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Speeches - Mogens Therkelsen

International Symposium, Frankfurt - 25 September 2000

"
Road Haulage in the 21st Century -
Driving Towards Sustainable Development"

Mogens Therkelsen
Managing Director, H.P. Therkelsen A/S


Implementing best practices -

How can transport operators benefit from innovative vehicle technology and sustainable development schemes ?

Ladies and gentlemen,

HPT (H.P. Therkelsen) is a Danish road transport company specialised in European wide transport and logistics services for the market of refrigerated foodstuffs and industrial goods.

Situated in Padborg at the Danish - German border with a subsidiary in Flensburg we operate more than 120 truck units, whereof 60% is owned by HPT. At our premises in Padborg, we have veterinary approved terminals and warehouse facilities for fresh and frozen food products, as well as warehouse facilities for dangerous goods.

We have a staff of 130 skilled, motivated and educated employees.

HPT was founded in 1918, and my brother Niels Peter Therkelsen and I share the ownership today.

We are able to offer a wide range of services in connection with international transports, such as, for example, the issuing of documents, border checks, VAT-services, terminal services, warehouse facilities, etc.

In order to run our business effectively and to serve our customers in the best possible way, we have a modern IT-centre for internal and external use.

The ISO 9002 certification of HPT guarantees our customers high-quality transports. All functions at HPT are covered by this quality controlling system.

A dense network of agents and partners, throughout the continent, enables us to offer a wide transport net which covers all European countries. In order to be closer to our customers and to optimise our capacity utilisation, we offer advanced stock facilities at many locations throughout Europe.

The Environment and environmental concern has for many years been an important factor – both in relation to regulations governing our business opportunities as a company specialised in food transports and dangerous goods, - and in relation to, or in accordance with, our company mission: that our customers at any time are offered competitive and optimal services by a motivated and skilled staff with due respect for our society and the environment.

Improving sustainability and profitability - a permanent task

We constantly adapt and improve our products and our systems in order to serve our customers' needs. For me, there is no doubt that measures and investments, that are necessary for competitive and economical reasons, in many cases also have direct positive effects on a sustainable development:

This year, HPT invested almost 200,000 Euros in new modern communication technology, and further 150,000 Euros in new navigation equipment for all 120 trucks. These investments will improve fleet and traffic management – better planning and better utilisation of our capacity, reducing fuel consumption and thus impacts on the environment. We also expect that the new systems will improve road safety, since it will allow our drivers to concentrate more on driving and less on communicating and studying road maps while driving.

New trucks are financed by short term leasing contracts which allows us to run the newest low emission trucks that are available on the market.

We already operate with 15 EURO 3 trucks, and by the end of this year 25 trucks out of 70, meaning 36% of our own vehicle fleet, will be EURO 3 trucks, and the rest are EURO 2.

We have been able to cut air polluting emissions from our own vehicles over the last two years by 12 to 17% for nitrogen oxides, carbon monoxide and hydrocarbons and by 47% for particulates.

We are taking up other initiatives too to improve efficiency, capacity utilisation and fuel consumption.

We have good and reliable partners/hired road hauliers with high quality- and environmental standards, and we co-operate in close partnership with our customers in order to develop high quality and sustainable logistics solutions.

We apply advanced warehousing systems bringing us closer to the customer and optimising the total capacity utilisation and effectiveness.

A very important factor is our staff - our drivers, our logistics planners, our experts in information technology and everybody else involved in serving our customers' needs.

The staff members in our offices have the necessary qualifications and knowledge and are regularly trained in logistics and computers.

We also make sure that all drivers are trained in traffic safety and economic driving. In 1997, we introduced a bonus system awarding drivers with low insurance damages. During the following 2 years, damages were reduced by 23%, vehicle insurance premiums by 21% and goods insurance premiums by 42%. Mind you – at the same time we increased the vehicle fleet by 36%!

Support from the Danish road transport organisation - practical tools for implementation

 

Training programmes, internal instructions and initiatives are, in many cases, based and developed upon information and competent support supplied by our professional trade association, International Transport Danmark - ITD.

HPT, for example, was one of the first companies to make use of the "Environment and Safety Handbook" published in 1997 by ITD and the Danish Shippers' Council.

The handbook contains very useful information and tools for achieving sustainable development. For HPT it is very important that the content of the handbook and the specific tools for improvement and documentation of environmental performance, in freight transport, is developed and used as a common reference for both transport operators, transport buyers and authorities.

In all our trucks we have a comprehensive drivers’ handbook in Danish, German and English versions, and it includes many elements from the environmental and safety handbook.

There is a clear tendency that our customers will increasingly ask for documentation of environmental performances for transports of their products. Based on the emission tables set up by ITD and the Danish Shipper’s Council, we are able at any time to provide customers, who may need such documentation, with fair emission data from specific transports.

It is very important that our trade association provides us with such competent and relevant support in order to secure win-win situations for both the environment and profitability.

I welcome the initiative taken by the IRU - with its Agenda for Sustainable Development and with the newest element of the agenda - The IRU Guide for Sustainable Development. First of all it is good to see that ITD and Danish transport companies are among the forerunners in Europe, and I hope that this guide will contribute to increase the awareness and to encourage transport business to continue and accelerate the development of profitable and sustainable logistics and transport solutions.

I thank you for your attention!

I look forward to explain further on our initiatives in the panel discussion.


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