The Global UD Trucks Customer Magazine #022012

Across theGreat Plains

Designing the modern truck

Japan’s loveof fireworks

SINGAPORE:THE CAN-DO SPIRIT

1-1, Ageo-shi, Saitama 362-8523, Japanwww.udtrucks.com

With the new GH engine series, UD

Trucks has built on 50 years of engine

technology to create the powerplants

for the future.

GH engines are designed to be more

environmentally friendly, and provide

improved fuel economy. The GH engine

series is a complete lineup, ready to

serve markets around the world with

the right specs and power for varied

applications and requirements.

Reliable, trustworthy engines that

support your business and help

you reduce costs and meet your

environmental goals—the GH engine

series from UD Trucks.

The global engine choice: the new GH engine series

GH13 EngineFor Heavy-Duty Trucks

● Displacement: 12,777cc● Power & Torque:270kW (362HP) 1,500 - 1,800rpm 1,754N•m (179kg•m) 950 - 1,450rpm300kW (402HP) 1,400 - 1,800rpm 2,040N•m (208kg•m) 1,050 - 1,400rpm330kW (443HP) 1,400 - 1,800rpm 2,244N•m (229kg•m) 1,050 - 1,400rpm360kW (484HP) 1,400 - 1,800rpm 2,448N•m (250kg•m) 1,050 - 1,400rpm

GH7 EngineFor Medium-Duty Trucks

● Displacement: 7,013 cc● Power & Torque:180kW (241HP) 2,500rpm 716N•m (73kg•m) 1,400rpm206kW (276HP) 2,500rpm 883N•m (90kg•m) 1,400rpm

GH11 EngineFor Heavy-Duty Trucks

● Displacement: 10,836cc● Power & Torque:308kW (413HP) 1,800rpm 1,990N•m (203kg•m) 950rpm

Note: Values displayed are for reference purposes only; these may vary by market

04 On the job

Next-Day Delivery Across the Great PlainsCrossCountry Courier handles next-day deliveries in one of the most rural US states in some of the most extreme temperatures anywhere.

07 News

What’s happening Around the UD Trucks world.

10 Cover story

The can-do spirit of a unique truck marketThe city-state of Singapore presents unusual challenges and opportunities for local logistics leader CWT.

14 Design

The process of designing the modern truckThe UD Trucks design team drew on everything from Japanese tradition to customer interviews in designing the Quon.

17 Australia news

Local developmentsUD Trucks-related news from around Australia.

18 At the wheel

Garden Grove Expands with UD TrucksA side business in Adelaide grows into a major landscaping supplier—and adds a UD truck.

20 Tradition

Spark SeekersHanabi, or fireworks, are an essential for the Japanese summer.

22 Case Study

Strong stance on safetyMajor international logistics company Toll Express is now more formally part of the Japanese market—and is working to increase safety and education.

#02 | 2012

Contributors this issue:

Cover photograph Gerhard Jörén

Roads is published three times per year by UD Trucks Corporationwww.udtrucks.com

PublisherPer Sundström Per.Sundstrom@volvo.com Tel: +81-48-726-7601

Editorial ProductionNext Inc.roads@nextinc.comwww.nextinc.comTel: +81-3-6436-4270

Editor-in-Chief Kjell Fornander

Executive Editor William Ross

Art Director Koichi Asano

Production ManagerKazumi Umezawa

Printed in Japan

Kjell FornanderKjell Fornander came to Tokyo in 1987 as a cor-respondent for a leading Swedish newspaper. Today working in corporate communications, he is the editor-in-chief of Roads.

Jim Hand-CukiermanCanadian Jim Hand-Cukierman is a Tokyo-based photographer and writer whose work appears in maga-zines around the world.

Gerhard JörénSwedish photographer

Gerhard Jörén has spent the last 25 years in Asia, covering

news and features across the region. He currently lives in

Bangkok.

Per SundströmVice President, Communications

Greetings from a new UD Trucks member

I am very happy to be writing to you, customers and partners, in my new role as the head of Communications for UD Trucks. It is a pleasure, and an interesting challenge

as well. Our readers are spread out across many continents and countries, with different business conditions, climates and languages. We cannot cover everything in any one issue of Roads, but I promise that we will do our best over time to reflect the whole UD Trucks world. I am now located in both Tokyo and Ageo, Saitama, the real home of UD Trucks. I moved from Sweden and Europe less than half a year ago, after serving the Volvo Group there for almost 20 years. These have been some extremely exciting months. One of many things I have noticed is that the world map looks different here. Instead of Europe, the Middle East and Africa in the center, I now see Japan, East Asia and Oceania. Europe and Africa are in the distant far west, while the Americas are in the far east. It struck me that wherever you are, you will be, like me, at the center of the world. Another thing you and I have in common is UD Trucks. After my first months in Ageo, I’m extremely impressed by the dedication and spirit of the UD Trucks people and their commitment to quality in everything they do. This is encouraging, and provides a great deal of energy to the changes we are now carrying out at UD Trucks. UD Trucks has been part of the Volvo Group for five years, and we are now intensifying our efforts to draw the two even closer. We are combining the excellent manufacturing and product tradition in Japan with the Volvo Group’s global technology and vast resources. The only objective is to serve you even better. You know what it is all about from your own business: in order to grow and gain long-term success, you must always improve your ability to satisfy the customer. We are exactly the same. We are making major investments in order to support you, and to help you make your business even better. I can promise that you will see a lot of interesting things coming from us within a few years. In this issue of Roads, we highlight the launch of the new Quon in markets as diverse as Indonesia and Ethiopia. You will meet a company in the US with a large fleet of Condor trucks, and take a spin around Singapore with another valued customer. I welcome your comments, questions and ideas for the magazine, and look forward to bringing you more on the things that are happening. Enjoy your reading.

Next-Day Delivery Across the Great P lainsFar out on the vast plains of the north-central United States, a fleet of UD Trucks makes sure that overnight freight deliveries get to their destinations on time. Serving everything from farms and factories to coal mines and gas fields—in an area with some of the wildest weather extremes in the world—CrossCountry Courier continues to expand its services, and its fleet of UD trucks.Text: William Ross Photos: Daisuke Takahashi

04 #02 | 2012

When you arrive on a summer day in Fargo, North Dakota—a city in the northern part of the US Great Plains, a land

as flat as the ocean—you only get part of the picture of life in one of America’s least populated states. It’s a hot, clear day, and it seems like you can see forever across the vast plains, a huge expanse of clear blue sky above. But this is just one side to the climatic story of the region known as the Upper Midwest.

“Oh, the temperatures are extreme here,” says Gale Olsen, Fleet Manager for CrossCountry Courier. “In the summer it will go above 100°F (38°C), and in the winter it’s very cold—-30°F (-34°C) and colder!”

Regardless of the temperature, though, the one thing he doesn’t have to worry about, he says, is his UD trucks. CrossCountry Courier has some 80 UD Condor trucks in its fleet of some 115 medium-duty trucks, as well as 65 semi-trailer trucks. The company specializes in overnight freight delivery, with 13 terminals—six in North Dakota, four in South Dakota and three in Minnesota to the east—serving a huge area that extends into Montana to the west and Iowa to the south. The semis carry the loads between the terminals; the UD trucks then head off to the many widely-spread destinations found throughout the region. Even when it’s -30° and very snowy outside.

“Our UD trucks handle the cold very well,” Mr. Olsen says. “The only thing you have to do, as you would for any diesel vehicle, is fuel treatment, and make

sure that the block heater is plugged in overnight.” The block heater, for those from warmer climates, keeps the engine block warm enough that the oil inside doesn’t turn into a cold, stiff goo that makes starting the engine impossible.

The reason he’s a happy fleet manager today, Mr. Olsen says, dates back to 1998, and a persistent truck salesman. “UD Trucks wasn’t in the area then, but there was a sales guy in Minneapolis who just kept on calling. I like to compare trucks, so one day I said, OK, let’s buy one—and the guys just loved it.”

But with the only dealer in neighboring Minnesota, Mr. Olsen wasn’t ready to expand into a fleet of UD Trucks right away. Again, attention beyond his expectations is what won him over, be says. “I was concerned, to be honest, about putting UD trucks in places away from Minneapolis,” he says. “The UD Trucks dealer came to me and asked for a list of all the dealers and service centers we worked with for our other trucks. UD Trucks then talked to those service providers personally, and asked if they would work on UD trucks if we had a problem. They said that they would help them to figure out any problems they might have. They even gave them a phone number at UD Trucks’ US headquarters that they could call at any time to help to service our trucks! No other manufacturer does that!”

So Mr. Olsen was convinced, and has since just kept on adding to his fleet of trucks. While they do have service technicians in some of their bigger terminals, most of the trucks’ service is outsourced—only now there are more UD Trucks dealers in the region.

Next-Day Delivery Across the Great P lains

About CrossCountry CourierWhen the company first began in 1980, it

was also with a Japanese truck: founder

Dewey Tietz and his one Datsun pickup

truck, making deliveries in his home town of

Bismarck, North Dakota. “He started doing

local delivery because he saw a need—simple

as that,” Mr. Olsen says. “Then he had two

pickups, then decided he needed some vans.

But he said that he’d never buy a semi-trailer

truck; now we have 65.”

The company began by carrying equipment to power plants and coal mines. As word got

around and demand increased, the company added a terminal in Fargo, then on to more

towns in North Dakota and on even to the largest urban area in the region, the Twin Cities

of Minneapolis and St. Paul, Minnesota. Today the company employs some 300 people, and

operates 200 of its own trucks.A UD Trucks Condor, one of 80 in CrossCountry Courier’s fleet, at the company’s Fargo terminal

05 #02 | 2012

Feature story

Looking at a route map, it seems as though CrossCountry Courier’s terminals are almost perfectly spaced apart, aside from the two in Minnesota. “That’s because the cities were originally set up by the railroads in the 19th century, just about 100 miles (160 kilometers) apart,” Mr. Olsen explains. “That’s about as far as the steam locomotives could go before they needed more coal and water.” Today, it means that the company’s UD trucks will be driving over large areas between the terminals, largely on good roads but also serving the coal and oil operations that, along with agriculture, is most of North Dakota’s economy. Still, even though they return to their home terminal every night, this means a long day in the cab for the drivers.

“I have one driver right now who is waiting for a new UD truck,” Mr. Olsen laughs. “He’s been waiting a year—we told him he could get a brand-new truck from another maker, but he says he’ll keep driving his old UD until the new one gets here.

“The drivers like them because the trucks are very quiet, they shift very well and they have good power. The clutch is really smooth—it’s like driving a car. And, as the manager, a big thing for me is that the fuel mileage is excellent. This saves us a ton of money.”

And they last a long time. A few years ago, Mr. Olsen says, they would normally replace their medium-duty trucks every five years, at which point they would typically have some 300,000 miles (480,000 kilometers) on the odometer. “With the downturn in the economy, we’re doing like most others and keeping them longer,” he says. “That means that we now have UD trucks with 450,000 to 500,000 miles (724,000 to 805,000 kilometers) on them. And even after we’re done with them, there’s a good market for them, especially in South America!” Buyers, he says, will come across two continents to buy his used trucks, then drive them back to destinations in the southern hemisphere.

Because of its unique service linking this largely rural area with overnight delivery, CrossCountry Courier is doing very well. Mr. Olsen looks at a regional map and says that they would consider expansion. “If we do, it would be down into Iowa,” he says. “We have a lot of companies that are asking us to come into the market.” And most likely, UD Trucks will be there to ensure that he has the service he needs, even as his company moves into new areas.

One of CrossCountry Courier’s Condor trucks heads out into the Great Plains

Photo : William Ross

Location: North Dakota North Dakota, in the north central

United States, is the country’s 19th

largest state, but one of its least

populated. The state is in the area

known as the Great Plains, the largely

flat or slightly rolling terrain of much

of the north-central US and south-

central Canada. Known for its fertile

farmlands, the state has seen an economic boom in recent years due to the

extraction of shale oil in the western part of the state.

Perhaps it is partly due to those temperature extremes deterring new arrivals, but

an interesting fact is that the state’s population is basically unchanged since the

1930s. Fargo is its largest city; Bismarck, home to CrossCountry Courier, is the

state capital and second-largest city.

Los AngelesUSA

New York

Washington D.C.

North Dakota

“I like to compare trucks, so I said, OK, let’s buy a UD —and the guys just loved it” Gale Olsen

Gale Olsen, Fleet Manager for CrossCountry Courier

http://www.youtube.com/user/udtrucksvideosView a video at:

06 #02 | 2012

Feature story

T he eagerly anticipated launch of the New Quon was more than just an occasion to mark the arrival of a new

model, says Pierre Jean Verge-Salamon, Managing Director of UD Trucks Indonesia. “The launch is about providing all the innovations of the Volvo Group that are available now through UD Trucks to our Indonesian customers,” he says. “Not least of these is that we now can provide the new GH13 engine, which provides improved fuel efficiency.” In fact, in testing in Indonesia before the launch of the new Quon, Mr. Verge-Salamon notes that they have seen improvements of six to seven percent in fuel economy. The May 30, 2012 launch of the New Quon in Indonesia was in fact the first globally for the newest member of a family already popular in Indonesia—some 1,200 Quon trucks are sold in the country annually, mostly for the country’s mining industry. The event featured both an press session for Indonesia’s top media representatives, as well as a customer event bringing together some 250 UD Trucks customers and business partners from around Indonesia. “UD Trucks has a very good name in Indonesia,” Mr. Verge-Salamon says. “It goes back to the days of the TDA truck, which was known for being able to go anywhere in the jungle. UD Trucks is still known as a robust product that can deliver good performance in any condition—and mining is one of the toughest conditions in the world.” The launch wasn’t just about the new vehicle, however. “We’re going to change the way we do business,” Mr. Verge-Salamon says. “Selling the truck is not the main thing; it’s much more about telling customers that we are going to follow along with them in service, all the way through.” This includes changes such as the new provision of parts from Singapore, rather than Japan, which will speed replacement deliveries. “We’re ready to set up parts

consignments on site for the customers, and to send mechanics immediately to support them,” he says. “We also have launched a new Genuine parts and oil program, in which we will extend the warranty if they agree to use Genuine parts. “We’re really moving from thinking about the truck as a commodity, to a real

partnership,” Mr. Verge-Salamon says. It’s a challenging job in a country that, east to west, is wider than the US. “It’s what we stressed at the launch ceremony,” Mr. Verge-Salamon says. “We’re now here for total support; we told our customers and partners, ‘We’re really here to help you on the Road to Your Success.’ ”

Indonesia

New Quon launched in Indonesia

UD TRUCKS NEWS

01. The group with the New Quon.

02. At the May 30, 2012 press conference section of the New Quon launch (from left): Harijadi Mawardi, Head of Trucks Division, PT. United Tractors; Pierre Jean Verge-Salamon, President, UD Trucks Indonesia; Loudy I. Ellias, Direc-tor in Charge of Trucks Division, PT. United Tractors; Hendrik K. Hadiwinata, Director in Charge of Sales, PT. United Tractors; Iman Nurwahyu, Director in Charge of Product Support, PT. United Tractors.

01

02

07 #02 | 2012

News

W hen a person buys a new Ferrari, they also get a scale

model Ferrari painted in the exact colors as the full-size vehicle (and, being a Ferrari, no two cars are exactly alike). Buying a truck is a lot different than a Ferrari, but neither is cheap—and both sport custom paint schemes. Now UD Trucks dealers and customers alike can order custom-painted scale model trucks, with the exact same livery as the full-size vehicle. These are great for marking such special occasions as anniversaries (as one Japanese

F ollowing a final audit of the assembly line and a successful quality check

of the first batch of Condor vehicles, the approval to the official start of production of UD trucks in Taiwan was given. In December 2011, Volvo Group Taiwan and Taikoo Motors (a Swire Group Subsidiary in Taiwan) signed an industrial partnership covering the multi-brand assembly of Volvo Trucks, UD Trucks and Renault Trucks under the same roof. “This new development is

truck company recently did, ordering 200 models as giveaways), fleet expansions—or even the first purchase of a UD truck. The scale models are painted in exactly the same colors as the customer’s, with precise logos and details, and are housed in a special display case with wooden base. A custom-painted scale model is a great way to thank a customer for a purchase, or to share the look of your trucks with others. For more information on creating a custom-painted scale model UD truck, please contact info@udtrucksmerchandise.com.

part of our journey to rationalize our assembly activities, and enable the economy of scale in Taiwan for Volvo Group trucks,” says Sebastien Delepine, Managing Director, Volvo Group Taiwan Company. “It also sets a stable industrial foundation to deploy an ambitious multi-brand commercial strategy, aiming at doubling our sales volume by 2014.” “Along with the cost and scale benefits this brings, the new assembly project also marks one more step in building a closer, more responsive

Japan

Taiwan

Custom paint jobs for scale model trucks

Trucks Multi-brand assembly begins in Taiwan

UD TRUCKS NEWS

relationship between Volvo Group and the Taiwan market,” Mr. Delepine says.

No, they’re not full-size trucks: the detailed, custom-painted scale model trucks.

The joint team, at the opening of the new assembly center (above); inspecting parts kits (below).

08 #02 | 2012

U D Trucks recently exhibited a Japan-first telematics solution accessible via smartphone. At both

the Automotive Engineering Exposition, held May 23 to 25 in Yokohama, and at the Commercial Vehicle Telematics and Logistics Control Expo, held in Tokyo from May 30 to June 1, UD Trucks gave a test demonstration of the new app, which allows smartphone access of the UD Information Service. The UD Information Service collects and analyzes information on a truck’s condition, operational status and other aspects, providing valuable information that can boost the operator’s vehicle operating rates, improve the driver’s fuel efficiency and support safe vehicle operation. This telematics system is otherwise available only

via computer, but can now be accessed via a smartphone—which of course can be carried anywhere. “The new service helps the controller find the location of the vehicles easily, so they don’t have to call the driver each time they want to know the truck location,” says Tooru Shibasaki, product manager, Japan Sales. “The controller can also see when a problem occurs with the vehicle. It reduces driver stress, and therefore leads to a better relationship with the controller.” The visitors who tried it said it is a very convenient tool,” adds Tsuyoshi Hayasaka, sales promotion manager, Japan Sales. “We are happy that we could show the possibilities of a smartphone application, ahead of other makers.” Actual release of the app will be announced shortly.

I t was a gala occasion on June 23, 2012, as the long-awaited new Quon was launched in Ethiopia with a major event

at the Hilton Addis Ababa. Hosted by local representative and longtime partner Nyala Motors, the event was a chance not only to showcase the new Quon and GH13 engine, but also to highlight the new UD Trucks—its new official look, new products and new service. The day-long event began with golf and lunch then moved to the hotel for the opening ceremony. Speeches were presented by Mr. A. Abegaz, the CEO of Nyala Motors, as well as by Hiroshi Yokofujita, Vice President of UD Trucks Region North Africa & Middle East—who

opened and closed his speech in the local Amharic language. This was followed by an introduction of the new Quon and other products. Within the ballroom area were displays of the GH13 engine, new UD signage, as well as UD Genuine Parts, part of a new

Japan

UD Information Service smartphone app unveiled in Japan

Ethiopia

New Quon Launch in Ethiopia

aftermarket support that was one theme of the presentation. Finally, outside was what everyone was waiting for—the exhibition of the new Quon. An excellent way to welcome this new workhorse to Ethiopia.

The new UD Information Service smartphone app provides a wide range of useful information right in your hand.

The tape is cut by A. Abegaz, CEO of Nyala Motors (left) and Hiroshi Yokofujita, Vice President of UD Trucks, Region North Africa & Middle East, and the new Quon is launched

09 #02 | 2012

News

Singapore:

The can-do spirit of a unique truck marketFrom simple beginnings, Singapore has grown to become one of the key hubs in global transportation. Easy to get around—nowhere is more than an hour away—it’s also an important and unusual market for all kinds of trucks. Kay Kong Swan (above and right) of leading logistics firm CWT explains how things get moved around in this city-state.

Text by Kjell Fornander Photography by Gerhard Jörén

10 #02 | 2012

Julian Marcus, Senior Sales Executive at UD Trucks Singapore and the key account manager for CWT, talks about what it takes to be a successful salesman in the bustling country:

“I’m old school. It’s all about attention. Trucks are in many ways very similar, as are the prices. The difference is in how much attention you give your customer.

“In the trucking business, every-thing is needed yesterday; service is the make-or-break factor. I take everything my customers say very seriously, and I try to be as attentive as possible to their needs—all their needs. I make sure I’m there when they need me.

“I also make a point of know-ing the drivers. Talking to a driver gives me a feeling for the operating conditions my customer faces. In my opinion, the driver is the first line in truck sales. If he’s not happy, we already have a problem.”

The senior salesmanSingapore is perhaps the ultimate can-do country. From the taxi driver waiting in front of Changi Airport, to the hotel receptionist, to everybody you

meet, the first word is, “Yes, can do! No problem!”

The rags-to-riches saga of Singapore is well known: the separation from the Malaysian Federation in 1965 as a tiny city-state with no natural resources and an uncertain future; then its transformation into one of the most prosperous countries in the world, with a per-capita GDP that is in the top rank of nations. Things in Singapore work.

Singapore also has the second-busiest port in the world, just behind Shanghai. Overlooking the loading and unloading of ships through the floor-to-ceiling windows of his office is Kay Kong Swan, CEO of Container & Steel Logistics Business for the CWT Group. Mr. Kay has been in the industry for the past 16 years.

“Singapore has always been an entrepôt,” he says, referring to its role in importing, exporting and also reshipping goods. “It was set up in 1819 as a trading post by the British. And that is what we still are.”

Mr. Kay is charismatic, easy and just plain fun to interview. Everything is possible, Singapore style. “You need a truck with driver this afternoon for the photos? No problem. Why don’t you take two? I will have them clean and shining in an hour. No problem.”

CWT is one of Singapore’s largest companies. Originally the letters stood for Container Warehousing Transportation, an ample description of the company’s activities. Today, however, they stand for the more 21st-century Connecting World Trade. Which is also true.

CWT was set up in 1970 as a private arm of the Port of Singapore Authority to provide warehousing and container trucking services.

One of the earliest logistics and trucking companies in Singapore, CWT later diversified into other logistics and related services, including commodity logistics and supply-chain management, freight forwarding, engineering and financial services. CWT was first listed on the Singapore Exchange in 1993.

Today, CWT operates in about 50 countries, offering integrated logistics solutions to worldwide customers. It connects customers to 120 ports around the world, and more than 1,200 inland destinations.

CWT also owns and operates around 200 trucks in Singapore, many of them UD Trucks vehicles.CWT provides integrated logistics solutions to a wide range of customers from various industries. The list of complex and sophisticated value-adding services includes everything from the storage and repackaging of bulk goods to end-user specifications, to transport and even engineering solutions.

While Singapore’s strategic location is important, it takes many other factors to become a successful trading port, Mr. Kay says. “The basis is the drive by the Singapore government, which from the beginning has been pushing the hub concept. First of all, you need first-class connectivity. We have that with two ports and a very strong airport. But you also need strong infrastructure. You need land productivity. You must deliver on time, every time. Our road system is fantastic—it takes about an hour or so to travel by truck from one end of the island to the other.”

While Mr. Kay doesn’t mention it, you presumably also need a well-educated and disciplined workforce, which Singapore has. And, yes, that can-do attitude.

The road system in Singapore is indeed fantastic. It’s also remarkably uncongested for such a busy place—there are around five million people living in Singapore. One thing that in particular makes Singapore a very special truck and transportation market is that, without a Certificate of

11 #02 | 2012

Cover story

0101. In one of CWT’s warehouses, Singapore Port in the background. Warehouses in Singapore are often five or six floors tall, connected by spiraling ramps.

Entitlement (COE), you are not allowed to own a vehicle. This system in effect requires vehicle owners in Singapore to bid for the right to buy a motor vehicle, with the number of certificates deliberately restricted. Biddings are held bimonthly, with the prices varying from month to month depending on demand and supply. Roughly speaking, for an entry-level medium-duty truck, the current cost of the COE is about 80 percent of the price of the truck itself.

The number of new trucks registered per year is rather stable at around 1,000. This makes Singapore one of the toughest truck markets in the world. Not only are all major European and Japanese truck brands competing here—but with the COE system, it’s a zero-sum game, where growth can only come with a loss by a competitor.

The Singapore truck market is divided into “continental” (meaning European) and Japanese makers. The Japanese, with UD Trucks as one of the three biggest players, hold about eighty

After a long presence in Singapore through importers and dealers, the Volvo Group established a fully-owned subsid-iary in August 2011. The Group is well established in the Singaporean market, and the only maker with a presence in both the continental and Japanese seg-ments, giving the Group an edge.

The Volvo Group is leading the conti-nental truck segment with Volvo Trucks,

with a 36-percent market share. It is also very strong in the Japanese segment with UD Trucks.

Total annual truck sales in Singapore are approximately 1,000 heavy- and medium-duty trucks. During its first year of operation, the new Singapore sales organization secured more than 300 truck orders, and delivered 182 trucks to customers.

A major player in Singapore

12 #02 | 2012

02 0302. Jack Nadarajan, one of CWT’s drivers, in his UD truck. The driver is an important voice in the truck purchasing process.

03. A CWT truck hauling an ISO tank—something like a shipping container for liquids. In the background is one of CWT’s warehouses, in the company’s characteristic colors.

percent of the total.“Trucking here is exclusively short haul,” Mr. Kay says. “You’ll

find everything from heavy- to light-duty trucks here, but you can reach anywhere on the island normally within an hour. Singapore-registered trucks seldom travel into Malaysia, so even the largest trucks rarely find themselves travelling on long-distance routes.

“That means that the typical work day of our drivers consists of a large number of short trips,” he continues. “The average is around ten trips per day. That means that the truck is idling a considerable part of the day, and the driver spend much more time waiting, compared to larger countries. Singapore is tropical, so good air conditioning and truck comfort are important.”

For these reasons, Mr. Kay says that CWT mainly chooses Japanese over continental. “It’s not that European trucks are not good,” he says. “They are very good for long hauls and they are often technically more sophisticated, but Japanese trucks fit our business better. Today most new trucks in our fleet are UD. Another reason is that ordinary drivers prefer simple-to-use and comfortable trucks.”

The voice of the driver is, in fact, very important for CWT. “Besides a good and reliable truck, the driver plays an important role in fulfilling deliveries, so we want to make sure that the driver has a good working environment when driving the truck. This is why when we plan to buy a truck, perhaps a new one from UD Trucks, we also ask for feedback from our drivers. They definitely have a say

in the purchase process. We believe such engagement is mutually beneficial—it gives our drivers perceived ownership of the truck and helps optimize their working conditions, which in turn boosts work productivity.”

CWT’s relationship with UD Trucks goes back many years. In recent years, however, CWT has been buying more UD trucks than the vehicles of other makers. Mr. Kay explains that this is for reasons that go beyond just the vehicle.

“The prices are almost same for all Japanese trucks,” he says. “The features are also rather similar. The differentiation, and the most important part for us, is in the aftersales service and support. I think UD Trucks is doing this very well. It helps that their service center is here in the Jurong area, only a short trip away. That means that the turnaround time is shorter.

“The economy of scale—UD Trucks being one of the biggest Japanese truck brands here—also means that spare parts are more readily available,” he continues. “But the pivotal event was UD’s introduction of Euro 4 emission standard trucks in 2006. We knew this was coming, but UD was much faster than other makers. They went directly from Euro 2 to Euro 4, leapfrogging Euro 3.

“CWT wants to be a first-mover in our industry, and I like doing business with other first-movers. That’s when our working relationship with UD Trucks became much closer. It helped us to get ahead.”

13 #02 | 2012

Cover story

When Yuusuke Kitajima, formerly UD Trucks Product Design Director during the Quon

design process and today International Design Director, talks about design and trucks, it’s clear that he’s looking at a very big picture. “Design is both about aesthetics and about usability when you’re talking about trucks,” he says. “Of course it’s about a good look and appealing design, but we also have to design for usability, thinking about things such as safety, operability, comfort, functionality, efficiency, the economy and even fuel efficiency. It’s a

lot about working with engineering and product planning.” At the same time, though, the truck has to make a statement about the brand—something that was especially important with the launch of the Quon. “The brand message definitely is communicated through design,” Mr. Kitajima says. “We have to express the UD heritage, the ‘UD-ness,’ in the design.” Even though UD trucks are sold in increasing numbers in markets around the world (please see the news stories on the new Quon launch overseas, starting on page 7), there are some key Japanese design concepts which are

at the heart of UD Trucks designs, but which can also be globally applicable. “These are concepts like simplicity, elegance, thrift, hospitality—the things that most people recognize as ‘Japanese,’ ” Mr. Kitajima says. “The interesting thing for us is how to harmonize these traditions with the new directions for UD Trucks,” says Toshio Shiratori, today Director of UD Trucks Product Design. “The basic brand concept hasn’t changed, but there are new essential values that have emerged as we have become UD Trucks, and part of the Volvo Group. We feel, though, that the combination of modern elements and Japanese

The process of designing a truck—of giving it not just the look that sets it apart and communicates the brand, but of incorporating the functions that make it an efficient business tool— different from that for other vehicles. When the design team at UD Trucks began the work of creating the physical look and functionality of the Quon, for instance, it’s clear that it wasn’t so much starting work on one singular project, but about applying ongoing ideas and sharing perspectives to make sure it is the best driving workplace possible.

Designing Text: William Ross

Interview photography:

Hiroyuki Yamashita

01

The Quon: The process of

the modern truck

14 #02 | 2012

04

traditions is what will create something new and distinctive. So we are very careful about where Japanese elements could be applied.” The process of making this application happens falls to two men: Susumu Ushiyama, who led the Quon interior design team and Takashi Oka, who was responsible for the exterior design. Immediately it becomes clear that there is a basic tension in the design process. “For the interior, we always want to push the cabin out and make things as spacious as possible,” says Mr. Ushiyama. “We wanted to stress the rounded lines around the cab to improve the aerodynamics,” says Mr. Oka. But it’s also clear that these two soft-spoken designers are very unlikely candidates for a full-on arguments demanding that their idea be accepted; both engage in a design process that very much listens to a great many voices. “There are several customers, really, with trucks,” Mr. Ushiyama says. “The driver is in the truck all day, but the fleet owners buy and operate them. With the exterior, you’re really expressing something about the truck and the company to the outside world, while the interior is almost completely about the driver.” The two designers spread sketches across a meeting room table. Some are roughly sketched and hand colored; others are almost photo-realistic and computer generated. “We still prefer hand sketching; it ’s a lot more dynamic,” Mr. Shiratori

says with a smile. “For us, these early sketches for the Quon say more about the ideas!” Mr. Ushiyama shows several illustrating the cockpit area. “What we’re thinking about in the interiors is to provide as much space as possible, and ensure that there is good visibility and safe operations,” he says. “We start by setting the controls so they can all be easily reached, with the important ones closer.” The exterior work, Mr. Oka says, began more conceptually. “Our keyword for the project was ‘Smart

Worker,’ ” he says. “We also wanted the outside to have a wide, strong look, with the rounded lines around the side that draw the eye around to the back. But we also have to really consider performance, so we’re always working with things like wind resistance.” This means that truck design is not done in a vacuum. Both men not only have to work with each other to balance the demands for interior and exterior space, but are also working closely with the engineering and product development departments. They also don’t stay at their design tables. “We went out for a lot of test drives,” Mr. Ushiyama says. “We took rides with customers from Kyushu to Tokyo, did some rides on the cold-weather test tracks, and did a lot of research. We even went to highway parking areas to talk to a lot of drivers to get their ideas as well. In the end, what we’re doing is product design, not primarily styling.” The one thing that’s hardest to get an answer about is actually an easy question: when did work on the Quon design actually begin?

01. The UD Trucks design leaders: Takashi Oka, Toshio Shiratori, Yuusuke Kitajima and Susumu Ushiyama

02. A concept sketch for the Quon, complete with aircraft design references with new UD logo.

03. Early sketches for the Quon cockpit.

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15 #02 | 2012

Design

“Well, there was a kick-off meeting,” says Mr. Shiratori, “but from the time of the previous truck launch, we always have things that we want to improve. We’re always sketching ideas and thinking about things we would like to see on a truck.” So while truck companies only launch new models every few years, the design thinking never stops—and there are incremental changes all the time. That becomes clear as we move to another building past the assembly areas at the Ageo factory. After passing a security clearance, we enter the UD Trucks design studio, with a one-fifth- scale clay truck model ready on a table. As modeler Masashige Suzuki uses a scraper to smooth the door area of a

miniature model, both head designers move in to explain a common process. “We do often get together and talk around the model,” Mr. Ushiyama says. “No matter how long you look at a design on a screen, its different when you actually see it physically.” Mr. Ushiyama and Mr. Oka will often use the models, they say, to discuss the balance of interior and exterior, while things may actually change in areas such as the lines which give the truck a sense of speed, elegance and power. “We will make several versions, then compare them,” Mr. Ushiyama says. “I often will change the shape and lines because what we see on the model just wasn’t the same as what we expected.”

“We’ll also build clay interiors models, but these are a lot more difficult to create,” Mr. Ushiyama adds. “For these, the model builders will create them in sections, then assemble the parts. It’s helpful for us as designers, but also in showing others exactly what is happening in design.” On the table today is a one-fifth- scale truck model; one section is hidden from the camera lens by tape, as it is very much a work in progress and not ready to be seen publicly. At times the designers may make a model with different scale; while around the room, hidden under sheets, are full-scale mockups of trucks (but exactly what is there is not open to outside eyes). And the collaborative process will continue. “With this kind of design, we’re building for the customers, not to satisfy our interest in design,” Mr. Shiratori says. “We need to learn from as many people as possible, so we can design a truck that looks great, but also does the job in the best way possible. That’s even more important as UD Trucks continues to be a more and more global brand. We need to respond to customers in markets all over the world, and be able to provide them with the design and functional details they need in their area. At the same time, though, we do need to treasure the Japanese design elements that make UD Truck design unique, and continue to make use of them in tomorrow’s trucks.”

01. Takashi Oka refines the lines on a new truck with model maker Masashige Suzuki

02. Another concept sketch for the Quon, stressing its aerodynamic qualities

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Design

J on McLean has been named the new Vice President of UD Truck Sales. Bringing long experience in other Volvo

Group brands to the position, Mr. McLean replaces Erik J. Andersson, who is returning to his native Sweden as Vice President, Logistics Purchasing, Volvo Group Trucks Operations—Logistics Services. “To join the UD Trucks family in this position is a great honor, as these are exciting times for the company and the industry in Australia,” Mr. McLean says. “Even though much of my past has been involved with the Mack, Volvo and Renault brands, I am incredibly excited by the challenge that lies ahead. “I believe that within the Volvo Group, we all share the one goal, and share in the

U D Trucks has strengthened its ties with V8 Supercar, Australia’s premier motorsport racing

category, by extending its sponsorship to four cars in the top two tiers of the sport. UD Trucks already sponsored Garth Tander and James Courtney of the Toll Holden Racing Team, and adds Supercheap Auto Racing driver Russell Ingall in the Super V8 Series, along with Nick Percat of Coates Hire Racing in the Dunlop Series. “UD Trucks is incredibly excited and proud to once again be partnered with the Walkinshaw Performance teams in V8 Supercar racing,” says Cris Gillespie, Marketing and Communications Manager of UD Trucks Region Oceania. “2012 promises to be a big year for everyone involved.” UD Trucks first joined with Toll Holden for

same great passion across all of the brands which we represent.” Mr. McLean comes from a previous position as Vice President of Aftersales and Services, and is a veteran in the Australian transport industry. He first joined Mack Trucks as a mechanic in 1980 in Rocklea. He later held positions in the Renault Bus Division as leading hand, service engineer and Sales/Parts/Service Coordinator, before

the 2011 series, a successful year that saw both Courtney and Tander taking a number of victories, including the 1,000-kilometer Bathurst 1000, won by Tander with the up-and-coming Percat. “All four of our drivers are champions,” says Mr. Gillespie, “and it’s great to have Russell and Nick join Garth and James in the team.” It’s not just that the UD Trucks logo will be emblazoned onto the rear quarter panels of the four drivers’ cars; the cars will also be hauled in trailers pulled by a pair of UD GW 470s—powerful, but also the cleanest heavy-duty truck in Australia. “UD Trucks is excited to offer the cleanest and greenest heavy duty truck in Australia to the teams,” Mr. Gillespie says. “The GW470 Automated prime mover that the two teams will be utilizing for the 2011 season is the only heavy duty truck in Australia to meet the stringent JPLT 05 emission standard.” The GW has also been Australia’s number-one-selling Japanese prime mover for the past six years.

becoming National Service Manager for Mack Truck and Bus. He then spent more than 10 years in managing company-owned dealerships in Adelaide, Darwin and Brisbane—and also found time to complete a Graduate Certificate in Management at the University of Adelaide, and a Masters of Business Administration at the Queensland University of Technology.

Australia

Australia

New Vice President for UD Trucks sales in Australia

UD Trucks expands racing sponsorship

UD TRUCKS NEWS

Jon McLean, new Vice President, UD Truck Sales

01. One of the two Toll Holden cars supported by UD Trucks (logo above rear wheel).

02. Supercheap Auto team car, driven by Russell Ingall.

01

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17 #02 | 2012

News

Brad Carraill, Garden Grove’s Managing Director and son of company founder Jim Carraill, oversees the continual development of the business—

including the recent addition of a UD Trucks GW470 to the fleet. From road trains all the way down to small tippers, the company has the flexibility to meet any need. Originally a farmer, Jim Carraill also drove a tipper carrying deliveries from quarries in the Garden Grove suburb of Adelaide, the roots of the company name. “Basically,

Garden Grove was out in the middle of nowhere in the early 1980s,” Brad Carraill says. “Dad was carting garden supplies out to other landscape depots, and occasionally bringing a load back to base as well. Sometimes he would only have a half load on board, so instead of taking it back, he would just dump the supplies in our front yard. People would see the products lying around, and make enquiries about buying them.” Later on, Mr. Carraill says, major housing developments began springing up in the

Garden Grove area. “With a lot of houses being built, our retail and landscaping opportunities grew.” Today, the business uses every available piece of land on the 10-acre property surrounding the family house where Brad Carraill grew up. Complete with a retail nursery and garden store, the facility also stocks all manner of sand, soil, mulch, metal, lawn, pavers and building supplies, catering for small domestic projects right up to massive commercial contracts. The largest of these contracts can see

01

Garden Grove Expands with UD Trucks

It’s hard to drive around the streets of Adelaide, the capital of South Australia, and not see a Garden Grove truck passing by. Situated on the city’s northern outskirts, Garden Grove has grown from almost accidental origins to become one of the country’s leading landscape supply companies. As it has diversified its business, the company has seen incredible growth in its transport division, which now has a fleet of some 100 trucks—including its first UD truck.

18 #02 | 2012

the long-haul fleet travel to every mainland state, with the journeys taking in distant destinations such as Darwin in the Northern Territory, a 6,000-kilometer round trip. Garden Grove’s UD truck, however has been set to work on more local routes, with its current daily run an across-town shuffle from a quarry in Garden Grove to the Bolivar Sewerage treatment works. The 40-kilometer return drive takes in several major hills, with often loose dirt roads at either end. The fully laden truck takes in all of these obstacles with ease. In the first 12 months of operation the UD has racked up a trouble free 150,000 kilometers of service. At the start of its tenure at Garden Grove, the GW ran overnight trips to Ceduna, some 770 kilometers to the east of Adelaide. These

days however, while mated to a four axle dump trailer, the outfit is utilized on stop-start city roads. One area which sets the Garden Grove fleet apart is the presentation of the vehicles and trailers, with stand-out vinyl wraps and decals which were used before the practice became the norm. With the trucks finished with polished aluminum and additional running lights, drivers typically find their vehicles equipped with GPS tracking and navigation, reversing cameras, two-way radios and mobile phones. The company has a general preference for manual transmissions, but Mr. Carraill admitted that, “The next time we look at a UD Truck, we would definitely consider the automatic option.” With such a large and active fleet on the

roads, servicing is of utmost importance for the company. On site is a fully functioning workshop, which is complemented by fuel bowsers and Ad Blue storage tanks. “We have our own workshop here; it doesn’t quite run 24 hours a day, but it runs two shifts, as a lot of the major servicing is done in the evenings and the weekends,” Mr. Carraill says. “We try not to take too many trucks off the road during the week.” So how has the UD Trucks trial gone for Garden Grove? “It’s gone quite well!” he says. “We were only just talking to the dealer the other day about getting a quote on another one. We’re definitely considering getting more in the future.”

01. The company that began with one tipper; Garden Grove’s brightly colored trucks are a familiar sight in Adelaide.02. Garden Grove’s first UD truck takes off for another landscaping run.

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19 #02 | 2012

At the wheel

花火

01 02

Every July and August, fireworks festivals are held across the country. “Overseas, fireworks often add excitement to the main event,” says Hiroyuki Takeyama, a

planner for Marutamaya Ogatsu Fireworks Co. “But in Japan, fireworks are the main event.”

Many accounts contend that Japan’s love for hanabi (literally, “fire flowers”) began with imports by European traders around 1600. Under the Tokugawa Shogunate, which ruled from 1603 to 1868, the tradition flourished in the de facto capital – Edo, now Tokyo.

Back then, Mr. Takeyama explains, “Hanabi were quite spiritual. The annual Sumida River Fireworks started in 1733 as a prayer for victims of famine and disease.”

Early in the 19th century, a rivalry erupted between Kagiya, Japan’s first fireworks guild, and a Kagiya apprentice who opened his own shop under the name Tamaya. Vying for onlookers’ roars of approval, they honed their designs and developed the art – that is until 1843, when a fire that spread from Tamaya’s workshop resulted in his banishment from Edo.

Since then, Kagiya and others have kept the competitive spirit alive – including Marutamaya Ogatsu, which was established in Edo in 1864.

After World War II, Marutamaya marked Japan’s new constitution with a show in front of the Imperial Palace. Urban sprawl eventually forced the company to move production from Tokyo to the expanses of Ibaraki and Yamanashi. But some things

haven’t changed. “Fireworks are generally mass-produced

abroad, but in Japan we still make them by hand,” Mr. Takeyama says.

The main difference between typical foreign shells and traditional Japanese ones is their shape. While the former are cylindrical, Japanese are spherical – allowing for near-perfectly round, multicolored chrysanthemum blooms. “Gunpowder charges, mixed with chemicals for color, are arranged in both halves of a shell,” Mr. Takeyama says. “The halves are then merged into a ball

The history of pyrotechnics (fireworks, in other words) spans centuries and oceans – from China to Europe, back to Asia and to the New World. Yet in the 400-odd years since fireworks appeared in Japan, they’ve become more than ooh-and-ah-inducing novelties. Refined through competition, hanabi have become synonymous with summer and symbolic of Japanese aesthetics. Text & photos: Jim Hand-Cukierman

Spark

Seekers

01. Hiroyuki Takeyama stands outside the Marutama-ya Ogatsu head office in Fuchu, Tokyo. Mr. Takeyama holds a sample of a typical spherical Japanese shell.

02. Tsunehiro Yamagata stands outside his company’s warehouse in Tokyo’s Taito Ward. The sign reads “hanabi.”

#02 | 2012 20

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and wrapped. Any miscalculation and the colors won’t align, or the flower won’t be round.”

Mr. Takeyama says manufacturers still compete on design, particularly color. They are also hanging on in the face of another sort of competition – the global kind. “China is the main fireworks-producing country now,” he says.

There’s little danger that Japan will stop making large shells, but a more modest pyrotechnic tradition was nearly lost to outsourcing.

Senko hanabi, or “incense-stick”

fireworks, are 25-centimeter-long shafts of twisted tissue paper containing gunpowder grains. Held at one end and ignited at the other, their sparks dance gracefully in the night. And in 1998, due to cheaper production in China, domestic output ceased.

“I thought it was a tragedy,” says Tsunehiro Yamagata, chairman of Yamagata Shoten, a toy and fireworks wholesaler founded in Tokyo in 1914. “I did everything I could to bring them back.”

Two years later, having found authentic materials as well as some elderly ladies

who knew how to make the sparklers by hand, he succeeded.

One Chinese senko hanabi sells for two yen (about three cents), whereas Mr. Yamagata’s go for 50 yen. But he’s found a niche of nostalgia and symbolism. After all, senko hanabi are said to represent life itself, passing through four stages – infancy, youth, middle age and old age – in seconds.

Asked how fireworks fit into Japanese culture, Mr. Yamagata puts it this way: “They did a survey about summer traditions people can’t live without. Hanabi was No. 1.”

But why summer? Harking back to those spiritual beginnings, some say fireworks purify the air for Bon – a period when spirits of the deceased are believed to return to visit their relatives. Others posit that a night of hanabi is simply the perfect respite from the dog days. Telling spine-tingling ghost stories is another Japanese summer tradition, and the explosions are certainly chillingly beautiful.

At any rate, other customs, like cherry blossom viewing, may be more commonly associated with Japan. But fireworks are just as close to the nation’s heart.

03. A near-perfectly round bloom of a spherical Japanese hanabi shell (photo courtesy of Marutamaya Ogatsu Fireworks)04. Yamagata Shoten’s senko hanabi – toy fireworks made out of tissue paper and gunpowder grains05. The sparks from senko hanabi dance in the night

21 #02 | 2012

Tradition

In 2009, Footwork Express, one of Japan’s 10 largest logistics companies, became a fully-owned group company of Toll Holdings, Australia’s, and Asia’s, largest integrated logistics provider. On March 30 of this year, that relationship was made even clearer as the company was renamed Toll Express Japan. Today the company is facing a very interesting period, with the parent company strengthening its safety-first policy as it also becomes a more integral part of a true global transportation company.

A Global Logistics CompanyTakes a Strong Stance on Safety in Japan

It makes sense for an Australian logistics company with global ambitions to acquire a Japanese company, says Neil Pollington, CEO of Toll Express Japan.

“Japan is a very important part of global logistics in the Asian region, which is why we originally looked at Footwork Express,” he says. “We saw three strong points for the company. First, it had a long-established network in Japan. Second, it had a well-established name value and reputation. And third, it had built a strong relationship of trust with its customers.” Footwork was very much a domestic logistics company, though. Mr. Pollington notes that now the first steps have been made to bring global thinking into Japan.

Even prior to the name change, this process began at the new Komaki Branch in southern Aichi Prefecture, west of Tokyo, in December of last year. The Komaki Branch, Mr. Pollington explains, is a place where the company is bringing together the experience Footwork Express has gained in the Japanese market with the global knowledge of the Toll Group. “Our global mission is to create a transportation system that is both safe and speedy, with improved service quality,” he says. “For the future, that means a fully automated materials handing system here in Komaki. It can then be a model branch for Toll Express Japan.” One special area of focus is on the importance of safety. “Safety is the number-one priority throughout the Toll Group,” Mr. Pollington says. “So as a basic part of our thinking about safety, we have been conducting a review to make sure that all employees are sufficiently aware about the importance of safety. The company has established safety standards and manuals for Japan, with the goal of eliminating vehicular as well as handling and work-related accidents.” This has also resulted in a number of concrete steps having already been taken in Komaki, says Masahiko Hashimoto,

Tokai Regional Manager. “This means things like physically separating the walkways and vehicle paths, the palette storage and assembly areas, and dangerous

This started with a restructuring of the nationwide logistics network, and a review of operations at all of the centers around the country. “We are especially focusing on improving customer satisfaction and efficiency,” he says. “We are applying the Toll Group’s know-how, and introducing technologies new to Japan. That is why we have brought four Australian managers in and stationed them in our regional offices in Japan. Their mission is to review the distribution terminal operations, the operation of systems, and to improve the details of work at the local branches, and to work with the local branch and office managers to enhance the skill level of everyone at the local level.”

Toll Express Japan CEO Neil Pollington

Masahiko Hashimoto, Tokai Regional Manager

22 #02 | 2012

goods and the areas for storing other goods,” he says. “We have established a traffic management system that moves vehicles through the premises on one-way paths and in a clockwise pattern, and have mounted signs and guardrails in a highly visible yellow color. We also made sure that employees are well rested, and have created a dormitory, relaxation room and bath.” Although the drive for a safer company is not just about plans handed down from top management. “We have meetings three times daily at Komaki where we bring together all employees, including pickup and delivery drivers, line haul drivers,” says Tetsuo Tateishi, Komaki Branch Manager.

“One of the most important things at the meetings is when people talk about any close calls they had the previous day. It’s all about sharing personal experience with hazards on the job.” Even though it’s still early in the process, both managers say that improvements have already been seen. They note the variety of comments they have received from drivers that they can really feel the level of safety increasing. One thing that the company insists on as part of its growth as an international logistics company is a high level of safety at all its centers around the globe. Managers must therefore work

with global standards and measurements of the level of achievement. But how do you go about measuring safety? “Normally we talk about key performance

Toll Express JapanFounded: 2002

Headquarters: Suita City, Osaka

Business activities: Transportation, logistics, planning and development, international logistics

Branches in Japan: 84

Employees: 5,578 (including 2,957 drivers; not including Group companies)

Vehicles: 3,800 (all Group)

indicators (KPIs), but the main indices in safety include vehicular accidents, worker injury and goods damaged,” Mr. Hashimoto says. “All of these indices are shown as numerical values, so that the ones that stand out are those which obviously need improvement.” It’s not only the area of safety where there is change bringing more awareness, and more responsibility, to all employees of the company. Mr. Pollington says that it all begins with education. “We want to increase the skill of managers and supervisors in reading financial statements, and train everyone to increase their productivity. We also want to undertake

training for handling on-the-spot transport problem resolution. And most of all, for the pickup and delivery drivers—the main point of contact for the customer—we are considering introducing customer service training.” “Whether it’s Australia or Japan, in the transport business it’s all about

repeatedly working to improve, day by day, and increasing accuracy and quality,” Mr. Pollington continues. “To accomplish this, we’ve broken away from old ways of thinking and brought the decision making down from head office to branch level, which is much closer to our customers. That means an innovation of management through work-area leadership, while it also speeds up decision making.” For the Japanese managers, this has brought about an exciting change in the company. “Everyone gets a much better sense for management,” Mr. Hashimoto says. “Each branch releases their profit-and-loss statement at monthly meeting. The choice of those figures is not directed from above, but independently decided from the bottom up. This deepens the sense of confidence for people at the branch level, and makes for a more autonomous organization. In the bottom-up culture of this company, decisions are made via internal electronic approval system, and this helps decisions to be made much more quickly.”

“For example, in the past it would have taken a lot of time if we wanted to change the transport system or make some improvement,” Mr. Tateishi says. “Now there is much more communication between people like me and the staff, so we keep moving ahead. By increasing local decision making and creating a more bottom-up system, people are more proactive and communication is better.” But, at least where safety is concerned, Mr. Pollington still feels a strong sense of personal responsibility. “Regardless of how small the accident might be, people involved have to submit a detailed report to head office not only on what has happened, but what safety measures have been taken to ensure that the accident won’t happen again. This Incident Hazard Report (IHR) must be submitted within 24 hours. But often I will go to the site myself so that I can both see and hear what has actually happened. My thinking is that, if the head of the company isn’t focused in safety, we won’t be able to eliminate accidents!”

Truck bays, equipped witih electrically-operated, airbag-equipped load levelers

Tetsuo Tateishi, Komaki Branch Manager

Mr. Tateishi in the Komaki dock office

23 #02 | 2012

Case Study

We’re pleased to announce the opening of the UD Trucks Merchandise

online store. One on-screen spot for the UD Trucks enthusiast to find

scale-model Quon and Condor trucks, key rings, laser-engraved

Condor paperweights, stickers, patches and much more.

Whether you own, drive, work on or simply enjoy

the UD Trucks style, here’s the online store where you can order

UD Trucks goods with just a simple click.

UD Trucks Merchandise: get it online!

1-1, Ageo-shi, Saitama 362-8523, Japanwww.udtrucks.com

http://udtrucksmerchandise.netVisit :