Cheetah Speed - Vol 1.4

Trucking? Delivery? Transportation? Or?

Editor's Notes: In this issue

As I was putting together this month’s issue of Cheetah Speed I came across a fascinating article on microjets and how one day they might rule the skies or at the very least the airports. In case you are unfamiliar with this breakthrough in aeronautical technology, microjets cost about half as much as earlier comparable aircraft and cost relatively half to operate. You win at both ends. If you see an airplane in your company future chances are you will look into this new breed of aircraft. The key player in these new technologies is a company called Eclipse Aviation in Albuquerque, New Mexico. Eclipse is in “the business of designing, certifying, and producing modern, affordable jet aircraft that will revolutionize the transportation market.”

www.eclipseaviation.com

Now you may wonder as to why I bring this up in June in a newsletter whose chief public is the trucking industry. But truly there is a method to my madness. This article and subsequent visit to the web site struck a very strong chord. It reminded me of a marketing course I took very early on my career (yes, way back when). We were discussing a variety of different businesses and industries. Suddenly, our professor asked that we determine what business each of these companies was in and how they transformed them or were in reality transformed in some way by them. As you might imagine, this led to some serious discussion and thinking. Am sure now you are really scratching your heads wondering where this is going to go. Well one of the industries was the transportation industry which is why the Eclipse statement rang a bell. Take a look at the Scope section for the rest of the story.

And as promised last issue, we continue our interview with Mark Headrick, the Director of Information Technology at Benton Express with his most interesting story of integrating Cheetah into their transportation empire.

If you have any questions or thoughts regarding logistics and communications technology and the transportation industry drop me a line. I would love to hear from you. Write to the

info@cheetah.com

Best,

Larry Jaffe
Editor, Cheetah Speed

Scope: Trucking? Delivery? Transportation? Or?

At the turn of the 20th Century, the transportation industry was at a major crossroads. The horse and buggy era was at a close with railroad and motor vehicles coming into the fray. Of course the horsepower standard which evolved from the era became the measurement to all engines hereafter; so powerful and lasting was this image. A transformation was taking place and it was happening very rapidly especially for its time. The advancements in new technologies was astronomical for this time period from motorized transport to electric lights and telephone, this was truly an amazing era. It could only be topped by what has been happening in recent years.

But think of the opportunities for those that could think big and beyond their own company and customers. And then no doubt think of those that were stuck in the rut of being the proverbial buggy whip manufacturer.

Before the motor vehicle, the buggy whip manufacturers were a prosperous lot. Let's face it, if you had a horse and carriage you had to have a buggy whip. When asked about their business and profession, the buggy whip manufacturer would proudly iterate that he was a buggy whip manufacturer and had no aspirations to being anything else. He could or would not think beyond the scope of his business, i.e., the length of a buggy whip perhaps!

The buggy whip is now a thing of the past as its manufacturer. What happened is that he did not realize he was in the transportation business and that in order to advance he had to continue to find his niche in this expanding industry. Had he done so, perhaps he might have gone on to manufacture some other integral parts for the horseless carriage such as brake cylinders or gas pedals (the modern equivalents).

The lesson learned is what is the true business one is in and not just the specific category so one can adopt and advance and change with the needs and the times. Flexibility and vision are needed now more than every as technologies penetrate our daily lives ever more than before.

The transportation industry is once again in the midst of change. Part of this is due to the extraordinary efforts of the major corporations like UPS and FedEx. Their emphasis is not just on the delivery per se but very importantly the ability to know the status of that delivery. Everyone is affected by this advancement in information exchange from the taxicab dispatcher to the IT director and a major LTL. People want and need information on their shipments and deliveries. They do not want to know approximations, they want precise “Just In Time” deliveries! We have seen great strides made in the area of real time communication with real-time routing, etc. But where does it go from here. Where will the next technological breakthrough occur and are you not simply ready for it but already thinking on how to employ it to benefit and expand your organization?

Another area of concern is the constant shadow of big businesses who may see your territory ripe for their own expansion. Will they buy you out or shut you out with their larger budgets and capacity? Will you be able to compete like a Benton Express (see below story) and almost overnight (in comparison) go from notebook and pad to computerized automation?

Competition is a serious consideration and must be taken into account with your growth and expansion plans.

Again, what business are you in? FedEx and UPS consider themselves to be in the information industry as much if not more so than the transportation business. Where do you fit in? And very importantly, where will you fit in?

The future is bright and filled with many possibilities. You company must not just look at current technologies that can streamline your operations but also those emerging technologies like that of the microjet and how you can take advantage of same. Of course there are many avenues to explore, each depending on your market area, the public you serve, your vision for yourself and the organization and very importantly the capacity to change. We live in a highly explosive era, in order to move on we must grasp the nuances of the current culture but also the nuances of the future.

Word: News from Cheetah Marketing & Sales

Affordable Technology

The word is out. Not only does Cheetah software represent the technological breakthroughs your organization needs to expand and streamline but also to help you get more profitable. It may be difficult to believe but Cheetah is truly affordable. We can help finance your expansion and automation. That's because Cheetah is available by subscription. No more upfront costs or heft investment in manpower and hardware.

Cheetah's subscription approach means that all you have to do is connect to the Internet and Cheetah will take care of the rest. We maintain and update the software automatically and will help in training your team to put your company online Today!

Route-Mapping Software Helping to Cut Fuel Costs, Execs Say

Selected from the May 1 print edition of Transport Topics a story by Staff Reporter Tarun Reddy.

Executives with technology firms and carriers said mapping software that optimizes delivery routes is becoming an important tool for reducing expenses as fuel prices rise.

“If you can have more stops with fewer drivers, that’s how you make money,” Stefan Karczag, vice president of sales and marketing at Cheetah Software Systems, told Transport Topics.

Falling costs for cellphones and other wireless devices are also leading to strong demand in nearly all trucking segments, Karczag said.

“Companies are taking a stronger interest in route optimization software than in the past,” said Ed Siciliano, vice president of sales and marketing at ALK Technologies.

Product Lines: Real-Time Customer Service

Imagine your customer clicking to your web site and then logging on to a special page with constantly updated status of their shipments and deliveries. Imagine the time savings for your personnel and how you can expand without having to hire more CSR's (Customer Service Representatives) to handle the load.

You don't have to imagine any longer. Within a matter of days, your new Cheetah Network can be up and running delivering information to your team and customers alike. And should there be a real problem that requires human intervention, your CSR's will have the time and information to properly take care of your customers.

Real-Time Customer Service aids your team and your customers. No more back and forth with dispatchers and drivers. All information posted up-to-date and easily accessed by you and your customer. The time savings alone can help pave the way for expansion.

Onboard: Continuing the Spotlight on Benton Express

We continued our extensive interview with Benton Director of Information Technologies Mark Headrick who, with his technology cohort Winward Truitt, is busily integrating Cheetah into more than 20 terminals across the Southeast. www.bentonexpress.com.

Q: As a family owned business, did Benton pose any unusual or unique problems to getting automated with Cheetah?

A: "No, there were no problems, most terminals were/are very eager to have the system installed to help communicate better with their drivers."

Q: I understand the approval and evaluation process took some 18 months. Could you explain how you went about evaluating each of the products?

A: "We started with over 20 companies; I got these names by word of mouth and research over the Internet. I contacted each of them over the phone, explained what we were looking for and discussed their offering. That process brought the list to 8. I personally interviewed each one and when I saw something that looked promising, I asked Clete Cordero to join me and he did when he could. That took us to the 'short list' of 3."

Q: Per our earlier conversation, you said that service ranked high in your decision. Could you tell our readers how you were able to evaluate the level of service you were about to get from a company? How do you determine service levels before you work with a company or organization?

A: "You can usually get some indication of post sales service by the pre sales service, which was very good in Cheetah's case. However, we physically met with two existing customers for over a day each and spoke with the support staff before signing any contracts."

Q: You seem uniquely qualified for your position with experience in food and transportation IT. What makes transportation such a hot area for IT?

A: "One reason for it being so 'hot' is that for many companies involved in transportation IT was ignored for a very long time. There are obviously exceptions to this, but for the most part mid-size transportation companies viewed IT as a necessary evil. That is good and bad, we are not replacing a bunch of legacy systems, and we are developing processes from scratch with the newest technologies available."

Q: How do you go about taking a company from pretty much the Stone Age (paper and pencil) to the Cheetah Age? You have some 20 terminals; do you just do it one by one? I'm curious as to how you go about it and go about it without everyone pulling their hair out?

A: "There are two of us, Winward Truitt and myself. We will bring the terminals up two at a time, a large one and a medium one. I go first and install all the hardware and software, Winward then will come in and train. I then stick around to make sure there are no major issues and go to the next site. Winward then follows to the next location the following week and completes the training there."

Q: Was your management involved with the decision? I am interested in the decision making process and how it was carried out.

A: "After we narrowed the search down to the 'short list' there were several people involved for three days in the process: Benny Cordero - Sr V.P of Operations, Chip Matthews - President, Clete Cordero - VP of Business Development, Larry Thomas - Atlanta Dispatcher, Steve Lemmons - Regional Manager, Steve O'Leary - Terminal Manager, as well as myself and Winward.

"These people, come from all walks of life in our organization, and they sat through a 4 - 6 hour dog and pony show which helped confirm my thoughts on which company should be awarded the bid. Cheetah obviously got it, and the rest as they say is history."