Fleet Management News & Business Info | Commercial Carrier Journal
Issue link: http://read.dmtmag.com/i/388078
COMMERCIAL CARRIER JOURNAL | OCTOBER 2014 31 about by the major OEMs' efforts to add technology to their trucks and enhance vertical integration throughout their product lines. The OEM argument says that as com- plexity and technology on trucks increase, it is vital that their components are spec'd exclusively to ensure compatibility and maximum efficiency. But if you're a Cum- mins, Meritor, Bendix or Wabco, it's only natural that you'd like to offset any losses to the major truck makers due to vertical integration by supplying quality compo- nents to companies such as Rainier. Can this concept work in the U.S. Class 8 market? My sense is that it could find a niche in some vocational, pickup-and-de- livery and regional applications. But as for line-haul and sleeper/reefer fleets, the need for driver retention and the growing acceptance of telematics – and, yes, technology in general – may limit its attractiveness. But who's to say? If the low-tech truck concept is a hit, the major OEMs may counter with their own stripped-down and affordable trucks for certain applications. That's the way the free market works. L ast month we saw an interesting ripple enter the North American truck market. A new medium-duty truck builder called Rainier Truck & Chassis Co. appeared on the scene. It was founded by Gary Jones to fill a niche created by fleet owners who don't need technology-laden trucks. Jones said that on many of today's new trucks, if the cab's dome light goes out, a fault code is generated, and the driver gets a message telling him the dome light is out and needs to be replaced. On Rainier cabovers, Jones said, if the dome light goes out, the driver can look up, see the dome light is out and tell somebody it needs to be replaced. While Jones is exaggerating – but only slightly – he's got a point that resonates with many: Having computer-generated messages for endless items on a truck adds multiple layers of complexity and cost to the vehicle. Jones is offering a new, fully emissions-com- pliant medium-duty truck that is simple, straightforward and tough, and he's banking there are enough medium-sized fleets that will find this concept appealing. This scenario was predicted several years ago by Frost & Sullivan analyst Sandeep Kar at CCJ's Commercial Vehicle Outlook Conference. Kar argued that as the complexity and price of new vehicles continued to rise, the free market would rush to exploit niches created by fleets that don't want or need rolling computer systems. Taking it further, Kar tied the desire for lower-cost low-tech trucks to today's globalization wave. The North American and European truck markets are dominated by OEMs offering increasingly sophisticated vehicles, but manu- facturers elsewhere in the world are building tough, durable low-tech trucks designed to work – and survive – in places like Russia, India and Africa. They'd love to sell trucks – or at least various vehicle components and systems – to American manufacturers and builders. Jones is one of the first to try this concept in the United States, and it's likely others will follow. In some ways, this is a natural free-market evolution brought PRODUCT REVIEWS, OEM & SUPPLIER NEWS, AND EQUIPMENT MANAGEMENT TRENDS BY JACK ROBERTS JACK ROBERTS is Executive Editor of Commercial Carrier Journal. E-mail jroberts@ccjmagazine.com or call (205) 248-1358. TOO MUCH TECH?: Having comput- er-generated messages for endless items adds complexity and cost. NEW CUSTOMERS: Suppliers want to offset losses to major truck makers due to vertical integration. FREE MARKET: If the low-tech concept is a hit, major OEMs may offer their own stripped-down trucks. Some fleets may not need all of today's bells and whistles The return of the low-tech truck