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VCHD Cargo has introduced a new tracking and analytics tool.

Czech transport company VCHD Cargo launched a new IT tool called Smart Trace Control. The tailor-made application alerts dispatchers about the emerging delays of vehicles and thus increases the transparency of the transport process for customers. It also allows the retrospective evaluation of all provided regular transports. Investments in information technologies including this new tool amounted to more than EUR 80 thousand this year alone.

VCHD Cargo has daily about 150 trucks across all Europe, mainly on regular long-distance lines. Planning the optimal route, tracking throughout the transport and the ability to predict the quality of delivery is one of the company’s top priorities. Investments in IT development are therefore a strategic objective for VCHD Cargo. Smart Trace Control was developed in cooperation with IT specialists from Unis computers. An application that connects customer order data with the GPS in the vehicle allows VCHD Cargo to proactively address non-standard situations in transport before their potential consequences are reflected on customer. It is also a unique quality management system for transport services.

“The true boosting force behind this project were our dispatchers. After the pilot start, they recognized the tool as a real helper that saves time and makes their job easier,” says Pavel Sirotek, Director of VCHD Cargo, adding, “when developing Smart Trace Control we received valuable advice from our colleagues from dispatching regarding changes and improvements. The result is a unique system for tracking and analysing transports.

Fast feedback for customers

Today, thanks to Smart Trace Control, VCHD Cargo dispatchers have an interface on the monitor, which is strikingly similar to airport information boards – it records every regular transport line, its status and information are updated in cycles. Synthetic information from transport and tracing system, in which the planned time of arrival to designated place is compared with current geographical location of a particular vehicle enables easier communication of dispatchers with both the driver and the customer. It allows them to react in advance to any possible delays. For example, with serious traffic jam on the route, the dispatcher evaluates the situation as not manageable in given time, puts an entry in the application and informs the customer. Customer then has the opportunity to react – for example by prolonging the opening hours to enable the receival of shipments, he can also inform his end customers about the change in delivery date or possibly about the alternative solution in the production.

Transparency for dispatchers

In the context of statistical processing, various non-standard situations are categorised using a codebook. A registered obstacle becomes an organic part of the entire route and its subsequent stops. All dispatchers have this obstacle displayed in the system without the need for manual transmission of information. A comprehensive overview of problems, notes and messages is then provided by an auxiliary report, which allows the dispatcher entering the service to get very quickly acquainted with the situation that occurred in the previous shift.

Regular reporting and tool for continuous improvement

Smart trace Control is also a unique tool for measuring the quality of delivery. By categorizing individual non-standard situations, it is possible to create statistics of provided service quality not only for internal needs. The system can report the success rate of regular lines for individual customer and evaluate each service level that was provided. “Within this statistic, a detailed breakdown of the problems encountered is also available. Management can then respond to reoccurring situations or, on the basis of these documents proactively resolve them with customer,” explains Pavel Sirotek. He adds, that delays are often caused by late loading at the customer´s end or incorrect transport documents. “This is a unique tool for measuring the quality of our services and the whole cooperation, that we present to our customers transparently,” concludes Pavel Sirotek.

Smart Trace Control was put into full operation in early July. Investment in this tool was part of development of the new IT system tailored to the needs of VCHD Cargo. Overall costs are quantified by the company to more than EUR 160 thousand.

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VCHD Cargo investing in new fleet

The Czech freight carrier VCHD Cargo is expanding its fleet. In the first half of this year, the company invested more than CZK 34 million in new towing and trailer vehicles, all of which meet the highest emission standard Euro 6. The company plans to acquire another 18 vehicles before the end of this year with an investment of more than CZK 25 million.

The VCHD Cargo fleet currently includes over 300 vehicles, trailers, semi-trailers and swap bodies with an average age of 2.5 years. New equipment is purchased throughout the year based on strict internal criteria. “We are aware of the effect of road transport on the environment and increasing transport efficiency while reducing CO2emissions is one of our key priorities. Emission standards Euro 5 and 6, are, therefore, of key importance for us,” says VCHD Cargo CEO Pavel Sirotek, adding: “We also keep in mind that being a driver is a highly demanding job, which is why we make sure that our vehicles include both active and passive elements of driving safety.”

For example, the new MAN, Scania and Volvo trucks purchased by VCHD Cargo this year come with brake assistance, warning signal system that helps drivers stay in their lane, adaptive cruise control, an emergency brake system as well as other safety features. “Furthermore, we also pay close attention to the comfort afforded to our drivers – simple intuitive control, ergonomic interior and enough space for two drivers to share the cabin,” explains Pavel Sirotek. Another important factor in the choice of vehicles purchased by VCHD Cargo is low average fuel consumption.

While VCHD Cargo buys vehicles of several brands, each brand must offer a dense network of service centres throughout Europe as well as reasonable service charges. “Our vehicles travel to all corners of Europe and we must know that there is a non-stop, high-quality service that we can rely on in the event of an emergency,” says Pavel Sirotek.

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Last year, VCHD Cargo strengthened and invested in digitization

VCHD Cargo, the Czech transport company, announced its results for 2018. Last year, VCHD Cargo achieved a turnover of more than 670 million crowns. The company has increased its equity investment to over 70 percent and invested in equipment and information technology.

In 2018, the largest export share of VCHD Cargo was in regular line export shipments to European destinations, of which about 80 percent were ADR dangerous goods and 20 percent food in temperature-controlled vehicles.

“In 2018, there were two important factors that influenced our economic results. The first was the fixed rate of the Czech crown to the euro and the second were the deepening protection measures for driver’s wages in some European countries.” says Ing. Pavel Sirotek, director of VCHD Cargo a.s., adds, “nevertheless, we managed to continue to grow and keep investing in the company.”

Last year, VCHD Cargo increased its share of own resources in the company’s capital to 72 percent. The investments then went into the renewal of the fleet and reconstruction of the branches. “The average age of our vehicles is two and a half year and only last year, 34 trucks and trailers were added to our fleet,” says Pavel Sirotek. Reconstruction of exterior areas took place at a branch in Havlíčkův Brod. Funds also went into the ongoing digitization of the company and IT.

VCHD Cargo also focuses on the quality of its services in the long term. Drivers are trained regularly, and they have smart technologies at their disposal for even better communication with the dispatching, which is available to drivers and customers 24 hours a day, 6 days a week.

“More than 80 percent of our employees are drivers and we are constantly trying to create better conditions for them so they can enjoy working at VCHD Cargo,” says Pavel Sirotek and draws attention to the labour market situation: “Last year we felt the lack of drivers in the labour market, which has been discussed for several years. It is affected by macroeconomic indicators such as record unemployment and demographic factors – the generation of professional drivers is aging and for the young generation is the driver’s occupation not that attractive. We are trying to change that.” That is why VCHD Cargo has launched a new recruiting project, “Steer Your way” and is continuing its well-thought-out personnel and payroll policy.

For several years VCHD Cargo has been regularly appearing in the rankings of stable Czech companies. Last year, VCHD Cargo won the AAA Excellent CZECH Stability Award and at the beginning of this year it was ranked among the top five companies in the Central Bohemian Region in the Diamonds of the Czech Business category.

VCHD Cargo does not forget about beneficial projects. For six years already is VCHD Cargo supporting  the Union of Physically Disabled in Havlíčkův Brod and also floorball in Golčův Jeník with young footballers from TJ Unhošť.