Fleet Management

Knight And XTRA Expect Big Payback From Trailer Tracking

November 03, 2000

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Regional truckload carrier Knight Transportation and trailer leasing giant XTRA Lease are expecting to gain big benefits by equipping trailers with tracking systems from Terion.

Knight, which is also an investor in Terion, is equipping its entire fleet of more than 4,000 trailers with the Terion FleetView system, which is based on a cellular network. The fleet, which currently has a ratio of around four trailers to every tractor, hopes to gain in extra trailer utilization using the new technology and software.
"It will lower our cost of delivery and improve productivity," says the fleet's CEO Kevin Knight. "On average, we are currently using a trailer three hours a day. We believe the new system can increase our trailer revenue hours by 15% to 20%."
Knight also sees safety and security benefits, since the system will continuously monitor the motion and door status of the trailer. "We will aggressively promote this new capability to enhance service and profitability," Knight said. "This represents a major step forward compared to other carriers claiming load visibility, but often only ensuring it on movements with company tractors. For the first time, shippers and consignees will be able to ship with complete confidence that their freight can be monitored from the time of loading throughout the transit process until completion of unloading, regardless of mode of transportation or whether a company tractor and driver is used."
Also, driver/tractor productivity of several hours per driver/tractor per month could be recovered, said Knight. "Drivers often have three to four hours on-duty, not driving time. This technology should allow us to reduce driver waiting time to improve safety and productivity."
Knight currently has eight installation teams working toward full deployment of the new system, and is currently working with Innovative Computing to ensure a fully integrated host system tied into their IBM AS400 platform.
All new trailers through Wabash National will come spec'd with the system, and Knight is expected to specify that leased and rented trailers also be equipped with a compatible tracking technology.
Leasing giant XTRA Lease has entered into an alliance with Terion to sell, lease, install and distribute the FleetView units.
The companies will co-develop a service in which fleets who rent or lease XTRA Lease trailers will have the ability to track and report on the locations of those units, as well as capture trailer events such as change in load status, cargo door opening and trailer movement.
A total of 25,000 XTRA trailers will be equipped with the FleetView units, making it Terion’s largest customer.

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