Supply Scan

 

» Coca-Cola Enterprises To Purchase Hybrid Trucks From Kenworth
As part of its overall commitment to energy conservation and climate change, Coca Cola Enterprises (CCE) plans to deploy an incremental 185 hybrid electric trucks across the United States and Canada in 2009, bringing its total number of hybrid electric delivery trucks to 327, the largest such fleet in North America.

The Atlanta-based soft drink maker is purchasing the trucks from Kenworth Truck Co., Kirkland, WA. This is Kenworth’s largest hybrid truck order ever. CCE has ordered 150 Kenworth T370 diesel-electric tractors and 35 Kenworth T370 hybrid trucks, all of which will be on the road this year.

The Kenworth T370 tractors (rated at 55,000 lb. GCW) are the largest hybrid delivery trucks on the road.

CCE uses tractors as its standard bulk delivery truck for large deliveries and plans to deploy the Kenworth hybrid tractors to Atlanta; Boston; Chicago; Dallas; Denver; Detroit; Houston; Los Angeles; Miami; Montreal; New Orleans; New York; Portland, OR; San Antonio; San Francisco; Seattle; Tampa; Toronto; Vancouver; and Washington.

The Kenworth T370 hybrid trucks (rated at 33,000 lb. GVW) will be deployed to Albuquerque; Boston; Cincinnati; Columbus, OH; Jacksonville, FL; Knoxville, TN; Las Vegas; Missoula, MO; New Orleans; and Seattle, joining CCE’s fleet of 120 Kenworth 12-bay hybrid delivery trucks.

“Coca-Cola Enterprises’ commitment to deploy fuel-saving Kenworth hybrid tractors and trucks into the North American market is an outstanding demonstration of corporate responsibility and sustainability,” says Bill Kozek, Kenworth general manager and PACCAR vice president.

“We are very pleased to partner with Coca-Cola Enterprises to save fuel and reduce emissions,” adds Kozek.

Coca-Cola Enterprises has achieved increased fuel efficiency and decreased emissions on its original order of 120 Kenworth T370 hybrid beverage delivery trucks deployed throughout the United States and Canada last year.

“The Kenworth hybrids are performing well, with a more than 30 percent improvement in both fuel efficiency and greenhouse gas emissions, compared to standard beverage delivery trucks,” says Gary Kapusta, the company’s vice president of indirect procurement.

Coca-Cola Enterprises’ Kenworth T370 hybrids are equipped with a PACCAR PX-6 engine, rated up to 280 hp and up to 660 lb-ft of torque and the Eaton diesel-electric hybrid power system. The hybrids also have an integral transmission-mounted motor/generator and frame-mounted 340-volt, lithium-ion battery pack.

Advanced powertrain controls monitor driving conditions and automatically select the ideal power mode, smoothly switching among electric only, combined diesel and electric, and diesel only power modes. Electricity generated through regenerative braking is stored and used for acceleration, assisting the diesel engine.

The hybrid system is monitored through a dash display. As the power requirements for different driving conditions change, the screen constantly updates the driver on system status.

» Wal-Mart Joins Hanson’s Consolidation Program
Hanson Logistics has been accepted as a third-party consolidator for Wal-Mart Stores Inc.’s suppliers, serving the nation’s largest retailer through its Chicago Consolidation Center and Velocities’ MVC.

Launched in 2006, the Hanson Velocities’ Multi-Vendor Consolidation (MVC) program leverages Hanson transportation management services and the strategic location of the Chicago consolidation center to provide cost-effective truckload distribution services to retailers and foodservice companies.

In the Wal-Mart vendor pool, refrigerated and frozen food suppliers maintain forward inventory at the Hanson Logistics Chicago consolidation center. When Wal-Mart places replenishment orders, Hanson picks those orders from all suppliers and consolidates them into truckload shipments.

In this win-win program, Hanson Logistics works directly with Wal-Mart to relieve suppliers of the tedious tasks associated with order fulfillment and provides transparency through web-based order management.

Food manufacturers share truckload savings when shipping smaller, higher frequency orders; Wal-Mart receives scheduled, consolidated truckload deliveries consistent with its continuous fulfillment strategies. What’s more, the efficiencies contribute to sustainable supply chain initiatives.

Hanson Logistics has established a set sailing schedule to all 41 Wal-Mart distribution centers in the U.S.

» ATA Issues Truck Driver Compensation Study
The American Trucking Associations has released the ATA Driver Compensation Study with data from 2007 and 2008 operations. It is ATA’s first report on driver compensation since 2003.

“The trucking industry faces many challenges in 2009,” says president and CEO Bill Graves of the ATA, Arlington, VA. “Appropriately compensating and retaining top-notch drivers is a necessity for companies trying to weather the current economic storm.

Graves pointed to a number of important areas in the study, including data on:

  • Employee driver salaries on national and regional levels;
  • Employee driver salaries by carrier type (flatbed, refrigerated, truck and more);
  • Employee driver benefits, including bonuses, insurance, and vacation;
  • Employee driver recruitment, training and retention practices;
  • Owner-operator employment and compensation structure;
  • Technician employment, salaries and benefits.

The ATA Driver Compensation Study can be purchased at www.ATABusinessSolutions.com.

» VICS, GS1 Launch Empty Miles Service
The Voluntary Interindustry Commerce Solutions (VICS) Association, GS1 Canada and GS1 US are launching a solution to optimize truck transportation by reducing the number of trailers traveling without loads throughout the continent.

The Empty Miles Service matches a company’s trailers that are returning empty with potential loads that can be collected and delivered along the return route. For participating companies, the VICS Empty Miles service will save money, produce revenues and reduce greenhouse gas emissions and fuel consumption across North America.

VICS members using real data in a structured pilot program have tested all functions of the Empty Miles Service.

Pilot participants, which include several of North America’s largest retailers, consumer goods suppliers and transportation carriers, have found the Empty Miles Service easy to use, simple to operate and powerful in terms of results.

VICS Members can participate in Empty Miles for $1,600 per year. Non-members will be charged $1,850 per year. Pricing is by year, not by shipment or mile, which encourages companies to take maximum advantage of Empty Miles. By registering more routes in the Empty Miles system, companies can increase the savings derived while minimizing cost per shipment.

“Pricing for Empty Miles offers an excellent value for companies. Subscribers will include companies with unused capacity and shipping requirements that can be satisfied through a repetitive commitment, like regularly traveled backhauls,” says Joe Andraski, president and CEO of VICS. “Both VICS members and non-members will be permitted to use the system since the more participants it has, the more closely it will match loads with return routes.”

» Nestle Building Factory, Beverage DC In Indiana
Nestle is building its largest ready-to-drink aseptic products factory in the world in Anderson, IN, with production dedicated to meet growing U.S. consumer demand for its Nesquik Ready-to-Drink and Coffee-Mate Liquid products.

“Our Anderson facility gives us a unique platform to leverage our nutrition, health and wellness strategy in the United States. It will allow us to create and develop new and innovative ranges of healthy and nutritious beverage products and bring them to market,” says Nestle CEO Paul Bulcke. “We’ve made our products better for the consumers, and with this facility, better for the environment.”

The Anderson factory has applied for LEED certification, meaning the facility meets a suite of standards for environmentally sustainable construction as determined by the U.S. Green Building Council (USGBC). It also has improved recyclability of resin packaging, a wastewater recovery system for reuse in cooling towers and uses low-emission natural gas boilers.

» Gordon Food Service To Build Automated Facility
Gordon Food Service, a Grand Rapids, MI-based broadline foodservice distributor, has awarded a multi-million dollar contract to FKI Logistex, St. Louis, for an automated material handling system.

FKI will provide the system for the new GFS regional multi-temperature distribution center (DC) in Kenosha, WI. This is the second FKI Logistex system installation for GFS since completion of the Shepherdsville, KY distribution center in 2003.

The Kenosha DC was designed to provide enhanced service to regional customers while cutting transportation distance and costs. The 480,000-square-foot facility is the largest GFS facility in the region and will include five pick modules, multiple slapper lines, a turnkey conveyor system and a UniSort XV sliding shoe sorter.

The system, which boasts over 30,000 feet of conveyor, relies heavily on FKI Logistex software and controls to maximize throughput while maintaining segregation of temperature zones and a strict order stop sequence for loading shipments.

“We chose to work with FKI Logistex based on our existing partnership and the success of the system installed in our Shepherdsville, Kentucky distribution center,” says Kirk Mortenson for GFS. “For this new installation, FKI Logistex is working closely with us to design a system that successfully meets our unique business needs.”

GFS specializes in direct-to-customer deliveries, which include a combination of smaller orders and larger multiple mixed pallets loads. This unique business model called for a customized DC, which was developed in partnership with the FKI Logistex Solutions Development Group. Development advisors worked closely with GFS on planning, design and simulation to create a personalized system to handle the company’s freezer, grocery and warehousing needs.

Construction on the DC began in June 2008 and FKI Logistex will begin the system installation in spring 2009. The Kenosha DC is scheduled to open in early 2010.

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