Sugar Beet Transport Efficiency
Study
Chris Douglas, Transport & Travel Research Ltd
March, 2010
Overview
• Background to the Study
• Project Aims and Objectives
• Work Completed
• Project Findings and Key Themes
• Recommendations
Introduction to TTR
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Specialist Sustainable Transport Consultancy
founded in 1991 – 25 technical consultancy
staff in UK
Specialisms – Freight and Fleet Efficiency,
Energy and Environment
Haulage Industry, Freight Transport Association
and Manager of DfT’s Freight Best Practice
Programme
Project Background
• NFU and British Sugar appointed WSP and TTR
in April 2009 to undertake an independent study
• Study ran from April until August 2009
• Funding was provided by East of England and
East Midlands Development Agencies
Project Objectives
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Identify the most efficient way to move 7 million
tonnes of beet from 4,500 growers into 4
processing sites
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Consider all options for change, ultimately leading
to a more strategic approach to managing the
beet supply chain for improved efficiency and cost
effectiveness
Project Aims and Tasks
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Understand and carry out an efficiency
assessment of current arrangements
Undertake consultation with those involved
Identify costs associated with current operations
Identify areas for efficiency improvements
Recommend a strategy (with Action Plans) to
improve operational efficiency and reduce
associated costs
Report findings and recommendations
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Disseminate recommendations
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Work Completed
• Desk Based Review (France, Germany,
Denmark, Netherlands, Finland, Turkey,
North America)
• Face-to-Face Strategic Stakeholder
Meetings (NFU, British Sugar, EMDA,
DEFRA and Road Haulage Association)
• Face-to-Face Grower, Grower/Haulier and
Haulier Meetings
Work Completed
• 5 weeks of Telephone Consultation
• 229 consultations (41 hauliers, 129 growers, 59
grower/hauliers) – representative sample
• Consultation Events
• 2 x Growers and 2 x Hauliers
Views on existing beet transport
Costs associated (operating costs and haulage rates paid)
Perceived benefits of current operation
Perceived drawbacks of current operation
Willingness to consider alternatives
Identify best practice examples
Work Completed
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Full Response Analysis
Measure/Model Development
Impact/Acceptability Matrix
Consultants’ Recommendations
Final Report
Key Themes
• Haulier role – dominant, with significant
control over the operation once
campaign underway
• Contracts – few formal contracts exist
• Grower and Haulier relationships –
often long-established and static – may
be a positive but transparency of costs?
Key Themes
• Haulage Rates
– Vary significantly for comparable jobs
– Lack of transparency in decoupling
haulage rate from cleaning & loading rate
– Annual negotiation in most cases but
without formal contracts
– Some cases no negotiation and haulier
decides rate at end of campaign
Key Themes
• Planning – lack of detailed plans used
throughout campaign by beet hauliers
• Co-ordination – both haulage and
haulage/harvesting to minimise beet left
in clamp
• British Sugar Co-ordination – already
happens to a degree through Area
Managers and some large growers and
hauliers indicated preference
Key Themes
• Receiving hours, Queuing and Delivery
Profile
– 24/7 – issue of night loading decoupled
from night hauling
– 7 day week – short Saturday and short
Sunday to smooth ramping (which
requires extra vehicles currently)
– 7 day week – raises issues about
willingness to operate on Sundays
Key Themes
• Queuing at sites – inefficient use of
resource. Potential for extended
receiving hours (am or pm)
• Zones – general feeling that 1 & 2
needed but not those later in the day
• Peaks in delivery demand – ramping
calls for extra vehicle demand – smooth
flow through week is required
Key Themes
• Vehicle Fleet Profile, Utilisation & Specification
– Use of smaller vehicles (4 axle rigid tippers)
increases trip numbers
– Vehicle utilisation during and outside of campaign
– other crops and commodities or park-up? (33%
vehicles deliver less than 50 loads during
campaign)
– Limited backloading
– Age of fleet – only 10% less than 2 years old
(25% pre-2000) – impact on fuel efficiency
Key Themes
– Efficient vehicles are light vehicles – no
sleeper cabs, bull bars, horns, no need to run
with full tanks – minimise kerbside weight
– Use of sheeting equipment on empty tipper
bodies over longer distances – fuel saving
when fitted and used
Key Themes
• Call-up System – information to be
provided as early as possible (08.30) to
allow forward planning
• Transport Allowance – Growers keen to
get higher but widely unclear level of
shortfall
• Tendering for British Sugar Haulage
Contracts – welcomed by larger or by
consortia of smaller hauliers
Key Themes
• Pads
– Limited size at selected processing sites
– Grower investment in own pads in recent
years – meaning preference for
conventional cleaning/loading equipment
Key Themes
• Cleaning & Loading
– In most cases equipment provided and coordinated by the haulier but some growers
using own, under-utilised equipment. Also
criss-crossing of haulier equipment
– Maus – field size and proximity of adjacent
road may dictate effectiveness
Key Themes
• Despite general support for the current
situation, growers, hauliers and
grower/hauliers all expressed a
willingness to at least consider
alternatives
Areas for Improvements
• Key is minimising mileage run and
number of vehicles within the operation
• Views expressed that number of
vehicles and separate operations allow
flexibility at peak
• Also mean excess during normal
operating times
Areas for Improvements
• Over 700 of total 2,000 vehicles
transport less than 2 loads per week
• 10% of loads are transported by
vehicles with payloads 26 Tonnes or
less
• 550 vehicles are greater than 9 years
old
• Only 200 are less than 2 years old
Objectives for Improvements
• Use fewer vehicles, which are newer,
cleaner and more fuel efficient
• Offer more competitive, standardised
rates
• Have extended operating hours
• Involve less queuing at peak periods at
factory sites
• Have more level, ‘flatlined’ delivery
profiles through the week
Measures and Models
• Three main headings:
– Best Practice Guidance
– Extended Servicing Hours at Processing
Sites
– New Operational Structures
Best Practice Guidance
• Guidance on haulage rate negotiation
for Growers
• Guidance on efficient vehicle
specification for grower/hauliers and
hauliers
• General operational efficiency guidance
for grower/hauliers and hauliers
• Guidance on grower partnerships
• Guidance on haulier consortia building
Extended Servicing Hours
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Evenings
Mornings
Weekends, including Sundays
Relaxing later time zones
New Operational Structures
• Co-ordination of Harvesting and Haulage
• Improved cleaning and loading efficiency –
co-ordination of conventional equipment
• Improved cleaning and loading efficiency –
use of Maus
• Formal planning and co-ordination of
collection days
• British Sugar formal planning and coordination of collection days
New Operational Structures
• Ex-farm grower contracts
• Haulage contracts with British Sugar
• Service agreements within haulage
contracts (haulier performance levels,
vehicle specification)
• Standardised haulage rates negotiated
by British Sugar and made available to
growers
New Operational Structures
• Tendering for haulage territories by
hauliers or haulage consortia
• Increasing quality standards for
hauliers (minimum tonnages,
certification scheme)
Consultants’ Recommendations
• Ultimate Efficiency Model
– Ex-Farm Contracts for ‘Local’ Growers
– Tendering for British Sugar Haulage ‘Territories’
(negotiated rates, quality standards and service
agreements)
– Improved co-ordination of harvesting and haulage
activity
– British Sugar planning/co-ordination of beet
collection
– Extended delivery time windows throughout 24hr
period and 7 day week
Consultants’ Recommendations
Ultimate Efficiency Model - Interim
• Trialling of haulage ‘territory’ contract and
British Sugar planning and co-ordination
• Interim measure – British Sugar negotiated
standardised haulage rates and contract
templates
• Best Practice Guidance for Growers,
Hauliers and Grower/Hauliers
• Fleet Efficiency & Quality Improvement
Scheme
What happens next?
?
British Sugar to present
Next Steps