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NPN Magazine May/June 2013

National Petroleum News (NPN) has been the independent voice of the petroleum industry since 1909 as the opposition to Rockefeller’s Standard Oil. So, motor fuels marketing and retail is not just a sideline for us, it’s our core competency.

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"We had a very manual system and most of the expertise of that system was driven by what was in the human brain," said Kerry Oliver, president of CarterEnergy, a division of World Fuel Services, Inc. in Overland Park, Kan., and senior vice president, Land North America, World Fuel Services, Inc. "We managed a fleet of trucks using an old manual system called a 'T-Board' where the dispatchers wrote out a piece of paper and put it in the slot and then decided which piece of paper went in front of another piece of paper to determine a shift of work for a driver. "This was pre-price volatility. We have all been talking about price volatility for the past seven or eight years. At first, price volatility felt like an anomaly, but it's been here to stay and it's become even worse. You simply can't shuffle the deck of 'T-cards' on a fleet of trucks fast enough to know what you're doing at any given time and whether you should pull product or not pull product at any given time and what to do with all of those pieces of paper if you have to not pull, right now, because the next shift is already booked. It was costing us time and energy, and it was not allowing us to grow." As Bevers noted, in addition to more traditional efficiency goals like better managing headcount, a primary driver is shortening the payment cycle relative to billing the retail customer. "I would say that most people have certainly made progress," he said. "It used to be something like seven days, which is pretty abysmal when you're going to get your account drafted ACH by a supplier. Pressure with the prices going up so high and credit being squeezed have caused most fuel marketers to really work hard to improve their processes." areas where it excels or comes up short compared to competing solutions. In addition, those needs are typically spread over both the operational and the backoffice accounting areas with many solutions being heavily focused on either area. "Some people just go and write a check for a piece of software because they saw it demoed somewhere and then they try to change the company to work the way the software works, and I've always felt that's a huge mistake," Oliver said. "You have to understand your own business dynamics, and the way we run our business is probably different in many ways compared to the First Things First Approaching a technology transition starts in house, with the goal of finding the best software to serve a company's specific needs. No two solutions are identical, and each solution will have www.npnweb.com  n  NPN Magazine May/June 2013 13

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