March 2017 Volume 37, Issue 2
TRUCK NEWS Eastern Canada’s Trucking Newspaper Since 1981
Delivering daily news at trucknews.com
Page 18
Page 26
Page 46
Page 59
Who you gonna call?
What fleets want
Buyer’s market
Youthful enthusiasm
Heavy tow operators say a requirement to comply with H-o-S may leave trucking companies with fewer options.
If you’re in the business of selling parts to fleets, understand they want a technical advisor, not a sales rep.
Used truck buyers’ tastes are evolving, with spec’s such as automated transmissions increasingly in demand.
An 18-year-old truck driver from Quebec discusses his passion for the industry and how it attracted him.
Hacked
RET ADVERTAIL ISING P
Small and mid-sized carriers are easy targets for hackers
AGES 47 -
53
By Harry Rudolfs B-Line Enterprises is a small, family-owned trucking company located in Raleigh, N.C. The company uses load brokers and vice-president Diane Burkle thought nothing of sending out standard contracts and invoices via e-mail. That is, until the payments stopped coming. “Most of them pay in 30 days but we usually wait 45 days before inquiring about the payment,” says Burkle. “That’s how I found out. Then I discovered their e-mails were blocked so I started calling them.” Hackers had obtained Burkle’s e-mail password. “Using my company e-mail, they submitted an ACH form to the brokers so they would get a direct deposit into an account they set up. They got into the back side of our e-mail so any replies would not come to my e-mail. They did this with 18 customers and got away with about $5,000 before I realized what was happening,” she tells Truck News. The situation became more confounding when Burkle requested payment for the work B-Line had done. Continued on page 24
PM40063170
Careers: 6, 28-45 Ad Index: 57
By the end of this year, Canadian carriers operating in the US must require drivers to electronically log their hours-ofservice. Choosing the right device for your fleet is critical.
Buyer beware The clock is ticking for Canadian carriers operating in the US to install electronic logging devices. The system you choose may be the most important decision you make this year. By James Menzies TORONTO, ONTARIO anadian carriers that operate in the US will have until Dec. 18, 2017 to install electronic logging devices (ELDs) for the monitoring of driver hours-of-service. To help carriers find a compliant system, the US Federal Motor Carrier Safety Administration (FMCSA) has created a website listing registered and “self-certified” devices. But it may come as a surprise to fleets that all that’s required to get on that list is to submit documentation claiming to have met all the requirements laid out in a 450-odd page technical standard. There’s no further proof required. As of Feb. 8, there were 27 devices listed on the FMCSA’s website. Noticeably absent were the major players, the most recognizable ELD suppliers. “Our message is going to be buyer beware,” warns Eric Witty, vice-president, product, with PeopleNet. “I think, in general, there will be confusion in the marketplace related to the vendors.” Tom Cuthbertson, vice-president of regulatory affairs with Omnitracs, agrees.
C
“It’s a registration process, it’s not a certification process with FMCSA at this time,” he points out. “FMCSA is not vetting anything.” This is an important consideration for fleets that are shopping around for a compliant ELD platform. A vendor’s appearance on the FMCSA website means only that the company has taken steps to ensure its system complies with the technical standard. If that system is discovered in the future to fall short – whether by FMCSA, enforcement officers or by the end user – the supplier will have a limited time to bring its system into compliance or, if it fails to do so, the fleet will have to replace all its devices and the product will be removed from the website. Recognizing the risk fleets are exposed to, Canada’s PIT Group has launched a third-party verification service. It’s voluntary for suppliers, who can choose to have PIT engineers verify their compliance and then earn the right to display a PIT-verified logo. “The reason why we went into offering that service is, fleets were alarmed,” PIT Group director Yves Provencher tells Truck News. “We even had lawyers calling us, saying ‘What can we do to protect our carriers?’ Continued on page 12
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TRUCK NEWS ISSN 0712-2683 (Print) ISSN 1923-3523 (Online)
Contents
Lou Smyrlis Group Publisher 416-510-6881 lou@newcom.ca Kathy Koras Associate Publisher 416-510-6892 kathy@newcom.ca EDITORIAL James Menzies Editor 416-510-6896 james@newcom.ca Sonia Straface Associate Editor 416-510-6890 sonia@newcom.ca Derek Clouthier Truck West Editor 403-969-1506 derek@newcom.ca Julia Kuzeljevich Contributing Editor 416-510-6880 julia@newcom.ca
In Every Issue
DESIGN AND PRODUCTION Carolyn Brimer, Beverley Richards, Tim Norton
Marketplace .........47-53 Ad Index ....................57 Announcements .......57
ACCOUNT MANAGERS Heather Donnelly National Accounts Manager 416-614-5804 heather@newcom.ca
Newland Transport ...60
42
Nickisha Rashid National Accounts Manager 416-614-5824 nickisha@newcom.ca
Al Goodhall – Opinion If the feds are doling out cash for fuelefficient equipment and technologies, shouldn’t driver training also get some recognition?
Delon Rashid Sales & Marketing Consultant – Western Canada 403-713-1054 delon@newcom.ca Denis Arsenault Quebec Accounts Manager 514-938-0639 ext. 2 denis@newcom.ca Doug Copeland Regional Accounts Manager 905-715-9511 doug@newcom.ca Paul Beelien Regional Accounts Manager 416-614-5806 paul@newcom.ca Truck News is published monthly by
Newcom Business Media Inc.
CHAIRMAN & FOUNDER: Jim Glionna PRESIDENT Joe Glionna
43
David Bradley – Industry
Feature Stories
In his farewell column, David Bradley says he’ll continue to watch the industry closely as it enters an exciting time.
Used Trucks
45
Are you in the market for a used truck? Make sure a properly functioning aftertreatment system is on your checklist. 46, 55
Vocational We get an opportunity to swap out bodies on a real-world Transformer truck from Western Star. How easy was it? 61
5
31-37
The numbers are in and Ontario’s long combination vehicle program has been a success.
Tire prices are on the rise, Utility is rolling out new trailers and Mack has new products for concrete mixer customers.
Editorial
7
In Brief
VICE-PRESIDENT Melissa Summerfield
The Fergus Truck Show has been canceled for good and Truck News gets a facelift.
Director of Circulation Pat Glionna
9-25
Subscription Inquiries Lilianna Kantor Phone: 416-614-5815 Fax: 416-614-8861 Email: lily@newcom.ca RETURN UNDELIVERABLE CANADIAN ADDRESSES TO: CIRCULATION DEPARTMENT, TRUCK NEWS 451 ATTWELL DR., TORONTO, ON M9W 5C4 PUBLICATIONS MAIL AGREEMENT NO. 40063170 CUSTOMER NO. 4006214
We acknowledge the financial support of the Government of Canada through the Canada Periodical Fund of the Department of Canadian Heritage.
Business Ontario tow truck operators are now governed by the CVOR. How will this affect fleets looking for a late-night tow? And Toronto’s plan to toll major arteries is overruled.
26-29
Aftermarket The relationships between parts suppliers and major fleets are evolving. Find out how in our coverage from Heavy Duty Aftermarket Week.
Equipment
Scott Taylor – Tax Talk No one likes to hear the term “audit.” Scott Taylor shares some tips on how to avoid them.
56
Fleet News TFI International has made two more acquisitions, Manitoulin expands presence in Wawa and the Best Fleets to Drive For are named.
38
Karen Bowen – Health Are you getting enough sleep? Our resident health expert has some tips on how to stay alert.
39 Mail
Donald Trump has the support of some readers for his widelyanticipated selection to head EPA.
59
40
We profile one of Quebec’s youngest professional drivers.
Bill Cameron – Opinion Bill questions whether the term “economies of scale” applies in the trucking industry.
Profile
58
Mark Dalton in… The Mark Dalton Project
41
62
Mark loves his electronic logs. Find out why his only regret is not adopting them sooner.
We look in on Joseph Haulage’s operations and discuss where the company’s future growth may occur.
Mark Lee – Opinion
The Last Word
March 2017 • Truck News 3
Inside the Numbers with Lou Smyrlis
Get USED to it Eastern Canada’s carriers see buying used as an option in updating their fleets Motor carriers from Ontario to the Maritimes are used to purchasing used when it comes to renewing their fleets. Our annual Equipment Buying Trends Survey found that two thirds have purchased used trucks in the past and more than fifth plan to do so again this year.
Purchased used trucks in the past
NO
YES
Plan to purchase used truck(s) in 2017
YES
NO
Follow Lou on Twitter @LouSmyrlis.
Type of transmission most likely to prefer when selecting used truck(s)
Automatic
Manual 18-speed
28%
29%
of respondents
9%
32%
68%
of respondents
21%
79%
Manual 10-speed
35%
Manual 13-speed
of respondents
Most important factors in selecting a used truck (scale of 1 to 5)
Main reasons plan to purchase used
Brand
3.95
Current trucks have reached replacement mileage
37%
of respondents
Age of truck/mileage
4.34 GVW/payload capacity
Increasing costs of repairs on current vehicles
27%
Looking to avoid new engine emissions standards
24%
Adding to fleet due to growth projections
31%
Looking to improve fuel economy
18%
3.93 Type of transmission
3.98 Availability of preferred engine brand
4.16
History of truck
4.14 Availability of parts
4.29
NEITHER RAIN, NOR SNOW NOR 23 HOURS OF DARKNESS NOR THE FAILED MISSIONS OF TRUCKERS’ PAST NOR ACTS OF GOD. . . SHALL STAY ME AND THESE CHAINED-UP WHEELS FROM REACHING THE FINAL OUTPOSTS OF THIS VAST FRONTIER ®
Lisa Kelly on History Network’s Ice Road Truckers
®
Delo user since 2005 ®
UNCOMMON JOBS REQUIRE UNCOMMON TOUGHNESS
© 2017 Chevron. All rights reserved. All trademarks are the property of Chevron Intellectual Property LLC.
4 Truck News • March 2017
Editorial
Ontario’s LCV program has been a success Ontario in late January lifted a number of restrictions that were placed on long combination vehicles (LCVs) operating in the province, paving the way for the more widespread use of double 53s. Key changes included the removal of the cap on the number of permits carriers can obtain (previously 16) and the number of carriers that can participate in the program (previously 100). The province also added new highways to the approved network and extended the distance LCVs can stray from the primary highway network from two kilometers to five. The LCV highway network was expanded to include Hwys. 403, 412 and the new leg of the 407 and two new configurations have been approved, which will extend the program to container and car haulers. The changes mark a significant vote of confidence for the LCV program, which was launched in Ontario in 2009. Ontario was very cautious in its initial approval of LCVs and placed many restrictions on their use. To find out what, aside from effective lobbying by the Ontario Trucking Association, led the province to lift some of those restrictions after seven years, I con-
tacted the Ministry of Transportation and sought the safety records for LCVs. From 2009 to October 2016, carriers ran more than 224,000 LCV trips covering more than 69.7 mil-
lion kilometers. During that time, there were eight collisions involving LCVs, however none of those accidents were the fault of the LCV driver. Based on 2013 collision data, a traditional tractor-trailer traveled 3.2 million kilometers per collision. LCVs, in comparison, traveled 8.7 million kilometers per collision – and keep in mind, none of those collisions were the fault of the LCV driver. Compliance with the restrictions and rules placed on LCV operations has also been impressive. The prov-
ince has revoked the permit of only one carrier who was found to have violated program conditions. I asked Geoff Wood, OTA’s vice-president of operations and safety, to what he attributes the success of the program. He credited the drivers and carriers that were first to support the program. “From the get go, the goal was to have the best drivers, the best carriers, the most up-to-date technological equipment, the most rigorous monitoring and a certified training program,” he said. “There were 30 to 40 carriers involved in the development of the program. That’s where it starts.” The environmental and economic benefits to the province are significant. In a 2011 policy paper, the MTO wrote that LCVs consume about one third of the fuel used by two tractor-trailers. That translated to a savings of about 67.3 liters of diesel fuel per LCV trip. Extrapolated over the 224,000 trips referenced above, the province’s trucking industry reduced its fuel consumption by more than 15 million liters between 2009 and 2016 through the use of LCVs. Hudson’s Bay Company estimates it saved about $500,000 per year running just two LCV permits, when adding driver hours and tractor maintenance to the equation.
At a time when fleet managers get giddy over new technologies and devices that can deliver single digit fuel economy improvements, it’s important to remember that the greatest savings come from fully optimizing the use of the equipment and infrastructure that’s available to us today. Ontario should be applauded for paving the way for the use of LCVs. It took some courage to do so in the face of the public pushback that occurred at the time the program was launched. But the numbers speak for themselves. From a safety, economic, and environmental perspective, there’s no way to dispute the fact the program has been a complete success and the removal of some of the program’s restrictions will ensure the benefits continue and expand. TN
James Menzies can be reached by phone at (416) 510-6896 or by e-mail at james@newcom.ca You can also follow him on Twitter @JamesMenzies.
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March 2017 • Truck News 5
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In Brief
Fergus Truck Show canceled
FERGUS, ONTARIO Organizers of the Fergus Truck Show in early February announced the event will cease operations immediately. No further Fergus Truck Show events are planned. Show organizers posted on its Facebook page: “The Board of Directors would like to sincerely thank all of our volunteers, attendees and drivers that have come through the gates for the past 30+ years. It is with the utmost of gratitude and appreciation that we thank you for your support over these past years.” They went on to thank volunteers, attendees, vendors, media and drivers. TN
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Truck News features a new look TORONTO, ONTARIO Truck News this month debuts a new size and design. The new, slightly smaller dimensions have been adopted in accordance with Canada Post regulations for mailing tabloid publications. The size has been reduced proportionally, so that Truck News maintains its unique shape. You’ll also notice some subtle design enhancements, beginning with this month’s issue. The new design is intended to provide a cleaner appearance and to enhance the reader’s experience. We would love your feedback. Please e-mail editor James Menzies at james@newcom.ca and let us know what you think. TN
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Business
Mullen Group revenues decline OKOTOKS, ALBERTA Mullen Group earnings were down in the fourth quarter, due to falling revenues in both the oilfield services and trucking/logistics segments. Overall revenue was down 10.4% to $257.8 million. Oilfield services revenue shrunk 23.1% and trucking/logistics revenue was off by 2.5% compared to the fourth quarter in 2015. The company blamed challenging market conditions in both segments for the declines. The decline in trucking/logistics revenue was mainly due to lower freight demand in Western Canada and a drop in fuel surcharge revenue. The company recorded a net loss of $700,000 in the fourth quarter, down 129.2% compared to net income of $2.4 million year-over-year. “Quite simply business fundamentals remained difficult in the fourth quarter. Demand remained our biggest challenge for many of the reasons we have articulated throughout the year. Reduced capital investment, spending and drilling activity by the oil and natural gas industry in Western Canada directly impacts the oil and gas service industry, the Alberta economy and, by association, the demand for trucking and logistics services,” said
Murray Mullen, chairman and CEO of Mullen Group. “This in turn becomes a negative drag on the Canadian economy, as evidenced by the GDP numbers, which continue to show the economy struggling to grow at even a very modest pace. And in the absence of real economic growth, markets become very competitive. In particular, the few remaining larger capital projects associated with the development of Alberta’s oil sands neared completion further reducing the demand for trucking and transload services. All in all, generating revenue and producing acceptable profitability in periods of low demand is very difficult.” But Mullen said he is pleased with the company’s performance in light of the challenging market conditions it faces. For the full year 2016, Mullen Group saw revenues of $1.035 billion, down 14.8% compared to 2015. Net income increased to $52 million compared to $13.4 million in 2015. Mullen said he’s maintaining his more positive outlook on the oil and gas industry and the Canadian economy in general. “After a couple of very difficult years, I have a more positive outlook
THIS MONTH’S CROSSWORD PUZZLE
for the overall Canadian economy and for the oil and natural gas industry. In particular, commodity prices are much more constructive than a year ago and this will translate into additional investment activity and spending by the industry,” Mullen said. On a conference call with business media and investment analysts, Mullen gave more detail on why he remains optimistic about 2017. Mullen said he’s seeing signs the oil and gas industry is recovering, as are the economies in Canada and Alberta. He’s also optimistic pricing pressure will ease through 2017. “Generally speaking, the lack of demand created a demand-supply imbalance and put pressure on pricing across the majority of the markets we serve,” Mullen said of the fourth quarter. “I personally believe that’s starting to reverse. There was borderline ridiculous pricing in some markets. We will not take on business at ridiculous prices just to gain market share. We’ll leave this to our competition.” Mullen believes the impending electronic logging device (ELD) mandate in the US, as well as the strained balance sheets many carriers are operating under, will be enough to bring supply back in line with demand and
to ease pressure on pricing. “Eventually supply and demand comes into balance, then you get pricing leverage,” Mullen said. In Western Canada, there are signs of an oil and gas recovery. Drilling activity was up 50% yearover-year in January. “Clearly the prospects are much better than when we entered 2016,” Mullen said. He expects the Canadian economy to continue to see modest growth. “More importantly, based on the recovery of oil and gas, it appears the Alberta economy is gaining some of its momentum back,” he said. “Increased investment by the oil and gas industry is good for the Alberta economy and it’s good for jobs and we’re seeing that already in 2017.” Mullen Group continues to look at acquisition opportunities and it has the cash – about $270 million on hand – to make some deals. “We are going to be active on the acquisition front in 2017 and we think that’ll help us accelerate our growth,” Mullen said. The company is also reviving its MoveItOnline initiative. It’s a business-to-business load matching platform that connects shippers with carriers. Mullen said it represents an opportunity to, at worst, accelerate and support the growth of its existing business units and at best, to open Mullen Group up to new markets altogether. TN
TN-165 March © 2017 M. Jackson
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Big rig power unit US distance units Tax return filing month Cargo protection material UK onramp or offramp (4,4) Truck dealer’s “pre-owned” Kenworth and Peterbilt parent Canada-USA demarcation line Component that meshes around Slope-nosed tractor, slangily 2-Down system component (3,4) “Famous Potatoes” plates state Highway traffic paths Forklift-friendly cargo platforms
Down 1 2 3 4 5 6 7 12 13 15 16 18 20 21
Driver pairs Brake system type (3,4) Pay-as-you-go route (4,4) Truck tire type Truck stop reading Truckers’ cargoes Kojak with a Kodak quarry Flattened freeway fauna Coiled cab-to-trailer cable Short, intermediary cargo movement Move in reverse (4,2) Ohio’s Rubber City Stick shift toppers Drivers’ workplaces
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March 2017 • Truck News 9
Print is Not Dead... In Fact
BORN: Germany, 1439 DIED: Circa 2000 ... or Did It?
It’s Growing
Consider The Following... • 2015 reversed a decade of decline, with a projected 0.2% YOY growth. (FIPP Trends Report)
‘‘
Print is not hanging on by its fingernails, IT’S GROWING. FIPP World Magazine Trends 2014-2015 Report
• Printed UK magazine advertising delivered the highest ROI of all media channels, 11% higher than TV and 22% higher than online. (PPA Magonomics)
• In the US alone, 234 new titles made their debut, up 21% from 2013. (Guide to New Magazines, USA) • FOLIO Magazine’s annual survey of US city and regional magazines said 2015 featured more new launches than any year since 2009.
Publications Serving Niche Markets (like B2B) Provide Unique Content Readers Cannot Get Anywhere Else.* * Skip Zimbalist, chairman and CEO of Active Interest Media (AIM), which publishes titles like Backpacker, Black Belt, Arts & Crafts Homes, Better Nutrition, Ski Magazine, Vegetarian Times, Power & Motor Yacht, and Yoga Journal, told FOLIO’s recent Growth Summit that AIM is investing in circulation marketing including direct mail. “We have not found declining yields in mail over the last 10-15 years,” he said.
In Case You Weren’t Convinced Before, You Can Confidently Say:
is Far From Dead. It’s Alive!
Business
The Canadian spot market saw more loads being chased by fewer trucks in December, a positive indicator for carriers.
More freight, fewer trucks seen in December: TransCore TORONTO, ONTARIO Canadian capacity tightened dramatically in December, according to spot market data tracked by TransCore Link Logistics. December cross-border load volumes were “exceptiona l,” TransCore reports, marking the highest year-over-year increase in recorded history for the month of December. Increased volumes coincided with a reduction in truck volumes, resulting in a healthy truckto-load ratio. December load volumes were up 45% year-over-year and 14% higher than November 2016. Load volumes ended 2016 on a high note, the opposite of 2015, when volumes diminished towards the end of the year. For the fourth quarter, load volumes were up 25% compared to Q4 2015 and were 8% stronger than the third quarter of 2016. The number of available trucks posted on TransCore Link Logistics’ network reached a 21-month low. Equipment postings were 19% lower month-over-month and 14% lower year-over-year. The 12-month truck-to-load ratio was three trucks for every available load through most of the year. December marked the first month the ratio fell below that average, improving to 2.26 trucks for every load, compared to 3.18 trucks per load in November. Cross-border loads into Canada were mostly destined for Ontario (57%), followed by 26% headed to Western Canada, 15% to Quebec and 2% to Atlantic Canada. The top equipment postings consisted of dry vans (52%), while reefers accounted for 24% of postings and flatbeds 18%. TN
March 2017 • Truck News 11
Business
Buyer beware Continued from page 1
What we will be doing is making sure those 400-odd pages of detail that FMCSA developed will be followed. It will look very much like an audit done by an accounting firm.” EROAD was the first ELD manufacturer to sign on for PIT’s new service. Provencher says the verification process continues. “We are developing a methodology as we go with them. They will be the first ones to be verified but it will take a little longer. With other customers – and we already have other customers lined up – it will be faster,” Provencher says. While he wouldn’t say which suppliers are waiting to be third-party verified, Provencher indicated even some of the big players have shown interest. PIT Group is a not-for-profit organization, so he said it is unlikely other organizations will be able to offer cost-effective third-party validations. Provencher says PIT Group is offering the service to help eliminate confusion in the marketplace and to protect fleets from choosing a non-compliant system. He said a supplier that’s found to be non-compliant has only three weeks to become compliant. “If not, the carrier needs to find another supplier,” he warns. “Imagine a fleet of 300 or 1,000 trucks that has to change providers in three
“I think, in general, there will be confusion in the marketplace related to the vendors.” Eric Witty, PeopleNet weeks. That’s quite a nightmare. That’s why the industry is not very enthusiastic about the self-certifying approach.” One way fleets can protect themselves, suggests Cuthbertson, is to build some protections into a contract with the supplier. “You’ve got to look at your contract,” he says. “If the vendor’s claiming to be self-certified and fully compliant, and they get challenged and pulled off the FMCSA’s certified list, then you have a situation where you’re going to have to find a replacement and there’s your cost to implement the previous one. Make sure you look at your contracts and the way it’s worded on what the repercussions are if somehow they become uncertified.” Doing thorough due diligence ahead of time is another important step carriers should take. Among other questions, Cuthbertson suggests asking a potential supplier:
12 Truck News • March 2017
How are you following the recommended security aspects identified in the mandate?; How will information be transferred to enforcement at roadside?; And how are you measuring and verifying diagnostics and malfunctions? The FMCSA has posted on its website a full checklist carriers should follow when choosing an ELD (see sidebar). EROAD recently published a paper outlining further questions fleets should be asking of their potential suppliers, including: What steps have you taken to ensure compliance?; Do you have a substantial number of active subscribers?; Can you offer testimonials from top customers?; Can you document financial stability?; And, will you continue to provide service after the sale? While carriers may be worried to find their existing provider of choice
Many of the logging devices in use today, known as AOBRDs, will be brought into compliance with the ELD technical standard through software updates alone. isn’t yet on the list of verified suppliers, there’s no need to panic. PeopleNet’s Witty tells Truck News his company isn’t rushing to self-certify because FMCSA is still fine-tuning
www.expocam.ca
the technical standard and because the company has too much at stake to rush in without ensuring, beyond doubt, that it’s fully compliant. “For somebody like us, who has
FMCSA’s checklist for choosing a device The US Federal Motor Carrier Safety Administration has created a checklist fleets should follow when choosing an electronic logging device supplier. A portion of the checklist follows. You can find the entire list at: www.fmcsa.dot.gov/hours-service/elds/choosing-electronic-logging-device-checklist.
ELD Feature or Function Checklist: Q Provides separate accounts for drivers and administrative (non-driver) ELD users Q Has “integral synchronization” with the engine control module to automatically record engine power status, vehicle motion status, and other data Q Automatically records all driving time and at intervals of 60 minutes. Records date, time, location, engine hours, vehicle miles, and driver identification Q Records location with an accuracy of one-mile radius during on-duty driving periods Q Reduces location accuracy to a 10-mile radius when vehicle is used for authorized personal use Q ELD time is synchronized with UTC (coordinated universal time) Q Retains data for the current 24-hour period and the previous 7 consecutive days Q Prevents tampering; does not allow anyone to alter or erase information originally collected for driver ELD records Q Requires driver to review unidentified driver records – and either acknowledge assignment of this driving time, or indicate that the records do not belong to the driver Q Allows a driver to obtain a copy of his/her ELD records on demand – either through a printout or electronic file Q Supports one of two options for electronic data transfer: Telematic type: using wireless web services or e-mail; or local transfer type: using USB2.0 or Bluetooth
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been around a long time, we can’t afford to say we’re certified and then have one of our customers get pulled over and get cited because our system isn’t compliant,” Witty reasons. “It would be disastrous, due to the amount of core fleets and large customers that we have.” An opportunistic supplier that’s new to the industry and may be looking to cash in on the mandate may have less at stake, Witty points out. “You just have to be cautious about the risk you’re taking with people that are just looking to make a quick buck off the high demand that a mandate causes,” he says. Carriers have the option of choosing an existing product – today’s currently available devices that don’t yet comply with the ELD standard are referred to as automatic onboard recording devices (AOBRDs) – and will be able to continue using those systems until December 2019. Most current generation AOBRDs will require only a software update to become ELD-compliant, so it’s unlikely a fleet will have to swap out all its hardware to comply with the new standard in two years. However, one pitfall to adopting an AOBRD today is that a fleet may then have to deal with the nuances of two different systems and sets of rules as new trucks with compliant ELDs are added to the fleet. No grandfather clause will be offered for AOBRDs installed after Dec. 18, 2017. “Any fleet that is purchasing vehicles on a regular basis is going to be put in a really challenging position,” Witty explains. “If you’re going to run ELDs and you’re going to run it side by side with AOBRDs, it could be an interesting thing to manage two different systems with two different experiences for your users. Anybody that is refreshing their fleet regularly may be forced to adopt (ELDs) early just so all your drivers are experiencing the same thing and your training and everything can be streamlined.” For fleets that are holding out and hoping the seemingly regulation-loathing president of the US, Donald Trump, squashes the mandate, sparing them the cost and time needed to comply, don’t hold your breath, suppliers say. “It seems like the momentum at this point in time is that you better plan on it happening, because there’s nothing that’s pointing to it being shut down,” Witty says of the ELD mandate. Cuthbertson agrees. “From both FMCSA and the actions that president Trump has taken recently, I don’t see anything in there that’s going to derail the mandate,” he says. “This regulation was issued in December of 2015. As we stand right now, we’re only about 11 months away from full compliance. I don’t see things right now from the administration in Washington that would derail this regulation.” TN
March 2017 • Truck News 13
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Business
Mississauga rolls out new traffic management system
of the traffic system.” The ATMS is a work in progress and already has its first component completed: the building of the Advanced Traffic Management Centre. The facility is the physical hub where staff monitor and respond to changing traffic situations in real time. It features a video wall, where traffic in the city is monitored by live cameras and radars. The new ATMS will make it possible for staff to not just monitor traffic and travel conditions, but to influence traffic signals to help assist in traffic flow, repre-
New technology will allow staff to influence traffic signals to curb road congestion By Sonia Straface MISSISSAUGA, ONTARIO Unfortunately for residents and motorists who live and work in the Greater Toronto Area (GTA), it has become notorious for traffic congestion during almost any time of day. To combat this, the City of Mississauga is implementing a new Advanced Transportation Management System (ATMS) that it believes
will help traffic flow more seamlessly through the city by using the latest technology available. “In Mississauga, our roadways are near capacity and sometimes at capacity in the a.m. and p.m. peaks,” Mickey Frost, director of works operations and maintenance, said at a press event in Mississauga on Feb.7. “The public has expectations around traffic management. The public expects the city to provide an effi-
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cient transportation network and to be able to respond to issues and provide timely accurate information.” Plus, added Frost, the system needed to be replaced as the existing traffic control system had reached the end of its life cycle. “So the ATMS project provides a means to meet operational needs and the expectations of the public,” he said. “The vision is to move from passive to active management
Continued on page 16
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March 2017 • Truck News 15
Business
On Feb. 7., the City of Mississauga invited the media to its new Advanced Traffic Management Centre to introduce its new traffic management system.
Mississauga unveils new traffic control system
control systems; implementing intelligent transportation systems like cameras and traffic detention; and looking at future initiatives like adaptive traffic control and traveler information. And while most aspects of the project are slotted for a later date, some of the components listed above are being implemented today. “The new ATMS will enable the connection of over 750 traffic inter-
Continued from page 15
sentatives stated. But this isn’t all the city has planned for the project, explained Frost. There are four other components that the city is looking to work on, including: upgrading traffic signal communications; replacing traffic
sections of real-time data,” said Shawn Slack, director of information technology. “Today we migrated 120 intersections to the networks, and the other 600-plus will be on the network by the end of 2018.” In addition, the city plans on increasing the number of traffic cameras in high profile corridors from 38 to 150 by the end of the project. “A well-designed ATMS will make it possible to monitor travel conditions, influence the operation of traffic signals, disseminate information
and interact with other transportation modes and agencies,” Frost said. Also at the press event was Mayor Bonnie Crombie, who showed her support for the new system. “Like other municipalities, Mississauga too is experiencing higher traffic volumes and road congestion,” she said. “I think (the city) has a role to play and I’m very excited at the implementation of this system.” The City said it is investing a total of $16.2 million into the project that is set to be completed by 2020. TN
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“We want to widen roads, but we only have a limited capacity to do that,” explained Peel Region’s manager of transportation system planning, Sabbir Saiyed. “So our focus with the plan is on promoting things like public transit, walking and cycling in the Region of Peel.” In particular, the region is honing in on two plans for the future of goods movement in Peel: a five-year strategic plan and a long-term plan to support goods movement into 2041. The Goods Movement Longterm Plan is one that will build on the region’s strengths and expertise in goods movement, Saiyed confirmed. “There’s a significant growth that is going to happen in the goods movement sector, so we are undertaking overarching transportation plans,” he said. “We are planning for goods movement for the year 2041.” By then, Saiyed said, research shows that if one person generates two to three truck loads per year, in 2041, this could result in six million truck trips per year in Peel. Right now, Saiyed and his colleagues are preparing action items to be completed by 2022 as part of the update. “In the last update in 2012 we had 23 action items and we have delivered on all 23 action items,” he said. The nine action items slotted for completion between 2017 and 2022 are still in a draft mode, but Saiyed shared that one of the main items was support for long combination vehicles (LCVs) in Peel. “We want to encourage the use of LCVs,” he said. “We want to ensure that LCVs are promoted in Peel and we want to make sure that we can provide the infrastructure so they can move forward.” Kathryn Dewar, principal planner of transportation system planning for Peel region added, “We will be looking at what roads we have and if there are specific design constraints or areas that would be good for LCVs. We are making plans for those areas because we see the benefit of making truck trips more efficient.” Other items on the action plan so far include e-commerce trends, development of an off-peak deliveries program and an education and outreach program regarding goods movements, that shows the public how they should be navigating around trucks safely. To help with the development of the LRTP update, the Region of Peel is looking for support from its residents, especially in the trucking community. “We are actively seeking support from the trucking communities including operators and trucking companies. We do want their feedback so the plan meets their needs,” Saiyed said. To access and participate in the survey, visit: www.surveymonkey. com/r/PeelGM For more information about the LRTP update, visit the project website at: www.letsmovepeel.ca. TN
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March 2017 • Truck News 17
Business Dennis Roberts, owner of TransCan Service Centre, says the towing industry is too unpredictable to comply with hours-of-service regulations.
Tow truck operators in Ontario now subjected to CVOR However, they’ll be exempted from hours-of-service rules and entering truck inspection stations for now By Sonia Straface TORONTO, ONTARIO Tow truck operators in Ontario had to ring in 2017 with a certificate. A CVOR certificate, to be exact. Effective Jan. 1, Ontario’s Ministry of Transportation (MTO) specified that all tow truck operators are required to have a valid CVOR certificate to operate in the province legally.
This comes as no surprise to many operators, who heard of the news of Ontario’s Bill 15 passing at the end of 2014. In the bill, the Ministry of Government and Consumer Services (MGCS) and the MTO outlined that tow truck operators will have to operate under CVOR rules. Just like other vehicles governed by a CVOR, now the ministry has the authority to monitor the safety performance
of all tow truck companies. Back in 2014, these were all just words on a page, but now as 2017 begins, many operators are understanding what following CVOR rules really means. “So far, it’s been relatively painless,” admitted Dennis Roberts, owner of TransCan Service Centre in Blind River, Ont., when asked about the new CVOR rules he and his towing company have to abide by this year. Roberts said TransCan applied for a CVOR certificate just over a year ago and not much has changed since then. “For the most part, the CVOR itself was not the issue,” he explained. “Most companies – especially larger
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ones – already had their CVOR for general haulage. The only real issue that remains to be worked out is the issue of hours-of-service and whether or not (tow truck drivers) are going to have to enter the scales when the lights go on.” Roberts said the issues of hoursof-service and scales highlight why tow truck companies have been excused from having CVOR certificates in the past. Roberts said he believes towing is too unpredictable to be required to comply with hours-of-service rules. “Towing is not really an overthe-road trucking operation, where things are scheduled,” he said. “You could get six tows in a row some days and then nothing for a whole day. Or it could be, you get one tow in the morning and then another at 10 p.m. So, it’s not scheduled and that’s where the problem lies – how do you manage a driver’s hours-ofservice when you have no idea when they’re going to be working?” He added the situation gets even more complicated for tow companies like his, which are based in rural areas. “Most of the urban areas, there is enough work to have staff on-hand 24/7,” he said. “But where I am, it’s the opposite. We just don’t have the work to justify full-time staff for 24/7 operations. Where I am, I’m the only place in one hour in one direction and 40 minutes the other direction that has a heavy wrecker. If it’s Friday and I’m out of hours and there’s an accident, what are you going to do?” He also brought up the issue of truck inspection stations. “It’s more of a public safety concern than anything else,” he said. “Reason being is, if you’re on an OPP or law enforcement request call, how are we supposed to let the officers at the scales know, ‘Hey, I can’t stop because I’m on my way to an accident?’” Roberts brings up valid points that the MTO isn’t ignoring. For now, Bob Nichols, the senior media liaison officer at the MTO, said that tow truck operators and drivers are exempt from hours-ofservice rules, as well as inspection requirements and entering truck inspection stations. “The MTO will continue to consult with members of the towing industry as we develop the next phase of regulations that will include specific rules for operators, drivers and vehicles,” Nichols told Truck News. “Through these consultations, we will balance the operational concerns of the towing industry while continuing to fulfill our road safety mandate.” Consulting with the MTO on the new phase of regulations is the Provincial Towing Association of Ontario. The association’s executive
OTA looking into practices of heavy tow operators TORONTO, ONTARIO After increasing complaints from passengers and commercial vehicles operators, Ontario has put in place new requirements for tow truck and vehicle storage services. Complaints were reportedly over skyrocketing towing bills and intimidating roadside practices by some in the recovery industry. The new rules came into effect Jan. 1, and ensure that going forward tow and storage providers (among other things) have to publicly disclose rates, accept credit card payments (and not insist on cash only), allow consumers to access their towed vehicles to remove personal property at no charge between 8 a.m. and 5 p.m. on all business days, and give consumers an itemized invoice listing the services provided and costs before payment. The Ontario Trucking Association (OTA) applauded the provincial government’s move and said publicly that it intends “to investigate whether the actual bill heavy-duty recovery companies charge at roadside reflects the rates they are officially listing on their websites.” The OTA is asking members to scan any heavy-duty recovery invoices they received in Ontario in 2016 and so far in 2017 with a description of the services they paid for, and forward them to otatowing@ontruck.org. TN
NOTICE TO TRUCKERS 2017 SPRING LOAD RESTRICTIONS The province enforces reduced load restrictions on trucks to protect Ontario's highways during spring thaw, when road damage is most likely to occur. Reduced load limits will be in effect where and when signs are posted depending on road and weather conditions. To find out more, please visit: ontario.ca/truckloads
director, Douglas Nelson, said that through talking with the MTO about the issues Roberts brings up, he believes that the department isn’t going to force hours-of-service rules on the towing industry. “It would have a detrimental effect on incident management,” Nelson said of imposing hours-of-service rules onto the towing industry. “There’s no doubt about that. Because I can concur, unless you’re running a 24-hour operation, it’s hard to put fellows out after hours, to respond when they’ve already met their hours for the day. Hours-of-service is something we’ve discussed with the ministry and they’ve given us an exception right now as they study the situation. But I feel comfortable that the ministry isn’t going to force hours-of-service on the industry.” He added that he agrees with Roberts when it comes to tow trucks entering inspection stations, too. “What happens when you’re transporting back the vehicle owner in the truck with you? Sometimes you’ll have a husband and wife, sometimes there’s kids and then you have to go into the weigh scales. What do the drivers and operators do with these customers? It’s a safety issue, especially when there’s kids around,” he said. However, Nelson said he does agree with the ministry that the industry should be subjected to CVOR rules. “In general, it’s not a bad thing,” he said. “It’s not going to cause problems for the tow operators that are doing things right. For the most part it won’t affect the towing industry.” Roberts agreed, but stressed his concern about the possibility of having to stop at inspection stations and pending HoS requirements. “I understand the impetus behind getting us into the CVOR (program) so there can be some sort of monitoring and regulation within the industry. But the issues of hoursof-service and inspection stations
are going to be a real thorn in the side of everybody if they’re not exempted,” Roberts said. TN
March 2017 • Truck News 19
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Kathleen Wynne halts Tory’s plan to toll DVP, Gardiner Ontario premier says alternative transit options need to be put in place before tolling can be approved by province By Sonia Straface TORONTO, ONTARIO Tolls might not be coming to Toronto’s Don Valley Parkway and Gardiner Expressway as soon as Mayor John Tory planned. At a press conference at a Richmond Hill bus yard on Jan. 27, Premier Kathleen Wynne said that Tory’s plans to toll the highways won’t be approved until more transit options are put in place. She reminded listeners at the event that tolls on any road in Ontario need approval from provincial cabinet. In order for the premier to approve the tolls, she said alternative transit options need to be put into place that give commuters options on how to get around. She said that she has heard many complaints about the toll announcement, not only from her caucus and cabinet, but from “people who are struggling to pay their bills.” She said people in Toronto and the Greater Toronto Area need more public transit options and should be able to choose between a toll and non-toll road. “So, the conditions are not right, and that’s why we’ve made the decision,” Wynne said. Originally Tory’s plan to toll the highways would generate an estimated $200 million every year. To supplement this loss, the provincial government announced it is instead doubling the share of the provincial gasoline tax that goes to municipalities. “The price that you pay at the pumps will not go up,” Wynne assured. Toronto’s share would be close to $170 million per year. Mayor Tory did not attend the announcement, but did respond to the premier’s statements. He claims that a gas tax share won’t cover existing and future transit needs. He said, “The gas tax increase they have announced is less than what Toronto would have likely been able to raise on its own with a simple regulatory change…the gas tax increase is an important step but can’t be the only step…Simply put, Toronto is being forced to contend with major issues like housing and roads and child care that previously had a greater funding participation by the government of Ontario and then told we are not able to take the responsibility we choose to take or take the measures we choose to take to address those financial needs. We are being denied any real ability to choose how we can pay for those things.” The Ontario Trucking Association (OTA) was in favor of Premier
Wynne’s announcement to eliminate plans for tolling the DVP and Gardiner and instead doubling the share of gas tax. “It took a while to agree on a more favorable resolution than tolls, but we think this works,” said OTA president Stephen Laskowski. “OTA applauds Premier Wynne, Transport Minister Steven Del Duca and Mayor Tory’s solution to this matter. This announcement redirects current tax funds where they are required and does not place more of a tax burden on road users.” TN
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March 2017 • Truck News 21
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Top 100 US truck bottlenecks revealed Atlanta’s ‘Spaghetti Junction’ tops the list By Sonia Straface ARLINGTON, VIRGINIA The American Transportation Research Institute (ARTI) released its annual list of the top 100 truck bottlenecks on Jan. 25. Topping the list for the second year in a row was Atlanta, Ga.’s Tom Moreland Interchange, commonly referred to as “Spaghetti Junction” at the intersection of I-285 and I-85. Texas was the state with the most bottlenecks on the top 100 list. The state of Texas has 14 intersections represented this year, 10 of which are located in Houston. The list is gathered annually to clearly state the top 100 worst locations for truck congestion in the US, and is compiled from analysis collected from ATRI’s extensive GPA data set. “We monitor 250 locations nationwide for their truck congestion and we publish the top 100,” Rebecca Brewster, president and chief operating officer of ATRI said in a press conference.
TRI unveiled its annual top 100 list of the worst locations for truck congestion.
the Chicago circle interchange was the worst bottleneck on ATRI’s list for three years in a row. The Illinois government wasn’t happy being at the top of the list, so its former governor advocated money be put into the reconstruction of roadways to help solve the issue. “In a release, it actually said they were tired of being on the ATRI bottleneck list,” Murray said. “Sure enough, this year they’ve dropped to number three.” “A list is a list is a list, until you really sort of implement change,” he added. “We’ve advocated hard with our public sector friends so that they can do something about it… Nobody ever wants to be number one.” TN
The Top 10 bottlenecks on the ATRI list this year are: 1. Atlanta, Ga. – I-285 at I-85 (North) 2. Fort Lee, N.J. – I-95 at SR 4 3. Chicago, Ill. – I-290 at I-90/I-94 4. Louisville, Ky. – I-65 at I-64/I-71 5. Cincinnati, Ohio – I71 at I-75 6. Los Angeles, Calif. – SR 60 at SR 57 7. Auburn, Wash. – SR 18 at SR 167 8. Houston, Texas – I-45 at US 59 9. Atlanta, Ga. – I-75 at I-285 (North) 10. Seattle, Wash – I-5 at I-90
According to Dan Murray, v.p. of ATRI, the institute monitors in real time more than 600,000 trucks in North America to do all kinds of macro analysis for the list. “It’s important that this is the second year in a row that Atlanta has been the number one location,” said Brewster, “because we’ve had an example of a past location that has repeatedly been at the top and it’s actually made a difference and directed some change in that location.” Murray explained that years ago,
22 Truck News • March 2017
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US economy to continue slow expansion this year Slow growth the new normal By James Menzies LAS VEGAS, NEVADA Truckable economic activity (TEA), a measure of the trucking industry’s health, is expected to grow in 2017 at a slightly stronger rate than last year. That was the message from Robert Dieli, president, RDLB Inc., who provided an economic overview at Heavy Duty Dialogue here in late January. TEA is comprised of fivecomponents: consumption; exports; imports; government spending; and business investment. It is designed to better reflect those aspects of GDP that directly affect demand for trucking services. A key difference
is that imports are viewed favorably, as they contribute freight demand. “TEA and GDP track each other, with TEA generally outperforming GDP in expansions. The flip side is, it severely underperforms GDP in recessions,” Dieli explained. “TEA growth will be positive (in 2017), slightly larger than last year, in part because of aspects related to business and consumer confidence that we’ve already seen in the fourth quarter.” Dieli is expecting the slow expansion of the US economy to continue through 2017. However, he also noted this is now the fourth longest stretch of economic growth in US
history, soon to become the third longest. Typically, TEA predicts economic recessions. “TEA is an early and enthusiastic participant in recessions,” Dieli said. “There has not been a recession in which TEA has not been a participant.” Dieli is not expecting the Trump administration to have an immediate impact on trucking. “Anything that involves legislative action are things that can take months,” he said, noting the Ronald Reagan tax cuts took a year to enact and put into place. “Were they to decide today on a particular set of priorities, it would take a while,” he added. However, Dieli noted a crackdown on imports would have a negative effect on trucking. Bill Strauss, senior economist and economic advisor with the Federal Reserve Bank of Chicago, also predicted slow economic growth in the US through 2017.
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Asked if it’s possible for Trump to live up to promises of sustained GDP grow th of 3-4%, Strauss expressed some doubt. “It’s very difficult,” he said, noting there’s little room for labor force growth, given the current low rate of unemployment. Strauss said it may be possible to achieve 3-4% growth for a year or two, but it will be difficult to sustain it long-term. Still, some growth is likely to be achieved this year, Strauss said. “Our view is the economy is going to grow this year, a bit better than last year,” he said. “But it’s not going to be anything of a substantial note.” US GDP grew at about 1.7% in 2016, with Q4 data yet to be released as of press time. This is the eighth year of economic expansion, albeit at a slow rate. “If we go to the end of 2019 without a recession, it will have been the longest expansion in US history,” Strauss pointed out. A lack of business investment continues to weigh on economic growth, but Strauss senses that is changing and there could be a greater appetite among businesses to invest this year. To sum up, Strauss said: manufacturing growth has been flat, but not in recession; the outlook for the US economy is to continue to expand at a slow trendlike pace through 2019; employment will rise moderately with the unemployment rate remaining low; and manufacturing output in the US will increase at a rate below trend this year and into 2018. TN
US truck tonnage declines in December ARLINGTON, VIRGINIA The American Trucking Associations’ (ATA) for-hire truck tonnage index fell 6.2% in December, following a revised 8.4% jump in November. Year-over-year, the seasonally adjusted index decreased 0.7%. In November, the index increased 5.9% on a year-over-year basis. For all of 2016, tonnage was up 2.5% compared to 2015. “The ups and downs that plagued most of 2016 continued in December,” said ATA chief economist Bob Costello. “I don’t recall a year in recent memory with so many large swings on a month-to-month basis. Looking ahead, there are some positive signs for truck tonnage. This includes the continued spending by consumers, larger wage gains and solid home construction. Factory output will continue to be soft, but it should be better this year than last year. And most importantly, the supply chain continues to make progress reducing bloated inventories, which will help truck volumes going forward.” TN
March 2017 • Truck News 23
Business
Hacked Continued from page 1
“It was a nightmare,” she says. “They told us they had already paid. So, the question is on whose side is the liability? The broker was the one who was tricked into sending the payment to a fraudulent account. And what about the bank that allowed the hackers to open that fraudulent account?” Burkle did some sleuthing and found out that her account had been infiltrated by an IP address traced back to Nigeria. She filed a police report and was told that not much could be done about the theft. Information technology expert Bill Goutzinakis, owner of Billy IT in Surrey B.C., isn’t surprised that the IP address showed Nigeria – it’s become a cliche for Internet scams. “These people use proxies to disguise their location so it might be anywhere,” he says. “They also access a lot of different routing systems and they can even piggyback and log in from another company’s system.” Goutzinakis isn’t shocked that the local police service wasn’t any help. Often, the authorities won’t get involved unless the fraud is over $100,000, and even then a successful prosecution is rare. “It’s illegal to hack someone’s e-mail
but it’s unenforceable. The best she information. can hope for is getting her money back “They’re not really hacking your from the bank,” he says. “This kind of system, they’re hacking the brains thing happens on a daily basis. It’s of the people using the system,” called phishing. Most likely the passsays Goutzinakis. “They’re actuword she was using was not well proally acting on information that an tected. You’d be surprised at the numemployee has freely given them. So ber of clients I have whose password when someone transfers funds into is ‘password’ or ‘123456’.” According to Goutzi nakis, once the hacker has infiltrated the e-mail, gaining the trust of other account Bill Goutzinakis, Billy IT users is fairly simple. Some companies post the names of the another account, they don’t suspect executives and employees on their anything is wrong.” website. The hackers can also use Another case in point is the mediFacebook and other social media um-sized carrier OutWest Express sites to find out additional details of El Paso, Texas, that suffered dire about the people or the organizaconsequences after a company tions they want to compromise. recruiter opened a Word docu“It usually starts with an e-mail ment that was supposed to contain that looks like it’s from someone a resume from a prospective driver. you know in the company,” he says. The recruiter had unknowingly “They usually provide details that let loose a malicious program that only insiders would know; they released a “ransomware” virus into might reference something that the company’s system, as reported would likely happen in the day-toby Fleet Owner in October 2015. The day operations.” hackers locked up the company’s Once they have become friendly access to the server and demanded with the e-mail account holders, payment. The situation was worsthe hackers continue to collect ened by the fact the files were not
“They’re not really hacking your system, they’re hacking the brains of the people using the system.”
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completely backed up. The company eventually had to hire an outside forensic recovery firm to get back most of its data – an expensive process. But the matter didn’t end there. While the company was beefing up its cyber defenses, the perpetrators had filched the company’s client list and started calling brokers, booking loads and asking for cash advances, up to $800 in some cases. OutWest started getting calls when the loads weren’t picked up. Fortunately, the carrier had stipulated to clients that no cash advances were to be paid out. But what was more problematic, some crucial data was lost during the breach. “We had all kinds of sensitive data files stored in our server; tax returns, social security numbers, things like that... So now we’re stuck waiting to see if they try to use any of that,” vice-president Zack Chilson, said during a presentation at the American Trucking Associations’ annual convention in 2015. A quick survey of a few Canadian trucking companies reveals that cyber security awareness is somewhere between non-existent and adequate, with most falling somewhere in between. No surprise, those carriers hauling high-value goods are the most vigilant, while smaller carriers often don’t give Internet security much thought – until something goes wrong. According to Goutzinakis, ransomware attacks are less prevalent now than a couple of years ago. “But this serves as an example of why you should protect your server – crucial data should be properly backed up, preferably with more than one external local device,” he says. “And you should have an IT expert check the system to make sure it’s working properly.” More common, thinks Goutzinakis, is the kind of soft target phishing expedition that occurred to B-Line Enterprises. He suggests small carriers are often targeted because of their naivety. “People assume that hackers are using the latest technology to commit these frauds when that’s not the case,” adds Goutzinakis. What about anti-virus and malware programs, do they work? “I’m not going to say they’re not useful, or that people shouldn’t have them, but every infected computer I’ve looked at has had some type of anti-virus program,” he warns. Goutzinakis thinks the best thing you can do is get the latest updates to your operating system. “Some companies are still running Windows XP to support their website. And you should also train your employees to be wary of anything suspicious. Just by passing your mouse over a link you can sometimes tell if the URL is bogus or doesn’t make any sense,” he suggests. For her part, Burkle now changes
her password frequently and gets a notification on her phone if anyone is trying access her account. “I’m paranoid,” she admits. She’s also still fighting with the bank and checking to see if any more money was stolen. “Any new customers we get, we tell them that no changes can be made without talking verbally to me and my husband. And we’ve gone back to doing things the old way, sending out invoices by post.” But Goutzinakis doesn’t think people should be afraid of the Internet. “Keep your system up to date and you should be able to keep a step ahead of the bad guys. Usually it’s just a case of stopping to think for a few seconds before you click on something,” he says. TN
CFMS to be held at ExpoCam MONTREAL, QUEBEC Fleet maintenance professionals, manufacturers and researchers will gather before ExpoCam this spring for the Canadian Fleet Maintenance Summit (CFMS). The event, hosted by Newcom Media Quebec and PIT Group, will help fleet managers better understand and prepare for the challenges of tomorrow, organizers say. The Sommet canadien sur l’entretien de flotte (SCEF) is the Montreal version of CFMS, which was a resounding success at last year’s Truck World show in Toronto. The event is supported by the Quebec Trucking Association, the Quebec Trucking Technical Committee and the Society of Transportation Superintendents of Quebec. Alexandre Taillefer, a serial entrepreneur and passionate businessman and founder of the electric taxi company Téo Taxi, is confirmed as keynote speaker. Taillefer is one of the most influential personalities in Quebec’s business world and one of the greatest visionaries in the field of electric transportation. “We are very excited about the organization of this first edition of the SCEF in Montreal,” said Steve Bouchard, editor-in-chief of Transport Routier magazine, published by Newcom Media Quebec. “We are working to put in place a very high level of technical content, which will give the floor to the best speakers in the world of fleet management and maintenance. The participation of an entrepreneur of the caliber of Alexandre Taillefer gives a taste of the quality that will be offered on this day.” The SCEF will be held in Montreal on Apr. 19 at Marriott Château Champlain Montréal, the day before the opening of the ExpoCam National Truck Show. For more information visit: www. scef.ca. TN
This is Atlantic Canada’s largest, most inclusive trucking show and THE venue where buyers source out the products and services that keep the truck and transportation industry moving, day in and day out. Fleet managers, truck buyers, and distributors will be out in full force, looking to talk with your sales and technical staff face-to-face to plan their next purchase. With a record 12,660 buyers in attendance at the last edition, the Atlantic Truck Show has proven to be an exceptional business opportunity – generate new leads, build relationships with existing customers and most importantly, increase your sales. For more information and to secure your exhibit space at this premier event, please contact: Mark Cusack, National Show Manager • mcusack@mpltd.ca • Toll Free: 1.888.454.7469 THE ONLY NATIONAL TRUCK SHOW EAST OF MONTREAL. MONCTON COLISEUM COMPLEX JUNE 9-10, 2017 Moncton, New Brunswick, Canada www.AtlanticTruckShow.com
March 2017 • Truck News 25
Aftermarket To keep fleets satisfied, parts suppliers need to ensure the timely availability of parts and offer technical expertise – not a sales pitch.
How to sell parts to major fleets Fleets want their suppliers to be technical advisors By James Menzies LAS VEGAS, NEVADA If you want to sell parts and components to Dwayne Haug, don’t send a salesman in to visit him. “We don’t need a salesman today,” Haug, former vice-president of purchasing with Werner Enterprises and now principal owner of Dwayne O. Haug Consulting told an audi-
ence during Heavy Duty Dialogue in late January. “We need a technical advisor. Most people who come in and represent the product can’t sell it anyways, so don’t send us a salesman, send us someone who can explain the technical element of it.” Haug’s comments highlight one of the ways the relationships between parts distributors and their large f leet customers are
evolving. In some cases, fleets are looking to deal directly with parts manufacturers, bypassing the distributor altogether. “I buy direct any chance I get,” acknowledged Gloria Pliler, director of parts procurement with Swift. “It lowers cost. We are willing to order at a pre-paid level and we’ll stock the parts.” Swift carries about $14 million
in parts inventory across its shop network. Pliler is also a fan of buying and selling parts online through Amazon. One of the advantages of buying direct, Pliler says, is it protects against private label brands being substituted by distributors. “That’s where I like purchasing direct – I can really control what it is that we get,” she said. Another challenge facing distributors is the trend towards vertical integration, which requires fleets to use OE-supplied parts and components. “The vertical integration with some of the OEs is forcing that paradigm to change, where you have to go back to the OE to get parts to maintain that equipment,” said Lee Long, director of fleet services, Southeast Freight Lines. One thing that hasn’t changed is that most large fleets are conscious about the parts they buy and insist on known brands. “We take extended warranties out on all our trucks and have to replace like for like,” Pliler explained. “We’re going to want to stick with the quality brands when replacing those parts, what the truck was born
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with. But we’re also going to verify them. We’ll be testing components and making sure they’re doing what they’re supposed to be doing.” But buying brand name parts isn’t always as easy as it would seem, due to an influx of counterfeit parts. Long recalls buying a brand name slack adjuster that failed. Upon investigation, it was discovered that it was a counterfeit part, even though it came in a box carrying the name of the desired brand. Roy Svehla, senior manager, fleet maintenance with Republic Services, explained why he won’t scrimp when it comes to choosing parts from well-known suppliers. “Shop capacity is my most pressured commodity,” he said. “If I’ve got the truck and the space and the technician, the easy part here should be the part. If I can’t get it, I’m losing shop capacity…If the part doesn’t fit, if it’s low quality and causes re-work, I’m losing shop capacity and that’s the most valuable thing I’ve got.” Svehla said he weeds out white box parts from his shops and tries to figure out where they’re coming from. He admits this strategy has him “at odds with the procurement guys,” but adds “to the guy who has to get trucks on the street, the cost doesn’t mean anything unless you have a quality part in the first place.” The ty pes of parts most in
demand are also changing, thanks to the introduction of costly and complex emissions aftertreatment systems. Long says at Southeast Freight Lines, aftertreatment systems now represent the fleet’s second highest maintenance expenditure after only fuel. To drive down those failures, Southeast Freight Lines has shortened its diesel particulate filter (DPF) cleaning inter-
semi-synthetic and adopted a lower-viscosity 10W-30. Some trucks are now going up to 1,350 hours between oil changes compared to the OEM recommendation of 250300 hours, but most are getting oil changes at 900 hours. Svehla said this was done in partnership with the oil suppliers and not without oil analysis. Asked about the engine suppliers’ reactions, Sve-
“We don’t need a salesman today. We need a technical advisor.” – Dwayne Haug, Dwayne O. Haug Consulting vals to about half the OEM recommendation. To reduce maintenance costs, Long said it’s necessary to take the OEM recommendations and then compare them to real-world results to come up with a customized service interval. Sometimes, straying from OE recommendations provides opportunities for savings, as Svehla has found by extending oil drain intervals. “The most significant thing we have done in the last six years is extended oil drain intervals,” he said, noting the company has in some cases extended drains by 300%. Republic Services also changed from a natural oil to a
hla said “The engine suppliers are never comfortable with extended oil change intervals. People err on the side of caution. Were they happy when we told them that was what we were going to do? No, they weren’t really happy but did they say they were going to deny our warranty? No. So, if we do have a problem, we can produce a history of oil samples, maintenance records and I am not aware of any warranty claim we’ve been denied on that basis. We have guarantees from the oil suppliers that if there’s a catastrophic engine failure attributable to the oil, they would warrant it.” One of the greatest challenges facing all fleets is the ability to attract,
train and retain technicians. Swift now has dealer-employed technicians working out of its own shops. “We can control our downtime a little better” when the work is done at Swift’s shops, Pliler noted. To keep technicians happy, Southeast Freight Lines has changed its scheduling. “We have three shifts. We saw a lot of people leaving the third shift, so we asked, is it important to our operations? We saw where we could whittle down the third and second shifts and move those guys to more desirable shifts,” Long said. “That spoke volumes to our technicians, saying we’re interested in you and having you stay here.” All the fleets on the panel said they’re involved in outreach to local schools. They also emphasized the need for ongoing training, which Long said is the number one thing a technician desires. At Swift, technicians can increase their pay by $2 per hour each year through additional training. The need for ongoing training presents an opportunity to parts suppliers, noted Haug. “Training is the number one thing that we’re starved for,” he said. “To keep those technicians, we need to keep them trained and that’s where we need help from our suppliers and manufacturers.” TN
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March 2017 • Truck News 27
Aftermarket
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Canada’s aftermarket parts industry is growing But it’s mostly due to pricier parts By James Menzies LAS VEGAS, NEVADA The heavy-duty aftermarket parts business in Canada is growing at a faster rate than in the US, but that’s mostly because parts are becoming more expensive due to the exchange rate. The value of the US heavy-duty aftermarket parts business grew 1.5% in 2016, but growth in Canada was a more robust 7.4%. While unit demand was up slightly, most of the growth in the sector’s value was due to the exchange rate and the fact aftermarket parts are costing fleets more. That was a message from John Blodgett, vice-president of sales and David Kalvelage, manager, IT and database services, both working for MacKay & Company. They were speaking at the Heavy Duty Manufacturers Association’s Heavy-Duty Dialogue in January. About 4.5% of the industry’s growth by value was due to higher pricing. Canada has an operating population of 1,113,300 commercial vehicles, including more than 347,000 Class 8 trucks. In the US, there’s an operating population of 9.2 million vehicles, including 2.9 million Class 8 trucks, according to Blodgett and Kalvelage. Presenting a 2016 Aftermarket Index, they indicated demand in OE channels was down 14.8% in 2016, while independent shops saw a 3.1% increase in demand. The index is compiled with feedback from 20 component manufacturers who represent about 10% of the total aftermarket. In Canada, MacKay & Company reports fleets are more reliant on dealers and independent shops to conduct repairs. Only 58% of fleets do their own service work, Blodgett explained, a lower rate than in the US. Original equipment dealers get about 21% of the work, while
independent garages capture 14%. Where are Canadian fleets buying parts? Blodgett said about 50% of aftermarket parts are bought through the dealers, while heavyduty distributors get 17% of the business and independent garages 14%. MacKay & Company is expecting truck sales in Canada to continue to worsen before improving. There were only 23,100 Class 8 trucks sold into Canada in 2016, down 22% from 2015 volumes. MacKay & Company expects this figure to fall another 25% to 17,400 units in 2017. It predicts Classes 6/7 truck sales, which fell 6% last year to 7,800 units, to drop another 12% this year to 6,900 units. Blodgett also said the total population of Class 8 trucks in Canada is likely to shrink about 6% to 327,000 units within five years. As for the aftermarket itself, MacKay & Company is projecting the value of the Canadian industry to grow 6.5% this year, about 4.2% of which will be due to higher parts prices. The market will represent about $4.9 billion in value, with slow growth forecast to 2021 when it’s projected to be worth about $6 billion. Presenters also noted the aftermarket landscape is changing. Emissions-related components are now the fastest-growing parts segment, increasing by 254% since 2010 and projected to grow by another 42% by 2021. MacKay & Company also noted: a shift to aluminum radiators, which is affecting serviceability; an increase in the use of factory remanufactured diesel particulate filters as an alternative to cleaning; and a shift from remanufactured starters and alternators to new replacement parts from offshore suppliers, which are offered at a comparable cost to reman’d components. TN
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Tire prices set to increase TORONTO, ONTARIO Tire prices are on the upswing due to an increase in the price of raw materials, some manufacturers are warning. M ichel i n Nor t h A mer ic a announced prices for tires, including heavy truck tires, will increase up to 8% in the US, Canada and Mexico. Michelin notes it is its first price increase since 2012, “comprising net effects of raw material prices as well as the company’s market-leading technology enhancements, innovations and other market conditions.” Yokohama also announced its tires will increase up to 7% effective Apr. 1. “This pricing action is necessitated by the high cost of raw mate-
Penske makes disc brakes, collision mitigation standard MISSISSAUGA, ONTARIO Penske Truck Rental announced recently it is making collision avoidance systems and air disc brakes its standard spec’ on commercial tractors within its rental fleet. “These added vehicle features underscore our commitment to over-the-road safety for our commercial truck rental customers and their drivers,” said Don Mikes, senior vice-president of rental at Penske. “These systems can help commercial drivers avoid collisions and the braking system provides additional stopping power when needed.” Penske has ordered more than 2,000 commercial semi-trucks from Freightliner, Volvo, and Navistar with the new spec’s. The 2018 model year units are set to begin going into service and will be available for rental beginning this month. Additional rental units with the increased safety spec’ will continue to come into service as Penske’s fleet is replenished, the company says. “We continue to introduce and test the various safety platforms available within our truck rental fleet from a variety of manufacturers,” said Paul Rosa, senior vice-president of procurement and fleet planning. “By using the commercially available safety platforms in our rental fleet, we are best able to help guide our full-service truck leasing customers when evaluating these systems with road-tested performance in real-world conditions.” TN
rials and freight expenses that have impacted us in 2016 and will continue to be a factor in the business,” said Rick Phillips, Yokohama Tire vice-president of sales. “As always, Yokohama will continue to bring the best product to market at competitive prices.” TN
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Equipment
For Utility Trailer, business is rolling With two new trailers on the road, business is good for Utility Trailer Manufacturing By Derek Clouthier CITY OF INDUSTRY, CALIFORNIA Utility Trailer Manufacturing on Jan. 25 touted a pair of new products the company announced last year that are hitting the road in 2017. The trailer manufacturer invited the press, including Truck News, to City of Industry, Calif. to talk about the 4000D-X Composite TBR and the 4000 AE trailers, as well as discuss its house-made side skirts and provide a business review of 2016 and an outlook of the year to come. Craig Bennett, senior vice-president of sales and marketing for Utility Trailer, said the new 4000D-X Composite TBR is constructed to withstand abuse when transporting dry freight. With a testing facility in California, Bennett said the company puts all its trailers through a rigorous test prior to selling the product to its customers, something he said puts Utility Trailer ahead of the pack when it comes to reliability. “Years ago, people would build trailers and they would design them and put them out and if there were problems they would rely on the customer to say there’s a problem, and we don’t want that to happen,” said Bennett. The 4000D-X Composite TBR is engineered for heavy hauls that often incur a great deal of abuse during loading and unloading from machinery such as forklifts. The trailer features a new heavyduty tall bottom rail (TBR) that is 10 inches taller and 50% thicker at floor level than a standard bottom rail, and eliminates fasteners from the bottom rail. It also has riveted structural components, which have been raised above the pallet impact, rub and work level, including the wearband, which Bennett said has been reduced from 12 to eight inches tall. The trailer boasts an upgraded payload from 16,000 to 20,000 lbs, and interior dimensions have been slightly increased, measuring 101.25 inches lining-to-lining, 101 inches wearband-to-wearband and 101.75 inches rail-to-rail. The newest member of the 4000D-X Composite Series, Bennett said the TBR is lighter-weight than the competition and will have lower maintenance costs and lower total cost of ownership. “We have dealers now that are saying to us that this is going to be their standard trailer,” said Bennett, adding that several fleets are converting from the standard D-X to the new TBR trailer. Utility Trailer also highlighted its new 4000AE flatbed, a combo trailer
made with both steel and aluminum, but made lighter with the use of threeand four-inch aluminum crossbars. “Nobody had been able to do this before in the flatbed market,” said Bennett, claiming the 4000AE actually weighs less than some all-aluminum models. “It’s what we’re calling the next generation flatbed.” Bennett said changing from steel to aluminum crossbars saves 536 lbs compared to the 4000A base model, and 627 lbs from the 4000A with a Continued on page 35
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coil package. Due to its need to flex more than dry and reefer vans, Bennett said the use of aluminum crossbars with the newly-implemented three- and fourinch design results in a product better capable to withstand that type of stress than steel competitors. Nine four-inch aluminum crossbars taper at the end to three inches, and are full-width on the eight-inch centerline. The 4000AE has an all-aluminum floor with a few nail strips proportioned throughout and comes with a standard 47,000-lb coil haul package. Updated side skirts “Utility is one of the few trailer companies that design their own side skirts,” Bennett said, adding the reason the company originally went in that direction was that skirts made by other manufacturers fell off, and there was a need to develop a product that best suited the trailers Utility was putting on the road. Side skirt enhancements include a bolted spring-shaped bracket that provides flexibility while maintaining a secure attachment to support the leg wingplate, a bracing system for skirt flex inward and outward, fiberglass reinforced plastic construction with UV protection and a new one-piece design to reduce weight and add durability. The new skirts weigh approximately 25-30 less than the previous model. The company’s side skirts will include a warranty package – the Ultra Road Shield Plus – to protect customers against corrosion for up to 10 years.
Tru-Nor Truck Centres now offering Isuzu SUDBURY, ONTARIO Tru-Nor Truck Centres, a Tallman Group Company, has announced it’s now a full-service Isuzu dealership. It offers a full line of sales, lease, rental, parts and service support for Isuzu N-Series gas- and diesel-powered low cab-forward trucks. “Isuzu is excited to share in their growth into Northern Ontario with the establishment of Isuzu Sudbury. The addition of the Isuzu Class 3, 4, and 5 trucks available in both gas and diesel will provide Tru-Nor with a new opportunity for growth in Sudbury. Furthermore, our new 2018 Class 6 FTR to launch mid-year 2017 will create additional interest in the Isuzu line in Northern Ontario,” said Andrew Craig, director of Canadian operations for Isuzu Commercial Truck of Canada. “Isuzu is a best-in-class medium-duty truck that complements our current product offerings really well while giving our customers more options to find the right truck to fit their application,” added Terry Descoteaux, vice-president of TruNor Truck Centres. TN
Much of Utility Trailer’s production of side skirts has been driven by the US government’s regulations on greenhouse gas (GHG) emissions, and there is a new Environmental Protection Agency (EPA) GHG Phase 2 regulation coming down the pike, which Bennett said will regulate fuel economy from both the tractor and trailer at the same time. “Last time I checked, a trailer is not a self-propelled vehicle,” Bennett said, raising concern that the same formula will not work for every tractor-trailer combination, and the fact that testing was done at 62 mph, when most tractor-trailers combos travel at around 45-50 mph. Bennett said the company would wait and see what the new Trump administration does with regards to the EPA regulations before making any decisions when it came to side skirts, but added that the company is environmentally conscious. TN
Utility enjoys strong 2016 Utility Trailer had a near record year in 2016, with a market share of 41% for dry vans, 55% for reefers and 4% for flatbeds and tautliners, equating to a market share of 15.6% overall for the year, down from 16% in 2015, which was the company’s best year from a market share perspective. “That’s a really healthy number, we’re building a lot of dry van trailers,” said senior vice-president of sales and marketing, Craig Bennett. The company also expanded its dealer network, including the opening of a new full-service location in Moncton, N.B. With 113 dealers in the Americas, 9% are in Canada, 83% in the US and 8% in Latin America. Bennett said the company is expecting the trailer market to drop off somewhat from 2016, but it demand will still be strong. “We’re optimistic about (this) year,” Bennett said. “We’re anxious to see what happens with the Trump administration.” Bennett said the marketplace is growing, but company forecasts for 2017 are down from 2016, largely due to a projected drop in the dry freight market. “Nothing is dropping off a cliff like it did in 2009,” Bennett said, pointing to 2009 and 2001 as the company’s worst years, which both coincided with US recessions. Bennett said Utility Trailer has been on an upward trajectory for the past six years, and despite 2017 being projected as a down year, the trailer business is still good, but could be better. TN
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Equipment
Mack partnership means concrete customers can now track product in real time
billing, sales tracking, analytics and driver payroll management. Contractors can download the WheresMyConcrete app on Android and iOS devices to track deliveries, get live traffic updates and estimated arrival times. “WheresMyConcrete helps US Concrete increase the value we provide to our customers and helps differentiate us from our competition,” said Ronnie Pruitt, COO of US Concrete. “The dispatching software increases efficiency and productivity of Mack vehicles in our fleet to improve customer service, and the customer interaction app provides our customers real-time data about their concrete, saving them time and money.” The software is a new addition to Mack’s Fleet Management Services and uses the factory installed GuardDog Connect integrated telematics platform, a program
mDrive updates aim to improve jobsite safety By Derek Clouthier LAS VEGAS, NEVADA Mack Trucks North America revealed its partnership with WheresMyConcrete in an effort to bring its customers a superior management tool to track a concrete load during the delivery process. Tim Wrinkle, construction product manager for Mack Trucks, made the announcement in Las Vegas during World of Concrete Jan. 17, saying the fleet management service is now available for ready-mix customers.
“All this is designed to provide job management for the customer,” Wrinkle said. “WheresMyConcrete helps Mack’s ready-mix customers better track vehicles, while also offering analytics to improve operational performance, enabling the more efficient management of their trucks.” In addition to providing fleet managers with real-time information on the whereabouts of their concrete, WheresMyConcrete can also be tailored to customer needs, such as GPS tracking of trucks, and can include features like digital tickets, electronic
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that enables real-time monitoring of a truck’s engine, transmission and aftertreatment systems. WheresMyConcrete is available on Mack truck models equipped with a Mack engine, including the Pinnacle, Granite, TerraPro and LR. Anthony Valente, CEO of WheresMyConcrete added that with the limited shelf life of concrete – approximately 90 minutes – the WheresMyConcrete tool helps companies manage their product more efficiently, as well as analytics that aids in better driver management.
mDrive updates Mack also announced two new features for its mDrive transmissions – rolling start and auto neutral. The features will come standard on all Mack mDrive and mDrive HD transmissions and are designed to improve the jobsite performance and safety of trucks equipped with the automated manual transmission. “Mack’s mDRIVE transmissions serve a wide range of customers, including those with demanding paving and concrete applications,” said Wrinkle. “Now updated with rolling start and auto neutral, mDrive transmissions are even better suited to those tasks.” Wrinkle said Mack was the leader in construction, and products like the mDrive and MP-series engines were a big reason for that success. “This has been a game-changer,” he said of the mDrive. “This is the most popular construction engine in a Mack.” The new rolling start feature allows drivers to shift the transmission into drive without using the truck’s service brakes, which helps eliminate the possible creation of bumps in the paving surface. Auto neutral automatically puts the mDrive into neutral when the parking brake is applied, which Mack said improves jobsite safety by reducing the likelihood of the truck moving due to throttle application. Jonathan Randall, senior vice-president of sales for Mack Trucks, said the company gained one point in year-over-year growth in 2016, but is anticipating North American Class 8 retail sales to fall in 2017, with an estimated 215,000 units sold. Mack mDrive and mDrive HD penetration reached record levels in Pinnacle axle back and Granite models sold in the US and Canada, with 80% and 20% respectively, and Mack predicts numbers to double for the mDrive HD in Granite models in 2017. “We expect our share growth to continue (in 2017),” said Randall. TN
Mid-Ontario Truck Centre named Canada’s top Volvo dealer
Denso expanding heavy-duty aftermarket business
BARRIE, ONTARIO Mid-Ontario Truck Centre has been named Volvo Trucks’ 2016 Canadian Dealer of the Year. The North American Dealer of the Year award went to General Truck Sales of Muncie, Ind. “General Truck Sales performed very well in a difficult market in 2016, going above and beyond their organizational goals and consistently delivering outstanding service and support to Volvo Trucks customers,” said Jeff Lester, senior vice-president of sales for Volvo Trucks North America. “We appreciate owner Steve Bassett and the whole General Truck Sales team for their continuous customer focus and commitment to success.” TN
LAS VEGAS, NEVADA Automotive parts powerhouse Denso is expanding its presence in the heavy-duty aftermarket, by bolstering its sales staff seven-fold and introducing new products. The company says it will leverage its automotive distribution channels to bring heavy-duty parts to market reliably and efficiently. Denso made the announcement during Heavy Duty Aftermarket Week. Joseph Mejaly, senior vice-president of operations, sales, strategic planning and marketing, said Denso is the world’s second largest automotive supplier. In North America, only about 15% of its aftermarket business is focused on the heavy-duty market. “We are relatively new entrants into heavy-duty,” Mejaly said. “We have a unique opportunity to bring that light-duty mentality and infrastructure to the heavy-duty marketplace.” Denso announced a partnership with CDTi to bring a new line of PowerEdge replacement diesel particulate filters (DPFs) and diesel oxidation catalysts (DOCs) to market. Mejaly said there’s a limit to the number of times a DPF can be cleaned, so the new line of PowerEdge DPFs and DOCs will offer an alternative to fleets when it comes
Meritor taking steps to become more customer-focused LAS VEGAS, NEVADA Meritor’s aftermarket business is taking steps to become more customer-focused and easier to do business with. Brett Penzkofer, vice-president, North America aftermarket, told trade press during a Heavy Duty Aftermarket Week briefing, that the company is pursuing various ways to become a better partner to its customers. “There is a lot of opportunity for us to get more customer-focused and to understand the needs of our customers and respond to that,” Penzkofer said. “We are becoming extremely customer-focused and having a determined focus on, first and foremost, increasing the ease of doing business together.” This means getting products customers need to them more quickly and responding appropriately when things go wrong. Meritor is also focused on expanding its product portfolio, particularly in the all-makes and reman’ product lines. Meritor is re-examining the packaging of some products and looking to find a balance between offering sufficient packaging to protect the product while also eliminating the waste customers have to dispose of. TN
time to replace OE parts. CDTi is a California-based aftertreatment manufacturing company. Campbell McConnell of CDTi said the catalyst technology found on today’s DPFs hasn’t changed much since 2007, but CDTi takes advantage of advancements in technology to use fewer precious metals and to design a more modern product. Mejaly said the initial part numbers will cover about 73% of all trucks on the road manufactured from 2007 to 2013. The CDTi DPFs and DOCs are available now through Denso. Also new is an expanded commercial and heavy-duty starter and alternator catalog, featuring 951 part numbers, an increase of more than 17%. The catalog is available in print, interactive digital, and PDF formats. Denso also touted its new line of industrial spark plugs for natural gas engines. Available in three models – Saver, Performer and Double Iridium – the spark plugs extend work life in compression-lean engines and offer greater reliability to withstand high combustion pressures, according to Mejaly. To support its expanded line of heavy-duty aftermarket parts, Densos is growing its sales team from seven to 35 members. TN
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Health Preventive Maintenance
Stay on the safe side with enough sleep Do you wish you could crawl into bed and sleep for a week? You may be sleep – deprived. Be careful: getting too little sleep over the long term (chronic) or short term (acute) can affect your cognitive functions, and studies suggest that fatigue and/or sleep deprivation may be a contributing factor in up to 40% of all heavy truck crashes. A survey of long-haul truck drivers showed that 66% of drivers acknowledged experiencing some level of fatigue on at least half of their trips and 65% reported symptoms of drowsiness such as yawning, feeling drowsy or sleepy and struggling
to stay alert while driving. Thirteen per cent of drivers reported actually falling asleep at the wheel. There are other signs of chronic sleep deprivation, too, such as: muscle aches; confusion; memory lapse/ loss; depression; hallucinations; headaches; malaise; irritability; seizures; eye styes; bags under your eyes; rapid, involuntary rhythmic eye movement; hand tremors; and clumsiness; along with an increased risk of high blood pressure; elevated stress hormone levels; diabetes; obesity; and fibromyalgia. Obviously, sleep deprivation can impact your well-being, driving per-
Karen Bowen is a professional health and nutrition consultant, and she can be reached at karen_bowen@yahoo.com.
formance and reaction time, especially if you are driving long-distance, in a dark or monotonous driving environment, or driving overnight or in the early morning, since irregular hours and nighttime driving disrupt your natural sleep patterns. Time of day is a huge factor regarding fatigue/reduced alertness
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in commercial trucking. According to your body’s normal circadian rhythm (the body’s internal clock that regulates sleep patterns and fatigue), your daily times of peak alertness are around 10 a.m. and 6 p.m. Most drowsy driving crashes occur between midnight and 8 a.m. and between 1 p.m. and 3 p.m., predictably following the patterns of circadian rhythm. You can overcome drowsiness to safely continue your run by pulling over for a short 15- to 30-minute power nap. Alternatively, napping late in the day before driving at night can partially compensate for sleep debt. Just be sure to keep a nap short, since longer naps often trigger grogginess. Since caffeine and/ or other stimulants cannot eliminate the effects of severe sleep deprivation, don’t depend on them. Researchers have found that sleep-deprived drivers often show the same reduced driving skills as drunk drivers. After being awake for 16 hours, a driver’s performance begins to deteriorate. After 17-19 hours, drivers typically perform worse than people with a blood alcohol level of 0.05%; and after being awake for 21 hours, driving performance matches that of a person with a blood alcohol content of 0.08%. So, following the hours-of-service rules helps avoid sleep deprivation and associated health issues, as long as you are able to get six to nine hours per day of uninterrupted sleep during your downtime. More sleep will be needed, though, if you have accumulated a sleep debt, which can be a challenge as you juggle deadlines, delays and schedule changes. Plan ahead to get the rest you need. Consider adding the following to your usual routine: First, commit to consistently getting six to eight hours of quality sleep every day. Then, target a regular sleeping schedule and manage your driving schedule to maintain it (when at all possible). In the few hours before your bedtime, avoid stimulating foods, drinks or activities; so, if your route requires you to sleep during the day, cut out these stimulants after midnight. Create a restful sleeping environment in your rig, a motel or your home. Help ensure your sleep remains uninterrupted by: turning off/unplugging your phone; closing room-darkening window shades; adjusting the thermostat to a comfortable, cooler temperature; wearing earplugs and an eye mask; posting a ‘Do not disturb’ sign on your door, and/or letting your family and friends know when you will be sleeping and are unavailable. To help transition into sleep, relax before settling into bed by reading, watching TV, deep breathing, stretching, progressive muscle relaxation, and anything else that helps you unwind. Stay on the safe side by getting enough quality sleep. TN
Mail There are better ways to reduce emissions Dear Editor: Thank goodness US president Donald J. Trump appointed Scott Pruitt the head of the EPA. Maybe, just maybe, there will be a holdback – or at least a pause – in the ridiculous, costly, and useless tier staging of diesel emission systems. You know, the ones where a truck can’t do a Florida and back trip without at least one shop visit, not to mention while at the same time burning more fuel. Here we have all 379s and we outperform competitors in fuel use. Why? How? Because of our antiidling. No idling, and most importantly we drive at 99 km/h. M. Bormann Valencia, Ont.
Get real, Lou Dear Editor: Re: View with Lou, Taking step back on efficiency is for losers. While you deride the president of the USA for his choice (Scott Pruitt) as EPA director, why not print stories about the truckers rolling east through Manitoba who get urea freeze-ups and trucks getting towed and experiencing delivery delays? Do you think Santa Claus picks up that tab? I know truckers who faced bankruptcy and sold their trucks in 2008 when all this dreamer pollution scam started. Just today a trucker
buddy told me if the particulate filter cleaning does not work, he will need $10,000 to fix his unit – while China builds more coal plants. While the provinces can’t agree on axle weights and lengths or spring thaw dates, we now have a Prime Minister who seems determined to kill and cook the oilsands goose – at least until La Belle Province needs more transfer payments. To disagree with you further Lou, the science is not settled – not in Realville at least. Ashley Holloway Richmond Hill, Ont.
Please tell me platooning stories are fake news Dear Editor: I have been reading your articles for years but I just cannot believe that you are extolling the virtues of the platooning of transport trucks on our highways. I have just read your articles in the January issue of Truck News and I feel this idea of platooning is just plain crazy. Can you just imagine a car trying to pass a mess like that on a highway in bad weather, or any time for that matter? How in the world would the driver of the following truck even see through the windshield in bad weather? What about safety? This has got to be one of those fake news stories, right? TN Larry Bolton Via e-mail
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Insights Independent with Attitude
Debunking the ‘economies of scale’ myth ‘Economies of scale’ is a phrase I hate. I don’t think it has any place in a service industry, especially ours. Obviously, it fits the manufacturing sector. Set up tooling to constant settings, use the same mass-purchased raw materials
and change nothing for prolonged periods and efficiencies will follow. I don’t believe our industry enjoys the same benefit. Shippers often want discounts for same-destination multiple loads. What does the ‘multiple ’factor matter?
The truck or driver works no cheaper just because there are multiple trips. I equate the same thinking to long-haul, because almost always, the customer wants a lower rate per mile, the longer the trip is. Why? I can send a truck twice from Ontario to Columbus, Ohio, or to Columbus, Ga. once, and aside from bridge tolls, the operating cost is the same. So why should the Georgia load pay a lower mileage rate? One prev ious customer, a high-volume shipper, provided freight rates with a varying rate per mile, based on distance traveled from the point of origin. Imagine the frustration of owner-operators hauling 620 miles who were paid $12 less than others running 580 miles. I question the accuracy of this phrase when we discuss the manner in which it affects small versus large carriers. No insults intended, but it’s a generally established fact that usually, larger carriers work cheaper than smaller ones because of this ‘economies of scale’ theory. Do the large carriers really enjoy true economies of scale compared to smaller companies? Trucks, trailers, parts and fuel are purchased cheaper when bought in volume. Now, dig deeper. Taxes and utilities on our 900 sq.-ft. office and 2,000 sq.-ft. shop are less annually than a typical large carrier spends per week. Look inside the buildings. How much staff-per-truck exist? The large carrier will have at least as many as us, likely more. Besides the foot soldiers (dispatchers,
Bill Cameron and his wife Nancy own and operate Parks Transportation. Bill can be reached at williamcameron.bc@gmail.com.
accountants, etc.) there are managers for every title imaginable, from maintenance and purchasing, to dispatch, to titles that don’t exist at smaller companies. You’ll also find maintenance staff circling the yard performing pretrips, since far too many of their drivers don’t. How about drivers? Some small carriers would hire lower-quality drivers, if their insurance company allowed them to. Based on my personal experience with drivers I’ve rejected, those drivers still find employment, usually at the large, self-insured carriers. Tally up that cost. Poor fuel mileage, freight and equipment damage and lower productivity are predictable results of unsatisfactory drivers. Some large carriers have several reportable equipment damage incidents in a day. In the event of a large crash, the ambulance-chasing lawyers pursue even larger settlements from the large carrier’s coffers. Even if the settlement is covered by insurance, premiums will soar. Next, equipment inventories. Our spare trailer inventory is, at most, one of each trailer type. Most large fleets report trailer numbers of almost triple their power units. You can only pull one or two behind each truck, so there’s obviously a huge equipment investment that will rarely earn full revenue. Some of the extra trailers are dropped at the shipper or receiver’s facility for pre-loading or temporary warehousing. A large customer requiring so much spare equipment availability is usually the one providing you the lowest profit margin, even if they are actually paying extra for the added trailers. There are always accounting experts able to financially justify everything. But fundamentally, when the numbers are all thoroughly crunched to net level, does the economies of scale theory really fly in the trucking industry? I’m not convinced that it’s not just, as I’ve previously called it, a numbers game. Lots of trucks earning peanuts still produce a lot of peanuts. To a little operator like me, that sounds awfully risky during a slow economy. TN
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You say tomato, I say tomahto
Why I embraced the switch to e-logs It’s an evolution and you need to adapt, or become extinct I’ve been running on electronic logs for a while now and I have to say, I’m sorry I didn’t get them sooner. Contrary to some of the fear mongering going around, I haven’t lost any money due to lack of miles. I have still made my appointments and still managed to get home as I did before. You see, nothing has changed. I’m still governed by the same hours-ofservice regulations that I was when I ran paper logs. The only difference is that instead of drawing a line, I now push a button. I have actually gained some time here and there. Instead of logging a 15-minute check-in at a shipper or receiver, or for a trailer switch, I now log the actual time that it takes. More often than not, I’m saving 10 minutes each time I do this and on average I gain around an hour from this each week.
on the screen. It makes accepting a load so simple. I key the details into my GPS, find the distance, divide the miles by 80 km/h (my moving average is 88 km/h, according to the GPS), add the necessary time for breaks, fueling and pre-trips, in-trip inspections, etc. and look at the hours I have available. If the numbers work out, I accept the load offer. If not, I can refuse and dispatch will know why. Not that this has ever been an issue, my carrier is very good in that respect. I have spoken to other drivers about the electronic logs, both friends and strangers. Many of them have asked me about how they can
work around them. For example, what happens if you run out of hours 15 minutes from home, or you have a hold-up from weather or traffic, or a delay at a shipper’s? The answer is simple: the hours-of-service regulations haven’t changed. Just as you could with a paper log, if you run out of hours in a back-up or due to inclement weather, you park at the nearest safe place and add a note to that log explaining why you ran over time. However, these are exceptions and only to be used for genuine reasons. If you have to use them regularly to complete your run, you’re not doing your job very well and are part of the rea-
A fourth generation trucker and trucking journalist, Mark Lee uses his 25 years of transcontinental trucking in Europe, Asia, North Africa and now North America to provide an alternative view of life on the road.
son that an incorruptible method of recording HoS is deemed necessary by the authorities. You need to work out how to fit the run into the electronic log, not the electronic log into the run. It’s evolution and you need to roll with it, or become extinct. TN
I’m still governed by the same HoS regulations that I was when I ran paper logs. The only difference is that instead of drawing a line, I now push a button. At first I ran paper logs alongside the electronic logs and even using the seven- and eight-minute allowance to my advantage, the electronic log still gave me more on-duty hours to work with. Their ease of use is another huge plus, in my book. Rolling hours is so simple: no need for calculations, the information I need is all there
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Insights Over the Road
Drivers play a major role in reducing fuel usage The government recognizes that drivers impact fuel efficiency by up to 35%, so why doesn’t the CTA? At the core of any training program for drivers is the need to repeat, repeat, and repeat. That repetition makes practice permanent, not necessarily perfect. So, the need to monitor, assess, and hone training programs is as important as the delivery of those programs to drivers. The trucking industry fails miserably on both of these counts. The only universally mandated ongoing training Canadian drivers receive is for the Transportation of Dangerous Goods, once every three years. My best guess is that professional driv-
ers in Canada will receive between zero and 40 hours of safety training from their carrier annually. My 18 years of experience tells me most drivers’ training time will be closer to zero than to 40. As someone with a background in the delivery of training programs, I recognize the importance of self-assessment in relation to my own performance. My income, personal safety, and professional reputation are dependent on keeping my skills sharp and my knowledge up to date. One of the things I do each year is
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review the SmartDriver for Highway Trucking program made available online by Natural Resources Canada. It’s a free program proven to help improve fuel efficiency by up to 35%. Safety and fuel bonuses are a significant part of my financial compensation, so this is important to me. So, as I was reading my February 2017 issue of Truck News and saw the headline ‘Budget should focus on low-carbon trucking’ by the Canadian Trucking Alliance’s (CTA) CEO David Bradley, the question that first sprung up in my mind was in regard to available training dollars and programs for professional drivers. After all, improving fuel efficiency is still largely in the hands of the driver and this is the most direct way to reduce carbon emissions, cut operating costs,
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42 Truck News • March 2017
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PER LOADED MILE U.S. EASTERN SEABOARD PER LOADED MILE ALL OTHER AREAS PER EMPTY MILE ALL AREAS PER MILE JAN 2017 FUEL SURCHARGE
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Al Goodhall has been a professional long-haul driver since 1998. He shares his experiences via his blog at http://truckingacross canada.blogspot.com. You can follow him on Twitter at @Al_Goodhall.
increase profits, and keep a carrier competitive. But no, despite an industry focus on training and recruiting drivers of late, the CTA submission to the federal government stated in its introduction, “The 2017 federal budget can play a significant role assisting and accelerating investment in equipment and technology designed to reduce GHG from trucking.” Absent was any mention of the role the driver plays in the trucking industry’s ability to meet new emissions standards. The CTA goes on to say in its submission that, “Carbon reducing programs that target long-haul trucks will generate the most return on government investment as this sector of the trucking industry consumes the most fuel.” The government recognizes that drivers impact fuel efficiency by up to 35%, so why doesn’t the CTA? I care deeply about the plight of other drivers and the health of our industry as a whole. I recognize that a driver’s welfare and well-being is tied directly to the success or failure of the carrier he or she works with. The CTA has assumed a mantle of leadership in the trucking industry by speaking for the over 4,500 companies it represents as a federation of provincial trucking associations. In doing so, it also represents the 400,000 direct jobs in the Canadian trucking industry, 300,000 of which are truck drivers. These are the CTA’s own numbers. By focusing on GHG reduction solely through investment in equipment and technology, while ignoring investment in human resources, the CTA is slapping drivers in the face and fueling a growing disregard for carrier associations amongst the rank and file. Let’s not forget that the CTA’s own Blue Ribbon Task Force on the Driver Shortage had some strong things to say about how drivers are treated. A minimum standard of entry-level training, recognition as a skilled trade, and mandatory ongoing training/certification were recognized as core values for drivers. This much lauded report was to lead the change in recognizing and treating drivers as skilled professionals. The CTA should be lobbying the federal government to be partnering in funding these initiatives, not allowing them to gather dust on the shelf. TN
Industry Issues
The road ahead will be challenging, interesting The next few years are going to be a fun time in trucking. Okay, perhaps it depends on your definition of ‘fun’; interesting may be a more appropriate term. Either way, the scope of issues the industry will have to deal with – beyond the usual economic ones and the ups and downs of day-to-day business – is enormous. I would hazard to say that in about five years, the industry will be almost unrecognizable compared to today. To use the latest buzzword, there are a vast array of “disruptive” developments already underway or on the horizon. In the next year alone we will see the introduction of electronic logging devices (ELDs) across North America. Ontario will be the first, but certainly not the last, jurisdiction to introduce mandatory entrylevel training for truck drivers. Carbon pricing, whether by a tax or some other mechanism such as cap-and-trade, will continue to spread – regardless of where the new US president takes that country’s federal government – because people will continue to want action on climate change. More often these days, governments – belatedly for sure – appear to be coming to the realization that modern, productive infrastructure is essential for competitiveness, productivity, safety, and the environment. But, most of them are also woefully cash-strapped. They will increasingly resort to taxes or introducing new levies and fees.
is no doubt they are likely to have a profound impact and sooner than some people might think. I believe they have the potential to make our roads safer and our operations more energy efficient. But, there is one heck of a lot of work that needs to be undertaken for us to get there. Autonomous vehicles are just one example of the technological revolution that will alter – and I believe in most cases will enhance – not only how our vehicles operate, but every facet of our businesses. Change is always difficult. The accelerated pace of change we will be confronted with over the com-
David Bradley is president and CEO of the Canadian Trucking Alliance.
ing time will ramp up the challenge meter even more than many of us are used to. Some won’t be able to, or won’t want to, embrace the need for change. That is always the case. However, those that seize the opportunity and are able to adapt will succeed. That too is always the case. I believe many of the changes underway are for the good and that the trucking industry will continue
to grow and prosper. Over the past 30-plus years I have been involved in the industry, I have witnessed numerous times when the industry – when others were writing it off – was able to turn on a dime, to right the ship, and to become stronger and more dominant in the process. It’s impossible for me not to be optimistic about the industry’s future. As some of you may know, I will be retiring from OTA and CTA at the end of this year. But, I will be watching with great interest as the future unfolds and, I hope, contributing to the industry in other ways. For about 20 years I have valued the opportunity of sharing my thoughts on the issues of the day with you each month in Truck News. The torch is now being passed to my successors. As John Macrae’s poem urges, “Be yours to hold it high.” TN
Stakes are high The Trump election, the Brexit vote, opposition to the Trans-Pacific Partnership (TPP) and general eco-political unrest in the West are all in large part a reflection of the middle class (or what was the middle class) rejection of globalization through the liberalization of trade that had dominated political and economic policy for the past three decades. How this plays itself out over the next few years has enormous implications for world economic growth and political stability. For Canada, which is so reliant upon trade, especially with the US, the stakes are particularly high. At a more micro level, the increased need for businesses to remain competitive in an environment of change, could run headlong into worker demands for more protection, for less precarious work, for better wages. As if I need to say it, technology will continue to impact the way we live and the way we work. In trucking, a lot of attention is being paid to autonomous vehicles and there
March 2017 • Truck News 43
TO OUR DRIVERS & OWNER OPERATORS for voting us a
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Insights Tax Talk
We’re forcing that auditor to do the job right. Another auditor disallowed a client’s meal claims because in his opinion the claim was unreasonably high compared to the wages. The claim of $10,000 was disallowed because the owner-operator only paid herself $20,000 in wages. For tax planning purposes the balance of her income was a $40,000 dividend shown on a T5 slip. That fight continues. No one wants an audit but the chances are good that your return will at some point be reviewed. Fullblown audits happen because something caught the eye of CRA and they wanted a closer look. Talk to your accountant about claims that might trigger more scrutiny and how to give that scrutiny right back when the audit results don’t seem right. TN
Audits? Here’s what CRA is looking for We don’t see many full-blown audits anymore, where CRA goes rifling through receipts and statements for every single claim (although they do happen). Instead, the agency seems to be conducting more reviews of randomly selected returns and targeting certain types of expenses. Here’s what CRA is looking at these days: Matching income: This is a new approach for CRA: they’ll total up the annual gross income from your GST/HST returns and compare it to the income you reported on your income tax return. If there’s a big difference, you’re like the robber who runs straight home in fresh snow after a corner store heist. The trail leads straight to you. There are valid reasons why the two numbers may differ. Just know
its are going to be denied. Even an honest mistake can be costly when you’re dealing with CRA. Meal expenses: First, make sure you have a signed TL2 because without it you are toast. Second, you must have complete log book data to back up your claims. I say this because I just had another client tell me he was missing records because he thought his electronic log system stored everything for a year. Download your data monthly! Many electronic logs only record for the DOT-required six months. Stand up and fight In one of our meal claim audits we
Scott Taylor is vice-president of TFS Group, providing accounting, bookkeeping, tax return preparation, and other business services for owner-operators. Learn more at www.tfsgroup.com or call 800-461-5970.
uncovered that the auditor only reviewed the first four months of the year and then just simply multiplied those meal-count numbers to get an annual total. Lazy bastard! Using January, when no one is busy, as a sample month to evaluate your claim is completely unfair.
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Full-blown audits happen because something caught the eye of CRA and they wanted a closer look. that CRA will compare the totals and they’ll want an explanation for any discrepancy within 30 days or they’ll adjust your gross income upward. And they’ll send you a bill for either more HST or income tax. Payroll audits: If you’re an incorporated owner-operator you are required to send in monthly payments to cover CPP and income tax on your wages. Want a payroll audit? Just stop making these payments. CRA will send an agent to go through your records pretty quickly. If you can’t afford to make payments, send in a partial amount. Even $100 will put you in line behind guys who’ve paid nothing. GST/HST: For all the advantages of being an incorporated business, compared to being a sole proprietor there’s a greater risk that GST/HST documentation is not correct. It may not even be your fault. All it takes is for the person at your bank, equipment dealership, carrier, or other business supplier not to dot their i’s or cross their t’s. Remember that engine job from four months ago? And the new steer tires you bought in January? You’ve been dealing with that shop for years. You’re like Norm from Cheers: everybody knows your name. But do they really? When you incorporated you officially became 1234567 Ontario Inc. Did the shop and other suppliers update their records so that your corporate name appears on the invoices and statements? They didn’t? Chances are all those GST/HST input tax cred-
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Used Trucks
When buying a vocational truck, ensure it’s spec’d properly and legally for the jurisdiction in which it will be operated.
In the market for a used truck? A properly functioning emissions systems should be on your checklist By James Menzies The priorities of used truck buyers are evolving, with some still clamoring for “pre-emissions” vehicles of a pre-2007 model year vintage and others looking to tap into the latest technologies such as automated manual transmissions. Those in the former camp, the owner-operators and fleet operators that don’t want to deal with exhaust aftertreatment, are finding it more difficult to find such trucks. Diesel particulate filters (DPFs) were introduced on 2007 model year trucks and selective catalytic reduction (SCR) on 2010 models. Both suffered some initial reliability issues that left some buyers reluctant to invest in later model year equipment. That sentiment, though slowly dwindling, remains today among some used truck buyers even though emissions-related reliability issues have mostly been worked out. Ron Krulicki, used truck sales manager for Maxim Truck & Trailer in Winnipeg, Man., says the demand for pre-emissions trucks is still “pretty incredible.” “We took a trade on a 1999 Freightliner and the interest in that truck is incredible,” he told Truck News. But those trucks are becoming increasingly hard to find and used truck buyers who’ve thus far managed to avoid DPFs and SCR will soon have no choice but to take the leap. Claude Parrell, used truck manager with Metro Group in Stoney Creek, Ont., says they shouldn’t be afraid to do so. He said since about 2011, problems associated with aftertreatment systems have been significantly reduced. Ron Duda, corporate sales manager, truck and trailer division with Redhead Equipment in Regina, Sask., says trucks with emissions controls should work fine as long as
46 Truck News • March 2017
they’ve received all their software and hardware updates. “A lot of things have changed,” Duda said of exhaust aftertreatment systems. “There is different programming, different sensors, different values placed on those sensors. Some different designs and manifolds to allow the systems to work better.” One big problem used truck buyers could run into, especially in Western Canada, is unwittingly buying a truck that has had its emissions system removed. “DPF Deletes” are common and could render a truck unsellable – at least as a trade-in. Dealers are usually unwilling to take such trucks on
he bought it through a private sale and didn’t realize the emissions system had been tampered with. He was looking to trade in the truck due to ongoing problems with the engine, which may have been related to the removal of the emissions system. Dealers take several steps to ensure they’re not engaging in the purchase or sale of trucks with emissions systems removed. At the same time, reputable dealers are taking steps to ensure the systems are working properly. “Anything that comes out of our lease and rental fleet, we do a ‘prep for sale’ on them,” Krulicki explained. “Part of the prep for sale is going through the emissions and
“I don’t know of any dealers that are taking DPF Delete or SCR Delete trucks on trade.” – Ron Duda, Redhead Equipment trade and the testing they conduct on any vehicle they’re considering for a trade will uncover any tampering that’s occurred. “DPF Delete is widely accepted in Western Canada by end users,” acknowledged Duda. “There have been thousands of trucks deleted in Western Canada. At the end of the day, it’s been done on a lot more trucks than anybody would like to admit. I don’t know of any dealers that are taking DPF Delete or SCR Delete trucks on trade.” Ironically, the day before speaking to Truck News, Krulicki said Maxim discovered a potential trade-in had its emissions system removed. “We will not take a truck that has been deleted on trade,” he said, noting the owner of the truck claimed
checking to see if the DPF has been cleaned in the past six months, checking codes to make sure there are no active codes and if there are active codes, that the component has been repaired. So, when you’re buying from Maxim, you’re buying something that has had all the emissions componentry checked over.” The same holds true at most other reputable dealerships. Duda said at Redhead Equipment, “our used truck appraisal system consists of a number of steps,” including an initial appraisal followed by a safety inspection. A mechanical inspection is also conducted, and this is where any non-functioning emissions systems will be discovered. “We remove the EGR tube and make sure the core isn’t leaking
and we’ll remove one of the plates on the DPF system and have a look at the end of the DPF filter and diesel oxidation catalyst (DOC) filter and look at those and see whether it’s been working properly,” Duda said. “So, they go through a heavy amount of scrutiny and if any of that stuff has been removed, we’ll know right away. We tell people right up front, if you deleted this, it’s yours. We can’t take it.” The problem is not as widespread in Ontario, according to Parrell. “It was a concern maybe a yearand-a-half, two years ago, but those trucks seem to be gone now,” Parrell said. “With the newer technology, a lot of the guys are finding the system is working okay for them.” Used truck buyers should ensure all the engine lights are off when they prepare to take delivery of the truck, and if it’s their first time operating a truck with DPFs and SCR, they should ask questions about how to best operate the systems. “You can have it all checked over prior to purchase, and if you don’t educate the driver how to drive it, within 10,000 kms he can plug up the emissions system by idling the truck or not running it hot enough,” explained Krulicki. “It’s really important if you’re buying a 20102014 model year truck – not just an International, it’s all of them – that you don’t idle these things. That’s the biggest killer and it’s hard to train drivers how important it is.” Spec’ing auxiliary power units is one way operators can cut back on idling, and in turn reduce emissions-related downtime. Other spec’s that are gaining popularity include automated manual transmissions (AMTs). Auto-shift trucks used to be difficult to sell in the secondary market, but today buyers are requesting them and are even willing to pay a premium. “Today, we are in the 80% range of highway tractors we sell having the proprietary Mack mDrive,” explained Duda. “It has become so acceptable that there’s a premium attached to it on the used truck market and in certain applications, if it doesn’t have it, people won’t even look at it.” “We see more long-distance drivers wanting automated,” Krulicki agreed, adding today’s AMTs are even finding acceptance in farm and vocational applications when trucks are repurposed and sold into those segments. Parrell is seeing it too. He noted about 50% of used truck buyers last year were requesting automated transmissions and the number continues to climb, especially since the Detroit DT12 – launched in 2014 – began surfacing in the secondary market. As for power and torque requirements, that’s an argument that may never go away. Parrell said his customers still want the 15-liter big bore engine, namely the Detroit DD15. But Duda said buyers are gaining confiContinued on page 55
March 2017
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Debating displacement Continued from page 46
dence in Mack’s 13-liter engine, which can be rated from 415-505 hp and is easily able to handle the demands of tridem and Super-B applications grossing up to 64,500 kgs. “The old-school thought was, there’s no replacement for displacement,” Duda said. “In fact, yes, there is. It’s called technology. People need to look at the half-ton they drove 15 years ago versus what they drive today. I can almost guarantee they were driving a V8 to get 350 hp and today a V6 is getting the same horsepower and torque. It’s because technology has improved. The new technology guys who are looking for efficiencies and for the best way to operate and to drop expenses, they don’t care about displacement one bit.”
Before buying a used truck, ensure the diesel particulate filter is functioning properly.
Asked what is the biggest mistake truck buyers make when choosing a pre-owned truck, Maxim’s Krulicki said it’s not buying from a reputable dealer. “It’s not buying from a company that’s been around for a while,” he said. “Companies don’t stay in business by doing shoddy sales.” DudaTruckNews_TruckWest_Half_CAN_S17.pdf said he continues to see
1
buyers purchase trucks that aren’t spec’d properly – and in some cases, aren’t even legal – for the jurisdiction in which they’ll be operating. “One of the things that’s sticking out in certain applications, is people using a truck in an application it wasn’t designed for and also, in 12:00 PM it wasn’t designed a1/26/17 jurisdiction
for,” he said. He cited an example of a ready-mix truck bought online from B.C. by a fleet that’s operating in Saskatchewan. “They will buy it and get it home and realize it’s not legal to operate here because of the way it has been configured,” he warned. “Every single one of the provinces has different laws. Over-the-road highway stuff has lots of continuity between different jurisdictions but some of the more specialized trucks do not.” For Parrell, the biggest mistake a buyer can make is settling for an extremely high-mileage truck and driving away with a truck that’s displaying engine fault codes. “You can run into major problems if you buy a truck and engine lights are on and you don’t worry about it. They can be big, big issues if not corrected,” he said. TN
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March 2017 • Truck News 55
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2017-02-16 10:17 AM
Fleet News
TFI International makes two acquisitions MONTREAL, QUEBEC TFI International announced Jan. 30 that one of its wholly-owned subsidiaries has acquired Cavalier Transportation Services. “The acquisition of Cavalier will add density to our LTL network and bring value-added services, such as brokerage and warehousing,” said Alain Bédard, chairman, president and chief executive officer of TFI International. “We are encouraged with the possibilities to further serve our LTL and TL customers.” Cavalier, established in 1979, has operations consisting of LTL and truckload services, brokerage and warehousing, and is based in Bolton, Ont., serving corridors primarily between Ontario, Quebec, New York, and Illinois. TFI International’s purchase of Cavalier Transportation marked its second of the month. On Jan. 13, the company announced its purchase of World Courier Ground US. It’s an asset-light, time-critical courier and logistics provider operating across the US. It offers same-day courier, rush trucking and warehousing services, focusing primarily on the medical industry. It will be folded under the Dynamex umbrella and will now operate as TForce Critical. “World Courier Ground is a strategic fit for our package and courier busi-
Five of 20 Best Fleets to Drive For based in Canada MARKHAM, ONTARIO CarriersEdge and the Truckload Carriers Association (TCA) have named the top 20 Best Fleets to Drive For, with five Canadian fleets among them. Canadian fleets included: Bison Transport, Winnipeg, Man.; Challenger Motor Freight, Cambridge, Ont.; Kriska Holdings, Prescott, Ont.; One for Freight and Transpro Freight Systems, both of Milton, Ont. “These companies represent the best of the best in truckload. As industry innovators, they bring fresh ideas that not only create a desirable workplace for employees, but also propel trucking to exciting new terrains,” said TCA president John Lyboldt. The 20 finalists are recognized for providing exemplary work environments for their professional drivers and employees. They were selected based on nominations from drivers, followed by interviews with human resources representatives and executives as well as driver surveys. Considerations included: corporate direction, policies and programs, total compensation, health benefits, pension plans, professional development opportunities and opportunities for advancement. The top large and small fleet will be announced at the TCA’s annual convention in late March. TN
(L-R) Brian Ledson, George Ledson, Geordie Ledson and Vicki Stafford, management of Cavalier Transportation, have sold the business to TFI International. ness in the US and diversifies us into the important medical last mile business,” said Bédard. “This is another example of how TFI International is selectively expanding its US footprint.” TN
Manitoulin opens larger terminal in Northern Ontario WAWA, ONTARIO Manitoulin Transport has opened a new terminal in the Northern Ontario community of Wawa in an effort to increase its coverage throughout Canada. “This new, larger terminal demonstrates our commitment to Wawa and surrounding areas. It also emphasizes our readiness to support businesses here as they grow,” said Jeff King, president of Manitoulin Transport. “While some of our com-
Manitoulin Transport’s new Wawa terminal was opened to provide better national coverage.
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petitors may also offer national coverage, Manitoulin provides the widest direct national coverage of any provider in Canada. This enables shipments to get to their destination without leaving our hands, minimizing the risk of damage, loss and delay. Also, with Manitoulin, clients benefit from personalized service through a dedicated account representative who understands their business and is able to assemble the most advantageous solution for them from the full suite of transportation and logistics services available.” The new facility sits on 1.8 acres of land, has larger storage capacity and is able to handle twice the number of shipments as the old terminal. “As the provider of the widest direct coverage in Canada, Manitoulin goes beyond simply investing in major towns and cities,” said Don Goodwill, president of Manitoulin Group of Companies. “More remote areas, such as Wawa, can also be highly strategic in building out a network of truly comprehensive coverage. As well, access to a reliable transportation partner who can provide a one-stop-shop for all their transportation and logistics needs, is just as essential to businesses in Wawa as it is to businesses elsewhere in Canada, particularly as the mining industry in Northern Ontario continues to expand.” Manitoulin’s former Wawa terminal has been closed and employees have moved to the new location.TN
#sts17
MARK YOUR CALENDAR 56 Truck News • March 2017
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OCTO
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Announcements
Bison driver recognized; Penner gets a promotion; Trailcon and Transcourt promote trailer pros; and Timken has a new Canadian rep A Bison Transport driver has been recognized by the Truckload Carriers Association (TCA) for helping another truck driver whose truck jackknifed in B.C. The incident happened May 6, 2016. Taljinder Sohi left a brake check and was headed southbound on Hwy. 5, just north of Merritt, B.C. He was passed by another truck driver who then lost control on a corner. Sohi pulled his truck over and checked on the driver, who was in shock. Sohi asked the driver if there was anyone else in the truck and the driver told him his team driver was in the sleeper. He found the other professional truck driver unharmed. Sohi helped both drivers out of the truck, called 911, and stayed on-site until help arrived. Sohi has been named a Highway Angel by the TCA. Trailcon Leasing has named Rob Bonsma its new customer service manager for key accounts. A graduate of the University of Guelph, Bonsma brings more than 25 years of industry experience – most recently as a regional operations manager – to his new position. Previously, he worked in a wide variety of departments, including shipping, dispatch, mobile, garage, emergency roadside assistance, and sales. Transcourt Tank Leasing has named Julie Thibaudeau as its new director for business development, focusing exclusively on the Quebec and Maritimes markets. Having spent the majority of her career in the logistics and transportation industries, Thibaudeau w ill be based in Transcourt’s
Anjou, Que. office and will help the company cater to and better serve its Francophone customers. Prior to her position with Transcourt, Thibaudeau was the business development director for a North American bulk carrier.
Action Trailer Sales ................................... 53
Maximum Powertrain ................................ 48
Atlantis Radiator ........................................ 50
Morgan’s Diesel Truck Parts...................... 49
Capacity of Ontario (Div. of Altruck Group)...... 49
Ocean Trailer ............................................. 47
Dependable Truck & Tank .......................... 52
Texis Truck Exhaust................................... 48
Eastway Tank & Emergency Vehicles ........ 50
The Truck Exhaust Place ........................... 51
Equilease................................................... 51
Trison Tarps............................................... 51
Kingpin Specialists .................................... 48
XL Radiators .............................................. 52
King Radiator Inc. ...................................... 48
Bison Transport announced that its president Rob Penner is now president and chief executive officer. The new title is effective immediately. Penner joined Bison in 1991, moved through all aspects of operations and was promoted to president in 2015. He is active on the Canadian Trucking Alliance Board of Directors, the Manitoba Trucking Association and is set to take over as chairman of the Truckload Carriers Association this March. The Timken Company has announced the appointment of Sean Hazelton to managing director of Canada. In his new position, Hazelton will lead Timken’s business operations in Canada. He reports to Brian J. Ruel, vice-president for the Americas. Hazelton joins Timken from Canadian Bearing where he was the strategic business manager. Vipar Heavy Duty announced recently that Deval Joshi is its new senior program manager. In his new role, Joshi will be responsible for developing industry leading supplier programs with Vipar Heavy Duty and its family of companies, Vipar announced. Joshi brings 14 years of experience in strategic global purchasing, engineering and management to his new role. He has more than eight years of experience in several roles with Navistar, including sourcing and procurement for the company’s parts procurement group and production purchasing group.
Advertiser’s Index Lockwood Immigration Services.................. 41
Accutrac Capital Solutions .................... 11 Atlantic Truck Show ............................ 25
Mack Trucks Canada ........................... 14
BF Goodrich - The Last Word ................. 62
Michelin - Mark Dalton ......................... 58
Burrowes Insurance Brokers .................. 17
NACVS ....................................... 22, 23
Caravan Logistics ............................... 34
Newcom Events .................................. 5
Career Opportunities ................... 6, 26-45
Ontario Drivers Medical ........................ 55
Career Videos.................................... 27
Province of Ontario ............................. 19
Castrol/Wakefield Canada ..................... 17
Rideway Transport .............................. 31
Challenger Motor Freight ...................... 28
Shell............................................... 20
Chevron Global Lubricants ..................... 4
Schneider National.............................. 37
Classified ........................................ 55
Scotlynn Commodities ......................... 32
CITT ................................................ 7
Stateside Transportation Consultants ....... 16
Contrans Flatbed Group........................ 38
Surface Transportation Summit .............. 56
Country Transport............................... 39
Tallman Group ................................... 21
Crossword Puzzle & Solution–Texis ....... 9, 57
Tankmart International ......................... 15
Cummins ......................................... 63
TASK Carriers.................................... 45
C.U.T.C. ........................................... 15
Technology & Maintenance Council ........... 2
Eberspaecher .................................... 11
The Rosedale Group ............................ 43
Empire Transportation.......................... 35
Thunderstruck Trucking........................ 29
Expocam .................................... 12, 13
Trailer Wizards.................................... 7
Fast Forward .................................... 59
Transcourt Tank Leasing....................... 18
Global Sensor Systems ........................ 15
Transport Financial Services .................. 57
Globetrotter Logistics .......................... 40
Tremcar........................................... 24
Gorski Bulk Transport .......................... 29
TruckandTrailer.ca .............................. 54
Great Dane Trailers ............................. 64
TruckPro.......................................... 25
H&R Transport.................................... 6
Uniroyal – Newland Transport ................ 60
Healthy Trucker (A Division of Nal
Villeneuve Tank Lines .......................... 40
Insurance) ..................................... 19
Volvo ............................................... 8
Holmes Freight Lines ........................... 39
Walmart Logistics ............................... 31
Howes Lubricator Products ................... 55
West Trans Auto ................................. 37
Hyndman Transport............................. 41
Wiersma Trucking............................... 37
International Truckload Services ............. 36
Wilson’s Truck Lines ............................ 36
Kriska Transportation .......................... 44
X West Carriers .................................. 35
Laidlaw Carriers Bulk. .......................... 30
Xan Systems ..................................... 39
Laidlaw Carriers Tank-Pneumatic ............ 33
Young Transportation System ................. 39
Laidlaw Carriers Van ........................... 42
Z Source Equipment ............................ 16
Liquid Capital Classified ....................... 55
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March 2017 • Truck News 57
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2017-02-16 10:17 AM
Fiction Mark Dalton: Owner-Operator By Edo van Belkom
Illustration by Glenn McEvoy
M
ark had been spending much of the winter driving long-hauls between Toronto and Edmonton. When the weather was bad on the prairies, the drive could be a challenge, but with the weather improving and spring just around the corner, the route could get a little boring. If Bud didn’t give him something else in the next few weeks, Mark was going to have to ask for a change of scenery, maybe even some shorter hauls. But as so often happened in the past, just as Mark was thinking about his future, his phone rang as if it were opportunity herself calling. Mark glanced at the number but didn’t recognize it. “Now who could this be?” he said under his breath as he answered the call. “Hello?” “Hi. Mark?” “Yes. Who is this?” “It’s Aunt Mary,” said the voice on the other end in a bright, sunny tone. “I hope it’s not a bad time to talk.” Aunt Mary, Mark wondered. He hadn’t spoken to her in a year, and hadn’t seen her for even longer. She wasn’t truly an aunt, but she was such a close friend of the family when he was growing up, he just called her by that term of endearment. “Well, well, Aunt Mary. I haven’t heard from you in ages.” “I know. It has been a long time.” Mark remembered her coming over to his parent’s house two or three times a week so she and his mother could go out to the movies, or to bingo. He also remembered that she’d often bring home-baked chocolate chip cookies whenever she visited. As a result, he’d always been excited to hear she was on her way over. “What can I do for you, Aunt Mary?” “It’s funny you say that because I am calling to ask you a favor.” “After so many years I didn’t think you called up just to talk.” “No,” she said quickly. Then, after a pause. “It’s my nephew.” “Oh?” “Yes. It seems he’s gotten into some trouble with the law. I’ve bailed him out of jail and now I want
The Mark Dalton Project, Part 1 to do what I can to help him get his life back on track.” “What kind of trouble?” Mark wanted to know. “Well…” She took a deep breath on the other end of the line. “First he was arrested for possession of marijuana. But I didn’t know about that until he breached his release conditions and was re-arrested for a second time. This time it wasn’t just possession. The police say he had enough drugs on him for the purpose of trafficking.” “That’s not good.” “No, it’s not. It’s terrible.” “So how do I fit in?” “The boy,” then a pause. “You know, he’s 21 but I still call him a boy. Isn’t that funny?” Mark was silent. None of this was funny when you thought about it. “Anyway, in the past he’s had an interest in driving trucks for a living and I thought if you took him on the road with you and taught him how to drive, it might give him some purpose,
maybe some direction in his life. At the very least, it might get him away from some of the people who are a bad influence on his life right now.” Mark let the phone line go silent as he thought over the request. He had trained young drivers before, most notably Bud’s nephew, who he’d taken on a cross-country trip that eventually saw the young man become an ice road trucker and an owner-operator in his own right. But Jimmy had been highly motivated to succeed and had already taken driving and other related courses before the two had ever met. This guy would be a whole different matter altogether. This young man would need coaching and coaxing. There would be a lot of teaching and instruction and Mark would always have to keep a watchful eye on him to ensure that he remained focused on the task at hand. From the sounds of it, Aunt Mary’s nephew could be difficult to deal with and fail just as easily as succeed.
“Sounds like a lot of work,” Mark said. “I know it does. It’s a heck of an imposition and I hate asking you, but I don’t know what else to do.” “Have you talked to him about this? Is this something that he wants to do?” “To be honest, he doesn’t really know about this yet. But he really has no choice in the matter. I’ve just bailed him out of jail, and I’m his surety so he has to do what I tell him, especially when one of the bail conditions says he has to seek and maintain gainful employment.” Mark was still on the fence. “I don’t know Aunt Mary, I’m not the type of person to give someone second and third chances. I could take him on, but I don’t think I’ll be putting up with much bull. The minute he screws up it’ll be over.” “I completely understand. In fact, that’s what I was hoping you’d say. I plan on telling him that this will be his only chance. If it doesn’t work out, I’ll remove myself as surety and he’ll have to go back to jail.” “I dunno,” Mark sighed. “It’s a big commitment.” “I know. That’s why I didn’t want to call you at first, but your mother insisted. She said you love challenges and you’d likely take on my nephew as a project. That was the very word she used.” “You called my mom?” It was dirty pool, but he wasn’t surprised. After all, he’d learned everything he knew about getting through life by watching the way his mother did it. “She said I should only mention it to you if you were unsure. She said that you would understand if we were a bit sneaky about it. I don’t really get it, but she said it’s the way you two get things done all the time.” “She said that, did she?” “Yes, and that I should offer to make you cookies.” Mark sighed. How could he refuse? “All right, I’ll be back in town in two days.” “Great. I’ll make sure he’s ready.” Mark Dalton returns next month in Part 2 of The Mark Dalton Project.
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Trucking, and loving it Trucking gets a thumbs-up from one of Quebec’s youngest drivers By Carroll McCormick QUEBEC CITY, QUEBEC By the end of a frigid Quebec City winter’s day, Maxime Myrand-Lapierre had delivered food to 14 restaurants and hotels in the city, and nearby Loretteville and Val Cartier. He works as a driver/delivery man with food service company Gordon Food Service. He variously drives straight truck and semi, and loves the work. He is also 18 years old. But for the fact that Quebec set up a pilot program in 2011 to see how it might fly getting normally-too-young teenagers into the trucking business, the industry would likely have lost this young talent to another profession. This is a plague in a province, and a country, where, before people are old enough to even apply for their Class 1, they must choose another career path, if they want to eat. This is a shame in an industry screaming for new blood…well, any blood, really. When Myrand-Lapierre was in Grade 9, two of his high school teachers asked him if he would like to enter a program that let students simultaneously finish high school and get his Diplome d’Etudes Professionelles (DEP) – the equivalent of a diploma in vocational studies outside Quebec. It was 2014 and he was 16. “I chose the DEP for truck driver and I do not regret my choice,” Myrand-Lapierre says. “Yes, I work a lot, but when you like what you do, you don’t count the hours.” That career choice was only possible because Quebec had launched a radical pilot program to train 40 young drivers as truckers. It was called the Programme enrichi d’ac-
cès à la conduite de véhicules lourds (PEACVL), and taught at the province’s two big driver training schools: the Centre de formation du transport routier Saint-Jérôme (CFTR) north of Montreal, and the Centre de formation en transport de Charlesbourg (CFTC) near Quebec City. Choosing to train as a trucker was somewhat of a stab in the dark. Myrand-Lapierre had no truckers in his family to model such a career choice, although his dad did drive a cube van in his youth. “I didn’t know if I would want to become a trucker before registering for the program,” Myrand-Lapierre recalls. That said, it was not a random choice. It overlapped other longheld interests of his. “I always knew that I would go work in a trade that would have motors, because my passion has always been for those things that have a motor – snowmobiles, motocross, etc.,” he says. About halfway through his program, which he attended at the CFTR, Myrand-Lapierre landed a
Maxime Myrand-Lapierre, graduate of Quebec’s first program for young truck drivers. teacher immediately referred me to my boss, and I started work the next week,” Myrand-Lapierre says. Around town, Myrand-Lapierre drives a straight truck, but on runs outside the city, he pilots a tractor-trailer. His lifestyle is sweet, for a trucker. “I am almost assured of being able to return home by evening to sleep,” he says. “But if there is a snowstorm and the roads are closed, I can spend the night in a hotel, but it hasn’t come to this yet. My work is mainly local.” And unlike the longhaul cowboys of yore, Myrand-Lapierre doesn’t seem tempted to see the continent from the cab of a semi. Sticking closer to home is more his thing. “I don’t know if I really want to hit the road. I might just want to stay in my city and drive, and come back to my place to sleep with my family. At home!”
“Yes, I work a lot, but when you like what you do, you don’t count the hours.” – Maxime Myrand-Lapierre job with Gordon as a delivery man’s aide. That was his foot in the door through which he walked immediately after he graduated. “It was super easy getting my first job, because I didn’t have to look. My
FAST
But he is a man with a plan. “I’d really like to become the owner of an excavation company,” Myrand-Lapierre says. I asked Myrand-Lapierre what he would say to anyone considering entering an enhanced version of PEACVL, which Quebec launched last year, with places for 300 students. “If I could talk to 300 youth who wanted to embark on the program, I would tell them to go for it, because it is a great opportunity to finish school at the same time they earn a DEP. And in trucking there is always lots of work,” he says. And to carriers, about the value and importance of giving young people such as himself a chance to prove themselves as truckers? His reply was thoughtful: “Whether you are 18 or 50, if you really want to work and make a name for yourself in your field, there is no minimum age for being talented in your trade. Give a young driver like me, and the 300 future truckers, a chance to prove themselves.” TN
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March 2017 • Truck News 59
Fiction
A
fter agreeing to help out at his cousin’s garage to reduce the repair bill to his truck, Vic is put to work cleaning up the place.
“The place looks great... and it’s only been one day.”
Later that morning, work begins on Vic’s truck. “Maybe you want to help my man work on your truck. It’ll go more quickly and you can be sure the job’s done right.” Vic agrees and is more than happy to assist. But while at first Vic is mainly watching the work done on his truck, he is soon helping out with some of the heavier tasks associated with the job. But then, 30 minutes after the mechanic said he was going to take a ten-minute smoke break, Vic winds up doing the work on his truck all by himself.
By Edo Van Belkom
V
ic doesn’t mind doing the work himself. He knows what needs to be done, but doesn’t have the tools himself to do the job. And at least this way he knows that the job will be done right, and at a good price. After all, how much can his cousin charge him after he did all the work himself?
“Your truck needs brakes, alignment, tires, and a tuneup, and the clutch and transmission also need work.”
Is it possible, Vic wonders, that this driver’s truck needs the exact same repairs as his? “I didn’t think the clutch and transmission needed any service.” And then the driver is told that the last two items could wait a while, but the others had to be fixed right away. What are the chances? wonders Vic.
But then another driver comes into the shop and is told the exact same things need to be addressed, including the clutch and transmission. But this time, instead of questioning the need for repairs, the driver simply says, “Fine, fix it!”
Illustration by Glenn McEvoy
And as Vic works on his truck, he is able to overhear his cousin talk to other customers who came in to get their trucks serviced.
“Glad you approve,” Vic replies.
Vic can’t help but wonder if every truck that comes in needs clutch and transmission work. Even if only one in every ten drivers agree to the repairs, the cost of the work would ensure the garage’s profitability. Four or five repair jobs like that per month – regardless of whether or not the work is really necessary – would make someone very rich in no time. The next day, Vic finishes the brake job on his own, a mobile truck tire repairman replaced the two front tires and then the rig was sent out to another shop to have its alignment set. In the afternoon when the truck comes back, Vic seeks out his cousin to settle his bill and leave. In the office again, Vic is presented the bill for the work done on his truck and when he sees the amount on the bottom line, he nearly fell out of his chair. “What is this?” he asks.
“What else? It’s a bill for the work done on your truck.”
“H
ow can you charge me for labor, when I did all the work on the truck myself?”
“But you used our tools, and your truck took up space in our shop while you were doing the repairs.”
“Why not?” “They haven’t sent them yet.”
“They always come on short notice. That’s how their service works.” His cousin shrugged. “Let me see the invoices the tire man and alignment shop gave you for my truck.”
“Okay.”
“It’s standard pricing.” “Then let me see someone else’s invoice.” “I don’t have any, it’s all on the computer.” “Don’t tell me...” Vic says. “Your computer’s down right now.”
“And this,” Vic points to a spot on the bill. “I’ve had new tires installed by mobile trucks before and this is almost twice as much as it should be.” “He came on short notice.”
“Then how can you know how much to charge me?”
“How did you know?” Vic takes a deep breath, then thought about the way this man did business. It was an old fashioned way from another place and time. But if that’s the way he wanted to do business, Vic knew how to play the game. “I’m going to give you half of this bill in cash, and that’s it. Nothing more.”
V
ic pays the man, not happy about his experience and not proud that a family member was trying to take advantage of everyone who came through his shop, even family.
“Thank you cousin. And make sure to tell your friends all about my shop.”
“I don’t have them.” “I will,” Vic says, waving goodbye. Then under his breath, “I’ll tell them to stay away.”
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uniroyaltrucktires.com 60 Truck News • March 2017
Vocational Shane Foreman, Klein Products (left) and Mark Neale, Carco Industries stand by the Western Star Multi-Body Transformer.
Operating the Western Star multi-body transformer Real-world ‘Transformer’ so easy to operate, even this editor could perform under pressure By Derek Clouthier LAS VEGAS, NEVADA It’s not every day you get to hop into a real-life transformer truck and show a Las Vegas audience how it’s done. To be fair, it wasn’t the legendary Optimus Prime I had to transform from a Western Star 5700XE truck to the mechanical movie character, but nevertheless, when you climb your way into the 6900XD MBT-40, multibody transformer, and are asked to remove the water tank attached to it and pick up and attach a combination flat/dump deck, it can put one out of their comfort zone. While visiting the Western Star outdoor display during the World of Concrete show in Las Vegas Jan. 18, Mark Neale, account manager for Carco Industries gave me the full tour on the transformer truck, how it was made, what it can do and how a single operator can switch bodies. Carco’s role in the construction of the truck is to start with a bare chassis from Western Star and install and integrate the hydraulics, control system, installation of the Palfinger G68 hooklift, as well as other body upgrades to make the vehicle fully functional. Neale said the Palfinger G68 is
currently the largest hooklift on the market, able to lift 68,000 lbs off the ground. I used this hooklift to discard a Klein 8,000-gallon water tank, which was attached to the truck, and pick up and attach a J&J Truck Bodies’ general purpose combination deck/dump truck deck. But we’ll get back to this in a moment. “There’s a standardized format for the mounting,” Neale said. “So the long sills that you see in the front A-frame is built to a standard and you can attach almost any body that you want onto that.” The 6900XD MBT-40 has two power take-off (PTO) packages: one mounted off the transmission that operates the hooklift portion and another that supplies the hydraulic power to the body. “Because this thing here is like the Swiss Army knife of trucks, we need to be able to handle hydraulic and electrical requirements for anything from a huge side dump trailer to a water truck,” Neale explained. “We’ve set it up with an intelligent harnessing system so that when you plug the body in, the truck recognizes the body that’s on it.” The goal of the transformer truck
is simple: keep things as easy and uncomplicated as possible. During the design process, they wanted customers to be able to use the truck for several different applications with various attachments and operate based on what the body designer had engineered it to operate on. “You’re not going to buy this package just to run a water truck,” Neale said. “You’re going to buy this if you’re going to use the water truck part of the year or part of the day, and you’re going to haul gravel with it.” An example of keeping it simple? Depending on what attachment is on the truck, whether it be a water tank or dump truck, an overlay is placed on top of the switch box to indicate what action each performs. But there is a lot to the transformer truck. It boasts a Detroit Series 60 Tier 3 engine or a Detroit DD16, Allison 4700/4800 off-road series transmission, 110,000-lb planetary rear axle, 28,000-lb planetary front axle and a front engine skid pan. “The MBT-40 package is a game changer in construction applications for its ability to be multiple pieces of equipment in one chassis,” said John Tomlinson, XD and vocational sales manager for Western Star. “The development of this platform was all about finding better economic ways of filling needs for our customers. Off-road chassis equipment can be expensive to buy and maintain and new emissions levels are making the investment even more costly.” Neale said there is also a fifth
wheel option on the tractor, which can be bolted down to the frame and pull a 200,000- to 250,000-lb trailer. “You’ve got a really versatile and multi-purpose piece of equipment here,” said Neale. “What’s unique about this is that once you plug it in and once you connect it, you have a fully operational truck. It goes from a professionally functional water truck to a vacuum truck…so the truck is the basic power source for the body…you don’t have to spend hours making connections or bolting things on.” When it was my turn to get behind the wheel, I thought what I was getting was a demo on how the truck worked, but to my surprise, Neale let me take control to see how it worked first-hand. Dumping the water tank was easy. Push a few levers to move it from the attached position, down onto the ground and detach the Palfinger hooklift. But then I had to move the truck forward and reverse into a tight enough spot that the Palfinger hook was placed right underneath the fastening bar of the dump attachment. All this without backing up too far so that the hook smashed into the dump bin. My first go, I was a little off, maybe a few inches…or feet, but who’s measuring? So after a slight readjustment I got it positioned bang on and hooked that dump apparatus perfectly, lifted it up and put it in place on the back of the truck. Easy as that – from a water truck to a dump truck in what couldn’t have been more than few minutes…maybe 10, but again, who’s counting? Neale said during testing, the average swap over time from a water truck to a dump truck was around 10 minutes, so let’s go with that. Transforming to a fifth wheel takes a bit longer, as the operator must bolt down the fifth wheel, which takes about another 10 minutes. It’s a pretty impressive piece of machinery, I must say. If I can make it look relatively easy, anyone can. TN
Pair of Canadians place in Top 3 during Western Star’s Get Tough Challenge By Derek Clouthier LAS VEGAS, NEVADA Western Star Trucks held its ‘Get Tough Challenge’ during January’s World of Concrete 2017 (WoC) show in Las Vegas, awarding prizes to the Top 3 finishers each day, including a pair of Canadian competitors on the third day. Ani Todd Smith of Level 6 Marketing said winners of the three-day challenge were determined by the highest scores out of 50, and if there was a tie, the fastest time was taken into account. Day 3 was when the Canadian participants shone, with winners including: Tommy Kunsman, Kunsman and Son Paving and Sealcoating, 50 points; Terence Hiebert, Dura-Con Industries, Rosenort, Man., 48 points with a time of 5:48; and Kevin Eek, John Eek and Son, Bradford, Ont., 48 points with a time of 6:10. “The challenge allowed contestants to demonstrate their operating and safety knowledge of Class 8 severe-duty trucks, including concrete mixers
and dump trucks,” Todd Smith explained. “The challenge featured tasks that often occur on construction sites. They included backing into park stations, parallel parking to a curb, following an S-curve and backing up a ramp made of granular fill.” WoC said feedback from the show, which ran Jan. 16-20 at the Las Vegas Convention Center, has been positive. WoC 2017 drew 50,770 registered professionals and featured more than 1,455 companies. TN
March 2017 • Truck News 61
The Last Word
Constructing a successful business Joseph Haulage thrives thanks to vertical integration and thinking outside the box It’s the humble trucking story most are familiar with. Dad drives trucks, takes one truck and builds a business. That’s more or less how Joseph Haulage planted its roots in 1975. Joseph K. Joseph bought a dump truck and started hauling mostly sand and gravel locally in Hamilton, Ont. under the name Joseph Haulage. Slowly the business grew while Joseph’s son watched over his shoulder and learned the ways of the fleet owner. Today the company is run by Joseph’s son, Geoff, and Joseph Haulage is one of the most recognized trucking companies in Southern Ontario. It has 250 trucks and nearly 350 trailers. “And things were pretty much status quo until 2005,” Geoff said of the steady growth of the company until that point. In 2005, as a commerce student, Geoff had learned a lot about building and selling a business. “So, I was ready to sell it to a company in the US, and then at the eleventh hour, I decided I was too young to sell and not continue on with the trucking business, which is something I enjoyed,” he explained. “I told my father to give me five years to double the business.” And he did. In 2008, Geoff’s father stepped out of the business to assist his wife who was diagnosed with cancer at the time. That’s when Geoff really took the reigns to steer the business’s direction. “I was president of the company in 2001, but in 2008, I’m not saying that my dad held us back, but it gave me an opportunity to do what I thought was best and kick some butt,” Geoff recalled. Geoff expanded the business into different segments and transformed the mom and pop business into the recognized trucking company it is today. To date, it has mul-
tiple locations in Ontario including Mississauga, Brampton, Caledonia, and Acton with its headquarters in Stoney Creek. Joseph Haulage mostly hauls construction goods – like building materials – to job sites mostly
call gets it all’ operation.” Geoff claims this approach is what got his company to be one of the primary trucking companies involved in the construction needed for the Pan Am Games that took place in Toronto in the summer of 2015. “We did a lot of the Pan Am Games projects,” he said. “We worked on the aquatic center, equestrian center, the athletes’ village…we did a lot of trucking there that took a lot of coordinating, that other trucking companies wouldn’t do. So, it’s good to have a good group of individuals that look outside of the box
Geoff Joseph says the key to the company’s success is always serving the customer in any way it can. in Southern Ontario, though it does occasionally go to the Great Lakes states. While it started with dump trucks, it expanded into the tanker business, and then opened up a flatbed group shortly thereafter. “We haul lumber, shingles, cement, containment soil, you name it,” Geoff said, adding that expanding was the only way to succeed in the tough trucking environment. “Basically, we knew that because there’s seasonality to the business, having a more diverse group would be key to making it in this industry,” he said. “So, we were careful not to put all of our eggs into one basket. Because even though we are specific to construction, we have a lot of vertical integration to help serve our customers better every day. Our goal was then – and still is today – to provide our customers with a ‘one
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and look at the full scope of the project. Our slogan has been ‘Our business is helping yours,’ because we want to extend and build off of our customer to do more for their business any way we can.” And it’s not only the customers who are getting what they want at Joseph Haulage, it’s the drivers and staff too. With driver turnover much lower than the average trucking company, Joseph said that it’s all in the focus of good human resources practices. “We offer performance bonuses, we offer profit sharing, pension plans and we pay our staff hourly so they can be compensated properly,” he said. “Of course we’re not perfect, but we’re a well run group. I try to make my employees feel like if they have a challenge they can talk to me or their direct manager and it will be addressed.”
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Joseph also puts a focus on safety, mentoring and coaching when it comes to driver training. “We also like to promote from within,” he said. “One of my vice-presidents was an owner-operator, then a company driver and is now a VP. Joseph also specifically chooses its equipment based on driver likeability, and Geoff said that since Peterbilts are the most preferred trucks among the majority of drivers he knows, he bought a fleet of Petes for his drivers. “The oldest units we have would be three or four years old,” he said. “We like to keep our equipment current.” The company also has its drivers wear a uniform to show the professionalism that often goes unnoticed in the trucking and construction industries. “In the construction world, it’s a dirty environment, but it’s one that is always in the public eye,” Geoff explained. “We’re in residential neighborhoods and school zones, so now we believe we have the best trucks in the industry, the best drivers in the industry that are the best dressed, too.” In the near future, Geoff said he hopes to expand the business even further, perhaps with a location in the US. “In the future, we are hoping for more acquisitions,” he said, “to get us into different markets and acquire some market share. I see more locations throughout Canada and potentially one in the US. We are looking at getting into rail meaning we might have to rebrand, but we’re always looking to grow. As I tell my senior management group, I’m not in this business to sell it.” TN
Sonia Straface is the associate editor of Truck News. She has been covering the Canadian trucking industry since 2014.
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