Case Study:The Forest Engineering Research Institute of Canada's Star Truck Project
Contents
· Introduction
· Rationale for the Star Truck Project
· Project Origins and Methodology
· Implementation of the First Star Truck
· Implementation of the Second Star Truck
· Ongoing Activities
· Partners in the Star Truck Project
1. Introduction
The Forest Engineering Research Institute of Canada (FERIC) is a private, non-profit research and development organization whose goal is to improve Canadian forestry operations related to the harvesting and transportation of wood and the growing of trees, within a framework of sustainable development. FERIC is funded through a growing partnership of leading forestry companies, federal and provincial governments and the governments of the Northwest Territories and Yukon Territory.
FERIC's research, which is field-oriented and carried out in close cooperation with woodlands personnel, focuses on transportation and roads, wood harvesting, silviculture, small-scale operations and engineering design/specialized technologies. Members are informed of the results of this work through publications, videos, slide presentations, seminars and other events.
In 1999, FERIC launched a research project to demonstrate to the Canadian forest industry how better vehicle spec'ing, using commercially available technologies, can optimize log haul operations, reduce fuel consumption and environmental impacts and improve the mechanical availability of their equipment. This Star Truck Project involves two major elements:
· the demonstration and monitoring of trucks equipped with the latest technologies and designs in actual field operations
· a knowledge and technology transfer initiative to inform forestry stakeholders of the results of the demonstration project and the benefits of better vehicle specification
This report provides information on preliminary results from the Star Truck Project, which is ongoing. Section 2 provides a detailed description of the project and the rationale for the study. The project methodology is identified in Section 3. Sections 4 and 5 report on the first two Star Truck demonstration projects, and Section 6 looks at ongoing activities. Section 7 lists partners in the Star Truck Project as of March 2002.
2. Rationale for the Star Truck Project
Transportation is a huge cost for the forest industry. In fact, transportation costs are now equivalent to, if not greater than, the costs of harvesting timber. With haul distances expected to increase in the future, transportation activities will likely have an even greater impact on the competitiveness of Canada's vital forest industry.
Fuel and lubricants account for about 25 percent of overall forestry transportation costs, compared with labour at 35 percent, ownership at 25percent and maintenance at 15 percent. Fuel consumption is therefore an important consideration in any project to reduce transportation costs. Equally important is the need to increase revenues by increasing truck availability or maximizing payload (or through some combination of the two).
The goals of reduced fuel consumption and increased revenues can be achieved in several ways, none of which should be overlooked:
· Better truck specification. Trucks can be spec'ed to achieve maximum mechanical efficiency in certain operating conditions, thus lowering fuel consumption for a given task. Better truck specification also leads to lower maintenance costs and reduced waste (e.g., tires and oil).
· Improved vehicle efficiency. Reducing cycle times, non-productive hours and idling time are all important strategies for improving vehicle efficiency.
· Maximizing payload. Keeping vehicle tare (unloaded) weight to a minimum allows for more payload to be carried without exceeding the provincially regulated gross vehicle weight, thus generating more revenue per trip and allowing more product to be transported per litre (L) of fuel consumed.
The technology transfer challenge
Vehicle and equipment manufacturers are continuously developing new technologies to optimize truck performance. Although some of these technologies require additional research and development, others are readily available, have been widely proven in field operations and can be immediately applied in the forest industry. For these latter technologies, the challenge lies not in performance and reliability, but in increasing trucker awareness of their availability and encouraging their adoption.
This is a particular challenge for Canada's forest industry. Over the years, in an effort to reduce transportation costs, large forestry companies have come to rely on contractors (owner-operators) to haul their products. Although this strategy has proven effective in reducing costs, it has also produced some negative side effects in terms of technology transfer:
· The forest trucking industry is now made up of many small companies with limited financial resources and little communication between operators. These contractors lack the financial capacity to "experiment" with new technologies and equipment, which means that the industry is slow to implement transportation innovations.
· Due to their reliance on contract haulers, large forestry companies have no recent records on actual trucking costs and no baseline data that can help them to identify potential areas for improvement.
These problems are resulting in missed opportunities to save significant transportation costs, thereby offsetting the financial benefits the forest industry obtained by transferring trucking operations to small contractors.
Objectives of the Star Truck Project
FERIC is endeavouring to address this technology transfer challenge through the Star Truck Project, in partnership with large Canadian forestry companies, haul contractors, vehicle and equipment manufacturers and others. The project aims to improve the efficiency and reduce the environmental impact of forestry trucking operations by demonstrating how truckers can:
· optimize vehicle specifications
· increase vehicle payload
· improve vehicle efficiency and mechanical availability
· decrease vehicle emissions per unit of product transported
Toward this end, tractor-trailer rigs spec'ed for peak productivity and fuel efficiency are put into operation hauling logs for forestry companies. The performance of these vehicles is monitored over a two-year period and compared with a control truck in the same fleet. Results of the demonstration projects are then made available throughout the Canadian forest industry.
FERIC has designed the Star Truck Project for maximum impact. One way this is being achieved is by targeting forestry companies that have operations from British Colombia to Atlantic Canada. FERIC believes these companies, after testing a Star Truck in their operations, will recognize the merits of this approach and will require contract haulers to specify certain features when buying new equipment. Thereby, they are encouraging technology transfer and influencing others in the industry to follow suit. Also participating in the project are leading Canadian equipment manufacturers. As well as giving the research results added credibility, they can support effective communication and application of the results.
The Star Truck Project has a budget of approximately $700,000 over four years. This includes the cost of purchasing two trucks with trailers and outfitting them with selected components, developing computer tools to assist the spec'ing process, and conducting research, monitoring and technology transfer work. The private sector partners are providing two-thirds of this funding, with the balance coming from Transport Canada (the Moving On Sustainable Transportation [MOST] Program) and the Ministère des Ressources naturelles du Québec.
3. Project Origins and Methodology
The Star Truck Project has its origins in a request by Tembec Inc., one of Canada's prominent integrated forest product companies, for assistance in reducing its haul costs. After reviewing Tembec's operations, FERIC determined that average vehicle tare weights were quite high. Discussions with the company led to the idea of building a truck that would incorporate special features to reduce tare weight and improve fuel efficiency while ensuring good performance in difficult forest conditions. Other government and private sector partners were recruited, and the Star Truck Project was born.
FERIC recognized that the Star Truck Project, to be successful, required the participation of forestry companies that:
· have operations across Canada
· have the capacity to help develop and demonstrate new technologies
· are willing to collaborate with contract haulers to specify the optimal truck
· will be motivated to use the demonstrated technologies in their own operations
· can provide financial incentives to encourage contractors to convert their vehicles
· by their example, can influence the rest of the industry in this direction
With annual sales exceeding $3 billion and operations in New Brunswick, Québec, Ontario, Manitoba, Alberta and British Columbia (as well as in France and the United States), Tembec is such a firm. One of its key corporate objectives is to protect the environment while creating long-term social, cultural and economic benefits for local communities, employees and shareholders.
As a first step, Tembec was asked to identify company divisions that would benefit most from the demonstration project and thus would be motivated to participate. Two divisions were targeted, both operating in Québec. Each of these divisions was then asked to identify a haul contractor who might be interested in participating in the project. This was an important step in the process, as the haul contractors would need to make a major investment in a new truck equipped with unfamiliar components. Moreover, the contractors would be asked for confidential financial information and would be deeply involved in the two-year monitoring process (e.g., by providing verbal feedback and regularly e-mailing information downloaded from the on-board computer).
FERIC met with the selected contractors to review the details of the project, at which time one of the contractors declined to participate. A replacement contractor was recruited, and the project received the go-ahead.
Methodology
The following methodology is used for each Star Truck application
Step 1: Establishing the current situation
The company's log haul operation is examined to establish the types of vehicles currently in use, the products hauled and the road network travelled (i.e., the combination of forest road, gravel road and highway travel).
Step 2: Identifying the potential for cost-savings
for each proposed component of the truck. Opportunities for improvement are identified, with no initial limitations based on cost or technology. This is followed by a comprehensive cost-benefit analysis of each proposed improvement to determine its technical and financial feasibility.
Step 3: Specifying the Star Truck
The fuel economy, vehicle efficiency, financial and safety benefits of various equipment and technologies are evaluated, taking into account the truck owner's needs and operational constraints. Final decision are made on all elements of the rig – from the tires and suspension to the trailer configuration, engine size and cab design – leading to an optimally spec'ed truck for the task and operating conditions.
Step 4: Implementing the technology
A truck is purchased and equipped according to the spec's identified in Step 3. This is done in close cooperation with the vehicle owner and his or her automotive technician. FERIC ensures that all parties involved in the implementation stage of the project are well-informed and properly trained to operate and/or maintain the chosen technologies.
Step 5: Tracking the vehicle's performance
Once in operation, the Star Truck is closely monitored for two years. Over the same period, the performance of a "control" truck, selected to represent the fleet average, is also monitored. This enables the project team to identify and substantiate any differences in performance between the two vehicles. Weekly reports are produced to inform the contractor and the forest company about the performance and operating costs of both vehicles. This helps maintain contractor enthusiasm throughout the project and enables FERIC to react quickly when sub-optimal performances are identified.
4. Implementation of the First Star Truck
The first Star Truck was put into service in Tembec's forestry operation in Nouvelle, Québec, in June 1999. At the time, the typical vehicle being used in the company's haul operation was a Class 8 tandem and four-axle semi-log trailer, with a combined average tare weight of about 22 000 kilograms (kg). The contractor's fleet consisted of eight trucks. Both Tembec and the contractor selected to participate in the demonstration project believed the haul operation could be more efficient if greater attention was given to spec'ing trucks.
Spec'ing the truck
As the first step in the spec'ing process, the haul contractor was asked to develop a specification sheet for a new truck, taking into account operating conditions, finances and other factors. FERIC analysed the proposed specifications and then developed its own spec sheet to illustrate how certain upgrades, additions or changes in components would affect the truck's performance and operating costs.
The costs and benefits associated with each of FERIC's proposals were discussed at length with the contractor and Tembec officials. Since the contractor would be paying for the new truck (with assistance from Tembec), he had the final say and could veto any recommendation put forward by FERIC. The most difficult component to reach agreement on was the engine, with FERIC recommending a smaller engine than was ultimately spec'ed. However, many of FERIC's proposals were accepted, which resulted in a truck that included the following special features (Table 1 provides a cost breakdown for this equipment):
· severe-service aluminum rims, to reduce weight compared with traditional steel rims
· smaller fuel tanks, to provide weight savings while still storing enough fuel for one shift
· an aluminum cab protector, to reduce weight compared with traditional steel cab protectors
· an aluminum front bumper, to save weight compared with the traditional steel bumper
· central tire inflation (CTI), for improved traction, driver comfort and tire life
· an on-board weigh scale, to ensure maximum payload without overloading
· an in-cab auxiliary heater, to reduce engine idling in winter while keeping the cab comfortable for the driver during operational delays
· an on-board computer, to collect and store data on productivity, costs and driver habits that affect vehicle safety and efficiency
· a road maintenance management system, to give management a clear view of where daily maintenance activities should be focused
· a single tractor frame rail, for lighter weight compared with the traditional double-frame rail
· a lightweight, multi-product semi-log trailer (new design methods reduced trailer weight while maintaining structural integrity and the capacity to haul all required forest products)
As a result of the focus on lightweight components, the Star Truck had a road-ready tare weight of about 19 000 kg, which is 3000 kg less than the fleet average. During the first year of operation, however, weight was added to address structural issues related to the trailer and cab protector. As well, the normal accumulation of mud, bark, etc., further increased the vehicle's tare weight. Finally, tare weight varies depending on how much fuel is in the tank. As a result of all of these factors, the Star Truck's tare weight averaged between 19 400 and 19 800 kg during the two-year monitoring program.