Goodwill Industries of Southwest Florida and Ryder Making a Helping Hand Even Stronger
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Case Study of Southwest Florida GOODWILL INDUSTRIES OF SOUTHWEST FLORIDA AND RYDER Making a Helping Hand Even Stronger FLEET MANAGEMENT | DEDICATED TRANSPORTATION | SUPPLY CHAIN SOLUTIONS For some, lending a helping hand is an occasional act of good will. For others, however, it’s a full-time passion and mission—not to mention a business that needs to be run smartly. Say hello to Goodwill Industries of Southwest Florida. Each day, trucks from Goodwill Industries travel throughout five Florida counties, collecting second- hand items from generous citizens, supplying these goods to people in need, and generating revenue to do even more good. This spirit and formula of giving back is one with a rich history at Goodwill. Since its 1902 inception in Boston, Goodwill’s reach has expanded from a local organization to one whose impact today is felt by families and communities from coast to coast, with 165 autonomous Goodwill agencies across the United States and Canada. How do you grow your organization’s impact over such a prolonged period? One key ingredient: smart decision-making. For Goodwill Industries of Southwest Florida, founded in 1966, that boils down to prudently managing its biggest expense: transportation costs, including paying for the right delivery trucks, effective ongoing maintenance, and economic fueling. So, when the management team at Goodwill Industries of Southwest Florida pursued a partner who could offer the reliability and efficiencies they need to maximize their impact, they ultimately turned to a company whose ties date back to it’s foundation in 1966, They turned to Ryder. 2 CASE STUDY - GOODWILL INDUSTRIES | RYDER CHALLENGE SOLUTION RESULTS Goodwill Industries of Southwest Goodwill selected Ryder for Newfound flexibility Florida covers a vast geographic their deep history of reliability, One call to the dedicated National area, picking up and delivering specialized vehicle inventory, Rental reservation center quickly puts goods in Englewood in the north, and hands-on maintenance and Goodwill in the exact rental truck they to Clewiston in the east, to Marco support. Beginning in 2013, need short-term … with no long-term Island in the south, spanning Goodwill rented a fleet of Ryder commitments. five counties. Containing a host trucks, including box trucks for of transportation costs, without donor pickups and store deliveries, Bottom-line savings sacrificing community impact, is an as well as larger trailers (28-foot, Renting, leasing, and purchasing ongoing challenge. Because of the 48-foot and 53-foot) to service Ryder pre-owned vehicles has boosted ever-present needs of its commu- Goodwill operational centers. Goodwill’s bottom line by saving on the nities and 43 donation centers, high cost of buying new. vehicle downtime is a major Happy with the results, Goodwill concern for Goodwill. upgraded many to leases in order Operational improvements to secure the full-time use of Upgrading some rentals to leases has To find a partner who could provide their preferred trucks, all while allowed Goodwill the full-time use of them the right vehicles for their continuing to increase their rental specialized Ryder vehicles that meet needs—plus reliable ongoing usage. The initial agreement also their unique needs. maintenance, value-added services, included full preventive mainte- and dedicated support—Goodwill nance, as well as fueling services Reduced downtime embarked on an exhaustive through Ryder locations in the Ryder’s convenient locations and 24-hour bidding process. area. Goodwill was so impressed emergency roadside service means fast with the Ryder experience that fixes—and vehicle replacement—if break- they have since purchased downs or accidents occur. four pre-owned Ryder tractors and trailers, and added Ryder Streamlined maintenance maintenance agreements on the By consolidating the maintenance of organization’s other independently- all vehicles with one reliable partner, owned vehicles. Goodwill has streamlined servicing. Significant fuel savings Renting and leasing newer, fuel-efficient vehicles—combined with full-service Ryder fueling at locked-in prices—has provided Goodwill with significant annual savings. Preferential treatment and pricing With a Ryder National Account, Goodwill enjoys Ryder’s highest level of service along with preferred pricing and a dedicated account manager. CASE STUDY - GOODWILL INDUSTRIES | RYDER 3 Goodwill and Good Wheels has overseen much of the company’s Since 1966, Goodwill Industries of transportation investments in recent years. Southwest Florida has continued the humanitarian mission started in the early In 2013, he faced one of his biggest twentieth century by Rev. Edgar J. Helms. decisions on the job. “We had a lease Their main goal: reselling quality used agreement on a number of trucks—all goods to fund services for people with through another vendor—that was set disabilities and disadvantages.” In 2015, to expire,” says Jacoby. “Since our trucks we helped more than 42,000 people are part of the lifeblood that sustains our in our region to overcome barriers to operation, we knew we needed to make employment and independence. some important, informed decisions. Not only did we need to control costs going In 2014 alone, that effort was massive: over forward, we needed a level of reliability 40 million pounds of items were sold, repur- that was going to keep our operation up posed or recycled by Goodwill Industries and running for those in need.” of Southwest Florida. Of course, an opera- In short, Jacoby was looking for more tion of that scale requires many moving than a vendor—he was looking for a true parts, not the least of which are the trucks partner. Finding that ideal partner and trailers needed to move goods over a would involve a disciplined review of the sprawling five-county area of Florida. company’s options. Jody Jacoby, operations manager for “At Goodwill, we have a process that Goodwill Industries of Southwest Florida, requires us to get three bids,” says Jacoby. “I was blown away by how professional and well organized it was, Ryder not only felt like a great fit for us—it felt familiar..” Jody Jacoby Operations Manager 4 CASE STUDY - GOODWILL INDUSTRIES | RYDER “We do that to ensure that we have The moment Jacoby stepped into the local “Renting gave us the immediate ability to thoroughly explored our options, we are Ryder office, he immediately realized the use Ryder’s specialized vehicles without being smart with our money, and that we service was taken to another level. making any initial long-term commitments have a set of check-and balances in the of our capital,” says Jacoby. “That type selection process.” “I was blown away by how professional of flexibility is critical for organizations like ours that have to carefully watch and well organized it was,” says Jacoby. every dollar.” Ultimately, one factor more than any other “Ryder not only felt like a great fit for us—it tipped the scales towards Ryder: service. felt familiar. Ryder follows the same kaizen Over the subsequent three years, Goodwill principles that we follow in our organiza- “With our previous vendor,” says Jacoby, has increased its usage of Ryder rentals each tion—it’s a commitment to “continuous “they had trucks that fit our needs. year. They’ve been so happy with the results improvement.” They made us feel like they However, I know from experience, when that they ultimately decided to also upgrade were invested in our success.” it comes to the day-to-day use of those 10 box-truck rentals to leases, giving them trucks, the service means everything. That the full-time use of their preferred trucks. means maintenance, emergency help, Before long, the decision was made— But they didn’t stop there. fueling, and just basically helping us with Goodwill Industries would partner with anything we need to keep the operation Ryder. To start, Goodwill initially rented “At the time, we also owned our own rolling efficiently.” 28-foot box trucks to support each of its tractor, which was an older model,” 43 donation centers. says Jacoby. Continued on next page CASE STUDY - GOODWILL INDUSTRIES | RYDER 5 “We were looking to replace it and, contracts to non-Ryder vehicles that it do all of our on-site fueling at Ryder.” because we were so happy with our Ryder owns as well, with the entire fleet now In the end, those savings mean one thing trucks and service, we decided to look at being serviced by Ryder. for Goodwill: the ability to utilize more Ryder pre-owned models. Not only did we resources to helping those in need. buy a single-axle tractor, we went back The second service element that has to Ryder and bought another pre-owned benefitted Goodwill is Ryder’s 24-hour A Shared Passion tractor and two trailers.” Emergency Roadside Service. Looking ahead, Jacoby and Goodwill Industries of Southwest Florida appre- So, what were the service elements that “The emergency roadside service has ciate a transportation partner who’s not motivated Jacoby and Goodwill to expand saved us immensely,” says Jacoby. “In the only committed to their future commu- their rental and other usage through Ryder? past, if a truck broke down, we would nity outreach—they appreciate one that The first was preventive maintenance. sometimes have a driver waiting up to actually has been there from the start. two hours for help. With Ryder, I now “I have great peace of mind knowing that know they will either have us up and In fact, back in 1966, Ryder Corporation when my Ryder service manager says running quickly or will provide a replace- founder James Ryder founded Miami he will have the truck turned around in ment vehicle right away. We’ve really cut Goodwill, along with Roy Perry, Vice a certain amount of time, that it will be down on any downtime.” President of City National Bank, and ready on time,” says Jacoby.