Capital Equipment News February 2018

TRANSPORT & LOGISTICS NEWS

Safe fleet, safe business Second only to people costs, a fleet of vehicles is often one of the biggest operating costs for any business. It is also one of the most prominent representations of a company’s brand. Driver misconduct and vehicle abuse will affect operational costs and how the organisation is perceived. It is therefore important for any business to manage its fleet appropriately and proactively, thus ensuring a safe working environment for employees, maintaining a good brand impression and reducing road incidents and downtime. Tracker recommends that the following actions be taken to ensure that business- es conduct themselves in a responsible manner and in the process not only protect their fleet, but more importantly minimise their risk and ultimately promote safety for all road users. Safe drivers: Endeavour to create a dependable, safe driving team. Conduct background checks on all employees that will drive on behalf of the organisation. Make sure that they have the appropriate class of licence for the vehicle they are meant to drive, that they are competent Globally, the import sector – particularly from a shipping perspective – has been dominated in 2017 by unsustainable low rates, bigger vessels and soft demand. This has resulted in industry consolidation and a race for dominance, and according to Greg Cline, head of Corporate Accounts at Invest Import Solutions, the outlook is set to continue in 2018. “The highly fragmented container market has given rise to freight trade volatility,” says Cline. “And while the projection for world trade shipping volumes has improved, a full recovery is not expected in 2017/18.This means that balancing strategies are critical for importers as they manage supply, demand and shipping dynamics.” As all sustainable import and export businesses understand, it is crucial to take note of shipment quantities (and lead-time) when planning business sched- ules to ensure cargo is delivered on time, without disruption, and this will be even more critical in 2018 and beyond. “There are more influencing factors that need to be considered today than ever before,” says Cline. “Importers need to take heed of economic changes and fluctuations, carrier cascading, port

and medically fit to drive. Assess their accident history and attitude towards road safety. Run a proper onboarding process with appropriate training, and review driver capability at regular intervals, at least annually. Safe vehicles: Operate an appropriate and well-maintained fleet of vehicles. Choose vehicles that are suitable for your application and ensure that they are in a roadworthy condition. Also consider the ergonomics of the cab to reduce strain on drivers. Conduct routine vehicle inspections, repair and maintenance, based on the manufacturer’s recommended service schedules. Safe tracking: Implement procedures for safe tracking of fleet vehicles and drivers. For example, assign pre-determined check in points for a trip. It the route changes, the driver should inform the route coordi- nator and determine new check in points. Also, ensure that all road incidents are recorded, and that the information is eval- uated and used to reduce the likelihood of recurrence. Use vehicle telematics and an in-vehicle video camera to monitor actual driving inefficiencies and congestion and even the weather – just look at last year’s heavy storm in Durban port which resulted in a container ship breaking from its mooring and lodging itself sideways, blocking the channel to shipping as a great example.” Holidays and production facilities shut downs also need to be better managed correctly. With the holiday season varying across the world, for any business that works with international countries, it becomes imperative to understand and manage the shut-down periods, along with the current dynamics, to ensure no risk to your business or production cycle. Pre-planning for annual supplier shut- downs, holidays and bank days should include understanding of the fact that cargo is shipped by Full Container Load or Less Container Load (FCL/LCL) and that this can have a cost and time implication. Factoring this in, along with current ship- ping trends, can go a long way to ensuring that containers are loaded in time and full loads are pre-planned, which reduces transportation costs and minimises any delays. Cline mentions that the role technology plays in this environment cannot be over-

Michael van Wyngaardt, head of Business Solutions at Tracker.

behaviour for safety purposes. The data from vehicle telematics and a video camera solution allows for early detection of bad driving habits and associated risks, and steps can be taken to engage in proactive and targeted driver coaching. ❂

Balancing strategies crucial for the import sector in 2018

stated. “Clients can track their parcels, provide instructions on when to ship, and make the necessary documentation avail- able to expedite custom stops irrespec- tive of their location. They are no longer passive respondents, but are empowered to work closer with their logistics provider and manage any potential issues before stock lands,” says Cline. ❂

Greg Cline, head of Corporate Accounts at Invest Import Solutions.

CAPITAL EQUIPMENT NEWS FEBRUARY 2018 42