LINKLINE The Chartered Institute of Logistics & Transport www.cilt.ie Autumn 2013 3.00 OPEN YOUR MIND WITH A CILT DIPLOMA SUPPLY CHAIN AWARDS 2013 TRANSPORT INVESTMENT PAT TREACY FCILT PROFILE THE RECOGNISED PROFESSIONAL BODY FOR ALL PROFESSIONALS INVOLVED IN THE LOGISTICS AND TRANSPORT INDUSTRIES IN IRELAND. Kingston Technology Company, Inc. is the world’s largest independent memory manufacturer. Founded in 1987 with a single product offering, Kingston® now offers more than 2,000 memory products that support nearly every device that uses memory, from computers, servers and printers to MP3 players, digital cameras and mobile phones. In 2009, the company’s sales reached $4.1 billion. Blanchardstown Industrial Park Snugborough road Blanchardstown Dublin 15 Ireland Telephone: +353 1 812 8888 Fax: +353 1 812 8830 www.kingston .ie www.kingston.com CONTENTS WELCOME TO LINKLINE W PLEASE LIKE OUR FACEBOOK PAGE elcome to the September / October edition of the CILT Journal Linkline. At the time of printing this edition, CILT are in the middle of organising a series of events to mark the visit of the CILT International President Dr. Doherty Chan on September 16th/17th. CILT Ireland would like to welcome Dr. Doherty Chan (CILT International President) to Ireland. During Dr. Chan’s visit she will perform the global launch of a new corporate identity for the Institute worldwide in Dublin at the Guinness Storehouse on Monday 16th of September. I would like to thank Diageo Ireland for sponsoring the global launch and especially Pat Treacy FCILT and Rhonda Evans for their help and support. This global launch is a great honour for the Institute in Ireland and to mark the occasion we are hosting a series of events on 16 and 17 September 2013 on the theme Transport and Logistics – Global Reach and Social Responsibility. We look forward to meeting all our members over the 2 days. At this time of the year many people consider enrolling in further education. The Institute was founded to promote professionalism within the logistics, transport and supply chain management industries and has been involved in running courses since its inception. Among the courses run in Ireland are the part time certificate, advance certificate and a diploma course in Logistics and Supply Chain Management. The courses are aimed at people who are employed in the industry or who would like to be, and are seeking to advance their careers into middle and senior management. The career success rate of graduates is very impressive. Enrolment is currently open for start dates around the country in October. I would encourage all members who may themselves be interested in pursuing further education to consider this course or to encourage fellow colleagues. Past Student Karl Doran CMILT writes on page 3 of this edition of the publication about how the CILT Diploma benefitted him both personally and professionally. The Chartered Institute of Logistics & Transport Ireland would like to congratulate all the winners of the Supply Chain Awards 2013 which was held in June at the Crowne Plaza, Santry, Dublin. A number of CILT Members were acknowledged with awards on the night. CILT Members Pat Treacy FCILT accepted two awards on behalf of Diageo Europe; the Overall Supply Chain Excellence Award and the Supply Chain People Development Award. Janet Kavanagh CMILT accepted the Customer Service Award on behalf of her company Lily O’ Brien Chocolates. Bridget Canavan MILT received the Supply Chain Technology Award. Full coverage of the awards and the Supply Chain Conference can be viewed on page 23. Finally, I would like to welcome all our new members who have recently been elected including our three new fellows; Pat Treacy, Vivienne Jupp, and Paul Brennan. FOLLOW US ON LINKEDIN Micheal Lynham CILT Linkline Editor EVENTS & NEW MEMBERS ► Page 02 CILT DIPLOMA IN LOGISTICS & SUPPLY CHAIN MANAGEMENT BY KARL DORAN CMILT ► Page 03 DIAGEO AT A GLANCE BY PAT TREACY ► Page 05 FLIGHT FEST ► Page 11 LONDON UNDERGROUND 150TH ANNIVERSARY ► Page 13 IRISH AVIATION LANDMARK BY FRANK LOUGHLIN FCILT ► Page 16 GLOBAL CAR MANUFACTURES LAUNCH SHARED SUPPLY CHAIN SOLUTIONS ► Page 16 TRANSPORT INVESTMENT BY TOM FERRIS FCILT ► Page 18 IRISH RAILWAY HISTORY BOOK ► Page 20 LILY O’ BRIENS CHOCOLATE SUCCESS ► Page 21 MEMBERSHIP PLUS CARD ► Page 22 SUPPLY CHAIN AWARDS & CONFERENCE 2013 - BY MICHAEL LYNHAM ► Page 23 IMPROVING COMPETITIVENESS THROUGH WAREHOUSE BY PATRICK DALY CMILT ► Page 27 BRAY AIR SHOW BY KEVIN BYRNE FCILT ► Page 28 IS THE SEMI-TRAILER A THREATENED SPECIES BY HOWARD KNOTT CMILT ► Page 30 SAFE DELIVERIES BY H.S.A ► Page 31 WHAT INTERVIEWERS WANT BY BRIAN MCIVOR ► Page 32 © National Publishing Institute Ltd. Editor: Michael Lynham Design: Orla Lewis While every care is taken to ensure the accuracy of content herein, NPI Ltd. cannot be held responsible for any inaccuracies that may arise. The opinions are the contributors’ own and may not reflect those of the publisher, its clients or contributors. THE CHARTERED INSTITUTE OF LOGISTICS & TRANSPORT IRELAND (CILT) The CharTered InsTITuTe of LogIsTICs & TransporT 1 NEWS UPCOMING EVENTS: CILT INTERNATIONAL PRESIDENTIAL ADDRESS & CILT GLOBAL LOGO LAUNCH When: Monday 16th September 2013 Where: Guinness Storehouse, St. James Gate, Dublin 8 SUSTAINABLE TRANSPORT EVENT When: Tuesday 17th September 2013 Where: Alexander Hotel, Dublin 2 Time: 18.00-21.30hrs Time: 08.00-10.00 THE LOGISTICS AND TRANSPORT RESPONSE TO HUMANITARIAN CRISES EVENT When: Tuesday 17 September Where: Alexander Hotel, Dublin 2 Time: 11.00 – 12.30 EMERGING MARKETS IN THE ASIA PACIFIC REGION: CHALLENGES AND OPPORTUNITIES FOR THE LOGISTICS AND TRANSPORT SECTOR EVENT When: Tuesday 17 September Where: Alexander Hotel, Dublin 2 Time: 14.00 – 16.00 For further details please visit www.cilt.ie To book a place on any of these events please e-mail or call Michael Lynham at michael@cilt.ie or Tel (01) 676 3188 NEW MEMBERS: Name Grade Company Paul Brennan Metroplex FCILT Pat Treacy Diageo International FCILT Vivienne Jupp CIE FCILT Daniel Williamson Interchem CMILT Dr. Ingrid Hunt University of Limerick CMILT Matthew Tighe Lidl Ireland CMILT Michelle O’Rourke M. O’Rourke SCM Consultancy CMILT David Gyves Glanbia Consumer Foods CMILT Brian Cleary Superior Express Transport CMILT Mark Smith Jenkinson Logistics CMILT Raymond Nardone Smart Careers Ltd. CMILT Gerry Hanrahan Enterasys Network CMILT Andy Aherne Abbott Medical Optics CMILT Darren Casey Syncreon Technology CMILT Jim Dawson Martin Ryan Haulage MILT Barry Flynn Flynn Training & Consultancy MILT Klaus Milewski Affiliate An Post Corporate The Chartered Institute of Logistics and Transport welcomes the following new members who have recently been elected or upgraded: NEW BOOK ON IRISH AVIATION Dreolín Publications Ltd. recently issued album No. 19 in their popular Irish Transport Series. The title is Early Aviation in Ireland and the Author is Bob Montgomery, - himself a keen aviation enthusiast since boyhood. The book tells the story of the pioneers of Irish Aviation. It is very well illustrated and is recommended reading for all Aviation enthusiasts – young and old. Details Title: Early Aviation in Ireland Author: Bob Montgomery Publishers/Order Direct: Dreolín Publications Ltd. Tankardstown, Garristown, Co. Meath Price: 10.00 (PB / 48 Pages) 2 The CharTered InsTITuTe of LogIsTICs & TransporT The Driving for Work seminars will raise awareness and promote the importance of managing driving for work risks. The Driving for Work Seminars will be hosted jointly by An Garda Siochana, the Health and Safety Authority and the Road Safety Authority. The online registration will be open in September. Please see www.cilt.ie for further details / www.drivingforwork.ie It would be great if you could spread the news about the FREE Driving for Work seminars to your business contacts Please mark the following dates for FREE Driving for Work Seminars in your calendar. TUES October 8th Driving for Work Seminar 09.00 to 12.30 Radisson Blu Hotel Little Island Cork WED October 9th Driving for Work Seminar 09.00 to 12.30 Galway The Connacht Hotel WED October 23rd Driving for Work Seminar 09.00 to 12.30 Portlaoise The Killeshin Hotel THURS October 2th Driving for Work Seminar 09.00 to 12.30 Dublin The Green Isle Hotel OPEN YOUR MIND WITH A CILT DIPLOMA IN LOGISTICS AND SUPPLY CHAIN MANAGEMENT - BY KARL DORAN CMILT I f you are considering a career in the disciplines of logistics and supply chain management or considering up-skilling your qualifications portfolio to enhance your career strategy, I strongly recommend participating on the CILT Diploma in Logistics and Supply Chain Management two-year course programme. Before I committed to participate on the course, I had a basic understanding of the disciplines of logistics and supply chain management. The lecture sessions are interactive and facilitated in a relaxed environment over two Saturdays per month enabling participants to plan and facilitate necessary changes to family or career commitments. The course covers eight modules providing participants with an appreciation and comprehension of the following imperative fundamental elements of logistics and supply chain management, • Logistics Management for Superior Customer Service • Warehousing and Distribution • Transport and the Supply Chain • Management and Supervisory Skills • Financial Management • Strategy, Logistics and Marketing • Operations Management • Human Resource Management Amazingly, as we explored each module, we quickly realised that what we were learning in the lecture sessions was all about the fundamental elements of our jobs irrespective of our industry background. By sacrificing the Gaelic games, Six Nations, and Premier League on Saturday’s, it enabled us as a team to top our own table, reap the rewards, achieve industry-wide recognised qualifications in logistics and supply chain management. On reflection, as a past graduate of the diploma course, what I learned over those two short years is priceless and one of the best investments I have made in my education and career path. The course has been of immense benefit to me throughout my career in the newspaper, road haulage, and recruitment industries. The course lecturers and team at CILT have inspired me to believe in myself, continuously improve, and pursue additional logistics and supply chain management related qualifications The course also gave me a great appreciation that logistics and supply chain management plays a pivotal fundamental role in how organisations can achieve sustained profitable growth and competitive advantage by having the right qualified people on their teams. People just like you and I. The challenges of the current global economic downturn pose threats and opportunities. On the one hand, people seeking employment opportunities or career progression realise that to stand out from the crowd of competing candidates in the competitive jobs market it is imperative that their qualifications portfolio are continually improved. On the other hand, organisations are scrutinising CV’s for recognised qualifications in logistics and supply chain management. They are looking for the right people capable of managing their logistics and supply chain activities, enabling the creation of seamlessly integrated lean agile supply chains. So if you want to open your mind and stand out from the crowd sign up for the CILT Diploma in Logistics and Supply Chain Management course today, you will not regret it, believe me. Education is an ornament in prosperity and a refuge in recession. - Aristotle Recessions are opportunities to change the way we think. Create History don’t repeat it, believe (Doran et al 2012) The CharTered InsTITuTe of LogIsTICs & TransporT 3 NEWS NATIONWIDE DRIVING FOR WORK SEMINAR - OCTOBER “GLUAIS Training” for all transport staff working with older or disabled passengers” ( All training endorsed by and co-certified by CILT Ireland.) Driving Assessment Service for older and disabled drivers. N N ER U R R N N ER U P Winner of the Irish Logistics & Transport Education Award 2012 U P U Safety Award Education & Safety Award Runner Up of the Irish Logistics & Transport Safety Award 2012 Runner Up of the Irish Logistics & Transport Education & Safety Award 2013 Ardtullagh Lodge, 19 Glenmalure Pines, Greenane, Co. Wicklow Tel: (+353) 0404 43854 Email: tonyregan@transportandmobility.ie www.transportandmobility.ie Providing our customers with transport & warehousing solutions for the past 40 years, our services range from the transportation of a small package to a pallet, multiple pallets to full loads. We provide this service with all our own substantial fleet of over 25 vehicles. Allenwood, Naas, Co. Kildare Tel: 045 870332 Fax: 045 870396 Mobile: 086 678 7629 www.kennedyinternational.ie The Chartered Institute of Logistics & Transport PAT TREACY FCILT PROFILE Pat Treacy is Head of Supply Chain Management for the International Supply Centre(ISC), Brewing in Diageo. Pat has over thirty years experience working with Diageo and has held senior positions across a number of disciplines including Operations, Change, Human Resources and Supply Chain Management. He is a member of both the ISC Brewing and Diageo Ireland Demand leadership teams. Pat was recently awarded a fellowship of the Chartered Institute of Logistics and Transport Ireland DIAGEO AT A GLANCE Since its foundation in 1997, Diageo has established itself as the world’s leading premium drinks organisation. It is a truly global company, with offices in 80 countries, products sold in more than 180 markets and employs over 25,000 people worldwide. In Ireland alone, Diageo employs in the region of 1,500 people directly, with thousands of others relying on Diageo indirectly. Diageo provides highquality, premium products across all geographies. It has an outstanding portfolio which contains a number of market leaders and brands with international recognition. These brands include; Guinness, Smithwicks, Baileys, Bushmills, J&B, Captain Morgan, Tanqueray, Crown Royal, Beaulieu Vineyard and Sterling Vineyards wines, Smirnoff, and Johnnie Walker. Diageo’s great range of brands means that people can celebrate with our products at every occasion no matter where they are in the world. This is why ‘celebrating life every day, everywhere’ is at the core of what we do. MAJOR CONTRIBUTOR TO THE IRISH ECONOMY With annual exports in excess of 1bn, Diageo is a vitally important contributor to the Irish economy and in particular the rural economy. Annual purchases from the agricultural sector are valued at 274m, providing work for thousands of people. Diageo purchases 13% of Ireland’s total barley production which amounts to more than twice the value of Ireland’s barley exports. 275 million litres of fresh Irish milk is required annually to produce Baileys; this equates to nearly 5% of Ireland’s total milk production. ISC BREWING SUPPLY CHAIN TEAM AND STRUCTURE The supply chain team in Ireland sits in the brewing wing of our business and is part of the International Supply Centre which supports the growth of our beer, whiskey and wine brands globally. ISC Brewing provides end-to-end supply chain solutions, supplying Guinness and other beer products to 130 countries. Our production sites are located across the island of Ireland, and in Runcorn in the UK, employing approximately 700 talented people. Guinness, Smithwicks and Harp are our main beer brands, while Budweiser and Carlsberg are brewed under licence for the Irish market. The supply chain team consists of 40 team members divided across a number of different disciplines, including; supply and demand planning, logistics, data management and international customer service. REDESIGN OF SUPPLY CHAIN FOR THE NEW BREWERY, BREWING FOR THE FUTURE. In 2012, a 153m expansion and redevelopment of the St. James’s Gate brewery was announced by Paul Armstrong, Supply Director Brewing and Richard Bruton T.D., Minister of Jobs, Employment and Innovation. This marked not only the rejuvenation of the historic home of Guinness, but also the revitalisation of Irish brewing exports across the globe. Opening in 2014, the new brewhouse will be capable of producing 45 million pints every single week. The investment has taken a great deal of logistical planning, with many challenges and obstacles to overcome. The supply chain team has been reconfigured to meet these new challenges. They have enhanced resilience processes across each node of the supply chain and implemented lean principles beyond the manufacturing network in support of this initiative. SUPPLY CHAIN TEAM CAPABILITY DEVELOPMENT We believe that the capability and diversity of our people can deliver competitive advantage. Diageo has always subscribed to the idea of developing the right people with the right skills and expertise. We want to develop our people to be the best that they can be and ensure that The CharTered InsTITuTe of LogIsTICs & TransporT 5 PAT TREACY FCILT PROFILE PAT TREACY FCILT PROFILE New Max 3&4 axle step frame trailers, extendable or fixed bed, alu or hydraulic ramps, also lifting bed available. Concept skelly trailers, 4 lock fixed, BPW axles drum brakes, lift axle. The Chartered Institute of Logistics & Transport Concept 13.6m curtainsider, choice of axles, lift axle, many options available. PROGRAMME SPECIFICS The first step was to assess the capabilities of our employees and map a clear development programme for each individual linked to their current role profile or a role identified into the future. We identified these skill gaps by using Diageo’s own internally developed assessment software called iDevelop. This new bespoke online capability application and development tool is now available for all ISC Brewing employees and supports online capability assessment against predetermined role profiles and skills requirements providing team training based upon the capability gaps identified through iDevelop. The next stage in the process involved developing and delivering twelve training modules. The modules covered a number of disciplines including: • • • • • • • end to end supply chain change management finance project management sales and operations planning customer collaboration demand planning SUMMARY BENEFITS The training programme greatly assisted our teams in delivering their objectives and will ensure they meet and deliver against customer expectations into the future. Over the last 12 months, there have been a number of positive improvements on our journey to enhance both supply chain knowledge and awareness within ISC Brewing. This includes an increase in our ‘on time in full no exception’ (OTIFNE) measurement year on year, improved case fill rate and recognition by the senior executive team that an increased awareness and understanding of the importance of embracing a supply chain philosophy within our business will drive improvement in our global competitiveness. This has resulted in secondment and promotional opportunities for employees’ to develop their careers beyond ISC Brewing. David Gosnell, head of Global Supply has called out ISC Supply Chain function as being the benchmark globally for Diageo in terms of customer service. SUSTAINABLE SUPPLY CHAIN Our company’s future success depends on our ability today to contribute positively to society and the environment. At every node in the chain between manufacturing and consumption, there is an environmental impact at some level. ISC Brewing aims to be a business that does not deplete natural resources and a world leader in terms of environmental sustainability. In 2007, a number of ambitious targets were set by Diageo globally to be achieved by 2015. These targets were undertaken in order to preserve the long term sustainability of the organisation. In Ireland a significant effort has been made to reach these targets; a reduction of 16,000 tonnes of carbon emissions has been achieved. Water usage has been reduced by 1.3bn litres since 2007. Our manufacturing sites have reduced waste to landfill by 89% between 2007 and 2012. 315 tonnes of aluminium in 2012 and 1,300 tonnes of glass since 2009 have been saved due to our sustainable approach to packaging. Upon completion in 2013, the new brewing investment at St. James’s Gate will be one of the most environmentally sustainable breweries in the world. It will take advantage of new technologies and continue to uphold the best environmental practices to ensure that ISC Brewing remains an industry leader in the area of sustainability. GREENiQ is a company-wide programme designed to raise awareness of environmental issues and drive improved environmental performance across the supply chain. The GREENIQ programme allows employees from all over the world to share ideas on environmental best practice and to avail of information on its website. GREENiQ encourages employees to be environmental champions as members of their function’s ‘green team’. An award system is in place for the best performing teams and individuals, with gold, silver and bronze medals awarded to recognise outstanding environmental performance. Each winner is awarded a monetary prize of £10,000 to spend on an environmental project of their choice for their function. SUPPLY CHAIN INNOVATION The beer category in the USA is undergoing a significant change in dynamics with increased competition from the craft beer segment, imported aspirational beers and domestic speciality beers. To maintain and grow our market position, two new Guinness brands were launched to the US market in 2012; Guinness Black lager and the Guinness Winter Welcome Selections. Guinness Black Lager was the first major beer brand launched by ISC Brewing into the USA market in over 5 years. The challenge we faced was to introduce these new products into a highly competitive market and redefine the Guinness brand for a new generation of Guinness drinkers. Timelines on this project were extremely tight with the project moving from idea to shelf in just five months. A cross functional project team was The CharTered InsTITuTe of LogIsTICs & TransporT 7 PAT TREACY FCILT PROFILE they can consistently deliver great performance. Our goal is to enhance and deepen our employees’ knowledge of the fundamentals of supply chain management. This will better equip them to deal with the many challenges they face in a dynamic and changing business environment. Our response to this challenge was to develop a supply chain capability programme aimed specifically at enhancing our employees skill set. At the initial stage of the programme, we consulted with both internal and external experts in end to end supply chain solutions. The National Institute of Transport and Logistics was consulted in the infancy stage of the programme and provided advice and tutorials ensuring that the end result delivered a market leading supply chain capability development programme. Thompson Transport Ltd Putting Our Customer First SERVICES OFFERED Tipper Services Curtainsider Services Bulk Haulage Services Machinary Transport Pallet Delivery Parcel Delivery 24/7 365 Days a Year All Work Carried out to the Highest Standard by an Experienced Team of Drivers Eagles Rest Crunkill Rooskey Co. Roscommon FASTRACK Transport Ltd Shallon, The Ward, Co. Dublin Specialists in Plant & Machinery Recovery Nationwide and the UK 24 hour service Phone Peter: 086 850 9242 “While your cryin - We’re tiein” 8 The CharTered InsTITuTe of LogIsTICs & TransporT Meelick, Rosenallis, Portlaoise, Co Laois, Tel: 087 612 8645 Tel: 087 659 8434 www.thompsontransport.eu PAT TREACY FCILT PROFILE put in place with representatives from all areas of the organisation, headed by the supply chain team. This ensured that the new products were available to all major USA retailers in time for Christmas, making the roll-out a resounding success. The goal of the supply chain team was to develop, produce and distribute a total volume of 1.5 million cases to distribution centres across the USA. This included planning, production, scheduling and route to market; cost modelling, the selection of packaging sites, trialling of production lines and the sourcing of extra resources. The project was dependent on cross-functional project meetings between consumers, production, planning, marketing and supply chain teams in Ireland, Britain and the USA. On the technical side of the project, testing and trialling of production and packaging material within the production environment was carried out to ensure that the roll-out of these new products took place smoothly. This included the sourcing of new raw materials and components and the resourcing of logistics and freight partners. For example over 1000, 40 foot containers were needed to transport the products. The crossfunctional project team worked closely with freight providers; APL, MSC, OOCL and ACL to ensure the punctual delivery of these products to distribution centres across the USA including; New York, Savannah, Miami, Los Angeles and Houston. In addition, the project team on both sides of the Atlantic closely tracked the status of all freight movements every step of the way. SUMMARY We are committed to ensuring that our employees fulfil their potential and help Diageo secure competitive advantage by developing their capabilities. In-depth training courses have been provided and this has proved to be an overwhelming success and is mutually beneficial to our organisation and our employees. This has enabled our teams to overcome the many obstacles and challenges that arise in a dynamic and changing business environment. Our achievements in this area have not gone unnoticed; ISC Brewing was recently named Ireland’s 6th best work place at the 2013 ‘Great Place to Work’ awards. This represented a significant improvement from the 15th place finish in 2012, and a testament to the effort that has gone into making Diageo one of Ireland’s best places to work. We have won a number of supply chain awards this year including Multinational Exporter of the year from the Irish Exporters Association, Supply Chain Achievement Award at the Irish Logistics and Transport Awards ceremony and most recently the overall Supply Chain Excellence award at the Supply Chain 2013 annual awards ceremony. Developing talent and allowing people to reach their full potential is a fundamental feature of the Diageo work-environment both globally and nationally. Our culture is one that encourages continuous growth and learning throughout an employee’s career. We believe that our supply chain capability programme has been instrumental in our success in the great places to work award. Our programme is at the forefront of leading edge thinking, it can evolve and more importantly it is enriching the professional and personal development of our employees. The CharTered InsTITuTe of LogIsTICs & TransporT 9 T he IAA is currently in the process of organising FlightFest, a spectacular aviation event, in which over 30 commercial, military and historic aircraft will fly down the course of the River Liffey on 15th September as part of the Gathering Ireland 2013. This sustained fly past from Dublin Port to the Customs House will take two hours to complete, with flights sequenced at five minute intervals. Some of the world’s most modern and sophisticated large commercial aircraft will take part in this stunning aerial parade. Irish and international airlines such as Aer Lingus, Aer Lingus Regional, Air Contractors, Cityjet, Ryanair, Etihad and British Airways have all committed aircraft. Commercial aircraft types will include the Boeing 737, the ATR 72, the Airbus A320, A321, A300, A330, A340 and Superjumbo A380. The Irish Air Corps will play a major role in the fly past and are participating with a variety of aircraft, while the Irish Coast Guard will take part with two Sikorsky search and rescue helicopters: an S92 and S61. The British Royal Air Force have also been invited to participate and will showcase one of their C-130 Hercules. A great line up of classic aircraft will add a measure of historic glamour to the event and will include a Catalina Flying Boat PBY-5A, the last remaining airworthy B-17 Flying Fortress in Europe, the Sally B and a Vulcan B2 bomber. The Catalina Flying Boat was originally delivered to the Royal Canadian Air Force in 1943 and was used for bomber reconnaissance and anti-submarine patrols over the Pacific. The Sally B Flying Fortress was one of the last of its kind to be produced and was delivered to the US Army Air Force in June 1945. The Sally B was one of five B-17s used as the ‘Memphis Belle’ in the film of the same name. Famous for its graceful but menacing delta wing silhouette, the Vulcan B2 bomber formed the backbone of the British airborne nuclear deterrent during the Cold War. FlightFest will be a free family fun event and a large section of the quays will be pedestrianised. Many family attractions and festivities will be available on the day from 12pm, while the fly past itself starts at 2pm. IAA CEO, Eamonn Brennan said ‘Flightfest will be free fun family day out and a celebration of Ireland’s outstanding contribution to international aviation. The sight and sound of these magnificent aircraft over the Liffey will be spectacular and memorable for years to come. The Irish Aviation Authority is proud and excited to be organising this event’. Following from the IAA’s lead as chief organiser, Dublin City Council, The Gathering Ireland 2013 and Dublin Port are supporting the event. The aviation industry in Ireland is also supporting the event. All the major Irish air operators are participating with aircraft, while the aviation financing and leasing community is contributing sponsorship to the event. For more information and updates, check out www.flightfest.ie or follow FlightFest on Twitter and Facebook. FlightFest is being brought to you by the Irish Aviation Authority, Dublin City Council, and The Gathering Ireland 2013. Additional sponsors include Dublin Port Company, Avolon, AerCap, Air Castle, Apollo Aviation Group, AWAS, BBAM, Fly Leasing, Capita, GE Capital Aviation Services, Orix Aviation, SMBC Aviation Capital, Dublin Aerospace, A&L Goodbody and KPMG. Other key partners include PWC, McCann FitzGerald, Dublin Bus, Fáilte Ireland, FM104, Iarnród Éireann, Luas, Eircom and Carr Communications, along with additional support from the Air Corps and An Garda Síochána. The CharTered InsTITuTe of LogIsTICs & TransporT 11 IAA FLIGHTFEST: SPECTACULAR AVIATION EVENT ORGANISED BY THE IAA Joe Mc Govern Transport the right partner to ensure your transport, storage and distribution needs are met on time and on budget. We offer: • Secure modern warehouse facilities in excess of 52,000 sq ft • Irish Medicines Board Standard • Barcode scanning • Ideal Distribution centre for import/export company • Ireland 32 county “next day” pallet delivery service. Make Joe McGovern Transport your partner of choice SilverStream, Bawnboy, Co. Cavan. Phone: 049 9523342 Fax: 049 9523052 Website: www.joemcgovern.ie Our services include: conducting route surveys, obtaining necessary permits, removal of obstacles (temporary or permanent), liaising with Police/Gardai and the organisation and management of third party equipment, such as cranes, etc. O’Neill’s Heavy Haulage, Hospital, Co. Limerick Tel: 061 383 114 / 061 383 146 Fax: 061 383 022 Mobile: 087 2575 358 www.heavyhaulageireland.net 12 The Chartered Institute of Logistics & Transport 150 ton lorry mounted, 35 metre reach, biggest in ireland for hire IN THE 150TH ANNIVERSARY YEAR OF LONDON UNDERGROUND, ITS MANAGING DIRECTOR, MIKE BROWN, MVO FCILT, WAS THE SPEAKER AT THIS YEAR’S ANNUAL CILT SIR ROBERT REID RAIL LECTURE, HELD IN CENTRAL LONDON. HE SUMMARISED THE UNDERGROUND’S LONG HISTORY, ITS CURRENT PERFORMANCE AND ITS FUTURE POTENTIAL. EDWARD FUNNELL REPORTS ON WHAT HE HAD TO SAY. Tottenham Court Road is benefitting from modernisation to link with the on-going Crossrail project HISTORICAL VISION Mike Brown opened by praising the persistence and vision of one of the Underground’s founders, Charles Pearson, that led to the opening of the Metropolitan Line, the world’s first underground railway, in January 1863.The line’s 150th anniversary was celebrated in style in January this year. London’s great terminus stations were built on the edge of the central London area (because planning applications for more central locations were usually rejected), which meant people had to travel through the capital’s narrow and congested streets to reach their end destinations. Charles Pearson argued these arteries were no longer adequate for a city’s whose population had grown to 2.5 million by the 1850s. His cause was helped by the fact that horses – and their waste, which tended to land on the streets – were regarded increasingly as unhygienic, and the lack of a public transport system did nothing to end the city’s slums as people were forced to live cheek by jowl near to their jobs. Charles Pearson’s efforts to persuade, cajole and encourage investment finally paid off when the Metropolitan Railway opened. It might have been an engineering feat in those days, but as Mike Brown wryly noted, journalists of the day were not slow to criticise, describing travelling on it as ‘absolutely foul’ and describing the treatment of passengers by staff as ‘barbarous’. The opening of the Metropolitan Line was followed in the 1880s by the District and Circle Lines and then the Waterloo and City Line. Technology was showing its hand by the turn of the 20th Century and the Central London Railway (today’s Central Line) was the catalyst of electrification. A major feature of London’s Underground is its small tunnels and narrow gauge. Mike Brown said that as early as 1901 it was recognised that the system had been built on too small a scale. This was partly due to the technical limitations of the day, but also because of a desire to keep construction costs down, which meant that tube lines were built directly beneath the route of some of the city’s busiest streets. This explains some of the sharp twists and turns we experience when travelling on the tube. WAR AND UNCERTAINTY Between 1861 and 1901, the population of London doubled to more than six million people. By 1907, the Piccadilly, Northern and Bakerloo Lines had been built, reflecting and reinforcing the growth of London. Thereafter, the Underground was a major player in shaping and building the city into a great metropolis. However, no more lines were built for 60 years. Investment was halted by the effects of the First World War, the Depression and then the Second World War. However, between the wars, some of the iconic station buildings were built, such as those on the Metropolitan and outer parts of the Piccadilly Lines, and by 1933 London Transport (LT) had been formed. Top LT The CharTered InsTITuTe of LogIsTICs & TransporT 13 150TH ANNIVERSARY THE 150TH ANNIVERSARY YEAR OF LONDON UNDERGROUND 150TH ANNIVERSARY Celebrating the 150th Anniversary of the underground, the metropolitan railway having opened in January 1863. management pioneers such as Frank Pick and (Lord) Albert Ashfield inspired clever design, developed strong branding and introduced more effective and coherent management of the London Underground as a system. Originally estimated to carry 50 million people a year, the Victoria Line now carries 150 million people a year on 33 trains an hour. In the 1970s and 1980s, the Tube became part of political arguments and the Moorgate fire of 1975 and King’s Cross fire in 1987 were operational low points. During the Second World War, the Underground became known for sheltering thousands of citizens from bombing raids. However, this was not always safe: bombs dropped at Balham, Sloane Square and Bethnal Green stations caused substantial loss of life. A period of investment brings the story up to date. The first big investment was the Central Line upgrade in the early 1990s, followed by the Jubilee Line extension and new trains for the Northern Line. The Public Private Partnership (PPP) of the late 1990s onwards was designed to provide additional funding. It was the focus of big political battles. Mike Brown argued that it was the complexity of the detail of the contractual mechanisms contained in the PPP that led to its downfall. Post-war, the immediate priority was not new lines but the repair of existing lines, although the Central Line was extended both east and west in 1947. Nationalisation followed in 1948. However, a lack of investment meant that the system went through what Mike Brown called a miserable period for the next 20 years. It was an ageing system with increasing unreliability and delays that caused great passenger frustration. GOLD MEDALS Mike Brown made it clear that getting a grip on the recent Jubilee Line upgrade was a top priority and that getting it right had been key to ensuring that transport or the London Olympics and Diamond Jubilee celebrations worked well in 2012. There were 100 million journeys on the Tube during the Games (85% of people visiting the Games did so using the Tube), an increase of 30%, and people did spread their journeys to avoid peak times. He described the Olympics and Paralympics as an absolute triumph for the transport network as a whole. ON THE MOVE AGAIN Matters improved again when the Victoria Line was opened in 1967. It speeded up journeys and improved connectivity, but it was apparently predicted to be ‘a white elephant that no one would use’, so its design was based on the system of narrow tunnels, platforms and gauge used to build the lines 60 years previously. Mike Brown said that to him: ‘It was clear we would deliver [for the Games], but no one believed we would.’ Before the event, he held 150 briefing sessions with 100,000 staff at Stratford, and staff were also given a tour of the Olympics Park: ‘to give them a sense of ownership’ of the Games. 1 The CharTered InsTITuTe of LogIsTICs & TransporT FUTURE CHALLENGE AND OPPORTUNITY Turning to the future, Mike Brown highlighted commercial opportunities as well as tricky challenges caused by changing demographics, a growing population and new and rapidly changing technology. The Operational challenges include replacing a lot of ageing infrastructure that dates from the early 1970s – for instance, the signalling on the Bakerloo Line runs off ZX Spectrum computers (there are apparently only two engineers available to maintain it), and the trackside equipment at Earls Court providing passenger information was described by Mike Brown as ‘stone age’. There is a need for investment not only in large schemes but also in basic trackside and back-office equipment and systems to ensure seamless and efficient running. BUILDING ON SUCCESS Between 2003 and 2029, the Underground will see a 50% increase in capacity. Mike Brown underlined four key objectives to underpin future success: • To deliver a safe and reliable service • To exploit the current network • To grow the capacity of the network • To transform customer service He highlighted a strong pipeline of investment with the current programme of tube upgrades designed to improve reliability and capacity and journey quality: • The Metropolitan Lines now has 190 new trains with air conditioning Crossover junctions that were ripped out in the 1970s and 1980s are being reinstated • The Northern Line upgrade by the end of 2014 should increase capacity on one of London’s busiest tube lines by 20% • There are good station improvement projects in hand – Bond Street, Victoria and Tottenham Court Road – and work at stations to make room for Crossrail • London Overground is a great success and the development of the Northern Line extension in Battersea–Nine Elms area • Technology means that Wi-Fi can be rolled out across the network; work is also underway to design better trains with wider doors • The next phase for Oyster and contactless payment is being developed Mike Brown made the case for continuing to invest in London’s Underground. For instance, there are dozens of companies and suppliers located across all parts of the UK from which the Underground buys that create jobs and support local communities, notably 400 jobs in Derby. He claimed that London Underground supports at least 25,000 jobs outside London and that investing in London’s transport network is strongly supported by the business community. He cited infrastructure challenges – for instance, the opening of HS2 will require that Underground stations at key railway stations that can handle hundreds of people from high-speed trains accessing London’s public transport hubs, which they will not without further work. London will eventually need Crossrail 2, he said. Mike Brown argued forcefully that it is wrong to let the prevailing view go unchallenged: namely, that London has had its turn for transport investment, because, he argued, London is not competing against other cities in the UK. The real competition is cities such as Paris, New York and Tokyo, which are competing to attract those large companies deciding where best to locate over the next decade. Covering financial matters, he made a comparison with the five-year control periods that apply on the national rail network. He said that the Underground needs a surer stream of funding and investment, not the stop-go peaks and troughs of past decades and annual handouts. The Underground realises it must play its part, too, by being more efficient. In this regard, he said, it has delivered nearly £10 billion-worth of efficiency savings. In a wide range of questions that followed, Mike Brown said that his greatest personal challenge in his current role had been managing the immediate aftermath of the effects of the bombings in London on 7th July 2005, including restoring the service and public confidence on 8th July. Looking ahead, he firmly believes that the Underground will go on being very relevant to London over the next 100 years, with more services and new infrastructure in a growing city. Rounding off proceedings, Mike Brown’s lecture was warmly commended in a vote of thanks given by Martin Brennan, Chairman, Strategic Rail Forum. The evening was chaired by Donna Creswell, Chief Operating Officer, CILT. • The extent and quality of retailing at stations will be improved • There is a commitment to retaining staff at stations, especially to provide information, help and reassurance to passengers Thank you to CILT for allowing CILT Ireland t o reproduce this article. The CharTered InsTITuTe of LogIsTICs & TransporT 15 150TH ANNIVERSARY population of London is set to grow by 750,000 by 2031 and the workforce in London is set to grow by 1.2 million by 2031. This is the equivalent of adding two additional tube trains full of people every single week, or absorbing the population of Birmingham within the next 17 years. Other challenges are social and environmental – for example, life expectancy in East London is 10 years less than in West London. Transport for London has CO2 emissions targets to meet, and by 2016 there will be 1,000 new hybrid buses and 600 new and cleaner double-decker buses on London’s streets. IRISH AVAIATION & SHARED SUPPLY CHAIN HISTORIC IRISH AVIATION IRISH AVIATION LANDMARKS BY FRANK LOUGHLIN FCILT PORTMARNOCK STRAND - IN 1930 AND 1932 PORTMARNOCK STRAND PLAYED A UNIQUE ROLE IN WORLD AVIATION HISTORY. 1930 It was from the Velvet Strand at Portmarnock, Co. Dublin that the famous Australian aircraft – “Southern Cross” (a three engined Fokker F.VIIb/3m) – took off – on the 24th of June 1930 – on a pioneering flight across the Atlantic. 33 hours later the aircraft landed safely at Harbour Grace, Newfoundland. This historic flight was piloted by the Legendary Australian aviator – Charles Kingsford Smith. The Co-Pilot was Evert van Dyk. The two other crew members were: Navigator: Captain J.P. Saul (a Dubliner) and Wireless Operator: John Stannage. The Southern Cross Flight is commemorated by an impressive monument/sculpture which is located on the grass area at the north end of Velvet Strand. The sculpture is named “Eccentric Orbit” and the axis and bronze needle at the top of the sphere, point directly to the north star, - a point that has been used by navigators for thousands of years. (See photograph) Note: Sadly Kingsford Smith lost his life in an air accident over the Bay of Bengal in 1935. 1932 Two years after the Southern Cross Flight, Portmarnock’s Velvet Strand was again part of aviation history. Aviator James Mollison took off from “The Portmarnock Runway” to undertake the first East to West solo flight across the Atlantic ocean. His aircraft was a de Havilland DH.80A Puss Moth named “Hearts Content”. Mollison’s planned destination was New York but due to fuel shortage, he diverted to Pennfield Ridge, New Brunswick, near St. Johns – where he landed safely – thus becoming the first aviator to fly solo across the Atlantic from East to West. Portmarnock, Co. Dublin was again part of international aviation history. Further Reading - “The Great Atlantic Air Race” Author: Gavin Will Publisher: O’Brien Press Ltd. This impressive monument is sited near Portmarnock’s “Velvet Strand” Title: Eccentric Orbit Artists: Remco Dfouw and Rachael Joynt. Photo: Frank Loughlin FCILT. GLOBAL CAR MANUFACTURERS LAUNCH SHARED SUPPLY CHAIN SOLUTION T hree of the world’s major car manufacturers have formed an automotive community aimed at creating collective protection from risks in their supply chain. Aston Martin, Jaguar Land Rover and Toyota Motor Europe worked with the owner of Goodwood, Lord March, and supply chain management company Achilles to develop a three-step solution for proactively identifying and managing potential risks in their supply chains, which they hope will be adopted across the entire industry. buyers and suppliers, offering comprehensive, accurate and up-todate information about the supply chain. The automotive community has consolidated multiple risk management processes into one standardised set of questions for all suppliers. This enables them to identify and manage consistently potential risks relating to health and safety, compliance, financial stability, ethics and corporate social responsibility. It means potential suppliers will only need to complete one questionnaire to be considered to work for all three international car manufacturers, and buyers can see at a glance all potential issues affecting their supply chain. The system complies with Competition Law and all companies will be able to maintain commercial confidentiality. THE SOLUTION COMPRISES: • AN ONLINE PORTAL accessible to 1 The CharTered InsTITuTe of LogIsTICs & TransporT • A SUPPLY CHAIN MAPPING (SCM) tool led by Toyota Motor Europe that allows car manufacturers to see information about the vehicle manufacturers, I am delighted to be directly involved in helping to ensure the OEM supply chain of vital components to assist the smooth and uninterrupted flow of new vehicle production.’ The tool will also address potential bottlenecks, reliance on single suppliers and companies with long lead-times that could impact on production. The automotive community is now inviting Tier 1 suppliers, deemed as being critical to production, to provide information. These suppliers will cascade the request for information right down through the supply chain, creating a complete picture of supplier location, function and compliance across countries in a single database. Ian Harnett, Purchasing Director, Jaguar Land Rover, says:‘Achilles Automotive will deliver greater efficiency not only to JLR but also to the whole automotive industry through the creation of a standard process of managing supplier information and keeping information current and up-to-date.’ • A FINANCIAL ANALYSIS MODEL (FAM) that serves as a financial health check on suppliers. By identifying potential problems early, buyers and suppliers can work together to address the root cause. The automotive community agrees that in a global industry one issue affects all and there is no competitive advantage in letting competitors have risk in their supply chain. Guillaume Jacques, Purchasing General Manager, Projects & Strategy Planning,Toyota Motor Europe (TME), adds: ‘Recent events, such as the Japan earthquake, Thailand flood and smaller scale issues such as fires at supplier premises showed us that we needed to address potential supply risks deep in our supply chain and had to extend risk management from Tier 1 level to lower tiers. The supplier information management system is hosted by supply chain management companies. Luis Olivié, Global Business Development Director, says: ‘We believe our automotive community, which combines supplier information management with supply chain mapping and financial analysis, presents a total, global solution for the automotive industry to identify and manage risk proactively. The automotive sector is truly global, and by working collaboratively these industry leaders are setting standards in gaining visibility of issues that could affect people, planet and profit. ‘This technology will enable OEMs [original equipment manufacturers] to map and understand their own supply chains right through the many tiers. It will allow them to see the interaction and dynamics of them and risk assess in a way that has never been done before. It works not only up and down in their own supply chains, but also across different companies to maximise benefits. With the benefit of an integrated supply chain, OEMs can put in place additional contingency measures to aid continuous production.’ Gary Archer, Purchasing Director, Aston Martin, and Chairman, Achilles Automotive Steering Group, says: ‘Aston Martin has proactively managed risk within our supply base for a number of years. However, Achilles Automotive provides an exciting new initiative that draws together three key supplier management tools: supplier information management, financial risk analysis and supply chain mapping. Aston Martin realises the burden placed on its suppliers to comply with multiple requests from the automotive industry. We therefore clearly see that a single system interface reduces the burden, whilst also providing the added value of a unique tool to enable suppliers to promote their business, ability and products. Achilles Automotive will be jointly funded by OEM and supplier, which we believe fairly recognises the benefits to all parties.’ Lord March, founder, Goodwood Festival of Speed and Goodwood Revival, says: ‘As Goodwood is at the heart of the automotive industry, with relationships across a wide-span of The objective of supply chain mapping is to enable us to study together with our suppliers how to mitigate our exposure before any problem occurs – for example, by doing validation of alternative material – and react quicker when a problem occurs. Toyota Motor Europe took a leading role in this project because we made the strategic decision to develop a supply chain mapping solution before anyone else. We first tried by ourselves, but faced difficulties due to the complexity of the project and workload on the supplier and TME side. Achilles approached us with the concept of an automotive community at the beginning of 2012.We quickly realised the potential benefits of a community approach and proposed to Achilles to extend the scope of their project to include supply chain mapping. ‘One could wonder why TME wants to share its initiative with other car-makers. The answer is simple: OEMs’ supply chains are so interdependent that there is no point in TME trying to secure its supply chain on its own, as any OEM stopping production on a big scale would impact others within a very short time.’ Thanks to CILT (UK) for allowing CILT Ireland to reproduce this text for the CILT Linkline magazine. The CharTered InsTITuTe of LogIsTICs & TransporT 17 SHARED SUPPLY CHAIN subsupply chains involved with critical aspects of car production. One of the features allows automotive companies to map out which supplier manufacturing sites are potentially exposed to risks, including natural disasters, financial and corporate social responsibility (CSR), to mitigate any potential impact on global production. TRANSPORT INVESTMENT FOCUS ON TRANSPORT INVESTMENT BY TOM FERRIS FCILT (FORMER PRESIDENT OF CILT IRELAND) BUDGET 201 Budget 2014 will be delivered in October, rather than December 2013. Accordingly, the main changes in the areas of expenditure and revenue are already coming close to finalisation. The early budget arises from the introduction of new measures that require EU member states to submit their budget to the European Commission for scrutiny in October, to ensure that they comply with EU law. So it is timely to ask in what way will the budget impact on investment in the area of transport? Specifically, is the downward trend in public investment in transport likely to be continued? This article argues for a reversal of the downward trend. CUTBACKS IN TRANSPORT INVESTMENT The level of Exchequer funding available for the development of transport infrastructure has been greatly reduced in recent years. And the downward trend is forecast to continue. The Public Capital Programme 2013 projected that the capital allocation for the Department of Transport, Tourism and Sport will fall from 900 million in 2013 to 818 million in 2016. These levels of investment are a far cry from the ambitious programme, Transport 21, launched in October 2005, which had had 34 billion earmarked for the decade up to 2016. The case for the current cutbacks in public expenditure is well documented. As the Department of Public Expenditure and Reform1 put it in November 2011 – “Over the mediumterm, there will be a lower level of resources available for capital investment. While not ideal, this is the reality of the fiscal challenge which the Government faces”. While these fiscal constraints continue, any Minister for Transport has a tough battle to manage to ring-fence funds for transport investment. All that can be done is protect previous investment outputs, maximise the efficiency of existing infrastructure, and continue to make the case for new investments when economic circumstances improve. As Leo Varadkar, T.D., Minister for Department of Transport, Tourism and Sport, put it at a conference last April – “The first priority has to be to protect investment made to date; the second, to extract maximum value from existing assets by using 18 The CharTered InsTITuTe of LogIsTICs & TransporT existing infrastructure more efficiently and in a smarter way; and the third, to invest in new projects with a focus on safety, missing links, and capacity to generate employment and growth”. NEW TRANSPORT INVESTMENT Is there a case to be made for the downward trend in transport investment to be reversed? The short answer is yes. Transport economists argue that good transport investments lower the costs of moving people and goods, which then increase economic productivity, and national output. And improved productivity leads to higher standards of living. The challenge for any government is how to start this virtuous circle by sourcing investment funding in an era of fiscal constraint, either from the private or the public sector. However, it is a circle that politicians are looking to ‘kick-start’. On 26 May, President Obama spoke about ‘Growing Economy and Creating Jobs by Rebuilding America Infrastructure’. Specifically, he argued that, to grow the economy and create jobs, America’s infrastructure has to be re-built. Moreover, he claimed that the rebuilding of America’s infrastructure will create new jobs and that when people have new jobs the economy will grow. The matter of reversing the downward trend in transport investment was also discussed by Transport Ministers from 54 countries at a summit held by the International Transport Forum, last May – see Box A. BOX A: INTERNATIONAL TRANSPORT FORUM WHAT IS THE ITF? The International Transport Forum at the OECD is an intergovernmental organisation with 54 member countries. It acts as a strategic think tank with the objective of helping shape the transport policy agenda on a global level and ensuring that it contributes to economic growth, environmental protection, social inclusion and the preservation of human life and well-being. The ITF holds an annual summit which brings together Ministers and leading representatives from industry, civil society and academia to engage in focused debate about strategies for tomorrow’s transport. WHAT DID MINISTERS AGREE AT THE ITF? Ministers of Transport from the 54 member countries of the ITF called for more investment in strategic transport infrastructure and services at the 2013 Summit, held in Leipzig, Germany, last May. The Ministers stated that “Funding transport is a major challenge for transport policy today.” They went on to state that “Transport infrastructure is much more than asphalt, concrete or steel; it is the backbone of national economies, providing connections for people and goods, access to jobs and services, and enabling trade and economic growth”. And they emphasised that “With both public budgets and private sector resources under constraint, government authorities and industry must together seek new ways of ensuring stable, long-term funding for the sector.” Source: www.internationaltransportforum.org/2013/pdf/ DeclarationMinistersFunding2013.pdf Alan Kelly, T.D., Minister of State at the Department of Transport, Tourism and Sport represented the Irish Government at the Forum, in Leipzig last May. He commented recently that - “In Ireland we are in a particularly challenging position, with the simultaneous objectives of reducing our day-to-day public expenditure while ensuring that what public funds are available are put to the best use possible in generating economic growth... Our focus over the last few years has been to protect previous investment outputs and to maximise the efficiency of existing infrastructure. It’s also important that we take the opportunity afforded by the imposed investment hiatus to examine and assess the longer-term transport needs of the Irish economy”. JUSTIFICATION OF NEW TRANSPORT INVESTMENTS It is all very well to argue the need for new transport investment projects. It is another matter to provide clear evidence that the projects chosen for investment provide the best value for money, given today’s economic and financial circumstances. Projects should only be given the ‘green-light’ after they have successfully met the assessment standards laid-down by the Department of Finance. The standards are contained in a set of guidelines published by Government, in February 2005. They set out a variety of financial thresholds, including the requirement that projects over 30 million undergo a full cost benefit analysis at the detailed appraisal stage. Economic cost-benefit analysis is a method which considers the various direct and indirect costs and benefits of investment proposals. Of course, there is little point in having cost-benefit analyses completed if they are not published. The public have a right to know what the expected outputs are from any new investments. In this regard, it should be noted that the Programme for Government, March 2011, gave the following commitment – “We will publish cost-benefit analysis for major infrastructure proposals...in advanced of Government approval”. A good example of published results is the Luas Cross City project. In this regard, the Railway Procurement Agency (RPA) provides the economic appraisal results, on a dedicated website – www. luascrosscity.ie. The RPA is delivering this project with funding being provided by the National Transport Authority. Box B summarises the results of the economic appraisal. BOX B: ECONOMIC APPRAISAL OF LUAS CROSS CITY PROJECT “The Luas Broombridge project displays strong economic benefits substantially in excess of the costs. The results of the cost benefit analysis (prepared in accordance with Department of Transport guidelines)... discounted to 2002, demonstrate a strong economic case for the project. “The scheme displays an economic benefit to cost ratio of 2.28:1, and an economic net present value of 296m in 2002 prices. The scheme therefore represents very good value for money. “To test the robustness of the project, a number of sensitivity tests were carried out using different scenarios. This testing indicates that the economic worth of the scheme is not particularly sensitive to assumptions regarding related projects going ahead or future employment growth. “When the shadow price of public funds of 150% is applied to the capital cost and renewals costs, the scheme delivers a BCR of 1.54:1 in the base case and reduces the net present value from 296m to 186m. “A conservative estimate of the magnitude of wider economic benefits has been assessed as a sensitivity test applied to the SPFF sensitivity test, and this reveals that the BCR increases from 1.54:1 to 1.83:1 with the net present value increasing from 186m to 284m” Source: www.luascrosscity.ie, SOME CONCLUSIONS There is no doubt that the Government faces major challenges in justifying investment in new transport projects in these difficult economic times. However, the challenges are not insurmountable. It is a matter of having the resolve to invest in those projects that are likely to produce good returns when the economic up-turn does come. But projects should only be given the ‘green-light’, after they have successfully met the assessment standards laid-down by the Department of Finance. As the economy recovers, it is imperative that cost effective projects are ready to be delivered that will benefit our citizens and facilitate economic growth and development. Ireland needs a transport system capable of supporting an economy and enabling it to compete successfully in global markets and to meet its environmental challenges. It will be interesting to see if there is a reversal in the downward trend in transport investment when Budget 2014 is finally published. FOOTNOTES: 1. Infrastructure and Capital Investment 201216: Medium Term Exchequer Framework, November 2011. 2. Download the full text of the Declaration by Ministers on Funding Transport here: www.internationaltransportforum.org/2013/ pdf/DeclarationMinistersFunding2013.pdf The CharTered InsTITuTe of LogIsTICs & TransporT 19 TRANSPORT INVESTMENT The declaration by Ministers, on funding transport, at the ITF Summit, called for more investment in strategic transport infrastructure and services. They went on to say that – “With investment in transport infrastructure a long-term venture, robust, credible funding solutions that support trade, economic growth and environmental and social sustainability are urgently needed.”2 IRISH RAILWAYS IRISH RAILWAYS HISTORY WILLIAM DARGAN – (1799 – 1867) “THE FOUNDER OF IRISH RAILWAYS” M embers of our Institute now have an opportunity to study the life and achievements of the great Irish engineer William Dargan in detail, in a new book recently published by the Lilliput Press, Dublin. The book is entitled “William Dargan – An Honourable Life – 1799/187”. The author is Fergus Mulligan, whose previous books include “150 years of Irish Railways”(1983). This new work chronicles the life and work of Dargan in some detail. Born in Co. Carlow in 1799, he worked on his father’s farm for some time before joining a surveyor’s office in Carlow. With assistance from some prominent local people he began working with the Scottish engineer Thomas Telford on a major UK road project – part of the London to Holyhead road. He worked on this project before moving with Telford to construct a new road linking Sutton to Dublin. He was involved in several other major engineering projects before embarking on that project with which his name is linked to the present day. I am referring of course to the Dublin to Kingstown (Dun Laoghaire) Railway which opened in 183 and was the first ever passenger railway in Ireland. In subsequent years he was involved in various “water projects” including the Ulster Canal, Belfast Harbour, and others. His railway work included the following projects: • Dublin – Drogheda Railway • Great Southern & Western Railway • Midland & Western Railway In all, Dargan’s work is linked to approximately 800 miles of Irish Railways. Dargan’s other notable achievements include the Great Dublin Exhibition held in 1853 and the founding of The National Gallery of Ireland in 1864. Dargan had several homes in Dublin – including Mount Anville House, Goatstown, Co. Dublin (now a private school). In 1862 he moved to No. 2 Fitzwilliam Square East (approximately 3 minutes’ walk from the 20 The CharTered InsTITuTe of LogIsTICs & TransporT present offices of The Chartered Institute of Logistics & Transport). He died at this residence in February 1867. He is buried in Glasnevin Cemetary. A plaque on the front of the Fitzwilliam Square house bears the following inscription. (See Image Below) WILLIAM DARGAN 1799 – 187 FOUNDER OF IRISH RAILWAYS AND THE NATIONAL GALLERY William Dargan was certainly the major figure in the development of Ireland’s railway systems. The new book on Dargan’s many achievements deserves to be read by all with an interest in the history of Irish Railways. Frank Loughlin FCILT. The new book William Dargan 1799-1867 – “An Honourable Life” can be ordered direct from the Lilliput Press. 62/63 Sitric Road, Arbour Hill, Dublin 7. Or from their website: www.lilliputpress.ie Price: 25.00 ISBN No. 978.1.84351.3957 Description: Hardback / 300 Pages / Over 80 Illustrations. LILY O’BRIEN’S E stablished in 1992 with just a saucepan, wooden spoon and a genuine passion for chocolate, Mary Ann named the company after her first born daughter Lily. Mary Ann remains the driving force behind the company’s ongoing success of this family run Irish company 21 years on. Mary Ann is an award winning entrepreneur driven by her passion for creating mouth-watering chocolates and the dedicated team of people who collaborate to create innovative consumer products. We are located in a custom built 40,000 square foot facility located on the edge of the Curragh, just off the M7 and approximately 50km from Dublin and we have warehouses in 3 locations in Ireland and 3 more in the UK. Lily O’Brien’s has established a global reputation for being one of the most creative and innovative high quality brands in the affordable luxury chocolate market. Our R&D team is continuously inovating new recipes and following global gastronomic trends to ensure that our consumers are tantalized with current flavours. With over 180 chocolate varieties and a growing frozen dessert repertoire we have great fun at our morning tasting sessions! Our mission is to create a delicious chocolate taste experience, beautifully presented for you, our customer. We aim to achieve this through Excellence through People, Operations Excellence and Supply Chain Excellence. The business started small, MaryAnn created, produced and delivered chocolates daily to boutique stores around Dublin until one day Superquinn agreed to list. Spurred on by this MaryAnn approached Aer Lingus and won a contract to supply Business Class. In 2013 we will supply over 23 airlines and over the past 5 years global passengers have enjoyed almost 56 million chocolates! Our dessert factory, commissioned in 2011, has supplied almost 12 million frozen desserts to the airline & rail catering industry globally. Retail markets now include the United States, Australia & New Zealand, Norway, Sweden, Denmark, United Kingdom and our domestic market where we are category leaders. We also supply leading hotel groups and groups such as Insomnia and O’Brien’s Sandwich Bars with custom chocolates. As we export almost 80% of our production global markets are very important for future growth. It is critical to us that we have access to the most lean and agile routes to market and our supply chain is built on collaboration to eliminate waste for all involved. Success like this does not happen without a dedicated team of staff and excellent vision. Our team is both internal and external, we have worked with our suppliers to ensure that they feel part of the Lily’s family and are as dedicated to the development of the business as we are. We source and use only the finest quality natural ingredients through collaboration and alliance with suppliers across our seamlessly integrated national and global supply chain network. We ask our customers what it is they want and design our supply chains to ensure these needs are met to the highest standards. We have adopted and instilled best practice philosophies, methods and processes to ensure we are using the latest industry best practice, continuous improvement is the mantra.Our business is not based on what is economical to procure, efficient to produce or easy to distribute. We connect with our customers so we know exactly what they value and are willing to become passionate about. Whilst it is easy to connect with store buyers and develop products to suit their markets, we are also engaging with the real customers, the final purchasers. Utilising the powers of social & digital media though Facebook, Twitter, Pinterest etc. we are reaching out to engage and build relationships that will sustain our business. We love to hear what people feel about our products and encourage interaction to foster positive feelings towards the brand. Having been finalists at this year’s ILTA Awards and also triple finalist at the Supply Chain 2013 awards, winning the Customer Service Award, we feel we are going in the right direction. Never to get ahead of ourselves though, we will continue to invest in our people, our products and listen closely to our customers so we adapt and develop and continue to delight our customers with our passion for amazing chocolates and a delightful consumer experience ! You can find more information at www.lilyobriens.ie Find us on Facebook: https://www.facebook.com/LilyOBriens Follow us on Twitter: @lilyobriens The CharTered InsTITuTe of LogIsTICs & TransporT 21 MEMBERSHIP PLUS MEMBERSHIP PLUS - YOUR MEMBER BENEFITS PROGRAMME M embership Plus is the benefit programme available to CILT members where you can enjoy up to 50% discount at over 800 restaurants, shops, gyms, golf clubs, days out venues and much more. 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Clare 20% Discount Ros Tapestry, Co. Wexford 20% Discount Saint Canice’s Cathedral & Round Tower, Co. Kilkenny 20% Discount Titanic Trail, Co. Cork 20% Discount ENJOY OVER 800 OFFERS AND DISCOUNTS OF UP TO 50% ACROSS THE COUNTRY To view the full range of discounts, be kept up to date with new offers and enter fantastic competitions, register your Membership Plus card today at: www.membershipplus.ie 22 The CharTered InsTITuTe of LogIsTICs & TransporT BY MICHAEL LYNHAM T he CILT supported Supply Chain Conference and Awards took place on June 20th 2013 at the Crowne Plaza, Northwood, and saw the conference and awards take place together for the first time. The Supply Chain Conference attracted quality speakers from Ireland’s multinational community, featuring contributions from Google, Heineken, Boston Scientific, Accenture, Enterasys, Zetes and Syncreon amongst others. Themes covered on the day included Supply Chain Trends and Context, Building Innovative and Sustainable Supply Chains, in addition to Future Challenges and Issues faced by the industry. Conference speakers and contributors included: • Armin Samali, Senior Executive and Head of Supply Chain in Ireland, Accenture • Justin Hayes, Senior Manager Operations Strategy & Sustainability, Accenture • Darren Lynch, Operations Functional Excellence Practice Lead, Accenture • Gerry Hanrahan, Director of Global Logistics, Enterasys • Shane Clifford, Client Solutions Manager, Zetes • Dr. Martin Christopher, Emeritus Professor of Marketing & Logistics, Cranfield • School of Management, Cranfield University, UK • Dr. Bernd Huber, Head of the Global Sourcing Centre of Excellence, Google • David Natoff, Head of Procure to Pay, Google • Declan Keegan, Logistics Manager, HEINEKEN Ireland • Denis Doyle, Vice President Business Solution, Syncreon • James Treacy, Exports Co-ordinator / Production Planner, Boston Scientific • Jane O’Keeffe, Supply Chain Course Director, National Maritime College of Ireland • Dr. Donna Marshall, Supply Chain Management lecturer, UCD • Emmanuel Dowdall, Divisional Manager, Content, Consumer & Business Services, IDA The event also hosted the second National Supply Chain Awards which saw ten prestigious awards handed out covering all the main areas of Supply Chain execution and management. The awards were made under the auspices of NITL, Patron to the programme and co-ordinators of the judging panel. Dr. Martin Christopher, Emeritus Professor of Marketing & Logistics, Cranfield School of Management, was awarded the Supply Chain Leader Award with the Overall Supply Chain Excellence Award going to Diageo Europe Beer Supply. The awards were judged by a panel of Supply Chain professionals drawn from industry and academia. Judges included: • Dr. Dermot Carey, Chairman SCLG • Karl Doran CMILT, Vice Chairperson of the Eastern Section, CILT • Dr. Ed Sweeney, Director of Learning, NITL, FCILT • Paul Davis, Lecturer in Procurement & Supply Chain Management, DCU • Brian O’Kennedy, CEO, Clearstream Solutions • Michael Laffan, Vice President of Supply Chain, Kerry Group The Irish Times were media partner to the event, which was also supported by Accenture, Syncreon, Zetes, Masterlink, IIPMM, Clearstream, Amárach Research and The Chartered Institute of Logistics & Transport Ireland. For further information, please visit www.supply-chain.ie SUPPLY CHAIN AWARDS 2013 WINNERS Diageo Europe Beer Supply Pamela O’Brien, Administration Manager, NITL presenting the award for Overall Supply Chain Excellence to Pat Treacy, Diageo Europe Beer Supply. The CharTered InsTITuTe of LogIsTICs & TransporT 23 SUPPLY CHAIN AWARDS SUPPLY CHAIN AWARDS & CONFERENCE 2013 SUPPLY CHAIN AWARDS SUPPLY CHAIN AWARDS 2013 WINNERS Dr. Martin Christopher Una O’Hare, Director, Irish Times Training presenting the award for Overall Supply Chain Leader to Dr. Martin Christopher. Carton Brothers Denis Doyle, EMEA Vice President/ Business Development, Syncreon presenting the award for Supply Chain Excellence in the Food & Beverages Industry to Justin Carton, Carton Brothers. The Pallet Network Shane Clifford, client Solutions Manager, Zetes presenting the award for Supply Chain Excellence in distribution & Transport to Eoin Gavin & Seamus McGowan, the Pallet Network. 2 The CharTered InsTITuTe of LogIsTICs & TransporT SUPPLY CHAIN AWARDS SUPPLY CHAIN AWARDS 2013 WINNERS Enterasys Networks Robert Van Vielt, Country Manager, Zetes presenting the award for International Supply Chain to Gerry Hanrahan, Enterasys, Networks. CustomsMatters Una O’Hare, Director, Irish Times Training presenting the award for Supply Chain Technology to Bridget Canavan and Alan Finneran, CustomsMatters. Diageo Europe Beer Supply Denis Doyle, EMEA Vice President/ Business Development, Syncreon presenting the award for Supply Chain People development Award to Pat Treacy, Diageo Europe Beer Supply. The CharTered InsTITuTe of LogIsTICs & TransporT 25 SUPPLY CHAIN AWARDS SUPPLY CHAIN AWARDS 2013 WINNERS Syncreon Pamela O’Brien, Administration Manager, NITL presenting the award for Supply Chain Excellence Award Supplier/Vendor partner to Denis Doyle, Syncreon. Lily O’Briens Darren Lynch, Accenture Ireland Operations Functional Excellence Practise Lead, Accenture presenting the award for Supply Chain Customer Service to Janet Kavanagh CMILT, Lily O’Brien’s Chocolate. Microsoft Ireland Darren Lynch, Accenture Ireland Operations Functional Excellence Practise Lead, Accenture presenting the award for Supply Chain Sustainability to Paul Mahon, Microsoft Ireland. 2 The CharTered InsTITuTe of LogIsTICs & TransporT BY PATRICK DALY CMILT CONSIDER THIS: • Best-in-class warehouse operations are significantly more productive than those with industry average levels of performance according to the Warehouse Education and Research Council’s (WERC) Warehouse Manager’s Guide to Benchmarking. • Up to 60% of a warehouse operative’s time in put away, retrieval, kitting and order picking tasks is spent travelling from one place to another, often empty-handed. • Work processes and procedures that do not undergo constant revision and streamlining are routinely found to have 30%+ of non-value added and totally avoidable tasks such as waiting, talking on the phone or looking for tools and information. These are astonishing figures and the time when they can be overlooked as a reservoir of untapped potential is now most definitely over. When business is expanding and the challenge is to keep up with demand it is understandable that the primary focus might be elsewhere. However, when the economy is tight and competition is fierce it is essential to get everything you can out of everything that you have got. Given that recent WERC surveys of warehouse operations across all sectors indicate that only about 20% warehouse operations are achieving best practice scores against the most significant performance measures, it is clear that there is a major opportunity to be exploited in warehouse operations. Let’s just do a quick and dirty, back-of-the envelope exercise based around the above facts to get a feel for what we are talking about here. Let’s say that you are running a medium to small sized warehouse operation with 20 operatives in a manufacturing or distribution environment. This will mean that you have a wage bill, depending on your location, of somewhere in the region of 1 million to 1.2 million. If you could find a way to move just your most critical processes from average to best-of-class on the scale of operational best practice, minimise travel time overall and eliminate dead-leg travel, while at the same time streamlining processes and eliminating non value added and avoidable tasks and you had a way to measure the results effectively, what do you think your level of overall performance improvement might be? It has been demonstrated that the simple act of moving from an unmeasured to a measured work environment in warehouse operations can yield a 10% productivity improvement. Add to that, the additional improvements mentioned above and I should think that an improvement in labour productivity of 20% to 25% would by no means be an unreasonable aspiration, particularly if you are starting from an unmeasured situation. Aggregated over three years this level of improvement could lead to savings that come to a total of a between 600k and 900k. This is an extraordinary amount of money to be leaving on the floor in a small operation and something that cannot be ignored. Bear in mind also that this is just the labour saving. Other business benefits will also accrue by making these changes including improvements in accuracy, visibility, performance and quality. Clearly, undertaking these types of operational improvements and moving to a measured work environment will have a dramatic impact on the bottom line, and very importantly also the top line of business performance. What would it take to achieve this level of improvement – in other words, what would you have to do to get from where you are to where you want to be? Inevitably it would take some up-front investment. In this case we are primarily talking about investment of time and commitment, some money - not too much relative to the benefits - and plenty of focused effort and determination sustained over a period of 8 to 12 weeks to bed in the changes. Here’s the high level roadmap; • First step is to establish the start point. That is to say, where you are now on the scale of best practice and where you want to get to. This enables you to determine the potential for top line and bottom line business benefits that you could achieve in moving up the scale so that you can judge whether it is worth the time and effort to pursue. • Second step is to decide exactly what needs to be done and in what order – in other words, prioritization. Then you need to build a plan, assign the required resources and set up a small team with a mandate and sponsorship to deliver the required results in a specified period of time. • Third step is to put the plan into action and manage the change and improvement through to completion. In a mid sized operation this will generally take 8 to 12 weeks minimum provided there is strong support and sponsorship from management. • Final step is to monitor the key performance measures and metrics and provide on-going support to the operation over a sustained period to embed the improvements on a permanent basis. For this you need a simple and effective productivity measurement system to capture the data and produce the metrics. Therefore, if you have the requisite commitment AND you want get yourself started on the road to operational best practice, cost reduction and performance improvement now is the ideal time to take action as the economy shows clear signs of bottoming out. This will go a long way putting your warehouse operations in the top league of performance for competitiveness and productivity in preparation for recovery. Patrick Daly is Managing Director of Alba Consulting a specialised logistics and supply chain consultancy based in Dublin that has helped many Fortune 500 companies around the world improve performance and achieve excellence in warehousing and logistics operations around the world. Tel: 01 415 1252 Mobile: 086 811 6030 Email: pdaly@albalogistics.com Website: www.albalogistics.com The CharTered InsTITuTe of LogIsTICs & TransporT 27 IMPROVING COMPETITIVENESS IMPROVING COMPETITIVENESS THROUGH YOUR WAREHOUSE BRAY AIR SHOW BRAY AIR SHOW BY KEVIN BYRNE FCILT T he conditions were perfect for the Bray Air Spectacular 2013, with a light easterly breeze, a high cloudbase which eventually gave way to clear blue skies with blazing sunshine and temperatures which peaked at 25 degrees Centigrade by mid-afternoon. The scene was set for the only proper air display in the Republic and certainly the largest free outdoor event in the country. Because the show is not set at an actual airport, there can be no static display and therefore it has always been geared towards the average citizen as opposed to the hardened aviation enthusiast. Airliners have always been popular on account of their size and the Aer Lingus A320 in retro colours was a great attraction at low level, although its noise levels were such that it was barely audible. It was quickly followed by a shiny new ATR 72-500 of Aer Arann but sporting Aer Lingus Regional markings, a commercial arrangement which has rejunevated the fortunes of the smaller company in recent times. A firm favourite of the Bray crowd, judging by their enthusistic and spontaneous applause, is the Black Knights parachute team of the Irish Defence Forces, Comdt Con Walsh of No 1 Operations Wing displayed the CASA CN235 maritime patrol aircraft in a very fluid and agile manner. 28 The CharTered InsTITuTe of LogIsTICs & TransporT the members of which bravely jumped from an Air Corps AW139 helicopter both at the start and the finale of the show. Perhaps their popularity stems from the fact that all the jumpers land without falling on a small, cleared patch of the beach, form up at attention and salute the crowd with military precision. Another helicopter worthy of mention is the S-61 of the Irish Coast Guard, which is due for imminent replacement by the ultra-modern S-92. Having flown across the bay from Dublin Airport, the winchman, known affectionately as the “dope on the rope”, amused the younger members of the audience by hanging upside down and then getting his feet wet as the Sikorsky flew along behind the RNLI lifeboat. This was almost certainly the final public display from the venerable S-61 in Ireland as it is leaves service shortly. Some participants are gluttons for punishment and one such aviator was Gerry Humpreys, a former RAF Harrier pilot, now known as the flying farmer. Having teamed up with the flying dentist, Eddie Goggins, the pair have formed the only civilian aerobatic team in Ireland, known as the RV-7 Formation Team. This was their first public outing and what a debut! They put their aircraft through a full spectrum of aerobatic manoeuvres, aided by trailing smoke against a clear blue sky. As if that were not enough, Gerry returned later in a further two aircraft types, a rare Bellanca Supercruiser and the diminutive Bede BD-5, a jet version of which was used by James Bond in the film Octopussy many years ago. Being reasonably close residents from just up the M50, the Air Corps did not disappoint, and brought along the aforementioned AW139, an EC135 helicopter which displayed in scintillating fashion, a CASA CN235 which was equally as entertaining, especially when it aproached ninety degrees angle of bank in the turns. While a single PC-9 came from the Training Wing and illustrated the aircraft’s excellent handling potential, a surprise was surely the return of three Cessna 172s flying in perfect formation, albeit at very modest speed. By now the Cessnas have given stalwart service since 1972 and no replacements have been mooted for the foreseeable future, thereby giving excellent value for money to the taxpayer. The Coastguard’s long-serving S-61 search and rescue helicopter from Dublin Airport was making its final display before being replaced in service by the modern S-92. Photo by Paul Hurley In truth there were lots of aerobatic acts that filled the skies over the seafront, including the TRIG aerobatic team, the RV8TORS, the SWIP team, the Slingsby T67, Dave Bruton’s Sbach 342 but special mention must be made of the Blades, who had appeared at Bray before. Comprising four former RAF Red Arrows pilots, they use the Extra 300L piston engined aircraft in a fluid performance that has to be seen and heard to be appreciated. It is safe to say that they fly precision close formation aerobatic manoeuvres to the highest level within a dynamic and innovative sequence. Once their display had commenced the crowd line became punctuated with loud gasps followed by spontaneous applause as the cross-overs and formations breaks were completed with elan. Without doubt, they were the most popular item on this year’s bill. designation of confined airspace and the very good weather. The record crowd of 85,000 did put pressure on the local DART train services, on the adjacent motorways, the pubs and hotels not to mention the ice cream sellers who almost ran out of stock. None the less the family atmosphere was palpable and good humour was apparent everywhere, assisted by the seafront funfair, which was in full flow throughout the day despite the aeronautical attractions overhead. The final good news is that the next Bray Air Spectacular is planned for Sunday 20 July 2014. BRAY AIR SHOW The majority of those attending any kind of air display, it has been argued, expect to see and hear a loud military jet of some kind and in this respect Bray did not disappoint. The BAC Strikemaster is a light strike aircraft based on the Jet Provost trainer and is powerd by a Rolls Royce Viper turbojet, a remarkable noisy powerplant for its size. A highly exciting routine was flown, involving looping, rolling and cloverleaf manoeuvres, enhanced by copious amounts of white smoke from the tailpipe which served to belie the fact that this jet is of more modest proportions in reality than it may appear at first! The day was hugely successful, due in no small measure to expert planning regarding emergencies, a well rehearsed traffic and parking plan agreed between the Gardai and local authorities, the The Aer Lingus A320 in a retro colour scheme was by far the largest aircraft on display at Bray but it was also one of the most environmentally friendly. Photo by Paul Hurley. The Air Corps’ Cessna 172s have been in service for a very long time, in fact since their delivery in 1972! Formation aerobatic teams were the order of the day, including the TRIG team from the UK in their Pitts Specials. Photo by Paul Hurley Another quiet airliner on show was the ATR 72-600 of Aer Arann but painted in Aer Lingus Regional colours for whom the former provides services to the UK and elsewhere. Photo by Paul Hurley. The CharTered InsTITuTe of LogIsTICs & TransporT 29 THE SEMI-TRAILER IS THE SEMI-TRAILER A THREATENED SPECIES BY HOWARD KNOTT CMILT I n previous contributions to “LinkLine” I have focussed on issues that are either current or those, such as the European Sulphur Directive, that are likely to have a significant on freight transport in the near term. In this issue I would like to contribute to the debate as to whether the future of international containerised transport lies with the Ro-Ro trailer or the Lo-lo container.At the outset we should say that there are no absolutes in this debate; there will not be a day in which one or other freight container will cease to operate, and any change towards a dominant unit type will be gradual. The debate is, however, important in the context of infrastructure development on land, Roads, Railways, Inland Ports/Distribution Centres and Seaports, and the types and sizes of vessels both on sea routes and inland waterways.For me this discussion really came into focus when I was standing on the quayside in Warrenpoint Port a number of months ago and the discussion turned to the commencement of a three times a fortnight shuttle container ship service from that Port to Bristol. The vessel being used with a Lo-Lo container capacity of just under 300 TEU (twenty foot equivalent units) was not the surprise, such vessels are ideal for this combination of somewhat tide restricted ports, but the real surprise was that the vessel was chartered and the operation run by Dungannon, Co. Tyrone, based, Westland Horticulture Garden Health. This company is a major supplier of peat based products to Garden Centres throughout Great Britain. The deliveries of containers from Dungannon to Warrenpoint and from Bristol to final customer’s premises is done by N.I. based, Surefreight and this carrier also has a role in securing return cargoes to Ireland for the containers. It is a testimony to the success of this operation and Westland’s commitment to it that the Company recently took delivery of 250 containers and is phasing out the use of leased units. Why did the company make the switch from the simplicity of putting a load onto a trailer, which then drives to the Ferry port, onto a ferry, off a few hours later and on the road to the customer to the, apparently more complex business of stuffing a container, taking it to a port, taking it off a trailer onto the quay and waiting there for a ship onto which it is loaded for the slow journey to the destination port, where a similar routine is repeated? Well, the basic reason is cost. Lo-Lo(lift on-lift off) vessels are cheap to charter, the smaller 30 The CharTered InsTITuTe of LogIsTICs & TransporT ones are very flexible being able to load containers for one charterer and bulk products for the next, the global supply of larger Lo-Lo vessels is far in excess of possible demand and likely to remain so for many years to come. By contrast, the world inventory of Ro-Ro (Roll on-Roll off) vessels is rapidly aging and companies such as Seatruck and CLdN who have placed new tonnage into service over the past few years are very much the exception. While the Lo-Lo service Operator normally supplies the shipper of the cargo with the container the Ro-Ro Operator no longer does so. This would seem to suggest that Lo-Lo rates should be higher, but the counter argument is that the Line concerned can normally supply a container with the dimensions and other characteristics that more closely matches the Shipper’s needs than the standard 13.5 metre trailer. While Trailers have got lighter and longer so as to accommodate more cargo, the advance in the lo-lo equipment fleet has been more significant and there is really no unit load that can be carried on a normal trailer that cannot be loaded into a container, while at the “heavy” end of the market 20ft and similar size containers and tanks are much more effective. Fuel costs can be a big issue also. For a normal freight ferry operating on the Irish Sea it’s trailer capacity would be about 120 units, while a normal and similar, overall, size container vessel, would have three or more times that capacity. The fuel cost per unit carried is, thus, far less as are, of course, the crew and vessel maintenance costs. The ro-ro vessels do not have to provide their own trailers, these are normally owned by freight forwarders or International Hauliers and the trailer cost comes back to the shipper of the goods. In some cases the shipper of the goods cuts out this part of the supply chain by using his own trailers, but, except in the case where much specialised equipment is required, this is adding costs for an activity that is not part of his core business. We mentioned earlier that Seatruck and CLdN were recent builders of new vessels but, in both cases the vessels concerned do not have passenger certificates for more than twelve people so that the vast majority of trailers carried on board are “unaccompanied”, the haulier brings the trailer to the export port and unhitches, a Port tugmaster tractor loads the trailer aboard the vessel and the same procedure is undergone at the destination port. Thus, in fact, there is very little handling difference between the unaccompanied trailer system and the lo-lo container. The CLdN vessels, operating between Dublin and the Benelux are, in fact, Con-Ro vessels and they accommodate a mix of lo-lo containers and unaccompanied trailers. In recent CLdN reports there have been indications that it is the container element of the business that is the stronger. The Marseilles based deep Sea Container Line Operator, CMA-CGM, number three in the world, has, within the last few weeks added another vessel to its services linking the home port of Le Havre to Dublin, Cork, Belfast and other Irish Sea ports and this, combined, with the Company’s ownership of Mac Andrew Lines, opens up the possibility of major integration of short sea and deep sea container services, driving down costs and improving services. The same company has become involved in a network of rail freight services into Continental Europe from Rotterdam. A world leader ferry company getting more deeply into the containers by rail business is Stena Line. What does all of this mean for Port and port connection infrastructure providers, for whom a thirty year view is ‘short-term’ and fifty years a more reasonable economic model on which to base decisions? Some requirements are obvious, quays need to be longer with deeper water alongside and container cranes taller with longer reach but others may not be so obvious, particularly the need for rail and, where possible, barge connections that can take containers to and from the otherwise very congested quays very quickly. Are more Ro-Ro berths needed? I am not sure. D eliveries and collections are essential to business, but can be some of the most dangerous activities you have to deal with. Risks may include manual handling injuries when moving the goods, being struck by a moving vehicle or simply falling off the vehicle. The drivers of these vehicles are often the victims. Many delivery and collection accidents could be prevented if there was better co-operation between the parties involved. JOINT RESPONSIBILITY Individuals (mostly drivers) are often unfairly blamed for accidents which could have been prevented if duty holders had co-operated with one another. The three key duty holders are: • the supplier sending the goods • the carrier - the haulier or other company carrying the goods • the recipient - the person receiving the goods JOINT RESPONSIBILITY FOR SAFE DELIVERIES In order to ensure deliveries & collections are carried out safely there must be effective co-operation between the main duty holders. Risks must be assessed and safe systems of work implemented. SOME KEY RISKS: • people falling from height off vehicles • vehicle collisions • people hit or run over by vehicles • people struck by falling objects SAFE SYSTEM OF WORK: • safe vehicles & equipment; suitable for job & in good repair competent staff; trained drivers • provision & safe use of appropriate PPE for the activities involved • avoid/manage work at height activities • keep vehicles & people apart where practicable • plan for safe loading/securing • plan for deliveries/collections. A Safe delivery plan! SAFE DELIVERY PLAN: The general principles that suppliers, carriers and recipients should follow are: • send out safety information on deliveries and collections to other parties in the delivery chain • request safety information on deliveries and collections from other parties in the delivery chain • include information on how the vehicle was loaded if this is needed for safe unloading. • plan the best times for deliveries to arrive • know the route, anticipate problems • plan to have the right people and equipment ready to handle the delivery when it arrives • plan how to keep the driver & all others who may be affected by the activity safe WHAT THE LAW REQUIRES Road Traffic legislation requires that vehicles are maintained in a roadworthy condition and safe to use when on the public road. So whether you own, lease, hire or borrow a vehicle used for deliveries or collections, you must make sure that it is safe for use and fit for the purpose for which it is intended Safety, Health and Welfare at Work Act 2005 (No. 10 of 2005) requires: • Employers manage and conduct their work activities (including; Loading/Securing/Deliveries/ Unloading/ Collections) in such a manner as to ensure the safety, health and welfare of employees. • That a risk assessment is carried out by the employer or person in control of the place of work. • Transport hazards that exist in the workplace must be assessed as part of this risk assessment and appropriate steps taken to eliminate or reduce any risks found. Note: Vehicles are defined as a Place of Work under the Act. Hence, under Section 8 of the Act, the employer must ensure so far as reasonably practicable that: • Vehicles are designed, provided and maintained in a condition that is safe and without risk to health • Safe means of access and egress to and from the vehicle is designed, provided and maintained • Systems of work are planned, organised, performed, maintained and revised as appropriate, for example safe systems of work must be available for vehicle loading, deliveries and unloading activities • Information, instruction, training and supervision is provided for all employees who operate work related vehicles • Employers need to familiarise themselves with the risks that their employees face and create when using vehicles for work or when working in the vicinity of moving vehicles. This applies equally to the workplace and to the public road. • The Health & Safety Authority urges businesses to apply the following top ten tips to managing vehicle risks in the workplace. TOP 10 WORKPLACE TRANSPORT SAFETY TIPS 1. Control entry to your workplace. 2. Keep pedestrians & vehicles apart. 3. Eliminate vehicle reversing, where possible. 4. Provide clearly marked pedestrian walkways. 5. Mark & signpost vehicle only areas. 6. Ensure all work areas are well lit. 7. Keep traffic routes free of obstructions/ mark permanent obstructions. 8. Provide impact protection for vulnerable parts of the workplace such as lamp posts & columns. 9. Provide & wear high visibility personal protective equipment. 10. Accompany visitors. More information on managing work related vehicle risks can be found at: http://www.hsa.ie/eng/Vehicles_at_Work www.hse.gov.uk/workplacetransport The author hereby acknowledges content sourced from www.hse.gov.uk in compilation this article. The CharTered InsTITuTe of LogIsTICs & TransporT 31 SAFE DELIVERIES SAFE DELIVERIES BY H.S.A INTERVIEWS WHAT INTERVIEWERS WANT BY BRIAN MCIVOR THE INTERVIEWER’S NIGHTMARE Hilary couldn’t remember an interviewee as difficult as this one. First of all their CV was a mess. They didn’t seem to understand any of the questions – the answers were rambling and unfocussed and he couldn’t get any sense out of the interviewee or get them to shut up; next thing he was in front of another interviewee who just stared at him and could only answer in monosyllables. This seemed to go on forever. He found it hard to focus. “I am not going to get what I want today – they are all the same he thought.” As time went on and one bad interview faded into another – and there was nobody to get excited about. That image faded to be replaced by this perfectly groomed candidate who was giving all the perfect answers and who suddenly declared: “I shall be your new MD as well, within the year.” He woke up sweating and decided that he really didn’t like interviews. Most interviewers dread interviewing, many do it against their will and under duress. It seems that if an interviewee does not lie or exaggerate then they have nothing to say and you find yourself saying: ”it’s so hard to get good staff you know – even in a recession” IT’S DIFFICULT BEING AN INTERVIEWER As an interviewee you just have to worry about the one interview and whether it will be a good one or not. Here are some of the challenges an interviewer has to deal with. 1. Being fair: Equality legislation since 1998 requires that interviewees be treated equally – so there can be no questions about race, gender, sexual orientation, national origin etc. What the interviewer is looking for has to be decided before the interview and particular job requirement have to be justifiable so that particular people won’t be inadvertently excluded. For example: if at least five years experience is required the employer has to be able to justify why the figure is set at five years and not four! 2.Being consistent: It is very dangerous for an interviewer to come to an interview without being properly prepared and hoping they will get into the swing of things after one or two. The danger is that they will miss the right candidate – which could be you! If too many interviews are squeezed into the one the chances are that interviewees later in the day will miss out. 3. Staying fresh: Because the interview questions are being repeated over and over interviewers frequently lose track and are not sure if they have asked particular questions of the current candidate. 32 The CharTered InsTITuTe of LogIsTICs & TransporT . Dealing with underprepared candidates: It’s difficult talking to people who don’t know what the job is, what is required and what they have to offer. This happens a lot where a job is advertised and there are large numbers of replies. 5. Dealing with over-prepared candidates: Cutting through the generic rubbish spouted by candidates who have had sessions with an interview coach which works wonders for their self-esteem but no their employability. . Recalling information after interviews: Research shows that interviewer are poor at recalling details of interviews. They seem to have a better memory for the poor interviews than they good ones. 7. Interviewers are subject to bias (despite their best efforts): This can be affected by impressions from the CV or the job application (more usually unfavourable – a bad spelling mistake may be enough to do it!). There is a common tendency among interviewers to make a judgment prematurely at an early stage of the interview and then to ask quick questions that will confirm their impressions. HOW YOU CAN HELP THE INTERVIEWER Before the interview: • Research the job and the company thoroughly. Don’t stop at their website - do a full Google search, use LinkedIn to see if you know anybody connected to the company. A trawl through Facebook and Twitter might uncover reasons what the company might not be the best to work for and why staff turnover is so high. Some employers do Facebook and Twitter searches on potential staff members - shouldn’t you? • Know the company’s products and their standing in the marketplace that will make it easier for the interviewer to engage with you since then you will both speak the same language. • Understand the job description in depth – what is the essence of it and how you match the criteria. The interviewer wants to know if you are a good fit. How easy is it to find the skills in the job description in your CV? The lazy job-seeker sends in a generic CV and asks “do you have any jobs?” – that turns the employer into a job agency. Faced with this type of CV the employer rejects the writer as being lazy and not worth the bother. The effective job-seeker tailors the CV to the job description and makes the interviewer’s job easy. • It’s not enough these days to be qualified and experienced. Interviewers expect you to be able to show how your particular mix of experience, skills and qualifications are relevant to their business. The skills that are used in logistics transfer into a lot of other areas apart from the immediately obvious. The ability to plan and organise things properly are valued in almost every business. During the Interview: • Establish positive rapport with the interviewer from the start - use good eye contact. • Work on establishing a positive friendly rapport as quickly as possible in the interview - this will help to get the interview into a more conversational mode more quickly - and this will reduce the likelihood of surprise questions. • Let them finish their questions - don’t try to second guess them. You’ll find the extra few seconds you get useful in helping you to deal with your nerves and getting your best answer on the table. • Aim for short, concise answers from the start. The interviewer is usually under time pressure. • Most interviewee nerves comes from poor preparation. Preparing in-depth will not eliminate nerves complete but will make them more manageable on the day. • Try and think like an interviewer before the interview. Ask yourself: If you were the boss what would you be looking for? Finally, remember a job interview is not only a search to find the best candidate – it’s also about finding people who will engage and fit into the company’s culture and their way of doing things. Understanding both sides of the interviewing process is a very good start to any career. Brian McIvor is joint author(with Mary Hanson) of the INTERVIEWER’s BOOK published by the Orpen Press. He is an experienced, trainer, executive coach and author and frequently broadcasts on career matters on radio and television.
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