial transaction begins in the background, a business owner’s next step within the business should be communicating his plan to his trusted management team. Bill Ryan says this step was invaluable at Point Spring because it showed him Sean’s promotion would be accepted and supported throughout the company. The meetings were similar at Betts Company, where Mike Betts says it became clear to him that the “level of respect [Bill] had earned” to lead was

It’s kind of exciting to be quite frank with you. They have some fresh ideas that when we look at them we sometimes realize, ‘That was probably long overdue.’ – Paul Raymond, vice president and former owner at Parts For Trucks

Former Parts For Trucks owners Andy (far left) and Paul Raymond (far right) pose with the company’s new ownership Corey and Brett Miller. The Raymonds sold the business last year but have remained on staff for a period to ensure a successful transition.

strong throughout the business. “It really helped establish that hierarchy for us,” he says. Company-wide discussions are a logical next step and can be performed many ways, though the Resnicks note in these instances it can help to have managers on hand to support the leadership throughout the meeting. Employees are assured when they hear consistent messaging from multiple positions of authority. Additionally, these internal conversations should follow or run concurrently with external meetings with key customers and suppliers. Zurbuchen remembers: “We spent time researching all of our key supplier agreements and our contractual agreements and having conversations with each and every one of them, executing protocol that was needed by their companies to solidify a smooth transition.” Paul Raymond says this is another reason why he’s glad he and his brother have stuck around. Their involvement helped maintain Parts For Trucks’ association with VIPAR Heavy Duty and their key accounts. Once all of this is done and a successor is established, those who have gone

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through it say the best thing to do is step back. Both Ryan and Betts remain involved in their businesses, but at a distance. The direction and daily leadership of their companies are no longer their priorities. “For the transition to be successful I knew I had to step away,” Bill Ryan says. “If I’m there all the time people are going to ask me what I think, and I didn’t want that.” Adds Mike Betts, “I’m there as another set of eyes, but I’m only going to give my opinion on something if he asks for it.” Watching from the sidelines isn’t such a bad view, either. Both Betts, Ryan and Raymond acknowledge the joy of watching their new leaders on the job. “It’s kind of exciting to be quite frank with you,” Raymond says. “They have some fresh ideas that when we look at them we sometimes realize, ‘That was probably long overdue.’” “I never told my kids that this would be my biggest dream come true because I never wanted to put that kind of pressure on them,” Mike Betts says. “I wanted them to do whatever they wanted to do. “But to see [Bill] has ascended to be our president and he’s doing a great job. I couldn’t ask for anything more.”

Marketplace

The Buzz The five hottest products as determined by readers of truckpartsandservice.com

Floor mats for Freightliner models 7-way connection tool Phillips Industries introduces QWIK-CHECK, developed for quick and easy confirmation of power within the 7-way connection between the tractor and trailer. Designed for integration into the electrical system of the nosebox, Phillips says QWIK-CHECK is currently offered for universal installation on any nosebox, or as a readily available replacement for units already installed on the i-BOX or VOLT-BOX noseboxes. The universal unit comes with 12-in. blunt cut wires and ring terminals to customize installation. Replacement units come with wires pre-cut to length and ring terminals already installed, the company adds.

Updated self-adjust clutch line Eaton has added two new enhancements to the companyâ&#x20AC;&#x2122;s line of EverTough Self-Adjust and EverTough Manual-Adjust heavy-duty aftermarket clutches. The company says the release bearing has been upgraded with wider thrust pads to optimize the interface with the release fork providing more contact area for the fork resulting in less wear and longer clutch life. A third grease zerk fitting also has been added to provide better access for routine lubrication. Eaton adds EverTough clutches are available in 7-, 8-, 9and 10-spring designs with torque ratings ranging from 1,400 to 2,050 lb.-ft. and come with a one-year/unlimited miles warranty.

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Minimizer has released custom molded floor mats that fit the new Freightliner Cascadia 116 and 126 model tractors. Minimizer says the 116 and 126 models feature a different cab interior than their 113 and 125 counterparts, necessitating floor mats that fit the newer models. The company says it already produces floor mats for the 113 and 125.

Remanufactured Volvo and Mack transmissions General Truck Parts & Equipment has broadened its offerings with the addition of Volvo I-Shift and Mack M-Drive heavy-duty transmissions. These transmissions will be completely remanufactured assemblies, including electronics. General Truck Parts says all remanufactured assemblies are thoroughly tested on the companyâ&#x20AC;&#x2122;s dynamometer to ensure superior quality. A full two-year, unlimited mileage warranty, including labor, backs every remanufactured assembly.

More than 250 new aftermarket part numbers Dorman HD Solutions last month released the newest products and part numbers to its former dealer-only heavy-duty product lines. Some of the more than 250 products introduced by the company in April included more than 25 coolant reservoir SKUs, more than five nitrous oxide (NOx) sensors, exhaust brake actuators, more than 10 hood restraint cable SKUs, a timing cover and 50 diesel particulate filter SKUs. The company says the NOx sensors, timing cover and exhaust brake actuators are HD Exclusive products.

Marketplace

Severeduty fifth wheel top plate Fontaine Fifth Wheel introduces the Fontaine H7, a new top plate designed specifically for severe-duty applications. According to the company, the new top plate replaces the H5092 and X5092 Series and combines it into one fifth wheel system. Like the 7000 Series, the H7 features a cast steel housing and the Fontaine No-Slack locking system, the only trigger activated self-adjusting locking mechanism in the industry, the company says. The Fontaine H7 is rated up to 70,000 lb., vertical load, a drawbar pull rating up to 200,000 lb., and has the option of being blocked (no-tilt) from the factory, the company says.

Heavy-duty gear oils Richmond Gear introduces three new heavy-duty gear oils. The company says the new high-quality oils are 80w90 GL-4 multipurpose, 80w90 GL-5 performance and Richmond gear friction modifier for limited slip differentials. Richmond Gear says the GL-4 contains no friction modifiers and can be used in light- and heavy-duty differentials where applicable. The GL-5 is engineered for use in high-performance racing differentials and positraction units, and also can be used in light- and heavy-duty differentials where specified. It is not compatible with synthetic oils or additives. The friction modifier exceeds all ratings and is formulated for use in all axles where use of friction modifiers is specified, the company says.

Assorted heavy-duty products NEWSTAR has added a variety of products to its heavy-duty product offering. The new parts include an E-8P valve, a Volvo grille, a power divider kit for Freightliner tandem axles, a cam mount bushing for International trucks and a newly added bumper center piece for Volvo VNL models, the company says.

BES LINE. BOTTOM LINE. BEST C

CMY

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Marketplace

Low-profile HVAC unit Webasto Thermo & Comfort has introduced its SP80 HVAC. At 50 percent the size and 20 percent the weight of average HVAC systems, Webasto says the SP80 hugs a cabin’s ceiling. The unit’s 3.15 in.-thick injection-molded plastic envelope features rounded edges and a unique central air intake configuration that allows air outlets to be precisely oriented to fit a cab’s particular design. Its 25.03 in.-width and 20.39 in.-length also will make the unit easy to integrate into any cab design.

Off The Line Spotlighting a new OEM innovation

Directional scene lamp Optronics International has introduced its new UCL41 Series Scene Light. The new lamp is the first of a new style of directional scene lighting that casts a more focused beam of LED light in a direction that can be accurately defined simply by its placement. The UCL41 Series Scene Light accommodates both 12and 24-volt electrical systems and is IP67 rated. The lamp comes complete with 6-in. hard-wired lead and ground wires and requires only a 3/4-in. hole for the wire feed, the company says.

Two all-terrain tires

Volvo completes transition to VNL 760 Volvo Trucks has completed its transition from production of the legacy VNL 670 model to full production of the new VNL 760. Defined by efficiency, productivity, safety and uptime innovations for today’s long-haul operations, Volvo says the VNL 760 features a new 70-in. sleeper and comes standard with the 13-liter Volvo D13 engine and Volvo I-Shift 12-speed automated manual transmission. “Transitioning from the legacy VNL 670 into full production of the innovative new VNL 760 signifies the latest milestone on our long journey to deliver the safest, most comfortable and most efficient long-haul trucks on the market,” says Göran Nyberg, then president at Volvo Trucks North America.

T R U C K PA R T S & S E R V I C E | M a y 2 0 1 8

BFGoodrich introduces two new all-terrain tires from BFGoodrich, the Cross Control S and Cross Control D. The BFGoodrich Cross Control S is an all-terrain steer/allposition tire. It is available in sizes 11R22.5 and 11R24.5 (Load Range H), 315/80R22.5 (Load Range L), and starting in May 2018 will be available in sizes 385/65R22.5 (Load Range J) and 425/65R22.5 (Load Range L). The BFGoodrich Cross Control D is an all-terrain drive tire. It is available in 11R22.5 and 11R24.5 sizes (Load Range H).

Marketplace

Solar charging products Go Power introduces its new solar powered Dual Charging System (DCS). Designed and engineered specifically for charging both liftgate and pallet jack batteries, Go Power says the DCS can automatically switch from charging pallet jacks to liftgates, depending on what is plugged into the unit. The company says the solar panels are a mere 1/8-in. thick and are 82 percent lighter weight than traditional panels. They come with a standard 5-year warranty and 2-year ROI, the company says.

Worklamp LED flood light Clore Automotive introduces a new 1500 Lumen COB LED Flood Light, Model No. LNC2251, from Light-N-Carry. According to Clore, the LNC2251 is an ideal answer when it comes to the tasks of Area/Flood/Site (A/F/S) light illumination. The LNC2251 features three intensity settings (1500/1000/500 lumen), allowing the operator to select the setting that best meets their needs based on the application performed. Its work light function is powered by advanced COB LED technology utilizing a Citizen CITILED chip for clear, bright viewing, elimination of hard edges, cool, pleasing light and low power consumption, Clore says. Additionally, the LNC2251 comes equipped with two removable batteries, each of which serves as a power supply, with a 1A USB outlet to charge small electronic devices, Clore says.

Electronic actuators Turbo Solutions continues to strengthen its Cummins Holset product offering by adding new genuine Holset electronic actuators to complement its turbocharger remanufacturing program. Turbo Solutions says the new actuators will be offered separately or sold as a turbocharger and actuator complete unit. Additionally, the company says its ability to calibrate the actuator to the turbocharger with the Cummins Holset “E” tool makes these units “plug and play” installation on the shop floor.

Replacement air chamber World American introduces a replacement Meritor air chamber bracket to its heavy-duty product offering. World American says the air chamber bracket is for a 5 in. round axle. It is part number WA07-5064, and replaces 3299-A-5981 and E-2681A. The new component is in stock and ready to ship today, the company adds.

Wide selection of new part numbers PAI Industries has a new crop of aftermarket parts, featuring new components in the Air & Electrical, Cab & Chassis, Drivetrain and Engine product categories. The company has introduced more than 50 new products. The featured item is an EGR cooler kit for Cummins ISB engines. Part number 141444 and OEM number CUM 4089256, PAI says the kit includes a cooler, four gaskets and two hoses.

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Commercial vehicle jack MAHLE Service Solutions introduces the ShopPRO CAJ-25, a 25ton commercial vehicle axle jack. The CAJ-25 offers 50,000 lb. of capacity. Its compact field-ready design and low starting height of 8 in. makes the CAJ-25 ideal for shop use or road service work. It features a long handle design for hard-to-engage vehicles and large rubber wheels for easy movement. In addition to the CAJ-25, the second commercial vehicle jack offered in the line is the CAJ-35 which offers 70,000 lb. of lifting capacity, MAHLE adds.

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Marketplace

Fluid extraction tools Lumax introduces a new line of Fluid Extractors, which the company says are handy transfer pumps to move fluids through dipstick tubes and filler ports. The new line features four tools, the LX-1311, LX-1312, LX-1313 and LX-1314. Lumax says the LX1311 and LX-1312 are manual fluid extractors, while the latter two are manual and pneumatic tools. The extractors work when a vacuum is created quickly and efficiently by manual pump operation, offering superior mobility without the need for electricity or compressed air.

Hood mount plate for lamps

Suitable for brake fluid, engine oil, gear oil, transmission fluid, water and more, Lumax says the extractors are ideal for extracting fluids, changing engine oils and lubricants from a variety of equipment, including heavy vehicles, automobiles, gearboxes and farm implements.

Larson Electronics has released a hood mount golight plate for its Golight Radioray and Stryker Spotlights, designed specifically for the 2018 mid-size bucket truck Freightliner. This hood mount plate allows truck owners to easily mount additional spotlights on their vehicles securely, the company says. Constructed of durable powdercoated aluminum, this hood mounting plate is rugged and built to last in harsh outdoor conditions, the company says.

Ultra-thin LED emergency lamps Maxxima introduces a new family of ultra-thin Class 2 emergency/ warning LED lights. Maxxima says the M20388 Series is available in amber, red, white or blue. Each light has six high-performance LEDs to deliver superior brightness and performance in steady-on or flashing modes. The durable polycarbonate housing and clear lens are just 0.5 in. deep and can be surface or tape mounted (hardware included), the company says. The new lamps come with a five-year warranty, the company adds.

Expanded private label brake line

Warehouse container use tool

HDA Truck Pride has added air disc brake pads to its private label offering. HDA Truck Pride provides a competitive line of drum brake shoes and kits ranging from 20K, 23K and 25K pound GAWR coverage along with the new air disc brake pad offering. HDA Truck Pride says air disc brake pads are a natural progression within the private label friction category. HDA Truck Pride says its air disc brake pads are an ideal replacement for a wide range of vehicles in the toughest applications.

Presto ECOA introduces its PT Series Container Tilter. According to the company, the new PT Series can tilt containers up to 85 degrees to allow workers to access contents without bending into the container. Power for the unit is provided by a 12-volt maintenance-free, leak-proof battery with internal charger. Optional 115V AC or air motors are available, the company adds.

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