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Industry Watch October 2011

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Industry Watch October 2011 1.877.GETS.UTA • www.uta.org Volume 13 • Issue 10 • October 2011 Arrow Opens Nominations for Used Truck Association Back On The Road™ 2012 Chartered May 16, 1988 Published by the Used Truck Association 325 Country Club Drive, Suite A or the fifth straight year, Arrow Truck Sales has launched its Back On The Road™ program, Stockbridge, GA 30281 Fwith the aim of providing a deserving trucker a truck and a job “to get them back in the road— and many more prizes designed to keep them on the road,” Arrow announced in a recent release. It’s hard to think of a time when such a program would be more welcome or appreciated, as the Table of Contents world’s economy remains stuck in low gear. Mack Trucks, Inc. is this year’s presenting sponsor. Aaron Tippin, former trucker and country music star, is again supporting the program by Board News & Views .......................... 2 actively participating in the search for the winner, as well as his selection. New Members ............................. 5, 7-8 “Truckers are some of the hardest-working people in the country and they impact literally every Face to Face with Edward Barcena ...... 6 community in the United States,” said Steve Clough, president and CEO of Arrow Truck Sales. “We feel it’s important to keep these drivers working and we’re proud to help a deserving trucker The Brooks Group get back on the road, making an income and fueling our economy.” Sales Tip of the Month ...................... 8 The selected trucker receives a one-year lease on a 2008 MACK® Pinnacle™ 70-inch High-Rise In Memoriam: Sleeper, courtesy of Mack Trucks, Inc., a one-year work agreement with Heartland Express, and Dick Chambliss, 1947-2011 .............. 8 other products and services. Current Convention Sponsors .............. 9 Arrow is accepting nominations from U.S. truckers who are seeking a second chance “after facing Bryan’s Spotlight ................................. 10 loss or unfortunate circumstances beyond their control,” the company said. “Nominations for truckers August Surprise ............................ 12-13 who have selflessly advocated for the profession and the trucking industry in general are also valid.” Industry News Briefs ................... 14-15 “As a husband and father, it’s always been important to me to provide for my family,” said David Acosta, Arrow’s 2011 Back on the Road winner. “Winning Back on the Road was not only about Industry Events Calendar ................... 23 getting a truck and a steady income, it has allowed me to take care of my family. I hope that any From Where We Sit .......................... 23 hard-working driver who’s looking for a second chance considers applying this year.” Aside from the truck and work agreement, the Back On The Road™ winner receives: The UTA… Members Supporting Members! ■ X One® XDA Energy tires – Michelin ■ TriPac auxiliary power unit – Thermo King ■ Monthly $500 fuel cards – Pilot Flying J Travel Centers ■ Business consulting tools – ATBS ■ Insurance – Owner-Operator Independent Drivers Association (OOIDA) ■ A 3-year / 300K-mile warranty – National Truck Protection, Inc. ■ One year’s worth of filter products – Mack Genuine Parts ■ Custom truck paint job – Dickinson Fleet Services ■ Truck accessories and fenders – Minimizer Products ■ Memory foam mattress – SleepDog Mattress ■ Paint – DuPont ■ Health assessment and check-ups – SHARE YOUR NEWS Rolling Strong (Bob Perry, The Trucker Trainer™) with the UTA Industry Watch. Friends, family members, associates, or even the Send submissions, ideas and truckers themselves may submit nominations. The comments to: nomination should include a “compelling 250-word UTA Industry Watch Editors story explaining why the nominee deserves to win,” Brad and Deb Schepp, Lara Haag the company noted. Submit completed applica- c/o Grace Management tions on www.arrowtruck.com/backontheroad. 325 Country Club Drive, Suite A Arrow will accept nominations from Oct. 3 to Stockbridge, GA 30281 Dec. 4, 2011. Phone: 877-GETS-UTA (877-438-7882) The winner will be announced at the Mid-America Fax: 770-454-0029 Trucking Show (MATS) March 22-24, 2012 in Louisville, KY. To learn more [email protected] about the program or its past winners, visit www.arrowtruck.com/backontheroad. ■ 2011 Board News and Views Board of Directors What does CSA mean for you? his article is a follow up to Tom Pfeiler’s January 2011 newsletter article. In that article, TTom gave us the “lowdown” on CSA 2010 (now known as CSA). It would have been easy to conclude after reading Tom’s article, “Bummer for the freight companies, but CSA does not really affect my business.” Oh, but it does. Ultimately CSA determines whether your clients remain in business. The FMCSA intended the CSA scoring system (SMS) to “quantify the on-road safety performance of carriers and drivers to identify candidates for interventions, determine the specific safety Front, L to R: Sheri Aaberg, Randy problems the carrier or driver exhibits, and to monitor whether safety problems are improving Pennington, Marty Crawford, or worsening.” Unlike the prior system where the public information was limited to whether a Tim Ronan, Mike Thurston. carrier was in overall compliance, the new CSA system is updated approximately every 30 days, Back, L to R: Tim Ormsby, Bryan Haupt, and carrier scores are public and very detailed. CSA’s big picture consequences are still being Ken Kosic, Bobby Williams, Rick Clark, comprehended, as drivers and carriers integrate the system into their behaviors. For now, there Tom Pfeiler, Bryan Boyd, Lara Haag, are misunderstandings about how violations may affect scores, and there are potentially John Cosgrove, George Barnett. unintended consequences of making CSA’s SMS scores public. To preserve their businesses, carriers who understand CSA’s effects are protecting their scores. President They are also avoiding relationships with or releasing drivers and independent operators whose Rick Clark CSA scores are deemed as over weighted in the carrier’s overall score. In other words, a driver’s Vice President CSA score can cost him his livelihood. While a driver would expect that a preventable accident Bobby Williams or speeding 10+ miles per hour over the speed limit would be scored highly against the driver, he may not understand that infractions such as failing to wear a seat belt have been scored in the Treasurer system as high, or higher than failures to obey traffic devices and speeding. Likewise, hours of service Tom Pfeiler violations are scored as high, if not higher, than driving violations. There is no safe haven: If a driver has a violation in any of the categories that makes up the BASICs they will be scored. Secretary Sheri Aaberg If a carrier has a CSA score or scores below any of the BASICs categories deemed above the preferred threshold for that category, then the carrier is flagged for increased inspections. The President Emeritus result is that drivers and independent contractors working for these more marginal carriers are Marty Crawford inspected more often. This can cause the driver’s customer service and income performance to Affiliates & Benefits Committee decrease, and his individual CSA score to increase, as most inspections will result in a scored Chairman deficiency. This frequently becomes a death spiral for the drivers of the marginal carrier. Bryan Boyd Ultimately, one would expect that over time the carrier will also not survive. As the trucking industry continues to adopt this scoring model, other ancillary businesses are Convention Committee Chairman now reviewing CSA scores and taking action. Shippers, for example, are monitoring carrier scores Sheri Aaberg & Tim Ormsby to help determine if the shipper will establish or terminate business relationships. Likewise, UTA Jerome Nerman Family finance companies are reviewing CSA scores to determine risks in either financing the carrier/fleet Foundation Scholarship Committee directly, or financing independent contractors hauling for the carrier. Insurance companies Chairman and other risk-based companies, if they are not already doing so, are expected to be reviewing Tim Ronan CSA scores in the near future. The big boys have CSA figured out, however, our smaller customers—fleets and owner operators Elections Committee Chairman alike—do not fully comprehend the effects of CSA scoring, and it will take our industry’s help George Barnett to educate our smaller clients. As an industry we must adopt the habit of talking about CSA Marketing Committee Chairman scoring in the course of our business to help our clients keep their livelihoods, and, in turn, Lara Haag allowing us to keep our client base. Help your clients understand the importance of a low CSA score, as it will affect their ability to either Membership Committee Chairman work with a carrier, or do business with a strong shipping partner. Encourage your clients to get John Cosgrove educated and work to keep from scoring themselves out of their livelihoods as CSA is here to stay. ■ Training Committee Chairman Ken Kosic For more information on CSA visit http://ai.fmcsa.dot.gov/sms/infocenter UTA Dealer Group Committee Chairman Mike Thurston UTA.org Website Committee Sheri Aaberg Chairman Secretary Bobby Williams [email protected] 2 October 2011 www.UTA.org It’s always a treat to welcome new members to New Members the Used Truck Association. Each month we profile our new members in this newsletter. New members have the opportunity to complete a Jim Elliot, General Manager Bill Goddard, Wholesale/Buyer bio and send a photo so our current members Manheim MHC Kenworth can learn more about you. We hope to learn not 3110 South Post Road 1524 North Corrington just how to reach you, but what you like/don’t Indianapolis, IN 46239 Kansas City, MO 64120 like about the work you do, why you joined the (317) 862-8622 (W) (816) 841-1844 (W) UTA, and what gets your gears going as a person.
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