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The “category” tested consisted of Class 8 trucks with North American 12-13L engines.
Paccar MX-13 and (c) 2018 Volvo VNL670 with Volvo D13. Actual customer results for fuel economy may vary.
A26 engine against the (a) 2018 Freightliner Cascadia CA126SLP with DD13, (b) 2018 Kenworth T680 with
* Based on averaging the third party testing results for fuel economy comparing the International LT with
© 2017
, Inc. All rights reserved. All marks are trademarks of their respective owners.
INDEPENDENT TESTS PROVE INTERNATIONAL® LT® SERIES POWERED
BY A26 BEATS THE COMPETITION BY OVER 4% ON AVERAGE*
, Inc. All rights reserved. All marks are trademarks of their respective owners. © 2017 , Inc. All rights reserved. All marks are trademarks of their respective owners. © 2017
* Based on averaging the third party testing results for fuel economy comparing the International LT with * Based on averaging the third party testing results for fuel economy comparing the International LT with
A26 engine against the (a) 2018 Freightliner Cascadia CA126SLP with DD13, (b) 2018 Kenworth T680 with A26 engine against the (a) 2018 Freightliner Cascadia CA126SLP with DD13, (b) 2018 Kenworth T680 with
, Inc. All rights reserved. All marks are trademarks of their respective owners. Paccar MX-13 and (c) 2018 Volvo VNL670 with Volvo D13. Actual customer results for fuel economy may vary. © 2017 © 2017 , Inc. All rights reserved. All marks are trademarks of their respective owners. , Inc. All rights reserved. All marks are trademarks of their respective owners. Paccar MX-13 and (c) 2018 Volvo VNL670 with Volvo D13. Actual customer results for fuel economy may vary. © 2017
The “category” tested consisted of Class 8 trucks with North American 12-13L engines. * Based on averaging the third party testing results for fuel economy comparing the International LT with * Based on averaging the third party testing results for fuel economy comparing the International LT with The “category” tested consisted of Class 8 trucks with North American 12-13L engines. * Based on averaging the third party testing results for fuel economy comparing the Internat
A26 engine against the (a) 2018 Freightliner Cascadia CA126SLP with DD13, (b) 2018 Kenworth T680 with A26 engine against the (a) 2018 Freightliner Cascadia CA126SLP with DD13, (b) 2018 Kenworth T680 with A26 engine against the (a) 2018 Freightliner Cascadia CA126SLP with DD13, (b) 2018 Kenworth T680 with
Paccar MX-13 and (c) 2018 Volvo VNL670 with Volvo D13. Actual customer results for fuel economy may vary. Paccar MX-13 and (c) 2018 Volvo VNL670 with Volvo D13. Actual customer results for fuel economy may vary. Paccar MX-13 and (c) 2018 Volvo VNL670 with Volvo D13. Actual customer results for fuel economy may vary.
The “category” tested consisted of Class 8 trucks with North American 12-13L engines. The “category” tested consisted of Class 8 trucks with North American 12-13L engines. The “category” tested consisted of Class 8 trucks with North American 12-13L engines.
International Trucks commissioned the PIT Group to conduct industry-recognized TMC Type IV fuel
economy tests comparing the International LT Series Powered by A26 with competitive 12-13L powered
tractors of similar specifications. All vehicles were tested on a 300+ mile route with hills and flatlands.
In the end, International beat all others in the test, proving that LT Series delivers tangible fuel savings
over the competition.
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Russellville, AR 72802 Pine Bluff, AR 71602 Lowell, AR 72745 N. Little Rock, AR 72117
www.summittruckgroup.com STAY CONNECTED
IN THIS ISSUE VOLUME 23 | ISSUE 3 2018
FEATURES
COVER STORY
AN UNCOMMON MAN DRIVES A PETERBILT 30
The Larson Group’s Kory Larson shares what he’s learned
from the family business and country music
By Angela E. Thomas
CAPITOL WATCH
“A KNIFE FIGHT EVERY DAY” 19
ATA executive discusses ELD mandate and other issues
By Steve Brawner
TRADE SECRETS
AUTOMATION, ELECTRIFICATION AND BIG DATA, OH MY! 24
Tech expert predicts how and when tech trends will disrupt trucking
By Molly Miller
HEALTHY DRIVER-CARRIER RELATIONSHIP HACKS 41
Driver retention and recruitment panel says: Respect drivers,
and act fast when they show interest
By Steve Brawner
THE HIGHWAY LEAGUE 45
The traffic incident management heroes that respond to highway spills
By Deana Nall & ATR Staff
SCENE AROUND
FRIENDS OF TRUCKING IN WASHINGTON 28
ATA members discuss issues with legislators for the 2018 Call on Washington
By ATR Staff
BRIGHT LIGHTS, SPA CITY 48
Recap of the 2018 ATA Annual Conference & Vendor Showcase
By ATR Staff
DEPARTMENTS
Up Front: by Shannon Newton 7
They Said It 8
News in Brief 10
New Members 12
Calendar of Events 14
Insider Trucking 55
Stat View 56
Advertiser Resource Index 57
The Last Word: by Shannon Everett 58
PHOTOS ON THIS PAGE AND COVER BY JOHN DAVID PITTMAN
ARKANSAS TRUCKING REPORT | Issue 3 2018 5
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Page 1 of 1
UP FRONT
Award-Winning Magazine of the Arkansas Trucking Association
Arkansas Trucking Report is owned by the Arkansas Trucking Association,
Inc. and is published bimonthly. For additional copies, to order reprints
of individual articles or to become a subscriber to ATR, contact Caitlin
Walraven at 501.372.3462.
executive editor
SHANNON NEWTON
managing editor
BETHANY MAY
contributing writers THE CHANCE FOR CHANGE
STEVE BRAWNER ANGELA THOMAS
[email protected] [email protected]
JENNIFER BARNETT REED TODD TRAUB I am not much of a come-what-may person. Laissez faire is not part of my vocabulary, and
[email protected] [email protected]
JIM HARRIS DEANA NALL not because I don’t speak French. It’s not part of my vocabulary because I’m just not the
[email protected] [email protected]
LACEY THACKER MOLLY MILLER type of person who is comfortable when things are out of my control. I prefer not to leave
[email protected] [email protected]
things to chance.
art director
JON D. KENNEDY
The Freelance Co. LLC, [email protected] And yet, there are things in life you can’t control. I don’t like it, but I accept it. As often as
production editors
SARAH SHEETS, KATIE THOMASON, DAVID O’NEAL tragedy can be prevented, it can’t.
illustrator
BRENT BENNETT
[email protected] In May, a jury in Houston, Tex., awarded a nearly $90 million judgment against Werner
photographers
JON D. KENNEDY, JOHN DAVID PITTMAN Enterprises after a pickup truck travelling I-20 lost control in freezing rain conditions, left
the lane, crossed through the median and into the path of a Werner truck, travelling the
opposite direction.
A young boy lost his life, and others suffered serious, life-altering injuries. Under any
www.arkansastrucking.com
president circumstance, that is heartbreaking.
SHANNON SAMPLES NEWTON
[email protected]
vice president, safety programs and industry engagement The truck driver showed up for work, followed his training, slowed his truck down
DAVID O’NEAL, CDS
[email protected] considerably below the speed limit, and despite all of that, tragedy still struck on that winter
director of operations afternoon. If any one out of innumerable factors had been different, maybe this accident
SARAH NEWMAN SHEETS
[email protected] wouldn’t have occurred.
communications director
BETHANY MAY
[email protected] In the aftermath, though, a jury found that Werner was primarily to blame for the incident.
business development coordinator
AMANDA LAMB They failed to instruct him to stop, avoid the treacherous weather conditions, or should
[email protected]
corporate services coordinator not have assigned the less experienced driver to the expedited load in the first place. At its
KATIE THOMASON
[email protected] core, a case of being in the wrong place at the wrong time led to an $89.6 million damage
executive assistant
CAITLIN WALRAVEN award — a staggering nuclear verdict.
[email protected]
CHAIRMAN OF THE BOARD
AL HERINGER IV In what world do the basic facts of this case support punitive treatment of the carrier whose
Star Transportation, LLC
Vice President truck was struck by a passenger vehicle that lost control and crossed the median? To what
BOARD OF DIRECTORS
ROCHELLE BARTHOLOMEW MIKE MCNUTT standard should a responsible business manage risk, minimize chance, yet continue to operate?
CalArk International, Inc. Distribution Solutions, Inc.
President CEO, Owner
MARR LYNN BEARDEN MARK MORRIS Nuclear verdicts like this don’t just negatively impact those parties to the suit. The effects
Marrlin Transit, Inc. Morris Transportation Services, LLC
President President
KEVEN HADDOX JAMES REED ripple throughout the industry. The few insurers who currently write trucking policies are
Southern Tire Mart USA Truck
Vice President of Operations CEO reminded that even when circumstances are beyond a driver’s control, an unfortunate
GREG CARMAN G.E. “BUTCH” RICE III
Carman, Inc. Stallion Transportation Group series of events could cost millions. And to manage this reality, they are raising rates at an
President President & CEO
JOHN CULP ALAN RIELS unprecedented pace on all risks or walking away from insuring trucking entirely. In one way or
Maverick USA Dedicated Logistics, LLC
President President & CEO
DAN CUSHMAN TRACY ROSSER the other, if you’re running a trucking company, you’re paying for this verdict.
PAM Transport, Inc. Walmart Transportation
President & CEO Senior Vice President
CRAIG HARPER JOHN SMITH In November, Arkansas voters will have the opportunity to send a clear message to trial
J.B. Hunt Transport, Inc. FedEx Freight
Executive Vice President & COO SVP Operations attorneys seeking to get rich on the backs of the industry that delivers America’s freight.
KORY LARSON VICKI JONES STEPHENS
The Larson Group C.C. Jones, Inc. Limiting contingency fees for attorneys and setting reasonable caps on noneconomic
COO President
JEFF LOGGINS TIM THORNE damages will do our part to dissuade them from seeking to exploit tragedy at the expense of
Loggins Logistics, Inc. ABF Freight
President & CEO President & CEO hardworking Arkansans.
ROB LYALL DOUG VOSS
Tyson Foods, Inc. University of Central Arkansas
Vice President - Transportation Associate Professor of Logistics
Distribution The passage of Issue 1 won’t prevent tragedy. It won’t preclude a legitimate lawsuit from
An affiliate of the American Trucking happening or a wrong being made right. But, it will discourage attorneys from spinning out
Associations the entire trucking industry.
Arkansas Trucking Association (ATA) is an Arkansas corporation of trucking
companies, private carrier fleets and businesses which serve or supply the
trucking industry. ATA serves these companies as a governmental affairs I accept there are things that cannot be controlled. But our efforts in Arkansas on tort reform
representative before legislative, regulatory and executive branches of
government on issues that affect the trucking industry. The organization also can impact to what degree we leave things to chance.
provides public relations services, workers’ compensation insurance, operational
services and serves as a forum for industry meetings and membership relations.
For information, contact ATA at:
1401 West Capitol, Suite 185
Post Office Box 3476 (72203)
Little Rock, Arkansas 72201 Drivers Legal Plan
Phone 501.372.3462 Fax 501.376.1810 Shannon Newton
www.arkansastrucking.com
President, Arkansas Trucking Association
ARKANSAS TRUCKING REPORT | Issue 3 2018 Drivers Legal Plan 7
THEY SAID IT
“We already say 18-year-olds can “Build
drive anywhere inside a state. All them in the
USA. Your
this bill does is say after they’ve customers
completed a rigorous safety won’t be
program of 400 total hours driving happy if you
don’t.”
with somebody else, then they —Pres. Trump warned Harley
can cross state lines.” Davidson not to “get cute” by moving
manufacturing to avoid the effects of
the administration’s steel and aluminum
—Rep. Trey Hollingsworth (R-Ind.), on the DRIVE-Safe Act, which he co-sponsored tariffs on European countries and others
“Truckers are “We’re supposed to be talking about
absolutely what’s going on at FMCSA. But as
several other speakers have alluded
crushing it to, it’s almost easier to talk about
on freight what’s not going on at FMCSA.”
—Richard Pianka, deputy general counsel for American Trucking Associations, told
rates and attendees at a regulatory update session at the 2018 Scopelitis Transportation
Law Seminar on June 4
profitability “I feel like it’s easy to be the best player
right now.” when you don’t have good players around
—Kenny Vieth, president of you. I feel like it’s harder to stand out when
transportation-equipment research firm
ACT Research, commenting on what is you have great players around you.”
facilitating the unprecedented rate of
growth in the new heavy-duty truck —NBA player Kevin Durant of the Golden State Warriors after leading his team
market to claim the championship and being name the Finals MVP for the second
consecutive year
8 Issue 3 2018 | ARKANSAS TRUCKING REPORT
over 100 locations in 16 states
LOCAL LOCATIONS
Fort Smith
MHC Truck Leasing
(866) 804-7860
Jonesboro
MHC Kenworth
(855) 239-3593
Little Rock
MHC Kenworth
(866) 342-0951
MHC Truck Leasing
(866) 862-5283
MHC Carrier Transicold
(866) 243-9660
Springdale
MHC Kenworth/Volvo
(866) 231-8055
Dealership Van Buren
Leasing & Rental MHC Kenworth
Truck Source (866) 364-4898
Carrier
RoadReady
TRP
MHC.COM
NEWS IN BRIEF
ATA APPLAUDS COMMON and rest break rules in California,
SENSE HOURS-OF-SERVICE meaning the case will head to trial
REFORM LEGISLATION in September, but legislation could
The Arkansas Trucking impact the outcome.
Association welcomes the intro- The former employees who
duction of the HOURS Act – originally filed J.B. Hunt Transport,
common sense legislation that Inc. v. Ortega in 2007 argued that
will deliver much needed tech- J.B. Hunt did not comply with
nical adjustments to hours of California’s meal and rest break
service (HOS) regulations while law that require a 30-minute meal
continuing to ensure safety on our air-mile radius HOS exemption to all break every five hours and 10-minute
nation’s highways. drivers engaged in the transportation rest breaks every four hours. The 9th
Proposed by congressman Rick of livestock or agriculture products; Circuit Court of Appeals in 2014 ruled
Crawford (R-Ark.), along with Reps. extending the short-haul HOS exemp- that carriers, even those operating
Bruce Westerman (R-Ark.) and Sanford tion to all who operate within 150 air- interstate, must comply with the state-
Bishop (D-Ga.), the HOURS Act miles of their work reporting location mandated breaks.
(Honest Operators Undertaking Road and complete their work day within 14 J.B. Hunt appealed that the state
Safety Act) offers narrow and reason- hours; reducing supporting documents rules are pre-empted by the federal
able changes that allow for flexibility as requirement to only those verifying the rules, citing a 1994 federal law that
professional drivers face distinct chal- start and end time of a driver’s daily strips states of the power to create their
lenges as well as uniformity in certain on-duty period; and expediting FMCSA’s own laws in regards to prices and routes
types of operations. The bill also elimi- effort to review split sleeper berth flex- of interstate trucking companies.
nates record keeping redundancy and ibility by eliminating the requirement of Earlier this year, Arkansas Trucking
provides a framework for efficiency in an advance notice of proposed rulemak- Association joined J.B. Hunt in an amic-
future regulatory changes. ing (ANPRM) in the rulemaking pro- us curiae brief, petitioning the Supreme
Shannon Newton, president of cess, specifically for this purpose. Court to review the lower court’s deci-
Arkansas Trucking Association, offered Newton concluded, “The HOURS sion. Though the high court ultimately
praise for the legislation. “The HOURS Act maintains the integrity of the hours denied the request to review, supporters
Act addresses several issues that have of service regulations while recognizing of federal pre-emption have also been
been brought to light since electronic distinctions in various segments of the working on legislation to prevent states
logging devices were mandated in 2017. industry. Most importantly, this relief from passing rules that compete with
We extend our appreciation to Rep. will improve the lives of millions of the federal rules for drivers who may
Crawford for introducing this bill, and professional drivers while maintaining operate across state lines and would
are grateful that he continues to be a safety as our top consideration.” be subjected to a patchwork of criteria
champion for the more-than 9 million about when they must rest and how
Americans who work in the trucking SUPREME COURT WON’T REVIEW they must be paid.
industry.” TRUCKING APPEAL, BUT NEW In April, ATA and other truck-
While the shift to electronic log- LEGISLATION COULD IMPACT ing interests asked representatives in
ging devices did not change HOS rules, FINAL DECISION the House to support the Denham
they did bring to light a need for greater The U.S. Supreme Court refused Amendment to reaffirm interstate
flexibility. The HOURS Act focuses on to review J.B. Hunt Transport’s appeal commerce rules from the 1994 FAA
that need by applying uniform 150 to overturn lawsuit regarding meal
10 Issue 3 2018 | ARKANSAS TRUCKING REPORT
Associations’ press release said. “These
WELCOME, unnecessary and duplicative laws are
not grounded in safety, nor being
NEW ATA MEMBERS! enforced by the states. Rather, they are
being used to fuel spurious litigation
designed to extort the trucking indus-
Together, We Are the Power of Association try, impairing the safe and efficient
movement of interstate goods.”
We welcome the following new members. Each new member
adds to the Arkansas trucking industry’s collective strength to FIRST TRUCK TOLLS NOW
ONLINE IN RHODE ISLAND;
promote, protect and serve with a unified voice. TRUCKING WARNS IMPENDING
LEGAL ACTION
FOR-HIRE CARRIER DOVER DIXON HORNE PLLC Trucks are now being charged tolls
MEMBERS Little Rock, Ark. in Rhode Island, and opponents are
501.375.9151
ESS TRANSPORTATION, INC. Offers legal services threatening lawsuits.
Damascus, Ark. In an effort to raise money for
501.335.7125 DRIVERREACH RhodeWorks, a statewide infrastructure
Number of Trucks: 72 Indianapolis, Ind.
317.610.0080 initiative spearheaded by Gov. Gina
HUNTER MADISON TRUCKING, LLC Provides modern driver recruiting Raimondo, Rhode Island passed a bill
Cabot, Ark. management system
501.429.2000 allowing truck-specific tolls in February
Number of Trucks: 11 FIRST TENNESSEE BANK 2016.
Memphis, Tenn.
RICKETTS TRUCKING COMPANY, INC. 901.523.4273
Gurdon, Ark. Equipment and working capital lender
870.355.2582
Number of Trucks: 11 IMPACT SOLUTIONS, INC.
Neosho, Mo.
ALLIED MEMBERS 417.658.4681
Provides driver recruiting, retention and
AMERICAN NATIONAL BANK training
Omaha, Neb.
402-399-5077 STRATEGEZ, LLC
Offers equipment financing Bryant, Ark.
501.749.1439
BANK OF ARKANSAS Provides fuel network development,
Fayetteville, Ark. compliance reporting and cost analysis
479.973.2613
Provides financial services WHITING SYSTEMS, INC.
Alexander, Ark.
BNSF LOGISTICS 501.847.9031
Springdale, Ark. Provides truck washing equipment The state’s first two electronic
479.203.5266 truck tolls went live June 11. They are
Offers third party logistics located on Interstate 95 in Exeter and
BORGWARNER Hopkinton. The Exit 2 toll charges
Harrison, Ark. For membership $3.25, the Exit 5 toll $3.50, and the
317.607.1147 information, visit state has plans to open 12 more tolling
Provides engine fan clutches, fan arkansastrucking.com stations over the next 18 months, to
drivers, Delco Remy starters and
alternators generate $450 million over 10 years.
Gov. Raimondo has said trucks
have been singled out because they
NEWS IN BRIEF, favor of J.B. Hunt. cause the most damage to infrastruc-
Continued from page 10 “The bill would clarify Congress’ ture.
intention to have primary regulatory However, Rhode Island House
Authorization Act. The amendment was authority over interstate commerce Minority Leader and GOP gubernato-
approved in a vote of 222 to 193. and end the erosion of this authority rial candidate Patricia Morgan said she
If passed by the Senate as well, by states who impose meal and rest plans on introducing floor amendments
the state-specific rest rules can’t be break rules that run counter to national to eliminate the truck-only tolls.
enforced, creating a federal precedent in uniformity,” American Trucking Republican opponents of the tolls
12 Issue 3 2018 | ARKANSAS TRUCKING REPORT
claim they will cause the state to lose
business because drivers will avoid
routes through the state to bypass tolls.
Meanwhile, media in neighboring state
Connecticut reported concern that
drivers looking to miss Rhode Island’s
tolls would add traffic to Connecticut’s
infrastructure.
“We have to remember, trucking is
interstate commerce, so you have truck
drivers and trucking companies from all
over the country that come here,” said
Joseph Sculley, president of the Motor
Transport Association of Connecticut.
“For many folks, it is probably very
possible that you can go around Rhode
Island. ... It could mean more traffic on
our roads.”
Rhode Island Trucking Association
president Chris Maxwell has indicated DOMINO’S PIZZA TAKES ON MEANWHILE, IN CHINA
that trucking may pursue litigation, INFRASTRUCTURE Truck drivers in China are protest-
but it is unclear when suits will be Domino’s Pizza, the American fast ing high gasoline prices, excessive high-
filed. “It could happen today. It could food pizza chain, announced its new way tolls, changing government policies
happen tomorrow. It could happen “Paving for Pizza” initiative to fill pot- and working conditions
months from now,” Maxwell said at a holes in towns across the U.S. to help According to the South China
combined rally campaign event with “smooth the ride home” for deliveries. Morning Post, strikes began on June 8
Rep. Morgan. “But every day it does not The company will make pothole in two provinces and quickly spread.
happen means there could be another repairs in towns nominated by their Protestors met on national high-
strategy going forward. We don’t know customers. ways and in parking lots, congesting
at this point.” As long term funding for infra- China’s roads with strikes threatening
structure continues to be a problem, significant delays and interrupting sup-
ATA ELECTS HADDOX TO BOARD Domino’s launched the public-private ply chains.
OF DIRECTORS partnership, stating in a press release, Some protesters urged drivers to
The Arkansas Trucking Association “Potholes, cracks, and bumps in the boycott an Uber-like online truck logis-
held elections for its newest member for road can cause irreversible damage to tics platform owned by Manbang Group
the Board of the Directors at its annual your pizza during the drive home from that matches owner-drivers with ship-
conference in Hot Springs, Ark. May Domino’s. We can’t stand by and let pers. Drivers claim the platform is a
16–18. your cheese slide to one side, your top- monopoly that forces drivers to bid for
The Board includes two allied pings get un-topped, or your boxes get freight orders at cutthroat prices.
positions to represent members of the flipped. So we’re helping to pave in According to Ministry of Transport,
association who provide supplies, equip- towns across the country to save your there are 18 million long-distance truck
ment or other services to the industry. good pizza from these bad roads.” drivers but other estimates put the
Keven Haddox, the vice president of Domino’s has already been work- number at 30 million.
operations at Southern Tire Mart in ing with four municipalities to help A group that tracks industrial dis-
North Little Rock, was elected to the repair potholes on roads, including putes in the country also reported food
allied seat previously held by Carl Boja Bartonville, Tex., Milford, Del., Athens, delivery motorcyclists have protested
of TravelCenters of America. Ga. and Burbank, Calif. against mobile apps that increase com-
Al Heringer IV, vice president of In Milford, Domino’s says it helped petition among carriers and drastically
Star Transportation, LLC, will continue fix 40 potholes on 10 roads in 10 hours reduced workers’ take-home pay, sug-
to serve as chairman for 2018-2019. with four crew members. gesting the platforms are introducing
Domino’s encourages customers workforce problems that need to be
to nominate their towns for pepperoni solved.
sponsored pothole repair by going to
www.pavingforpizza.com.
ARKANSAS TRUCKING REPORT | Issue 3 2018 13
CALENDAR NEWS IN BRIEF, driving experience. Panels could house
Continued from page 13
OF EVENTS heating strips and lights that could melt
snow and illuminate signs about traffic
hazards.
CHINA TESTS SOLAR PANELS ON “If it can pass this test, it can fit all
AUGUST HIGHWAYS conditions,” said Mr Li Wu, chairman
AUGUST 15 – 18 China put solar panels under a of Shandong Pavenergy, the company
AMERICAN TRUCKING transparent concrete highway to the that made the plastic-covered panels.
ASSOCIATIONS’ NATIONAL TRUCK
DRIVING CHAMPIONSHIPS AND test, the New York Times reported in The panels could be used to gen-
NATIONAL STEP VAN DRIVING June, as log carriers and oil tankers erate electricity for nearby cities, as a
CHAMPIONSHIPS drove along the curves and down hills space-saving and energy-saving alterna-
Columbus, Ohio on the panel-paved road in the Chinese tive to the fields of panels that require a
AUGUST 27 – 28 city of Jinan. lot of land and expend energy transmit-
NATMI SAFETY & DOT The country already produces ting the power to the cities. Roads, on
COMPLIANCE SERIES three-quarters of the solar panels sold the other hand, go through the cities,
The Victory Building, Little Rock, Ark.
globally, and the increased produc- so the energy would already be where its
AUGUST 29 – 30 tion has brought costs down to a tenth needed.
ATA SAFETY SYMPOSIUM of what they were a decade ago. Two The road panels are less efficient at
Little Rock, Ark.
industry-leading companies are work- converting sunlight to electricity than
SEPTEMBER ing together with Pavenergy to make rooftop panels, and though panels are
SEPTEMBER 9 – 15 the panels for Qilu, a large, state-owned less expensive than they used to be,
NATIONAL TRUCK DRIVING highway construction and management paneled roads are more expensive than
APPRECIATION WEEK company that operates the highway. asphalt ($120 to resurface a square
SEPTEMBER 13 The surface of these panels, made meter of asphalt vs. $310–$460 to pro-
TRUCK DRIVER APPRECIATION DAY of a complex polymer that resembles duce the same area of a solar road).
TA Petro, North Little Rock, Ark.
plastic, has slightly more friction than a The solar road in Jinan can produce
SEPTEMBER 16 – 20 conventional road surface, according to enough electricity to light the highway
AMERICAN TRUCKING ASSOCIATIONS’ engineering professor Zhang Hongchao and 800 nearby households. In the
TMC SUPERTECH & FALL CONFERENCE
Orlando World Center Marriott, Fla. at Tongji University in Shanghai, who future, developers envision highways
helped develop Pavenergy’s road surface. that could charge the electric vehicles
SEPTEMBER 20 Colas, a French road-building that use them.
ATA-PAC FALL GOLF TOURNAMENT
Jonesboro, Ark. giant, has also developed experimental The development and construc-
solar roads and parking lots around the tion of the road is part of the “Made in
world, but it has never installed them China 2025” plan, a technology offen-
on high-speed highways like the one in sive by the Chinese government under
Jinan that carries the weight of 45,000 President Xi Jinping.
vehicles a day.
Creators of the panels say they are
safe, though they would change the
SEPTEMBER 21
ATA BOARD OF DIRECTORS & 40
UNDER 40 COUNCIL MEETING
Jonesboro, Ark.
SEPTEMBER 23 – 27
CVSA ANNUAL CONFERENCE &
EXHIBITION
Kansas City, Mo.
OCTOBER
OCTOBER 27 – 31
AMERICAN TRUCKING
ASSOCIATIONS MANAGEMENT
CONFERENCE & EXHIBITION
Austin Convention Center, Austin, Tex.
14 Issue 3 2018 | ARKANSAS TRUCKING REPORT
Exclusive. All-Inclusive. Simple.
Patrons
Rich Logistics
Summit Truck Group
The Larson Group
Utility Tri-State, Inc.
Supporters
Aon
ArcBest
Drivers Legal Plan
NanoMech
Stallion Transportation Group
Stephens
In 1932, a small number of companies came together to lay the foundation for today’s Arkansas
Trucking Association --- the recognized voice for the trucking industry in Arkansas. Members
today continue to provide the support that builds upon those foundations. Founders Club members
support ATA because they believe, like we do, that trucking is the backbone of our economy.
Contact Amanda Lamb at [email protected] or 501-372-3462
to become a member of the Founders Club.
16 Issue 3 2018 | ARKANSAS TRUCKING REPORT
NEWS IN BRIEF,
Continued from page 14
ATA ANNOUNCES $1.4 MILLION
DIVIDEND FROM WORKERS’
COMPENSATION FUND
The Arkansas Trucking Association
Self Insurers’ Fund has declared a
$1,400,000 dividend to 48 trucking
companies that are enrolled in its work-
ers’ compensation insurance trust.
The Arkansas Trucking Association
created the insurance trust in 1993 to
help members control the cost of work- UBER IS OPENING A FLYING-CAR “You had to pick a company that
ers’ compensation insurance. LAB IN PARIS you’d like to work for when you get
The trust, which provides coverage This fall, Uber Technologies is older,” he said, and “explain why it’s
to over 4,200 employees, stabilizes costs planning to open the first research and a good company to work for, why it’s
and rewards employers for safe opera- development lab for flying cars in Paris, a good company to invest in and what
tions. Any surplus premiums collected France. investment advice you would give the
are returned to members in the form of “We’re no longer just about cars, chief financial officer.
dividends after injury claims and other we’re about urban mobility,” chief exec- Roberts chose to write about
expenses are paid. utive officer Dara Khosrowshahi said J.B. Hunt not just because it was an
at a technology conference in Paris. “It Arkansas company or a household
includes cars, carpool, electric bikes and name. “I wrote it because my dad
flying cars we hope.” worked [for J.B. Hunt]. I never got to
Over the next five years, Uber meet him. It’s for him.”
is expected to invest over $20 mil- Arkansas Democrat Gazette reported
lion dollars to develop Uber that the essay winner’s father, Garl
Elevate, a project to move “Shorty” Roberts, was a truck driver
vehicles “vertically as well as who previously worked for J.B. Hunt
horizontally” according to before leaving to work for a family
Khosrowshahi. trucking business. Garl Roberts was
To circumvent city killed in an accident in March 2006,
congestion by rising above when his wife, Crystal, was pregnant
th
“Our fund, on its 25 anniversary, it, Uber has enlisted other airborne with Mariah.
is strong and successful because our car partners, including one owned by Roberts decided
members are committed and invested in Boeing Company. to research the com-
the safety of every one of their employ- pany, its finances
ees,” said Shannon Newton, the associ- ARKANSAS STUDENT WRITES and reputation. She
ation’s president. “We acknowledge and WINNING ESSAY ON TRUCKING was also interested
reward that success because small busi- A fifth-grader at Arnold Drive in in J.B. Hunt’s CFO
nesses working together for the safety Elementary School in Jacksonville, Ark. David Mee.
of the community is something worth Mariah Roberts was awarded first place “He is one of
celebrating.” in a national essay contest for her essay the best CFOs in the
Newton said that the fund has “Keep on Trucking,” about Arkansas United States,” she
distributed more than $25.8 million trucking company, J.B. Hunt Transport. said.
in dividends to enrolled trucking com- Roberts’ teacher, Rick Kron, For coming in first out of 2000
panies since the Arkansas Trucking submitted student entries for the entries, Roberts received a laptop com-
Association created the fund and 11.1 InvestWrite Essay Contest who were puter, a digital camera and a $150 cash
million since 2010. participating in the Stock Market card. She also received several medal-
Members in good standing and Game, an online simulation of the glob- lions and certificates and was given a
good loss experiences received dividend al capital markets that engages students replica J.B. Hunt 18-wheeler signed by
checks ranging from $100 to $128,000. grades 4-12 in the world of economics, CFO David Mee. ATR
investing and personal finance.
ARKANSAS TRUCKING REPORT | Issue 3 2018 17
Building Partnerships That Last
PROVEN EXPERIENCE
IN COMMERCIAL TRANSPORTATION CLAIMS SINCE 1962 INCLUDING
HEAVY EQUIPMENT, CARGO, AND ENVIRONMENTAL CLAIMS.
141585 CIA Arkansas Trucking Ad.indd 1 7/2/18 5:17 PM
“A Knife Fight Every Day”
ATA executive discusses ELD mandate and other issues
By Steve Brawner
Contributing Writer
When Bill Sullivan became the
American Trucking Associations’
executive vice president of advocacy, he
thought everything had been settled
regarding the electronic logging device
mandate.
It hadn’t.
“Congress had passed this law with
a little bit of kerfuffle but not a lot,” he
said during an address May 17 at the
Arkansas Trucking Association Annual
Conference & Vendor Showcase in Hot
Springs. “And so walking into this hav- American Trucking Associations’ executive vice president of advocacy Bill Sullivan
ing not had the background on it, I speaks at the Arkansas Trucking Association’s annual conference in May
have to say, ‘Well, Congress has done “I’m not a big ‘I told you so’ guy, Trucking Association and American
this, and the agency promulgated a rule but it seems that it’s not been that diffi- Trucking Associations have voiced sup-
based on what Congress said. It was a cult to work through it,” Sullivan said. port for the bill.
bipartisan law. There’d been two other (Editor’s note: Read more about
votes on this. All of them have affirmed FROM HERE, LOOK TO THE DATA the HOURS Act—Honest Operators
it. Sure enough, we’re not going to be Sullivan said in a follow-up phone Undertaking Road Safety Act—in the News
spending a lot of time on ELDs in 2017.’ interview that the American Trucking in Brief section on page 10.)
And in fact, man, it was just a knife Associations (ATA) is working with both Concurrently, the larger debate
fight every day from about this time of regulators and Congress to support the over hours of service rules continues.
year until December.” implementation of ELDs while also cre- While broad changes are unlikely, there
The ELD mandate is now in effect ating more safe flexibility. The goal is could be more flexibility to replace the
for most motor carriers. Sullivan for a standardized system to emerge. kind that previously occurred infor-
pointed to a recent article in Transport Progress toward that goal was mally (and illegally) through paper logs.
Topics where a reporter spent April 3 shown with the introduction of a bill Martinez told a House subcommittee
with a Virginia State Police inspec- in the House of Representatives on May 22 that the agency would soon
tor who found zero violators two days June 21. Congressman Rick Crawford release ELD guidance pertaining par-
after the mandate had gone into effect. (R-Ark.) presented bipartisan legisla- ticularly to livestock haulers. Sullivan
According to the Federal Motor Carrier tion, co-sponsored by Reps. Bruce told the ATA conference that an FMCSA
Safety Administration’s website, in a Westerman (R-Ark.) and Sanford official said the agency intends to offer
speech in Portland April 9, FMCSA Bishop (D-Ga.) that provides uniformi- guidance on personal conveyance in
Administrator Ray Martinez said the ty in certain types of operations while the near future, and on Jun. 7, FMCSA’s
most recent available data shows com- granting flexibility to drivers facing revised guidance was released. In it,
pliance has reached 96 percent. distinct challenges. Both the Arkansas
ARKANSAS TRUCKING REPORT | Issue 3 2018 19
certain that FMCSA will make adjust-
ments. Martinez and Transportation
Secretary Elaine Chao are considering
“WE’RE HOPEFUL, VERY HOPEFUL THAT THEY changes and listening to stakeholder
[OOIDA] HAVE NOT BECOME AN ORGANIZATION JUST groups.
TO OPPOSE ATA, AND THAT THEY SEEK THESE SAME “I think everyone recognizes that
TYPES OF FLEXIBILITIES.” with electronic logging, there needs to
be some level of change,” he said.
He’s also optimistic some legisla-
—BILL SULLIVAN, AMERICAN TRUCKING ASSOCIATIONS’ tion will give the agency more authority
EXECUTIVE VICE PRESIDENT OF ADVOCACY where it needs it. The legislative sched-
ule will be shortened and influenced by
the midterm elections, but he thinks a
clarification of specific examples of for drivers ages 18-21, and a revision bill will pass, more likely next year.
personal conveyance is given, as well of the split sleeper berth rule that cur- “Congress, I think, can get some-
as flexibility for drivers needing to get rently offers drivers only one option to thing done,” he said. “There are a lot
somewhere to sleep. the 10-hour rule: taking two hours off of members who want to be for some-
Coming out of its annual once and eight hours at another point. thing, and not just be against stuff, so
Management Conference & Exhibition FMCSA is ready to begin a study of that fingers crossed,” he said in the inter-
in late 2017, the ATA commissioned a rule. view.
working group to consider hours of ser- Sullivan said in the interview that And the worst-case scenario? Motor
vice rules, with safety as the main con- the likelihood of a split sleeper berth carriers will continue to adapt to an
cern. Any idea that would significantly option eventually happening is very ELD rule that is inflexible but fair, he
change the rules must be bolstered by high. The ATA’s Safety Policy Committee said.
data before the ATA can support it, has supported having a study for a long Sullivan said the ATA federation is
Sullivan said. And now that ELDs are time. The study could become a reality paying close attention to what’s coming
installed on so many trucks, that data in the next couple of months and then out of Washington and is commenting
will be available. potentially completed in a year. The on exemption requests. FMCSA exempt-
“This is going to be a data-driven, actual rulemaking, if it’s done without ed all agriculture haulers temporarily
safety-focused discussion,” Sullivan said direction from Congress, can take years. and Congress is still discussing how
at the conference. While FMCSA can act on its own ag-haulers fit into the HOS flexibility
Once the data is available — through in those instances, the changes would debate. The ATA’s close relationship
ELDs, FMCSA studies and other sourc- have greater legal force if enacted with the Trump administration con-
es — ATA will need to align with certain through legislation. As an example tinues to be helpful. The Department
industry groups representing drivers of when that didn’t happen, when of Agriculture tried to severely weaken
and specific sectors. Shipper groups the FMCSA changed hours of service the ELD mandate, but ATA is engaged
have been supportive of the industry’s rules in 2003, the group Public Citizen with that agency and also the Office of
efforts. OOIDA, the Owner Operator responded with a lawsuit it won in fed- Management and Budget.
Independent Drivers Association, theo- eral court. Some of the chatter around On the congressional side, the ATA
retically could be an ally on ELDs, but Capitol Hill is that congressmen who is keeping a watchful eye. It’s watch-
it has been focused on trying to kill the share the ATA’s goal of safe flexibility ing for appropriations riders where
mandate. believe a split sleeper berth option could members of Congress can make major
“We’re hopeful, very hopeful that be implemented and the data collected policy changes through spending bills.
they have not become an organization and evaluated in real time, ending the Meanwhile, Rep. Crawford is seeking
just to oppose ATA, and that they seek need to wait years for the study to be ways to shorten the process whereby
these same types of flexibilities,” he said completed. FMCSA changes hours of service rules.
in the interview. Rep. Crawford’s HOURS Act con- A spending bill passed by Congress in
tains a provision that would allow March exempted livestock and insect
THE SLOW ROUTE VS. THE FAST FMCSA to forgo an advanced notice of haulers through the duration of the
LANE TO REGULATORY CHANGE proposed rulemaking (ANPRM), thus fiscal year ending Sept. 30. Several
FMCSA has the authority to change expediting the process and potentially senators have introduced a bill, the
some regulations. Two of great inter- allowing changes to go into effect much Transporting Livestock Across America
est to the trucking industry are the faster. Safely Act, where the hours of service
prohibition against interstate driving Sullivan said he is 100 percent
20 Issue 3 2018 | ARKANSAS TRUCKING REPORT
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and ELD requirements would apply
only when a driver is more than 300
air miles from their source. It also lets
drivers complete trips when within 150 “AS WE LOOK AT WHAT WE’RE GOING TO DO
miles of their destination, and also to NEXT, THE PATH FORWARD IS NOT GOING TO BE
rest at any point during the trip. The
ATA is opposed based on safety con- SOMETHING THAT POINTY-HEADED WONKS SITTING
cerns. IN CUBES IN D.C. COME UP WITH.”
HOW DID WE GET HERE? —BILL SULLIVAN, AMERICAN TRUCKING ASSOCIATIONS’
In his speech to the ATA, Sullivan EXECUTIVE VICE PRESIDENT OF ADVOCACY
recounted the challenges involved in
making the ELD mandate a reality.
Before it finally went into effect Dec.
18, the Commercial Vehicle Safety House, and frankly, probably beyond and invest in the technology, and inves-
Alliance decided to delay taking vehicles policy. We’ve built a good relationship tors who had raised capital to create
out of service until April 1 of this year. with them.” devices and new business models, and
Meanwhile, others were attempting Other help came from what they were going to reward cheaters,”
to delay or weaken the mandate itself. Sullivan called the “incredible champi- Sullivan said at the conference.
Opponents were making whatever argu- onship” offered by Arkansas Reps. Rick The mandate went into effect as
ments they could — that food wouldn’t Crawford and Bruce Westerman, both scheduled, and Sullivan said he enjoyed
be on the shelves, that livestock would members of the House Transportation a good Christmas. Finally, CVSA’s soft
die on trucks, children wouldn’t get and Infrastructure Committee. enforcement ended April 1.
their Christmas presents on time, Ultimately, the House soundly Meanwhile, various groups in
weigh stations would become parking defeated Babin’s proposal in a bipar- addition to livestock haulers were lob-
lots, and drivers would quit. Sullivan tisan vote Sept. 6, 173-246, with 14 bying FMCSA for waivers and exemp-
said opponents allied themselves with members not present. It was opposed tions, some for the maximum of five
groups that can be hard for lawmakers by 179 democrats and 67 republicans years. FMCSA said no to almost all of
to oppose – particularly farmers, who and supported by 165 republicans and them. One major exception was for the
are “sort of the kittens and puppies and eight democrats. All four members of Motion Picture Association of America,
baby seals for Congress.” In August, Arkansas’ congressional delegation, all which was able to earn an exemption
Rep. Brian Babin, R-Tex., introduced an of them republicans, voted against the by promising an “equivalent level of
amendment that would have delayed measure. Westerman was quoted by safety” and by offering daily auditing
implementation of the mandate for two Transport Topics saying at the time, “It’s of drivers and their movement between
years. too late in the game to be changing this trucks, some of them of different
In response, the ATA enlisted its rule. There are many companies who classes.
members’ help to stop Babin’s bill. have invested in this technology.” Sullivan said at the conference that
“Part of the argument we had at With the fourth vote, it looked like the ATA will continue to be a member-
the time is, as all of you in the room it was over. Opponents didn’t really driven organization. It has been led by
know, A, this doesn’t change hours of have any more legislative options, but only nine presidents in 85 years and
service one bit whether you log in with they continued to use what leverage exists because it offers value to its mem-
stone tablets, paper, electronic devices they had, congressional and otherwise. bers, who he said did not join because
– the rules are the rules,” Sullivan said. Meanwhile, ATA was working with they wanted “to be part of a club.”
“And as long as you’re not falsifying Secretary Chao and her staff members “We’re going to be led by members,
your logs, everything’s fine.” to ensure the mandate still took effect. so as the ELD mandate was coming in,
The ATA had help from a variety Because it was still being debated at the and as we look at what we’re going to do
of sources, including the White House. Department of Transportation, discus- next, the path forward is not going to
Vice President Mike Pence’s head sions continued into the weekend before be something that pointy-headed wonks
transportation staff member said the Dec. 18. sitting in cubes in D.C. come up with,”
office was being lobbied hard by the Meanwhile, “Most of American he said. “This is going to be led by the
agriculture community but insisted Trucking Associations’ members were members of the ATA — and I would say
that, “This is a rule of law presidency.” in some stage of following the law, and both Arkansas Trucking Association and
Sullivan said the ATA has “built a really they were going to punish companies the American Trucking Associations.” ATR
solid policy relationship with the White and drivers who chose to follow the law
ARKANSAS TRUCKING REPORT | Issue 3 2018 23
Automation, Electrification
and Big Data, Oh My!
Tech expert predicts how and when tech trends will disrupt trucking at ATA
conference
Stephan Keese, senior partner at Roland
Berger, addresses disruptive technology at
ATA’s annual business conference
By Molly Miller how the vehicles we use will reshape the will depend as much on public readiness
Contributing Writer trucking industry. as scientific advancement.
On May 17, 2018, Stephan Keese,
In 2018, we are more or less com- a senior partner at Roland Berger’s DEVELOPMENT OF AUTOMATED
fortable with the subtle and not-so-sub- Chicago office gave a presentation TRUCKS
tle ways technology has disrupted our titled “How disruptions in the automo- The development of “driverless”
lives and how we do everything from tive industry will impact the logistics vehicles has been a focus point for the
picking up groceries to vacuuming our industry” to the Arkansas Trucking automotive industry for years and has
floors. The morning commute, however, Association’s 2018 Annual Business the potential to impact nearly every
is still very much recognizable if a little Conference in Hot Springs, Ark. During industry in the world economy once it
longer and more congested. his presentation, Keese discussed three is implemented. Although fully “driver-
Every day there’s another article major trends in technology and how less” technology is unlikely to be imple-
published about how quickly technol- those trends will impact the trucking mented for at least another decade,
ogy will change the way we move our- industry over the next decade. While automated driving is already advanc-
selves and our freight by land. While the headlines, littered with hyperbole, ing in ways that impact the trucking
the media keeps reporting, predicting, may have you convinced these technolo- industry. After all, cruise control and
promising that driving is the next tar- gies signal the end of the driver and lane-assisting technology, which allow
get of disruptive technology, experts a wholly different robotic face of the
are much more measured in when and industry, Keese predicted a timeline that
24 Issue 3 2018 | ARKANSAS TRUCKING REPORT
tion. One of these major limitations is
that the logistics industry has a limited
number of suppliers that can manage
all of the aspects of a fully autonomous
“CONSIDERING THE AMOUNT OF INFRASTRUCTURE driving system. Additionally, driving
GAP THAT ALREADY EXISTS IN THE UNITED STATES, regulations will need to be updated to
I’M A LITTLE BIT CAUTIOUS ABOUT THE WILLINGNESS make provisions for automated driving,
OF STATES TO INVEST IN SEPARATE LANES FOR consumer and trucker buy-in will need
to increase, and systems will need to be
AUTOMATED VEHICLES, ESPECIALLY AS THEY WOULD upgraded to provide for 5G communica-
ONLY BE AN INTERIM SOLUTION.” tion between the vehicle and the cloud
as well as to provide all of the neces-
—STEPHAN KEESE, SENIOR PARTNER, ROLAND BERGER sary cyber security protections to keep
autonomous vehicles from being hacked
into or weaponized.
ELECTRIFICATION OF THE
drivers to be “hands off” or “feet off” place of one of the two people in the TRUCKING FLEET
are already standard features on many cab.” In addition to vehicle automation,
newer vehicles. Stage 4 automation is currently a push for electrification of the truck-
According to Keese, automated being used in confined areas such as ing fleet could also significantly alter
driving is broken down into five dis- airports and mines, although the tech- vehicle design and cost structures for
tinct phases. Phase 1 is conventional nology will not be ready for introduc- the industry in the coming years. While
driving, which requires the driver to be tion on the open road until at least hybrid and electric passenger vehicles
fully engaged and actively controlling 2024. This level of automation, in have been on the market for several
the vehicle at all times during a trip. which at least one driver is still pres- years, Keese noted that the size of many
Currently, the industry is transitioning ent in the case of a malfunction or long-haul trucks makes it unfeasible to
from Phase 1 to Phase 2, in which some emergency, will likely be implemented scale the current technology up in a way
functions, such as cruise control and by using a hub-to-hub system that that is not cost and space prohibitive.
lane assistance, can be automated but allows conventional traffic and Stage 4 Although it may not be a feasible
still require an active and engaged driv- traffic to mix on the interstate, accord- option for long-haul trucking, com-
er to make adjustments as the driving ing to Keese. The implementation of panies with trucks operating within a
environment changes. The technology dedicated lanes for Stage 4 traffic is radius of less than 250 miles may find
for full implementation of Phase 2 is also a potential option, although Keese that upgrading their fleet to electric
currently ready and will be fully rolled stated that, “Considering the amount vehicles may still provide significant
out over the next 18-24 months. of infrastructure gap that already exists cost benefits. This is especially true
Keese pointed out that, while it in the United States, I’m a little bit cau- for companies that operate within the
is part of the spectrum of automa- tious about the willingness of states to confines of a single city, as government
tion, Phase 3, which allows drivers to invest in separate lanes for automated incentives yield a positive cost of owner-
be hands off, feet off and eyes off, is vehicles, especially as they would only ship within three years. Despite the cost
unlikely to actually be implemented on be an interim solution.” benefit derived from increased mile-
the roads because it would create a situ- What about the truly “driverless” age and government incentives, Keese
ation in which cost savings are limited vehicles? Stage 5, or full automation, is argues that these changes will likely
and drivers are unable to respond to at least a decade away from being fully only affect between 3,000 and 4,000
emergency conditions in a timely fash- developed and may not be something vehicles in the coming years.
ion. Despite this, Stage 4 automation, in that is ever fully rolled out on public Current battery technology signifi-
which the driver has no responsibility roads because of the potential safety cantly limits the switch to electric bat-
during automated driving, provides the concerns and a lack of consumer accep- teries due to the sheer size and weight
possibility of significant cost savings. tance. that is necessary to power large vehicles
This is because, Keese stated, “Even Despite the continued push towards for a significant lengths of time. While
if the driver is still there, we have the more automation, Keese outlined sever- the technology is very cost effective
assumption that we might be able to al challenges that need to be addressed for compact passenger vehicles such as
extend hours of service or reduce driver before the industry moves from Stage the Toyota Prius, it rises exponentially
teams because the vehicle can take the 2 towards Stage 4 and Stage 5 automa- as vehicle size increases. According to
26 Issue 3 2018 | ARKANSAS TRUCKING REPORT
Keese, a battery for a city delivery truck
with an operating range of 100 miles
3
would take up 0.7 m (cubit meters)
and weigh 1.2 tons. This more than
3
triples to 2.8 m and 4.7 tons when the
vehicle is changed to a short haul heavy THOSE COMPANIES THAT WERE ABLE TO SURVIVE
duty truck with an operating range of AND THRIVE THROUGH THIS CHANGE WERE THOSE
250 miles and rises to an astronomical THAT SPOTTED THE DIGITAL TREND EARLIER AND
3
11.3 m and 18.7 tons when changed JUMPED ON BOARD.
to a long haul truck with an operating
range of 1000 miles.
Given these calculations, Keese —STEPHAN KEESE, SENIOR PARTNER, ROLAND BERGER
concludes that making the switch to
electric batteries is currently only fea-
sible for those vehicles that have a small
operating range. This has the potential
to change as battery technology evolves, of travel such as lodging, car rental, each technology is designed to do.
but for the foreseeable future, it is flight, and cruises, all of which can Driver automation would offer the
unlikely that we will see fully electric be accessed by consumers through the advantage of allowing trucks to operate
trucking fleets. internet. In the past 20 years, this shift on a 24/7 schedule with drivers resting
from third-party interfaces to consum- while Stage 4 driver automation is in
BIG DATA & DIGITALIZATION er-facing interfaces has rendered the use, keeping the wheels continuously
While the first two trends focus on job of travel agents almost completely turning. However, electric vehicles are
vehicle design, Keese also argued that irrelevant. Those companies that were require long periods of charging, as
the utilization of “Big Data” along with able to survive and thrive through this much as 8 hours a day. There’s a cost
the digitalization of many logistics pro- change were those that spotted the digi- benefit from energy efficiency and
cesses will force companies to rethink tal trend earlier and jumped on board. spending less on fuel, but it can’t be
their business models in order to keep Keese presented the argument that, combined with the cost benefit keeping
up with start-ups that are challenging in order to keep up with digitalization, the wheels moving despite driver sleep
traditional models. Due to the inher- the industry will likely segment itself time.
ently large number of interfaces that into three main categories: compa- While we may see fleets with both
exist within the logistics and trucking nies that handle sales and dispatching automated vehicles and electric vehicles
industries, there are a large number of (asset light companies), companies in the future, implementing the tech-
process inefficiencies that have yet to that handle transporting goods (asset nology is expensive, and it’s unlikely
be addressed by the industry including heavy companies), and companies that one could harness the advantage of
a lack of transparency in price struc- provide support services such as vehicle both full automation or full electrifica-
ture and inventory tracking, inefficient recovery. By allowing companies to be tion.
loading and unloading processes, and segmented into these categories, the Despite this limitation, Keese pre-
empty runs. According to Keese, if trucking industry will be able to better sented a not-so-distant future where we
these inefficiencies are not addressed address current inefficiencies in pro- could see all three of these trends work-
they have the potential to limit or even cesses which will allow companies to ing together to shake-up the trucking
offset potential profit increases gained better serve consumers in addition to industry.
through implementing automation or decreasing potential revenue loss. One feasible “end game” scenario,
electrification technology. outlined by Keese, would have a digital
To demonstrate the potential BRINGING IT ALL TOGETHER, booking platform connecting a shipper
effect that start-ups could have on the SORT-OF to a carrier, which uses a large fleet of
industry, Keese cited the upheaval of How do these trends work together fully autonomous trucks to transport
the travel industry. Before the internet, to produce an overall benefit for the products from a large national hub to a
consumers had to make a phone call trucking community and who will receiving hub that places the goods into
or an in-person trip to a travel agent in really benefit from evolving with these distribution via electric trucks.
order to book a vacation. However, the trends? According to Keese, driver While the exact impact remains to
increase in convenient internet access automation and electrification will be seen, Keese’s presentation predicted a
has segmented the travel industry into likely need to occur independent of one future where tech is woven into a more
companies that handle specific aspects another due to basic differences in what efficient trucking industry. ATR
ARKANSAS TRUCKING REPORT | Issue 3 2018 27
Friends of Trucking
in Washington
ATA members discuss industry issues with legislators
for the 2018 Call on Washington
By ATR Staff
Arkansas Trucking Association par-
ticipated in a Call on Washington April
24–26 with nine member companies
represented, plus ATA staff and lobby-
ists from Little Rock’s Capitol Advisors
Group.
On Tuesday, the American Trucking
Associations hosted an afternoon brief-
ing and reception. Kairos was at play as
the group met with all six members of
Arkansas’ delegation on Wednesday, the
day before the House of Representatives
voted on the Denham Amendment,
which protects federal workforce stan- Erica Brigance, ArcBest; Alan Riels, Dedicated Logistics; Greer Woodruff, J.B.
dards for interstate commerce. Hunt; Gary Mars, Walmart Transportation; David O’Neal, Arkansas Trucking Association
Trucking executives who operate and Malea McElyea, CalArk International
across state lines expressed the necessity for support on the amendment. Representatives and passed the House
for standardized meal and rest break There was also an opportunity vote with the support of all four of
requirements for their drivers who to thank and recognize Rep. Bruce Arkansas’ representatives—an important
should not have to recognize new state Westerman and Rep. Rick Crawford for step toward ensuring the industry is
labor laws in the middle of their shift their support last year in defending the positioned to provide safe, efficient and
as they cross the border. While the Call electronic logging device mandate to its profitable contributions to the national
on Washington attendees met with leg- implementation date. and local economies. ATR
islators face-to-face, ATA staff in Little As the group boarded flights
Rock called on members at home to home on Thursday, the Denham
contact their legislative offices and ask Amendment went before the House of
Sen. John Boozman (R-Ark.) listens
to ATA members
th
Rep. Westerman (R-4 District) is
presented with an award for being a
champion for trucking
28 Issue 3 2018 | ARKANSAS TRUCKING REPORT
2018 Call on Washington Agenda
CLARIFY PREEMPTION UNDER F4A: ATA strongly supports burden possible while adhering to congressional intent.
clarifying the Federal Aviation Administration Authorization
Act’s preemption provision over state meal and rest break TRADE: ATA supports free trade, including the North American
requirements and state bans on “piece rate” pay practices. This Free Trade Agreement (NAFTA) and the Department of
clarification will ensure motor carriers can continue to operate Transportation’s cross-border trucking program. With the value
efficiently and competitively, under nationally-uniform federal of goods moved by trucks across the Canadian and Mexican
regulations, rather than being subjected to a state-by-state borders at nearly $700 billion, the trucking industry and our
patchwork of rules governing driver hours and pay practices. nation strongly benefit from free trade between these countries.
While ATA supports the modification and improvement of
TRANSPORTATION INFRASTRUCTURE FUNDING: ATA strongly NAFTA, ATA also strongly encourages continued implementation.
supports adequate, long-term, stable and sustainable funding
for the federal-aid highway program. ATA supports an increase AUTONOMOUS VEHICLES: ATA supports advancing market
to the fuel tax. Other funding alternatives ATA supports include driven autonomous vehicle technologies that improve safety and
a new annual fee on all vehicles; royalties from new oil and gas reduce environmental impacts.
leases; and a barrel tax on imported petroleum and domestic REDUNDANT BACKGROUND CHECKS: ATA supports legislation
crude oil.
that would adopt a single robust federal background check for
FEDERAL TAX REFORM: ATA congratulates Congress on the drivers.
ATA-endorsed tax reform legislation signed into law in December WORKFORCE DEVELOPMENT: In response to the current driver
2017. Broadening the tax base, simplifying the tax code, cutting shortage and an aging workforce, ATA supports the WHEEL
the federal tax rate for trucking companies, and providing full Act (H.R. 3889), which expands a FAST Act pilot program for
expensing for business equipment greatly benefits the trucking interstate truck drivers to include drivers under 21 with previous
industry. This is a great first step in reducing the tax burden on military experience and civilian drivers under 21 who have a
the trucking industry. ATA urges Congress to continue working Commercial Driver’s License (CDL) and meet other minimum
on the tax extenders legislation, including the Alternative Fuel qualification standards. ATA also supports the creation of an
Excise Tax Credit, Alternative Fuel Vehicle Refueling Property apprenticeship program that would train 18-21 year old CDL
Credit, and Biodiesel Blender Tax Credit.
holders to drive trucks in interstate commerce. Furthermore,
REGULATORY REFORM: ATA strongly supports regulations ATA supports efforts aimed at reducing states’ CDL skills-testing
that are based on sound science along with input from experts. delays and creating career pathways in trucking for veterans and
Federal regulations should be narrowly tailored, supported by Opportunity Youth who are neither in school, nor employed.
strong and credible data and evidence, and impose the least
David O’Neal, ATA; Gary Mars, Walmart Transportation;
Al Heringer IV, Star Transportation; Greer Woodruff,
J.B. Hunt; Sen. Tom Cotton (R-Ark.), Vicki Stephens,
C.C. Jones Trucking; Shannon Newton, ATA; Marr Lynn
Bearden, Marrlin Transit; Alan Riels, Dedicated Logistics;
Shannon Everett and Dana Everett, Rich Logistics; Erica
Brigance, ArcBest and Malea McElyea, CalArk International
Rep. Crawford
st
(R-1 )is recognized
as a friend of
the industry
for hearing,
understanding, and
supporting trucking
Rep. French Hill (R-2 )
nd
with ATA members
ARKANSAS TRUCKING REPORT | Issue 3 2018 29
An Uncommon
Man Drives a
Peterbilt
By Angela E. Thomas
Contributing Writer
“MY FATHER had a saying: everyone puts their pants
on the same, and I’ve never forgotten that,” says Kory
Larson, COO of The Larson Group (TLG) in Springfield,
Mo. Larson serves in one of the two allied positions on
the Arkansas Trucking Association’s board of directors
and represents his company of over 20 dealerships across
seven states. This year, TLG celebrates 30 years since
Larson’s father formed a partnership with Peterbilt Motors
Company to become an official Peterbilt dealer group.
Although Larson’s role is one typically full of complexities and
paperwork, he’s a man who finds pleasure in the simplicities of life and the
satisfaction that comes with working with your hands. The stories he tells
of riding along with his dad and brothers on trucking trips, the songs he
sings along to, and the way he talks about his customers and employees are
evidence that his life seems steeped in family values, humility, and genuine
concern for others.
PHOTOGRAPHY BY JOHN DAVID PITTMAN
30 Issue 3 2018 | ARKANSAS TRUCKING REPORT
An Uncommon learned from the family business and country music
The Larson Group’s Kory Larson shares what he’s
Man Drives a
Peterbilt
“I FELT LIKE SUPERMAN.
YOU’RE ON TOP OF THE
WORLD. TRUCKS AND
TRUCKING IS ALL I’VE EVER
KNOWN.”
—KORY LARSON, COO, THE
LARSON GROUP
ARKANSAS TRUCKING REPORT | Issue 3 2018 31
A HISTORY IN TRUCKING
Hailing from Pipestone, Minn., the
Larsons moved to South Dakota when
Kory was just 11 years old. His father
Claire had worked in trucking for sever-
al decades. He owned a small, regional
truck line in Sioux Falls before deciding THERE’S NO FEELING LIKE SITTING BEHIND THE
to switch gears and become a dealer. WHEEL OF A BIG TRUCK.”
Kory Larson’s introduction to the
industry came early; in fact, he first
drove a truck at 12 years old. —KORY LARSON, COO, THE LARSON GROUP
He smiles as he recalled that first
drive. “I felt like Superman. You’re on
top of the world. Trucks and trucking is
all I’ve ever known.”
“Driving a truck, especially a
Peterbilt, is kind of like riding a Harley-
Davidson motorcycle. It’s a feeling of Though no longer unloading swing- parts company called Truck Component
freedom, to have your arms wrapped ing meat in LA, Larson still enjoys Services (TCS). And then, in 2010,
around something that big, to feel the travelling for work. “My favorite thing Glenn asked me to come back to the
power of the engine. It’s something that about going to the dealerships is meet- Peterbilt side of the business. I was our
gets in your blood and never leaves. One ing the customers and employees, par- director of new truck sales for three
of my favorite things I’ve ever done, was ticularly the employees who work in the years, and then I was promoted to
to be able, recently, to be in a convoy shop and in parts. They’re the backbone COO, which was always part of the
with about 30 other trucks. There’s no of the company.” plan,” Larson said.
feeling like sitting behind the wheel of a In the “backbone” of the business Coming back to Peterbilt seems
big truck.” is, by the way, where he got his start like the right fit for Larson because
Four of Larson’s older brothers with TLG. He said, he could have con- his admiration for the product is clear.
drove over the road, and Kory Larson tinued to work at Larson Truck Sales, “Our fleet consisted of all Peterbilts
would often ride with them. His earliest the family’s first business, back in Sioux for several years. We love the truck.
memory of riding in a truck was as a 6- Falls, now run by one of Larson’s broth- It’s like owning a Cadillac or a Harley-
or 7-year old. ers, Greg; however, after high school, Davison,” he gushes. “There’s a lot of
“I can remember going with my Larson chose to move to Springfield and culture to the truck and brand rec-
grandpa. We would haul potatoes out of worked in parts and shipping/receiving. ognition. They’re the truck everybody
North Dakota. You’d stop once a day to A fast learner, within nine months, he wants to take to the show. Obviously,
eat, whether you wanted to or not, and was running the department. we like the quality and integrity of the
you always want to, because you were “I got promoted, probably too origination. Additionally, we knew the
little and you were hungry,” he said, quickly,” he said, jokingly, “but they Peterbilt people. This was our choice
laughing. were having some issues — and I’ll never of truck to drive, and it’s our choice of
He estimates that he’d driven/rid- forget, in 1992, I was employee of the truck to represent. We think we repre-
den across 40 states. His most memo- year — I turned the parts department sent the product well. We just live and
rable trucking experience was “running around, working day and night, and I breathe Peterbilt. It’s something we have
California” with his eldest brother. had a lot of fun doing it.” a passion for and certainly we tried to
“We would haul swinging meat in Moving up the career ladder, he instill that within our organization. We
the markets of California. You’d come next served as general manager, work- believe it to be a premier product.”
down these little alleys, backing the ing for his brother Glenn, TLG presi- Truck sales are robust with the
truck in. Swinging meat is the whole dent, for three years before moving to growing economy, and a lot of manu-
cow,” he explained. “They’re on these Arkansas, where he served as a parts facturers are sold out for 2018 and
big hooks, and you’d have to unload manager and a general manager, a role already taking orders for Q1 of 2019.
them by hand. You might unload a half- he served in until 2000. He moved back Larson said that makes it an exciting
load or a quarter-load, driving down to Springfield to help Glenn with the time for truck owners and dealers alike.
these streets in Los Angeles in these big, growing business. “It’s already a wild ride and the future
shined up trucks. It was a unique expe- “In 2003, we decided to start a is bright for the trucking industry. The
rience.” new venture, an after-market and used
ARKANSAS TRUCKING REPORT | Issue 3 2018 33
The Larson Group
tlgtrucks.com
An award-winning Peterbilt dealer group, The Larson Group (TLG)
is a family owned and operated organization providing customers
with exceptional service since 1987.
TLG oers new and used truck sales, service, parts, body shop,
nancing, rental, leasing and contract maintenance products.
AWARD-WINNING DEALERSHIPS IN ARKANSAS
Peterbilt of Fort Smith Peterbilt of Northwest AR
6915 Alma Hwy 715 North Bloomington
Van Buren, AR 72956 Lowell, AR 72745
(479) 632-9140 (479) 439-8116
headwinds are low unemployment that
is affecting economic growth, and we
believe that trade in inventories will
grow in 2019 which could affect the
industry.” “WE WOULD HAUL SWINGING MEAT IN THE MARKETS
This passion for the brand and OF CALIFORNIA. YOU’D COME DOWN THESE LITTLE
people he serves is evident as well. “I
enjoy being around trucking people. You ALLEYS, BACKING THE TRUCK IN. SWINGING MEAT
just meet so many good people — a lot of IS THE WHOLE COW,” HE EXPLAINED. “THEY’RE ON
good, sincere, hard-working blue-collar THESE BIG HOOKS, AND YOU’D HAVE TO UNLOAD
Americans,” he says.
THEM BY HAND. YOU MIGHT UNLOAD A HALF-
GROWING UP LARSON LOAD OR A QUARTER-LOAD, DRIVING DOWN THESE
Larson’s first trucking tribe was his STREETS IN LOS ANGELES IN THESE BIG, SHINED UP
own family which includes his father TRUCKS.
Claire, mother Margaret, and five
brothers: Glenn, TLG president; Kevin,
executive vice president of used equip- —KORY LARSON, COO, THE LARSON GROUP
ment; Kyle, executive vice president
currently at the Mid-America Peterbilt
location; Gary and Greg Larson.
The senior Larsons have 28
grandchildren and several great Growing up, there was a set of pine “We have a family farm — we don’t
grandchildren. trees [nearby], and none of us boys do as much as we used to — but when
“They’re all good kids. We’ve been made it there. If we got too big for our the children were young, we hauled a
very fortunate, and I really credit our britches — my mother could run like the lot of hay in an old 1982 model cab
upbringing with [how great the family wind — she’d get us,” he said, candidly. over, a Peterbilt. My son thinks he may
has fared],” Larson said. “My mother also taught us how to have want to enter the organization someday,
He said it all stems from the valu- fun — she could have fun in a snow- and he’s actually interviewing right now
able lessons his parents taught him and bank. She’s always smiling. She loves with a truck line.”
his siblings. people and can talk to anybody.” Larson has great memories of
“My father taught us integrity. We Larson is instilling a love of truck- raising his children on a farm. “We
have a level of respect for him that I’m ing in his own family. He has been wanted them to know more than just
not even sure any of our children have married to his wife Valerie for 25 years. living in town, to have the freedom to
for us. He was tough, but he never laid a He smiles when he describes her as “an run around and play, explore nature
hand on us.” artsy person.” and just have fun. Our kids have really
Larson said Claire also taught his “Marriage is a gift,” he said. “… enjoyed being able to go outside when
children the value of hard work. “We She’s good at what she does. We’re total they wanted to and did not have to
started working basically as soon as opposites. I like to plan everything out. worry about cars and traffic. We enjoy
we learned to put a pair of pants on. She may wake up one morning and the peacefulness.”
We worked every Saturday. We went to paint and the next day, get up and do Life on the farm sounds messy and
church every Sunday, but every Sunday something totally different. She’s taught rough and fun. “My oldest daughter
afternoon usually and every day after me that everything doesn’t have to be would have her friends over and have
school, we worked. He really instilled in so-so, you know.” mud bogs in four wheelers and tear
us a work ethic.” The couple has three adult children, stuff up. For years, my son and I and
His mother modeled this as well. two daughters Brittany and Jessica, and two of his friends would work every
Larson said she dispatched trucks in a son Wyatt. His children, he said, have Saturday on the farm, building fences,
the early years of the family trucking taught him how to love unconditionally. weeding or cutting down trees, work-
company, and she had the responsibility They’ve also grown up in the trucking ing on cars … I like classic cars so I’ve
of rearing the boys as Claire was often tradition. taught them how to change oil and
busy building the business. “They’ve all ridden in the truck with tires. You just never know what we’re
“She was a rock. She had to be me — the two youngest a lot. And when going to get into on a Saturday.”
tough. We always had a running joke: my oldest daughter married, we took her
we never made it to the pine trees. and her husband to Peterbilt,” he said.
ARKANSAS TRUCKING REPORT | Issue 3 2018 35
“MONEY DOESN’T
DRIVE US.”
—KORY LARSON, COO, THE
LARSON GROUP
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36 Issue 3 2018 | ARKANSAS TRUCKING REPORT
WORKING WITH HIS HANDS were smaller, we knew all the employ- relationships outside the office. “Every
He’s passing on a pastime he’s had ees and all their children. That helped customer is different. They think of
since childhood. Not only was his first prove to people who we are. [Having things differently. They maintain their
job at TLG in the shop, he started work- experience with the trucks] helped as trucks differently. So, it’s fun to go out
ing on trucks when he was as young well, because we are able to ask ques- and find out how to mesh with their
as 10 years old. “I was greasing trucks. tions, like “Hey, did you try this? Did organizations and find out how we can
I can still, to this day, change truck you see if you can change the alternator best work together. That’s where I still
tires. I can change brakes and perform bracket? The people who started with get to ‘play around’ in the service end of
general maintenance on a truck. I can us, with whom we were able to have things.”
pretty much do it all. I very much enjoy those conversations, really respected Loving people over money is some-
working with my hands,” he says. Just that about us. How do you balance that thing Larson ascribes to his faith and
two weeks ago, he recounts tackling the today [with our size]? It’s why I enjoy upbringing.
brakes on his dump truck. “Working talking to the shop guys and parts guys, “Both my parents taught us right
with my hands, turning a wrench, is a hearing about their challenges. Usually from wrong and to respect others. I
hobby of mine.” you’ll learn something from them.” grew up with a Christian background,
But not every experience has been Despite the office work, Larson Catholic. My father also taught us how
pleasant. He readily and clearly — and says that Glenn emphasizes “we don’t to get along, which is very important.
understandably so — remembers “the get caught up in spreadsheets. We try I’m often asked how my brothers and I
worst job I ever had in my life: washing to stay involved with our customers work so well together, and it’s because
out a cattle trailer. You can imagine. It and employees … Most of them have we’ve worked together all our lives.”
was the worst job, but it taught you a lot.” our direct lines to call when they need These were the values that were
Now, he has the balance of juggling something.” emphasized in the Larson house-
paperwork and getting his hands dirty. They stay connected by visiting cus- hold — not material wealth.
“Obviously, as your position grows, tomers and “talking trucks” to navigate “Money doesn’t drive us,” he said,
you’re not able to get out and do those how best to serve them. That can’t hap- speaking about the family, as a whole.
things as often as you’d like. When we pen without conversations and personal
ARKANSAS TRUCKING REPORT | Issue 3 2018 37
Kory Larson the message of our values.”
Retirement isn’t on Larson’s radar
any time soon. However when he does
slow down, hunting and fishing are
likely to become more common for this
AT A GLANCE salmon and in northern Minnesota for
outdoorsman. He’s fished in Alaska for
walleye. One of his favorites has been
red fishing in south Texas.
“I don’t really see myself retiring
FAMILY: Wife, Valerie; two daughters Brittany (29) and Jessica completely. If I do retire, I will prob-
(24), and son Wyatt (19) ably trade something, probably trucks
or classic cars. I love to trade — I love
ANY HIDDEN TALENTS: Numeric retention, good mechanic
the thrill of the deal and the art of the
deal.”
BEST ADVICE YOU’VE EVER RECEIVED: Every day above
ground is a good day. He also wants to see more of the
United States. He mentions seeing
WORST ADVICE YOU’VE EVER RECEIVED: Deal with it later. the Grand Canyon again and visiting
Niagara Falls, the Northeast, and rid-
WHO INSPIRES YOU: My parents ing snow mobiles through the frigid
Michigan winter.
INTERESTING FACT THAT MOST PEOPLE DON’T KNOW “Enjoying what you do every day
ABOUT YOU: I came from a town that was so small, you [is what’s important]. We really enjoy
could look both ways and see it all.
the company we’ve built and value our
employees. It’s great to see people come
up through the organization and do
well.”
“None of us live in big, fancy homes or Integrity and humility are corner- Larson hopes that TLG employees
drive fancy cars. We lived in a four-bed- stones of that culture for The Larson find him approachable and compassion-
room farm house. We shared beds and Group, he added. ate, that they know he has a passion for
wore hand-me-down clothes. Growing “Cocky people don’t do well in our the company and that they feel a part of
up in a humble household taught us to company. Big ego doesn’t do well. We the team.
be just that: how to be humble.” believe in treating our customers — big “I always say people have to have
Humility isn’t just a lesson from or small — the same way. The same goes something or someone to believe in. I
Larson’s parents. He says one of his for our employees, whether a mechanic, want them to feel inspired and feel that
favorite songs growing up was American a janitor or a general manager. No one we’re a sincere, approachable organiza-
country music singer John Conley’s employee’s [importance] is viewed dif- tion,” he said. The inspiration doesn’t
“Common Man” from his 1986 album ferently than another.” have to be some grand dream or the
Songs for the Working Man. He recites a “We endeavor to have a profession- pursuit of anything fancy.
few of the lyrics, “’I’m a common man, ally run organization with the intention This sentiment accurately echoes
and I drive a common van. My dog ain’t of ultimately keeping not only our cus- the lyrics to his favorite childhood song:
got a pedigree.’ We’re all very down-to- tomers for life, but our employees too.”
earth people. And that could be the best In fact, Larson said, several of their I’m just a common man,
lesson my parents taught me.” 1000 employees have worked with TLG drive a common van.
for 25 years and a few have been with My dog ain’t got a pedigree.
UNCOMMON CULTURE the company for all 30 years. If I have my say, it gonna stay that way
Where would Larson like to see “When we lose an employee, we ‘cause high-browed people
TLG in the next decade? always want to know why. We have an lose their sanity.
“Our goal isn’t to be the biggest, open-door policy. I don’t get a lot of And a common man is what I’ll be.
but we want to be the best. We never calls, but several times a year, I’ll get a
want to outgrow the culture we have,” call from an employee [asking for clari- Kory Larson is a refreshingly
which he admits can be a challenge as fication on information or a policy]. uncommon man, and he drives (and
the company grows. Our goal as we grow is to communicate sells and services) Peterbilt. ATR
38 Issue 3 2018 | ARKANSAS TRUCKING REPORT
25,000
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That makes ATR a great place for you to advertise.
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them to consider purchasing your products or services, then you’ll want to place an ad in every issue of ATR.
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Relationship Hacks
Driver retention and recruitment panel says: Respect drivers, and act fast when
they show interest
Driver retention & recruitment panel moderated by
Max Farrell (WorkHound) with Malea McElyea (CalArk
International), James Reed (USA Truck), and Al
Heringer IV (Star Transportation)
By Steve Brawner of WorkHound, an online platform that driver experience, and that’s what
Contributing Writer for drivers to offer feedback to motor they’re looking for,” he said. “They
carriers. might not be able to voice it that way,
How do motor carriers find and but our data says very clearly that that’s
retain drivers? Three executives said WELCOME THE VOICES what they’re looking for.”
fleets must treat them with respect OF DRIVERS McElyea said she challenges team
while implementing policies that give The three motor carrier executives members to relate to drivers on a per-
them reasons to join their companies agreed with Farrell that getting driv- sonal level.
and stay. ers in the door starts with a company’s “We do care, and it’s really nice
James Reed, CEO and director of values, and one of those is recognizing when you walk down the hallway and
USA Truck; Malea McElyea, CalArk those drivers’ worth. Reed said the com- you ask somebody, ‘Oh, I heard your
vice president of business development; pany’s data scientist has found using grandchild graduated this last week-
and Al Heringer IV, vice president logistic regression analysis that the end,’” she said. “And their face just
of Star Transportation, offered their difference between those who stay and lights up because you are relating to
perspectives at the Arkansas Trucking those who leave is often related to com- them and again showing that care and
Association Annual Conference & munication. concern, and I think that’s very, very
Vendor Showcase in Hot Springs May “Being treated with dignity and important.”
17. The panel discussion was moderated respect and having open lines of com-
by Max Farrell, co-founder and CEO munication really has an impact on
ARKANSAS TRUCKING REPORT | Issue 3 2018 41
“I ALWAYS TELL PEOPLE, I’LL BELIEVE YOU
WHEN YOUR FEET FOLLOW YOUR MOUTH. OPEN
THE DOORS FOR THEM. HAVE FORUMS. HAVE
ACCOUNTABILITY SESSIONS WITH THEM, AND LISTEN
TO THEIR FEEDBACK. IT DOESN’T MEAN YOU ALWAYS
HAVE TO DO WHAT THEY ASK YOU TO DO, BUT
BE REALLY OPEN WITH THEM ABOUT WHY YOU’RE
NOT TAKING THEIR SUGGESTION. BUT TREAT THEM
LIKE ADULTS. THEY’RE OUR CO-TRAVELERS IN THIS
JOURNEY. … WE’RE IN THIS TOGETHER.”
—JAMES REED, CEO AND DIRECTOR OF USA TRUCK
Reed, who came to USA Truck with forums. Have accountability sessions business, McElyea said.
a variety of business experiences outside with them, and listen to their feedback. Drivers want consistency, home
of the trucking industry, said he created It doesn’t mean you always have to do time and respect, and McElyea said
a change coalition to establish a new what they ask you to do, but be really many want to be home on weekends,
company vision. Twenty-nine people open with them about why you’re not so the company is shifting its models
from across the company identified 13 taking their suggestion. But treat them in response. Heringer said his drivers
values that defined the organization. like adults. They’re our co-travelers in are home either at night or during the
That was too many, so the entire orga- this journey. … We’re in this together.” day because they stay within a 200-mile
nization was asked to narrow that num- While USA Truck and CalArk are radius, and weekends are cherished.
ber to the most important. Five were larger dryvan truckload fleets, Star
chosen, all centering around safety. Transportation is a family-owned tank STREAMLINING RECRUITMENT
That list helps guide the company when hauler with about 105 trucks. Heringer The recruiting process has become
it’s looking for team members. said his executives have an open door more digitized, personalized and faster.
“We seek to find drivers and all policy. Heringer said the company’s job post-
employees who align with those values “I’ll have two or three driver calls a ings are now done online and publicized
because if you go to work at a place day just them wanting to know what’s through Facebook and Twitter. Driver
where your values don’t align with the going on,” he said. “It’s really fun to recruitment is done through a decen-
company, you’ll be miserable, and vice interact. Keeps them engaged, keeps you tralized process through terminal man-
versa,” Reed said. engaged.” agers across the Southeast. McElyea said
Reed said drivers were not even Having empathy for drivers is an CalArk’s recruiting process has changed
allowed into the company’s headquar- important part of that process. Heringer drastically in the last five years, so that
ters without an escort before he became said driver managers and terminal now it prequalifies drivers within 24
CEO. He changed that policy imme- managers often ride with drivers. Reed hours rather than offering to mail them
diately. Now, the drivers all have his said that when he worked for a retail an application. Reed said an agency
personal cell phone number, and when company, employees at the director places ads for USA Truck, and then the
busy he’ll return their calls within a day level and above were required to work carrier is ready to respond to driver
or two. Sometimes when he arrives in in stores one week each year before they inquiries. The company has instituted
his office, two or three drivers will be could receive their annual bonuses. He staggered shifts so that recruiters are
waiting to give feedback or ask a ques- said he tries to get on the road at least working into the night and can respond
tion. USA Truck also has a driver advi- once a year, has already passed the writ- to inquiries immediately.
sory board offering a “loud, undiluted ten part of the CDL licensing process, “When a driver is sitting on their
and welcome voice around the table.” and plans to pass the driving portion by computer or their mobile device at a
“I always tell people, I’ll believe you the end of the year. CalArk, meanwhile, truck stop or in their truck, and they
when your feet follow your mouth,” he ensures drivers spend time in the office make an application, they’re available
said. “Open the doors for them. Have so they can understand that part of the right then for you to call them,” he said.
42 Issue 3 2018 | ARKANSAS TRUCKING REPORT
Reed said the company has hires who are ready to advance don’t
increased its recruiting staff. It recently have to wait for those who need a little
realized that too much of its recruiters’ more time. Much of the documentation
time was wasted “dialing for dollars,” is digital so less time is spent on paper-
so it hired employees whose only job is work and more time is spent on training
to get prospective drivers on the phone the driver and sharing the company’s
®
and then hand them off to a recruiter. culture with them, McElyea said. ArcBest delivers
Other innovations include a digital As a tanker fleet, Heringer’s situa- integrated solutions
“bot” that engages in a dialogue with tion is different, so orientations haven’t for a variety of supply
prospective drivers and then hands changed that much. There, it can take
them off to a human being, and a pro- two months to get a driver carded and chain challenges.
grammable text messaging platform comfortable with his or her multiple With a relentless
that feels like a personal message. responsibilities. focus on meeting our
Reed said others have told him it “At the orientation, I always tell customers’ needs
costs between $3,000 and $5,000 to any prospective driver, ‘We’re not going
hire a new driver, but they’re wrong. to teach you how to drive. We’re going and unique access
The actual cost is much higher – prob- to teach you how to haul gas.’ It’s a very to transportation
ably $100,000 for the fleet to actually intensive process,” he said. capacity, we create
increase its driver corps by one. Setting expectations in the begin- solutions to even the
However, the opportunity costs ning is key to retaining drivers, Reed most complex and
when drivers can’t be found are even said. Because nobody likes being baited-
higher than that. and-switched, USA Truck works with its demanding supply
“The bodies are worth it,” he said. recruiters to ensure they are presenting chains.
“To fill a truck is worth anything I an accurate picture. That effort involves
could ever pay a recruiter.” monitoring calls so recruiters can be
The three fleets all use mostly coached. The company has a conversa-
employee drivers. McElyea said CalArk tion with new drivers regarding issues
is trying to grow the owner-operator such as home time and miles driven.
option because some drivers who have Later, the driver manager has follow-up
been employees want to be independent conversations where drivers can grade
contractors. Reed said about 15 per- USA Truck against those criteria. If the
cent of USA Truck’s drivers are owner- carrier makes a commitment to getting
operators, and the company wants to drivers home, it must keep that com-
grow that to 25 percent. The company mitment, he said.
is working with vendors so its drivers
have access to best pricing, allowing it GREAT EXPECTATIONS
to offer a benefit specifically to owner- Once the driver has completed ori-
operators working with USA Truck. entation, the communication continues.
Once drivers have joined the com- McElyea said recruiters stay engaged
pany, they must be integrated into the because drivers may share concerns
culture. Reed said USA Truck in the past with them that they wouldn’t share
had one orientation per week in a single with staff in operations. That commu-
place and was losing drivers because nication can provide the company valu-
of it. If the prospective driver called on able information. A survey by CalArk
Wednesday and orientation wasn’t until found that turnover isn’t just about pay,
the next Tuesday, he or she might sign but often it’s about family issues.
on to another carrier in the meantime. “Trying to relate to them at all
Now, orientations occur every day. New parts of the business is something that
CDL holders undergo a robust training we really strive to do, and we have
program where they are assigned a vet- found that different stories are told,
eran trainer. Reed said turnover for driv- and then we just get some form of that
ABF Freight is a wholly owned subsidiary of ArcBest Corporation.
®
ers in their first experience is more than truth and try to act on it the best that © 2018 ArcBest Corporation. All rights reserved. All service
400 percent. CalArk, meanwhile, trains we can,” she said. marks featured are the property of ArcBest Corporation and its
subsidiaries.
drivers at their own pace so that new
ARKANSAS TRUCKING REPORT | Issue 3 2018 43
ATA Guide to ARK Trucking 2017.indd 1 4/11/2018 1:55:00 PM
Reed said a group is responsible for “AT THE ORIENTATION,
driver retention at USA Truck because
“if everybody owns it, nobody owns it.” I ALWAYS TELL ANY
However, retention also is everyone’s PROSPECTIVE DRIVER,
job. When a new driver starts working ‘WE’RE NOT GOING TO
for the company, he or she is introduced
to office staff members, given their TEACH YOU HOW TO
keys, and then everyone claps. The DRIVE. WE’RE GOING
company has a model that measures TO TEACH YOU HOW TO
past behaviors of one cohort to predict HAUL GAS.’ IT’S A VERY
future behaviors of a similar cohort.
Trends of a driver’s paychecks, miles, INTENSIVE PROCESS.”
and how long it takes them to return to
the network can predict when a driver —AL HERINGER IV, VICE
is considering quitting. The week before PRESIDENT OF STAR
the conference, that model helped the TRANSPORTATION
company resolve issues for two drivers it
likely was about to lose.
Despite a fleet’s best efforts, with them to identify why they left and driving. Reed said carriers can use
sometimes drivers will decide that the show them that the company still wants predictive modeling to customize their
grass is greener elsewhere. However, them to return. message to segmented parts of their
just because drivers leave doesn’t mean As for the future, the three driver audience. While individuals are
they’ll never come back. McElyea said executives agreed that the industry hard to predict, groups of people are
40 percent of CalArk’s hires each year needs to be able to attract younger easy to predict using those models, and
involve rehire referrals. When drivers drivers between ages 18-21 who carriers should take advantage of those
leave, CalArk stays in communication currently are barred from interstate tools, he said. ATR
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44 Issue 3 2018 | ARKANSAS TRUCKING REPORT
The Highway League
The traffic incident management heroes that respond to highway spills
By Deana Nall & ATR Staff
Contributing Writer “THE INTERSTATE SMELLED LIKE A PIZZERIA.”
“They all like to blame it on con-
struction,” Danny Straessle, Arkansas —DANNY STRAESSLE, ARDOT, PUBLIC INFORMATION OFFICER
Department of Transportation’s public
information officer, says of delays on
the state’s highways. where construction is likely to cause process for reopening lanes and getting
If drivers are going interstate speeds delays for lanes to be added or repaired, traffic moving again is less routine.
and then slow to a parking lot, con- but when the source of the congestion And though there is a protocol,
struction isn’t a bad guess. Arkansas has is an accident where a tractor trailer has
dozens of orange cones dotting the map, spilled cargo or fuel on the road, the
ARKANSAS TRUCKING REPORT | Issue 3 2018 45
Straessle says every incident is unique, The TIM-team is made of law ArDOT headquarters. And as Straessle
depending on where it happens, what enforcement (local, state, and highway says, there is no normal in highway
has been spilled, and the nearby exits police play a part depending on juris- spills. Every situation is unique.
where other vehicles can take alterna- diction), fire and rescue, emergency In TIM, 911 operators dispatch
tive routes. Arkansas drivers have had a medical services, transportation agen- police, fire, and EMS officers to the
chance to learn this lesson several times cies like the ArDOT, public safety com- scene first. The injured or deceased are
over the last year, even as recently as munications like the 911 call takers and top priority. Then remediation efforts
June 14. dispatchers, towing and recovery service begin while state police does accident
There was one tractor trailer providers, hazmat contractors, traf- investigation at the same time.
parked on the shoulder of Interstate fic information media, and sometimes Straessle explains that drivers may
40 in Arkansas, just west of the Kerr emergency management if an evacua- see equipment like tow trucks, rotators
exit, around 10:45 am. As the truck’s tion is necessary. (machines that rotate a trailer off its
driver tried pull onto the interstate, side to be hooked up to a tug and taken
another truck hauling a load of Fireball KAPOW! off the scene), backhoes, mechani-
whiskey was unable to stop or switch Aug. 9, 2017, had been a routine cal brooms and front-loaders to scoop
lanes before making impact with such day at the Arkansas Department of things off the pavement. In most cases,
force that the cab burst into flames. Transportation offices at I-30 and remediation is arranged with outside
Passers-by were able to help the driver Baseline Road. Many employees were service providers. But in the oppressive
get out of the burning cab, a total loss. finishing up lunch and getting ready to August heat, the sun began baking the
“That’s what we know for right now,” dive back into their work. pizzas into the pavement before recov-
says Straessle as he recounts the previ- Their plans for the afternoon were ery services could be called.
ous day’s accident that left hundreds of about to change in an unforgettable way. “The interstate smelled like a piz-
little bottles of whiskey on the asphalt The typical WOOSH! of rushing zeria,” he says.
and closed both lanes for two hours and traffic outside on I-30 was suddenly The grooves in the pavement
the westbound lane for more than 12 interrupted by squealing tires followed alongside the interstate were full of
hours. by a loud BANG! Straessle jumped out mashed pizza crust and mozzarella. In
THOSE PHOTOS SPOKE THOUSANDS AND THOUSANDS OF WORDS WHICH IS FAR
AND BEYOND THE 280 CHARACTER LIMIT OF TWITTER.”
—DANNY STRAESSLE, ARDOT, PUBLIC INFORMATION OFFICER
There were no fatalities in the of his seat to look out the window. temperatures nearing 90 degrees, five
whiskey spill, but there was a big mess, A tractor-trailer had caught one of hours of hard work went into cleaning
a lot of congestion, and plenty of driv- the support beams on the overpass. up the mess with front-end loaders and
ers wondering what happened and how The truck, carrying a load of hun- mechanical brooms. Then ArDOT had
long until the lanes would open again. dreds of Tombstone and DiGiornio to assess the bridge the truck had hit.
While drivers sit and wait for news, frozen pizzas, jackknifed and its trailer “In these cases, there’s typically
a TIM-team swoops in to action. TIM, split open, covering both lanes with more damage to the truck than the
Straessle says, stands for traffic incident crust, pizza sauce, mozzarella and pep- bridge,” he says.
management and is a “planned and peroni. This proved true with the pizza
coordinated multi-disciplinary process to “We were fortunate it happened spill. After the overpass was found to
detect, respond to, and clear traffic inci- where it did because our District 6 have only endured some cosmetic dam-
dents so that traffic flow may be restored headquarters are right behind us,” he age, the crumpled trailer was hauled
as safely and quickly as possible.” ArDOT says. “They were able to get some front- off, and I-30 traffic was able to run
is just one cog in the machine. Like the end loaders out there to start scooping smoothly once again.
superheroes in a summer blockbuster, it up.” While 18-wheeler spills don’t
everyone has a job to do to restore jus- Normally, when there’s an incident, usually happen right in front of the
tice, or in this case, smooth flow of the protocol is somewhat different, but ArDOT offices, Straessle says trucks
transportation on our state’s highways. normally, the incident isn’t right outside losing their loads on the highways
46 Issue 3 2018 | ARKANSAS TRUCKING REPORT
does happen. In fact, August 2017 was department has stepped up its efforts incident, they also provide alternate
an eventful month for truck spills on to keep motorists informed. The IDrive routes and monitor secondary crashes
Arkansas highways. Five days before the Arkansas app keeps motorists updated on parallel routes. “Somebody sitting in
pizza incident, another rig filled with on accidents, closures due to weather traffic can pull up that layer and can
whiskey overturned on I-40 in Lonoke and other delays 24 hours a day. And look and say “if I can get up to this exit,
County. And less than two weeks after the ArDOT Twitter feed (@myArDOT) I can get onto 70.” We are very fortu-
Pizzageddon, a truck ran off the high- also stays on top of traffic delays and nate that we have Hwy 70 paralleling
way near Camden and spilled its load of road closures across the state. These I-40 in East Arkansas because that helps
spaghetti sauce. Bright red tomato sauce resources are a quick way for drivers to provide some relief for traffic to keep
and broken glass were strewn along the find out what’s happening on the road moving on this continental corridor. To
median at the intersection of Arkansas ahead and stay updated. the North, we’ve got U.S. Hwy 65. That
24 and U.S. 278. Along with helps as well. They are both
a produce truck spill that secondary routes, important
same month in another part routes.”
of the state, Arkansas high- Back at the scene,
ways experienced a complete everyone on the TIM-
pavement buffet that month. team has a job to do. Law
“We had pizza, salad enforcement conducts
and something to drink,” investigations, supervises
Straessle says. the scene clearance, and are
The TIM-team doesn’t trained to make unilateral
call every member for every decisions when they
incident. Hazmat contrac- sometimes have to act in
tors are only necessary when multiple roles until other
toxic materials are involved, response arrives. Remediation
and other actors are some- services protect victims’
times required, like the property and vehicles, remove
health department or environmental When the accident is entered into debris from the road, and help with
agencies. IDrive, a tweet automatically goes out, traffic control. Transportation agencies
Tractor-trailers don’t even have to an email goes out to stakeholders, and are considered secondary responders.
crash to cause a huge mess and delay then traffic operations staff sends sup- Straessle says his job is typically
traffic. A semi with a driver who was plemental tweets and updates. over when all the lanes are reopened,
unaware of damage to his vehicle leaked In the first hour of June’s whiskey though there are often media calls
vegetable oil along Highway 290 in spill, a tweet from the @myArDOT to take (like ATR’s) from reporters
Houston, Texas, in July 2011. The slip- account went out, “A section of I-40 has wanting to share the story. But trans-
pery spill blocked traffic for several been closed due to an accident.” portation agencies have longer-term
hours until it could be cleaned up. As the TIM-team continued to work, responsibilities when called to an inci-
And remedial crews sometimes they sent photos of the burnt cab and dent, too, like filing reports on the spills
have to get creative depending on what bottles of whiskey strewn across the road so they can be included in state statis-
has been spilled. A thick layer of flour to communicate the situation as traffic tics on overall accidents and assessing
across I-95 in Maryland once had a continued to back up. “The more infor- and repairing the infrastructure that
TIM-team resorting to brooms and leaf mation that we can get out to the public may have been damaged.
blowers, knowing an attempt to wash visually…” Straessle pauses. “Those pho- This is the part of the action
the flour off the road with water hoses tos spoke thousands and thousands of movie that is never filmed—paperwork
would have resulted in a gunky mess. words which is far and beyond the 280 or rebuilding the roads that come in
character limit of Twitter.” and out of Gotham. Usually, our hero
COMMUNICATING A SPILL “People want information,” is seen wiping his or her brow before
For ArDOT, the bat signal in the Straessle says. “They don’t just want to jetting off to save another day while
sky or flashing red phone call is when sit there and wonder what’s caused traf- someone else cleans up the mess. As
the spill stops traffic. Straessle says his fic to stop.” e-commerce continues to demand more
office will field calls from frustrated Straessle encourages drivers to vehicles share the major freight corri-
motorists. stay in touch with ArDOT via IDrive dors in the state, the TIM-team is well-
To help ease their frustrations Arkansas and the agency’s Twitter. In qualified to clean up the mess and save
when traffic is tied up, Straessle says the addition to making updates on the the day on Arkansas roads. ATR
ARKANSAS TRUCKING REPORT | Issue 3 2018 47
Bright Lights, Spa City
Recap of the 2018 ATA Annual Conference & Vendor Showcase
Stephens Inc.’s Brad Delco provides an
economic update and forecast
By ATR Staff demonstrate how virtual reality and
Arkansas Trucking Association augmented reality are being used in
held its annual business conference diesel technician classrooms to give stu-
and vendor showcase in Hot Springs on dents hands-on experience with virtual
May 16-18. This year’s line-up offered equipment.
attendees educational forums, council Each council ratified new leader-
meetings, networking opportunities ship before ATA president Shannon
and featured speaker “Science Bob” Newton officially kicked off confer-
Plugfelder. The event attracted 335 ence by celebrating the safest fleets and
attendees, representing 139 companies individuals at the awards luncheon.
to the Hot Springs Convention Center. Winners included Driver of the Year,
This year’s scheduled offered five Eddie Granger of Dedicated Logistics,
forums, four council meetings, the elec- LLC, and Safety Professional of the Year,
tion of a new board member, and the Fred Fraser of MC Express, LLC.
stories of individuals and a luncheon Walmart Transportation received over 20.5 million miles on Arkansas
with Lt. Governor Tim Griffin (R-Ark.). first place in the Private Fleet – Large highways with only one reportable
Wednesday morning began Carrier division and the overall grand accident.
th
with council meetings. The Safety champion award. This is the 5 time After lunch, reports were given for
Management Council hosted new Walmart has been recognized with this ATA finances, membership, workers’
Arkansas Highway Police Chief Jay prestigious honor in the past 10 years. compensation, governmental affairs
Thompson, who updated members on In 2017, Walmart Transportation logged
enforcement rules for electronic log-
ging devices. Family Medical Leave
Act and Americans with Disabilities
Amendment Act expert Janis Moebus
addressed paid sick leave and paid
family leave compliance risks at the
Accounting & Finance Council meeting.
The Maintenance & Technology Council
invited app developer Josh Janikowski
from Fox Valley Technical College to
App designer Josh Janikowski (Fox
Valley Technical College) shows Christie
Al Heringer IV (Star Transportation)
assists featured speaker Science Bob Toland (Gentry Public Schools) how
virtual reality in the diesel technician
classroom puts equipment right in front
of students
48 Issue 3 2018 | ARKANSAS TRUCKING REPORT
AWARD RECIPIENTS
2017 DRIVER OF THE YEAR GENERAL COMMODITIES
EDDIE GRANGER LTL DIVISION
Dedicated Logistics, LLC Large Carrier:
FEDEX FREIGHT
2017 SAFETY PROFESSIONAL Harrison, Ark.
OF THE YEAR
American Trucking Associations FRED FRASER PRIVATE CARRIER DIVISION
president Chris Spear gives the state of MC Express, LLC Small Carrier:
the industry address TEXAS TRANSEASTERN, INC.
CORPORATE FLEET SAFETY
AWARDS Pasadena, Tex.
Grand Champion Large Carrier:
WALMART TRANSPORTATION WALMART TRANSPORTATION
Bentonville, Ark. Bentonville, Ark.
TRUCKLOAD-FLATBED DIVISION TANK TRUCK DIVISION
Intermediate Carrier: Intermediate Carrier:
LOGGINS LOGISTICS SOLAR TRANSPORT COMPANY
Jonesboro, Ark. West Des Moines, IL
Large Carrier:
MAVERICK TRANSPORTATION
Carl Vogelpohl, campaign manager for
Arkansans for Jobs & Justice Little Rock, Ark.
TRUCKLOAD - VAN & REEFER
DIVISION
Small Carrier:
BRAY FAST FREIGHT, LLC
Batesville, Ark.
Intermediate Carrier:
BILL DAVIS TRUCKING, INC.
Batesville, Ark. ATA’s Katie Thomason presents
corporate fleet safety grand champion
Large Carrier: award to Walmart Transportation’s
USA TRUCK, INC. Jennifer Gray
Van Buren, Ark.
Chief Jay Thompson, Arkansas
Highway Police Scott Richardson, Glynn Riels, Ruth
Riels, Driver of the Year Eddie Granger
(Dedicated Logistics) and David Burks
(Battery Outfitters)
Fred Fraser (MC Express) is
presented the safety professional of
the year by ATA president Shannon
Newton
Lt. Governor Tim Griffin (R-Ark.)
ARKANSAS TRUCKING REPORT | Issue 3 2018 49
and councils. The Board of Directors train, and provide opportunities for to engage attendees in industry discus-
ratified its newest member during younger workers by reducing an inter- sion at Thursday morning’s Silver Spoon
the general business meeting: Keven state commercial driver’s minimum breakfast, where improving industry
Haddox of Southern Tire Mart will fill age from 21 to 18 years old. If young image, workforce skills in college gradu-
the allied position previously held by men and women like his son who have ates, the ELD mandate, and safety’s role
Carl Boja of TravelCenters of America. already been entrusted with uphold- in trucking’s reputation were just a few
The American Trucking ing safety, operated large vehicles and of the topics on the menu.
Associations’ president, Chris Spear proven themselves to be hard workers, 40 Under 40 Council members got
delivered the State of the Industry the same training and responsibility some life and leadership insight from
address. He recounted recent regulatory could also be invested in others in his John Smith, who will be stepping into
victories and how the national federa- age demographic. the CEO role at FedEx Freight this fall.
tion has built a relationship with the Managing partner at Stephens Inc. James Reed, CEO and director of
White House over the past 12 months, Brad Delco spoke to attendees about the USA Truck; Malea McElyea, CalArk
including being asked by the President current economic climate and how the vice president of business development;
to champion tax reform and how the enforcement of electronic logging devic- and Al Herringer IV, vice president
industry is investing that money back es is expected to impact the market. of Star Transportation, offered their
into equipment and workforce. Spear This year’s event was made pos- perspectives on driver recruitment
shared the story of his own son’s mili- sible by 14 Gold Sponsors and 18 Silver and retention in a panel moderated by
tary experience at 18 years old and the Sponsors. An exclusive Gold Sponsor WorkHound’s Max Farrell. The group
incredible responsibility that is bestowed reception was held at Wednesday night shared some of their best practices for
on him overseas that would not apply in at Hot Springs’ newest downtown res- communicating company values and
the U.S. Spear concluded with the claim taurant Vault. expectations to a cohort of drivers. Read
that trucking should be able to recruit, Silver sponsors had an opportunity Steve Brawners’s report on the panel
FedEx Freight’s John Smith speaks with young leaders at the
40 Under 40 Council meeting
Dave Luethy (Bridgestone Commercial Solution), Robert
Eldridge and Gilberto Corona (Bendix CVS)
Demetri Mendoza (ABF Freight), Michelle Smith (ArcBest), Bryan Peoples (NanoMech) and Daniel Holt
Mallory Scheurer (ABF Freight), Erica Brigance (ArcBest) (Tyson Foods)
50 Issue 3 2018 | ARKANSAS TRUCKING REPORT