The Global UD Trucks Customer Magazine #03 2013

LOOKING SHARP: VOGUE LAUNDRY IN HONG KONG

P04 P10 P19 Driver training in UD Trucks’ fuel-saving Customized truck painting South Africa “rolling laboratory” in Japan Go out for a run. With tons of cargo on your back.

Discover a truck with endurance like a long-distance runner. The new heavy-duty hero Quester gets the job done efficiently and reliably. With versatility and carrying capacity for any type of mission, it cuts your costs and maximises your uptime. Get ready, set and go at udtrucks.com

Quester. Made to go the extra mile.

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04 Feature Story Go out for a run. On the road with a UD driver trainer Derick Moima shows up-and-coming drivers how to save fuel in South Africa. With tons of cargo 06 Cover Story Looking sharp in Hong Kong: Putting customers first Vogue Laundry on your back. A look at the logistics of the laundry business in s customer and technical support director, I am one of the world’s busiest cities. very pleased to be able to introduce this issue A of Roads. 10 Event My team and I are chiefly responsible for solving The Tokyo Motor Show and technical issues on our customers’ trucks through The Dream Machine troubleshooting. We travel often, which puts us where Under the theme of “Going the Extra Mile,” we most want to be: in touch with our customers. Every UD Trucks aims to impress at this year’s Tokyo day on the job presents different challenges, and we Motor Show, which include the Quon often do not know what issues will be waiting for us Fuel Demonstrator, UD’s cutting-edge testing ground for fuel-saving technology. when we arrive at the office. On the other hand, we get a close-up view of the needs Innovation of our customers in different markets, which is invaluable. 12 Being directly involved with solving problems and ensuring Quester special Roads is published uptime and customer satisfaction is what makes my job Analysis of Quester’s global and Indonesian three times per year by rewarding. launch, the power of its Fuel Coaching System, UD Trucks Corporation Based on my knowledge of UD customers, I think I can and the significance of its aftermarket offer. udtrucks.com say there is something for everyone in this issue of Roads. Publisher You’ll find a story detailing the ever-busy laundry business 16 Feature Story Per Sundström in Hong Kong, and another about the unique challenges of [email protected] Island hopping in Indonesia Tel: +81-48-726-7601 vehicle transportation in Indonesia. You can also ride along Join Parani, a freight-forwarding business, as it Editorial Production with a UD driver trainer in South Africa! moves vehicles around Indonesia’s many islands. Next Inc. A four-page special on Quester will supply everything [email protected] www.nextinc.com you need to know about its launch, Fuel Coaching System, 19 Production Tel: +81-3-6436-4270 and all-important aftermarket support. Editor-in-Chief And for people with an interest in Japan, there is a Custom coats: Life in 2900 colors Kjell Fornander look at the Japanese entrepreneurial spirit, a story about A visit to the UD Trucks’ Japanese paint shop in Executive Editor Ageo, Saitama Prefecture, reveals how high- Tyler Rothmar precision custom truck painting and news about the quality painting is achieved. Tokyo Motor Show. Art Director Koichi Asano I hope you enjoy! Tradition Production Manager 22 Kazumi Umezawa Shokon – The Japanese Printed in Japan Marielle Edgren entrepreneurial spirit Director for Technical and Customer Support An examination of the forces behind some of Japan’s greatest entrepreneurs, including UD Asia Pacific Region Trucks founder Kenzo Adachi.

Contributors to this issue: Rob Gilhooly Gerhard Jörén Jette Kristiansen Rob Gilhooly is a Tokyo-based Swedish photographer Originally from Denmark, Discover a truck with endurance like a long-distance runner. writer and photographer with Gerhard Jörén has spent Jette Kristiansen is a The new heavy-duty hero Quester gets the job done efficiently 19 years experience in journalism the last 25 years in Asia freelance writer based and an MA in the subject. His covering news and features in Cape Town covering and reliably. With versatility and carrying capacity for any photos and stories have appeared across the region. He African affairs for a range of type of mission, it cuts your costs and maximises your uptime. in publications around the globe. currently lives in Bangkok. Scandinavian magazines. Get ready, set and go at udtrucks.com

Quester. Made to go the extra mile.

Cover photograph: Gerhard Jörén

291-0053_UD_P9103_Ad_ROADS_210x297.indd 1 2013-07-11 16:24 UD Trucks Southern Africa’s Derick Moima discusses how better driving can save large sums in fuel. On the road with a UD driver trainer Text: Jette Kristiansen Photos: Toby Selander

ne of my clients used to use 75 terms of speed and load. “You litres of diesel per 100 kilometers. must always use automatic After their drivers went on a [gears]. The manual gearbox is training programme, their fuel only for driving up and down a consumption went down to 45 hill. To save fuel, you must stay “Olitres per 100 kilometers,” says driving instructor at 80 kilometers per hour,” he Derick Moima. cautions. Moima is one of UD Trucks Southern Africa’s trump Moima is an experienced cards. For 25 years, the last 13 with UD, he has taught man. He knows the trucking 02 generations of professional drivers how to drive trucks business inside out. Not only safely and economically. does he know most roads in “I have my own local driving instructors, but when it South Africa, but he also teaches in Zimbabwe, Zambia, 01. UD Driver Trainer comes to my most important clients, I turn to Derick,” Mozambique, Swaziland, Lesotho, Namibia, Angola, Derick Moima explains fuel-efficient driving. says Willie Linde, dealer principal at BB Trucks in Mauritius and Botswana. Being able to speak 12 02. BB Trucks Dealer Middelburg, Mpumalanga. languages doesn’t hurt either. Principal Willie Linde with “I’ve known Derick for five years. Our friendship “In places like Zambia and Zimbabwe, where the Derick Moima. goes back to my days as National Sales Manager at UD speed limit is higher than 80 kilometers per hour, it’s 03. Derick Moima Trucks. I know he’s very good at communicating with hard to convince them to drive slower. Also when demonstrates the finer the drivers as well as with the drivers’ managers, our they drive with a light load they want to go fast,” says points of shifting. clients,” says Linde. Moima. Moima’s training sessions usually start with a few At soft drinks manufacturer Twizza, they are hours of theoretical training in the classroom followed discussing different methods to improve driving skills by individual driving lessons that last between 30 and achieve better economic fuel consumption. minutes to four hours, depending on the driver’s “The legal speed limit for trucks in South Africa is 80, needs. This is followed up by an individual report and a so anything faster than that would be illegal anyway,” feedback meeting with the company managers. says Twizza Logistics Manager Wilhelm Lategan. Occasionally, Moima has been known to follow some “We have tracking devices installed in the trucks of his students in his own car in traffic, to see if they so we can follow every vehicle and monitor speed remember what he taught them. compliance. Since September 1 this year we’ve implemented driver briefing & debriefing for every trip, Driving skills and fuel bills where we follow up on driver behaviour. We don’t Moima’s main aim is to give his students an accept any speeding. We’ve already seen improvement understanding of the most economical way of driving in in driving patterns and I’m looking forward to seeing the savings on our fuel bill,” says Lategan. A lot has changed since Moima first started out as a driving instructor 25 years ago. The roads are better, but there is also much more traffic. The trucks are better, easier to drive and much more comfortable, but business is tough in many places, which means more pressure on the drivers. “This job keeps changing. It’s a new situation every year: new trucks, new rules, new people,” says Derick. And 01 that’s the way he likes it.

04 #03 | 2013 Feature Story

“This job keeps changing. It’s a new situation every year: new trucks, new rules, new people.” Derick Moima

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#03 | 2013 05 Roads checks in with Vogue Laundry to hear how they keep Hong Kong Looking looking good on a commercial scale. sharp in Hong Kong: Text: Tyler Rothmar Photos: Gerhard Jörén Vogue Laundry

06 #03 | 2013 Cover Story

ouching down into the heart of Hong Kong’s exuberant bustle, energy is everywhere. The pulse of commerce can be felt on the street and in the city’s restaurants Tand shops. Sixteen years after its return to China, however, Hong Kong is still getting used to the influx of new people, policy and business from the mainland. The city is perennially busy, and evidence of its constant growth and change is everywhere. As the famous skyline recedes in the mirror on the way to Tuen Mun in the New Territories, many of the trucks on the road are showing their age. Earlier this year, the government announced HK$10 billion (about $1.3 billion) in subsidies to encourage owners of some 80,000 outdated commercial vehicles to update to more fuel-efficient and low- emission models. Despite air quality and other challenges that come with growth, there is a palpable optimism, an upbeat feeling that it will all come out in the wash.

Enter Vogue Located in Tuen Mun, Vogue began as a small retail shop doing laundry and dry cleaning. Next year, it will celebrate its 50th anniversary. From humble beginnings, Vogue has grown into one of the largest commercial laundry companies in Hong Kong, and counts major hotels, clubs and airlines, including parent company Cathay Pacific, among its customers. As with any large city, laundry is big

#03 | 2013 07 business. “Some old-style hotels still Yiu. “Sometimes those details change, maintain in-house laundry facilities,” says and when they do, everything needs to be Manager Marketing & Sales Emily Kam. juggled and reorganized. Our organization “But as space is at a premium in Hong never stops. It runs 24 hours.” Each Kong, most of them outsource their laundry truck’s daily route takes it over about 200 services.” kilometers of Hong Kong’s roads. Add to To keep customers happy, Vogue this other variables such as traffic jams and concentrates on the quality of its cleaning typhoons, and the magnitude of Yiu’s task services and the efficiency of its network starts to become clear. of pickup and delivery teams. Keeping the hotels, restaurants and airlines of Hong Not uniforms, “Collections” Kong looking good is an important job that The Chinese government’s recent relaxation keeps everyone on their toes. of visa regulations for people from the mainland has led to a sharp increase in hotel Challenges occupancy. “There used to be a ‘summer “Manpower is very expensive here,” says peak’ when the numbers of tourists were 02 Logistics Manager Alan Yiu. A statutory minimum wage of HK$30 (about $3.80) has been in place since May 2013, intensifying already fierce competition for skilled, licensed drivers. In classic Hong Kong style, workers often “shop around” for the best employment conditions, and turnover is high. Vogue’s fleet is comprised primarily of UD trucks. “I enjoy driving them,” says Chak Hung, a 10-year veteran Vogue driver whose routes change from day to day according to customers’ needs. “The trucks are very stable, regardless of whether they’re empty or full, and the cab is quiet and comfortable.” Vogue observes a strict environmental policy; it was among the first companies in Hong Kong to have a 10-ton Euro 5 emission standard-compliant truck, and drivers like Chak Hung are careful never to let the engine idle. Another challenge comes in the form of route planning. “Each customer has their own unique scheduling needs that we need to meet for collection and delivery, and this means very careful planning to make sure we’re running efficiently,” says

Vogue Laundry Service Limited

Total employees: About 600 Pickup & Delivery Staff: 57 drivers, 100 delivery staff Number of trucks: 27 Relationship with UD: Vogue Laundry has used UD trucks for 20 years. Currently, 80% of its fleet is UD, primarily the GVW 10.4-ton MKB. Volume: About 75 tons, or 270,000 individual items, each day Retail shops: 9 on Hong Kong Island, one each in Kow- loon and the New Territories 01

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highest,” says Kam. “After that, we had requirements, especially for kitchen staff, 01. Veteran Vogue Laundry Driver Chak Hung on his daily rounds. two months to rest a bit before gearing whose uniforms are white and thus most 02. Left: Emily Kam, Manager, Marketing up for Chinese New Years. Now, there’s vulnerable to the kind of staining that can & Sales; Right: Logistics Manager Alan no time to rest. Our customers’ hotels are only happen during food preparation. Yiu. constantly full and we work around the Specialization at such delicate cleaning is 03. A Vogue Laundry vehicle makes its clock.” one of the reasons Vogue has been able to rounds. This spike in tourism has meant more thrive. money for the major hotels, many of which have since undergone renovation and On the up and up other overhauls, including uniforms. Kam With plans to move to a new facility in explains: “In some cases, it’s not even called 2016, including investments in new cleaning a uniform. Real designers are hired for the technology and the capacity to process a staff’s clothing. Rather than a uniform, they larger volume on a daily basis, everyone at refer to it as a ‘collection.’” Vogue is excited about the future. “Hong Such ‘collections’ are often made from Kong is growing, and we aim to grow along unique fabrics and have special cleaning with it,” says Yiu.

“ Each customer has their own unique scheduling needs that we need to meet for collection and delivery.” Alan Yiu, Logistics Manager

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#03 | 2013 09 The Dream Machine Text: Tyler Rothmar

In November, 2013, an exciting project made a aerodynamics data, reducing the need for an expensive wind dramatic debut at the Tokyo Motor Show: the Quon tunnel—“which helps to improve the aerodynamics of the lower part Fuel Demonstrator, an experimental truck at the of the truck. Now we have a much better idea of how to optimize forefront of the fight to keep fuel costs low. this area.” The project was undertaken two years ago with the stipulation t a glance it’s clear that this is no ordinary truck. The that the changes had to be practical, which is to say, realizable, on shapes of the wind deflector and front spoiler have a normal truck. The Quon Demo is a 12-meter, 6x2 CD, a segment been optimized, and low-hanging skirts flank the that is central to UD Trucks. “If it was so long that it exceeded the wheels. “The basic idea is to make the truck more 12-meter regulation, the shape of the cab would have to change. fuel efficient, and one of the methods is to reduce There would be a nose, for example. But we didn’t take this aerodynamicA drag, hence these changes,” says Vehicle Productivity approach because we wanted to stay within the frame of the current Manager Elie Garcia. regulations, and because of the limited scope of the project in terms The Quon Demo is a dream machine of sorts, what Garcia and his of budget and time. So we focused on what real differences we team call a “rolling laboratory.” On it, the most ambitious ideas at the could make within that frame.” vanguard of the pursuit of optimal fuel efficiency are tested. Those Yet there is more to the innovation of the Quon Demo than meets that are proven get tempered by real-world conditions in various the eye. While the long skirts serve aerodynamic considerations, segments and incorporated into the trucks we see each day. Garcia, an engineer, started his career working for the Volvo “ When you work with fuel consumption, if Group in Lyon, France, in 1999. The cutting edge is always moving forward, he says, and he has seen it come a long way. “A long time you want to reach over 10 percent reduction, ago, we didn’t use extensively what we call Computational Fluid you have to work on everything.” Dynamics,”—a computer simulation that can measure and compare Elie Garcia, Vehicle Productivity Manager

10 #03 | 2013 Event

Tokyo Motor Show: Pulling out the stops

Since 1954, the Tokyo Motor Show has been a worldwide draw for customers, makers and journalists, making it an excellent opportunity for UD Trucks to showcase its products, vision, attitude and efforts to past and potential customers alike. Text: Kjell Fornander

ur theme for the 2013 Tokyo Motor Show was “Going the Extra Mile.” We wanted to “O deliver two important messages: First, our new vision and customer approach. Second is our focus on helping the customer in their quest for profitability,” says Nobuhiko Kishi, Vice President of Product Strategy at UD Trucks. For customers in mature markets, a Quon truck was on hand to represent UD’s commitment to keeping operation costs low. “Quon is a very precise tool made for mature markets,” explains Kishi. “It was designed for very specific efficiency requirements in targeted markets such as Japan.” 02 Interactive stations allowed visitors to experience how Quon’s celebrated ESCOT-V (automated manual 01. The Quon Fuel ) works and the benefits of Nenpio, a Demonstrator, ready for action. guidance system that helps drivers to operate in the 01 02. Vehicle Productivity engine’s optimum revolution range. “With Nenpio, it’s Manager Elie Garcia easily possible to improve fuel consumption by up to 20 percent,” says Kishi. they are quite heavy, which decreases the truck’s overall payload. Meet Quester To offset this drawback, the 11-liter GH11 engine, which would A Quester truck was present for customers from UD’s normally power a truck of this size, is replaced by a smaller 11-liter growth markets. “Quester is developed and optimized displacement engine. for growth markets and the various road conditions and Drivability remains high due to sequenced dual turbo chargers applications that occur there,” notes Kishi. Available in that supply the engine with enough air to make up for the power seven configurations from 4x2 to 8x4 with a variety of difference between the models. “In other words,” explains Garcia, engine and gearbox options, the new truck’s high level “the engine has less weight, nearly the same power, optimized fuel of customizability makes it a game-changer in Asia. economy, and of course less cost.” “The traditional view is that UD is The overall aim is to achieve over 10 percent improvement in fuel fuel efficient and reliable, and this efficiency, a daunting goal to say the least. The team’s ambitions are is true. But at this Tokyo Motor driven in part by anticipation of the next wave of Japanese emission Show, we wanted to let people regulations, which will arrive in 2017. “When you work with fuel know about our longstanding consumption, if you want to reach over 10 percent reduction, you commitment to innovation and have to work on everything. Some items are only worth 0.1 percent to giving customers the most – but we still work on them. Put them together, and the effect is up-to-date tools with which significant,” Garcia explains. to be profitable,” says “We’re testing and learning, and this truck will actually run on Kishi. the open road. Some of the features are excellent, really profitable. Others are more expensive and don’t pay off so well, and we let them pass. This is true research and development, so it’s very Nobuhiko Kishi, exciting.” Vice President of Product Strategy

#03 | 2013 11 Text: Kjell Fornander 01. UD Global Brand Quester: head Loic Mellinand (in white) discusses Quester at the global launch in Bangkok, Thailand. 02. Top management The unveils Quester at the first Indonesia Mining Expo impression 2013.

Years of hard work and planning culminated in the week of August 26, 2013, at Quester’s global launch. Roads was there for an exciting program of presentations to journalists, customers and partners to record the new truck’s reception.

fter more than three years of overall planning, what has been perhaps the most ambitious project in UD’s history was finally ready to be unveiled. 01 A team of 400 people from 12 countries worked fulltime for more than three years on it; 1.5 million engineering hours and 65,000 presentations for partners and customers. the message of fuel efficiency, durability testing hours were spent. Quester—the new By week’s end, Quester had been and strong aftermarket support hit home? heavy-duty truck range for growth markets, introduced to more than 1000 key people “For me, this is something that UD has beginning in Asia—had arrived. through 11 stations grouped under four never offered before, a real heavy-duty The global launch in Bangkok, Thailand, themes: Fuel Efficiency, Uptime, Modern platform that offers various solutions to kicked off with a high-tempo multimedia and Efficient, and Quest for Quester, which various customers,” said dealer Tan Keng presentation for about 100 journalists covered the history and development of the Meng, executive director at Tan Chong from Asia, including Japan, Thailand, project. Industrial Equipment Sdn. Bhd, Malaysia. China, Malaysia and Laos, followed by So, what did customers really think? Did John Benseman, head of Transport & Workshop at New Britain Palm Oil Limited, had come all the way from Papua New Guinea: “We don’t have any UDs today, Indonesian mining gets a boost but I’m considering it. It’s no secret that European trucks are getting more and After 30 years of history in Indonesia, on more sophisticated, but all this technology September 4, UD Trucks launched Quester at increases the cost and adds problems with the Indonesia Mining Expo 2013 in Jakarta. training and maintenance. UD Trucks turned a significant corner with the “We have really bad roads in PNG, as official Indonesian release of Quester’s 6x4 bad as you can imagine. We have a lot of rigid and 6x4 tractor variants for mining and damage to our trucks. What we’re looking heavy haulage applications. for is really a truck with the least amount With its driveline designed for mining and of sophistication, still very durable and with heavy applications, including a powerful 02 good aftermarket support and backup.” 11-liter engine, the all-new truck is expected Khamphone Sihalath, president of to replace the aging Legacy range over time in to customers to ensure an effective transport Pattana Construction, Laos, has been a UD Indonesia’s robust mining sector. work. Strategically located authorized United customer for 18 years. He likes UD and finds Quester will be distributed through United Tractors branches have since been preparing it to be stronger than other brands. “Fuel Tractors network across Indonesia. UD Trucks’ to support Quester with an offer based on consumption is number one for us, as fuel customers will be supported by an extensive minimal operational costs, maximum fuel is a very big part of our total cost. Second is network from United Tractors, which has efficiency and uptime. durability and aftermarket support. I must been the distribution partner of UD Trucks in To watch a video about Quester for mining, say I’m impressed with what I’ve seen so Indonesia since 1982. A wide variety of services search YouTube for “UD Trucks proudly far. Quester seems to be a real performance and UD Aftermarket support will be available presents: Quester for mining.” truck.”

12 #03 | 2013 Quester: Innovation 01. Volvo Group Driver Development Manager Per Bruun Hansen 02. The Fuel Coaching Keeping drivers System’s paired indicator Text: Tyler Rothmar icons from left: In the sweet spot and near the sweet spot; increase throttle and decrease in throttle, increase RPM touch and decrease RPM.

Thanks to technology, truck cabs are much quieter places than they used to be. Veteran driver trainer Per Bruun Hansen explains why Quester’s Fuel Coaching System replaces engine noise as the truck’s way of talking to the driver.

n the old days,” says Asia Oceania region Driver Development Manager Per Bruun Hansen, “if there was a new truck, they just handed the “Idriver the key, and 100 kilometers later, he would have it all figured out.” From training heavy-duty truck drivers for more than 15 years, Hansen has learned that many rely on their ears as well as their is that modern technology has made eyes when operating a vehicle. quieter trucks that have lower revolutions, “Their productivity in terms of fuel in addition to good stereo systems,” says economy is linked to noise. When the truck Hansen. is noisy, productivity is high, because noise is feedback from the truck. The trouble Life in the “sweet spot” To interface with modern trucks for optimal use, drivers need to be put back in touch 02 with them. Quester’s Fuel Coaching System does just that. A computer analyzes factors such as speed, engine revolution and gear records a variety of data including trip time, to calculate what’s called the “sweet spot,” distance, fuel consumed and time spent in or the optimum balancing point between the sweet spot. The owner can download engine productivity and fuel consumption. It this data from Quester’s computers to then provides simple visual and audio cues analyze driver performance and track to help drivers spend as much time in the improvements over multiple trips. sweet spot as possible. “The system is ultimately a tool for “Most transport applications are getting the driver in tune with the truck,” conducted in urban areas. If you’re driving says Hansen. “After a while, they’ll learn from Sydney to Perth in Australia, staying where the sweet spot is, and the system will in the sweet spot is not so difficult. become a sort of backup.” But if you’re in a challenging, dynamic Dedicated use of the Fuel Coaching environment, whether it’s a mine in the System can result in anywhere from a 5 mountains or in heavy traffic in a big city, percent to a 30 percent reduction in fuel this is where the Fuel Coaching System can consumption, depending on the skill set be of most assistance to the driver,” says of the driver. During a weeklong “trainer Hansen. training” seminar in Thailand in early September, an informal contest was held on Data trail the first and last day. “I was really amazed In addition to providing real-time guidance at the difference this system made over just 01 for drivers, the Fuel Coaching System three days,” says Hansen.

#03 | 2013 13 Quester: Aftermarket Text: Tyler Rothmar Photos: Gerhard Jörén matters

“A truck is a tool,” says François Bottinelli, “and you need to go to professionals if you wanted to keep it sharp.” He sat down with Roads to explain his thoughts on Quester’s unique aftermarket offer, the benefits of Volvo Group Trucks technology and improving service through investing in people.

henever there is a new truck to communicate is that Quester’s aftermarket offer like Quester, people are is affordable and will save the customer money in always eager to see it, so the long run through better fuel consumption and the look of the truck is of significantly extended service intervals.” course very important,” says With a base assumption of 120,000 kilometers “WBottinelli, who is UD Trucks’ senior vice president of per year, where a legacy truck needed maintenance Aftermarket & Soft Products. “It is only later that the every 10,000 – 15,000 kilometers, a properly serviced thought occurs, ‘Wait a moment, I need to buy parts, I Quester will only need it every 40,000 kilometers. Put need to pay for maintenance!’ This is aftermarket, and another way, service intervals can be reduced from this is what will make the difference in the long run.” six to eight times per year to three or four, depending The value of aftermarket packages is well established on the application. This translates to a real increase in Europe, and although countries such as England and in uptime for customers. How is this kind of increase France differ somewhat in their levels of aftermarket possible? The difference lies in Volvo Group technology, use, it is generally understood among truck owners that logistics and processes. buying into aftermarket support is worth their while. “Growth markets in Asia have traditionally been a Group tech, Group service bit different,” says Bottinelli. “There has been more “The fact is, the Group has invested heavily in the of a do-it-yourself attitude. What we really want Asia-Pacific region,” Bottinelli explains. “We have

François Bottinelli: Investing in people

duty: a full transfer and overhaul of a parts which gave him a chance to explore how warehouse. With this baptism by fire, he other industries address the all-important became a salesman at the age of 22. question of service. He then returned to the “You have to do this kind of thing to truck industry in 2002 and ran the biggest be consistent when you talk to customers, Renault Trucks private retail group with 25 to be respected. You have to know the dealerships in both France and Poland. business from the ground up and know that “Those were the good years, 2004 you can have all the best marketing surveys through 2007—the market just kept and platforms, but in the end, you have to growing. But then came the other part convince somebody with your guts, with of my story, which was managing and François Bottinelli’s career in the truck sincerity,” he says. “From this I learned that minimizing the damage of the downturn business began in 1991 in Austria. After the truck business is a very interpersonal that began in 2008. It was not easy.” graduating from business school, he struck one.” From his experiences, Bottinelli says he out with the hope of becoming involved in Bottinelli worked for Renault Trucks has extracted a key lesson: “Always invest marketing and sales. in the export and sales business in what in people, and in the future. Because when Upon arrival in Austria, his boss instructed were then emerging and growth markets it becomes difficult, where you have good him to remove his tie in favor of a pair of in Eastern Europe for seven years. Next he people, you can hold out much better. This blue overalls and tasked him with his first spent some years in business consulting, is especially true in aftermarket. It is crucial.”

14 #03 | 2013 Innovation

“ What we really want to communicate is that Quester’s aftermarket offer is affordable, will provide extra uptime to the customer and will save money in the long run.” François Bottinelli

One of the many aftermarket teams that increased the network density, either directly or businesses. At the end of the first year, a flat-rate form the backbone of the with the support of our partners, and we will deliver service contract including regular maintenance and support network: Service our parts quicker with the support of our regional repairs is proposed. Manager Pathomporn Phaefuen, center, and distribution centers. All of this will enable us to deliver The strength of Quester and UD’s aftermarket his team at the Saraburi better uptime to our customers, no matter where they hinges on one key factor: the genuine parts for multi-brand dealership happen to be.” which the technology was designed. As Bottinelli located two hours UD’s commitment is evident in its decision to offer explains: “Quester’s 11-liter GH11E engine uses Group outside of Bangkok, Thailand. a full year of free maintenance with the purchase of a technology, and it has the best fuel consumption in new Quester, which Bottinelli hopes will help customers Europe. The statistics are very clear—but they depend in Asia’s growth markets to appreciate the importance on the uninterrupted use of genuine parts and service of aftermarket and its money-saving potential for their from genuine authorized dealers.”

#03 | 2013 15 Island hopping Text: Chris Taylor in Indonesia Photos: Gerhard Jörén

Among the fast-growing emergent economies, the world’s largest archipelago nation presents some unique logistics challenges in keeping up with the ever-expanding appetite for vehicles of Indonesia’s middle class.

n a country as crowded and vast as Indonesia, “They took everything: the truck, the shipment of cars Arief Rachman’s freight-forwarding business and the driver’s life.” faces a host of obstacles, but none so formidable Fortunately, it is a tragedy that has only occurred as what he and other locals call the “jumping once—five years ago—in all Parani’s 50 years of business, badgers” of Sumatra, the equatorial island directly but it is a reminder of the sheer size and “exotic” wildness northI of Java. of Indonesia, a necklace of some 17,500 islands that “Thieves,” says Arief, with a rueful shake of his head stretch 5,000 kilometers on either side of the equator. and a quiet laugh. “They hide in the trees and jump About 6,000 of those islands are inhabited, together down onto freight trucks to hijack them.” comprising the world’s most populous Islamic nation, When asked if his company, Parani, has ever been a with around 240 million people. victim, he replies in the affirmative. Even in Jakarta, the traffic-choked capital, the transport

16 #03 | 2013 Feature Story

PHILIPPINES

Island hopping MALAYSIA Surabaya in Indonesia Mataram Jakarta

INDONESIA

A Pirani truck transports a shipment of new cars through the streets of Jakarta, Indonesia.

infrastructure is stretched to its limits, but in other parts days to reach Surabaya, 780 kilometers to the south of the country, while “jumping badgers” are rare, other [on Java, home of the capital, Jakarta], and four days unusual holdups for long-haul trucks are not: among to reach Mataram [on Lombok, 1,055 kilometers to the them are marriage ceremonies and makeshift village southeast].” markets, both of which can involve commandeering a At 45, married with one son, Arief lives close to remote stretch of road for hours at a time because the his office. He is dressed in Indonesia’s national men’s villagers regard the roads as part of their land. attire—a casual, open-neck batik shirt and slacks. He “We need to allocate time,” says Arief of the business gives the impression of a man completely in control he inherited from his father, which transports automobiles of his business—a business that has grown in scope and motorcycles by truck from point of manufacturer, to encompass Indonesia’s rapidly growing automobile or port of arrival, to point of sales. “Drivers need two industry, with distribution networks stretching north and

#03 | 2013 17 Feature Story

Pirani’s drivers spend long hours on the road and enjoy the comforts of UD trucks.

“ Parani has been the right market and perfectly suited to a populous, company at the right time.“ crowded market with a budding south of the equator. middle class. “We have 650 trucks, and about the same number of But growth means drivers,” Arief says, adding that about 200 trucks in the reaching east, to the fleet are UD trucks. remote but teeming “UD is an easy choice,” he says. “They make the drivers and huge islands of happy because servicing them is easy, and there are Borneo (Kalimantan plenty of service points.” is the Indonesian Pirani head Arief Rachman in his office in Jakarta. Parani has been the right company at the right time. sector) and Sulawesi. Currently, it freights some 15,000 automobiles and “We have a ship, and we have trucks waiting for the 75,000 motorcycles per month. But with the Indonesian ship,” says Arief of this next frontier: populous islands, auto industry on the cusp of exponential growth, almost forgotten by the West, but still carrying a hint and are both offering near-identical of the spice trade that set ships to sail from Europe, five-door aimed at the economy automobile launching globalization, some four or five centuries ago.

Life on the road

Driver Slamet Riyadi hails from Pemalang, East Java. He has a craggy horsepower. At one point, on a hill on the road out of Jakarta, his truck, smile and has driven the Jakarta-Surabaya route by truck more times which is carrying eight hatchbacks, slows down to a than he can count. He’s also 20-kilometer-per-hour crawl. quick to sing the praises of UD He travels alone, two to three days to Surabaya with a full truck and trucks, the brakes, the seating, two days back with an empty one. For as long as anyone can remember, the comfort, how the truck it has been against the rules for Parani trucks to travel by night. performs on the road, the Sometimes the slings and hooks that hold the cars in place develop fuel efficiency—“And it has a problems, but he’s trained to fix them. radio!” Does he have a complaint? The roads: too many potholes—oh, and The only thing he wouldn’t the horsepower, a little more would be good, but he’s mentioned that mind a bit more of, he says, is already, and he’s got a truck and eight cars to get to Surabaya.

18 #03 | 2013 Production

Custom coats: Life in 2900 colors Roads visits the UD Trucks facility north of Tokyo for an in-depth view of UD’s famous truck paint jobs and the meticulous work behind it.

Text: Rob Gilhooly Photos: Jun Takagi A worker at the UD Trucks plant in Ageo, Saitama Prefecture, checks the accuracy of a paint design.

#03 | 2013 19 here’s a look of satisfaction on the face of Tatsuo Saitou as he pulls open the doors of a grey cabinet and points to three shelves choc- a-bloc with green and blue files. He removes one and thumbs through the contents, Twhich show printed diagrams of a variety of truck paint designs. There are, he says, 1900 and counting, each one unique. “There’s nothing we can’t do,” says Saitou, general foreman of the Body Section at UD Trucks’ facility in Ageo, Saitama Prefecture, as he casts an expert eye over the documents. “We have never once turned a customer away.” Right on cue, a buzzer sounds and Saitou gestures toward workers wearing grey caps and mint green jackets on the production line who are taping precision masking stencils on two Quon cabs. On the wall above them, monitors display computer-generated images of the designs they will produce during the penultimate phase of UD’s Genuine Custom Paint system. UD introduced its GCP in 2002 in an attempt to accurately and speedily replicate clients’ design requests. To date, the painting line at the company’s manufacturing facility in Ageo has furnished over 30,000 cabs, averaging at around 240 per month. According to Body Section Manager Kenji Odaguchi, the seeds of the GCP idea were sown when it was discovered that clients were taking their newly delivered UD trucks to be graphically embellished at independent body spray facilities. “The information coming in from clients was that the luster and quality offered by these places was

02

somewhat lacking,” says Odaguchi, a 36-year UD 01. Moving right along: employee. “What’s more, those factories would only Truck cabs on the assembly line await paint the exterior of the cab, which convinced us we quality inspections. could offer a far superior level of quality.” 02. Precision taping done This was demonstrated in the system’s ability to by hand accommodates paint both the cab’s exterior and interior and by the a wide variety of high- vast range of colors available, which totals some 2,900 quality designs. varieties. UD is also the only truckmaker to accept single unit orders, meaning clients, including a government ministry and a large express delivery outfit, don’t have to delay new truck requests to comply with the multiple order requirements of other companies, Odaguchi says. “There are companies who want to keep their truck designs constant,” he says, explaining why each design is documented for future reference. “This system allows us to respond to their expectations.” 01 The system, says Odaguchi, was the outcome of

20 #03 | 2013 Production

04 “There’s nothing we can’t do. We have never once turned a customer away.” Tatsuo Saitou, Body Section General Foreman

05

04. A worker sprays a truck component by hand. 05. A worker looks for flaws under special lighting conditions approximating daylight.

can take as long as 18 hours to complete, other less complex ones can take as little as 30 minutes, Saitou says. “I don’t think it’s possible for other companies to replicate our setup,” he added. Part of the process is a meticulous inspection for flaws in the finish, mostly brought about by dust particles. Using lighting set at 1800 lux – which approximates daylight – gloved workers move around the cab and literally feel for flaws. What they don’t find UD’s carefully orchestrated through touch is uncovered using handy lights that integration of six companies further illuminate the contoured areas of a vehicle. dealing with domestic The blemishes uncovered during this check, which is operations, production undertaken by staff who are tested monthly to monitor administration, painting their flaw-detecting capabilities – are indicated by technology, production control, pieces of masking tape and subsequently erased by a order process control and that hand-held polishing device. It comes as little surprise all-important place in Japanese to hear that the monthly defect rate is a staggering manufacturing known as 0.5 percent. Customer feedback has been extremely 03 gemba, or “on site” -- in this positive, and 80 percent of clients become repeat 03. Body Section General instance, the factory floor. They customers. Foreman Tatsuo Saitou worked together to create a total environment that “I think this system is a huge source of pride for the (left) and Body Section could effectively respond to even the smallest orders. company,” said Odaguchi. “We demand the same Manager Kenji Odaguchi (right) An important factor for gemba operators was the paint quality as passenger vehicles, and we want our computer-generated design cut-outs that facilitated customers to understand that we work hard to maintain a drastic reduction in lead time – imperative when the high quality standards for which UD Trucks is complying to single-unit orders. While some designs known.”

#03 | 2013 21 Shokon The Japanese entrepreneurial spirit In an ongoing series that looks into elements of Japanese culture, Roads examines a key Japanese leadership quality, shokon, the enterprising drive behind many of the nation’s most celebrated entrepreneurs, including UD Trucks founder Kenzo Adachi.

Text: Mark Schreiber

ccording to the unwritten rules that UD Trucks. A former military pilot, he was convinced govern major Japanese companies, that Japan needed tough, reliable diesel trucks, presidents usually come from within and licensed the Krupp-Junkers engine patent from an organization’s ranks. The Western the German manufacturer. Within three years of practice of bringing in a leader from his founding Nihon Diesel Industries Ltd., Adachi Aoutside remains relatively rare. In Japan, presidents are produced the 60-horsepower ND1, which powered typically a product of the particular corporate culture the first-generation 3.5-ton capacity model LD1 truck in which they have nurtured their careers for decades. he launched in 1939. Generally speaking, those who reach the top tend At that time, Mr. Adachi personally joined other to get there via one of two paths: the engineering employees on a punishing 13-day test drive on Former pilot and and technical side, or the somu or administrative side, some of Japan’s worst roads. When word spread of UD Trucks founder including general affairs, personnel and accounting, his hands-on efforts to prove his trucks’ durability, Kenzo Adachi which is thought to have an understanding of the reliability and efficiency, customers took notice. organization’s human resources and financial strengths Konosuke Matsushita, founder of the electric and weaknesses. industrial group known today as Panasonic, was also Regardless of background however, such leaders a prolific writer and thinker who embodied shokon in tend to be endowed with the attribute known as his management style. In a book titled “Open the Way shokon. The word is written with two characters: 商 to Chart Your Destiny,” published in English in 2009, (sho), meaning “commerce,” and 魂(kon), which he wrote: “In our work there are various qualities that means “spirit.” This crucial phrase is usually rendered we try to cultivate, but surely the foremost is a sincere in English as “entrepreneurial spirit.” The concept of enthusiasm for what we do. Knowledge is important. shokon is inextricably linked to the Japanese economy Talent is important, but even without either of in the postwar era, and gave rise to some of the them, you could get the job done. With but minimal largest companies of the last 60 years. knowledge and little talent, if you were determined to Shokon is not limited to age, educational complete the task, and filled with the determination to background or social class. It was present in Soichiro do so, you would ultimately be able to make the work Honda, a bicycle repairman who went on to come out well. . . Know-how and talent would be next manufacturer motorcycles and cars. A navy engineer to nothing without passion for work.” named Akio Morita, who set up a radio business that In short, shokon is much more than a campaign became a worldwide brand, had it as well. And it was slogan. It is a view of business conduct that shokon that drove Momofuku Ando to experiment in encompasses enthusiasm, pride in good work and his home kitchen until he developed the edible and making the customer feel good about doing business tasty instant noodles that are sold by the billions today. together. So it was, too, with Kenzo Adachi, the founder of

22 #03 | 2013 Tradition

[Shokon]

#03 | 2013 23 Run further with genuine oil

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