THE DEFINITIVE TRUCKING SITE



Past Issues

September 2008

Brothers in arms. 
Four ownerdrivers, from left, MS Msini, BA Getyesi (rear centre) MJ Ramakhothoane, (front centre) and MD Mohopele have started their second five year contracts with Cargo Carriers. The drivers will again be responsible for specific deliveries of explosives under a new R10-million contract awarded by BME to Cargo Carriers. 

 

 

Owner-driver schemes have not always been well received in South Africa. Since the early 1990s, mismanagement, inexperience coupled to blatant fraud, unsustainable contracts and the like have left dozens of bankrupt “entrepreneurs” on the side of the road with no trucks, no income and in some cases, no homes. However, there are some beacons of light writes Andrew Parker. 


The key to the future. Bennie Barnard GM Chemical & Fuel Division of Cargo Carriers hands over the keys to owner-driver Daniel Mohopele’s new Mercedes-Benz Actros. 

Given the chequered history of owner-driver schemes in South Africa, it is easy to take a cynical approach to what was once touted as the “emancipation bell for enslaved truck drivers bowing under the tyrannical whip of greedy capitalists”. However, it is also important to see there are real and genuine beacons of light out there. 

Glowing brighter than a Free State truck stop at midnight one only has to look at, among others, South African Breweries (SAB), Amalgamated Beverage Industries (ABI), Barloworld Logistics, and Afgri Logistics to realise that with the right mindset and a professional approach, owner driver programmes can – and do – work. 

When implemented and managed properly, an owner-driver programme epitomises real empowerment, not the kind of multi-billion Rand BEE deals one reads about in the newspaper which seem to benefit only a chosen few. 

Successful owner-drivers are putting food on the table, buying cars and homes, sending their children to school and all the while contributing to the economic growth of their communities and the country. 

Transport industry doyen, Cargo Carriers, with almost half a century of providing logistics and transport solutions to a diverse selection of clientele, also introduced an owner-driver programme some years ago and from all accounts, it is going extremely well.

In mid-August this year, the company handed over the keys to four sparkling new Mercedes-Benz Actros 2650s to four owner-drivers responsible for the business of hauling some of the products for which Cargo Carriers was contracted by JSE Securities Exchange-listed Omnia Group’s subsidiary, Bulk Mining Explosives (BME). 
 

Cargo Carriers'
owner driver
scheme is real empowerment
in that it allows
the drivers an
opportunity to
have hands-on
participation in
the growth of the
economy 

Kelvin Keenin 
Logistics director of BME

 

The contract will see the drivers transporting explosives from Sasolburg to the Rossing Mines in Namibia. A five day, 7 000 km round trip which will see the trucks clocking up around 250 000 kilometres a year. 

This is the second such indenture the four drivers have signed with BME and Cargo Carriers. Joseph Ramokhotoane, Solomon Mnisi, Daniel Mohopelo and Abraham Getyesi have a successful history with Cargo Carriers and recently came to the end of their first five year contract with the two companies. When offered the opportunity of applying for a second contract, they did not hesitate. 

It all began back 2003 with an internal advert at the Sasolburg branch requesting potential owner-driver candidates to apply for vacancies. Along with other applicants, Ramokhotoane, Mnisi, Mohopelo and Getyesi, were evaluated in terms of their background, experience, disciplinary, accident and criminal records as well as creditworthiness. They also underwent a battery of tests to establish their job qualities and suitability as entrepreneurs.

These out-of-the-box new Mercedes-Benz Actros 2650s were handed over to their owner-drivers who have been contracted by Cargo Carriers to move explosives from Sasolburg to the Rossing Mines in Namibia. This is a five day, 7 000 km round trip which will see the trucks clocking up around 250 000 kilometres a year. 

The chosen four were then selected to progress to the next stage, a “live” twomonth road and training room trial. This was not all about driving. During the trial period, the drivers spent time undergoing extensive training covering financial matters, insight into the owner-driver environment and a four day life skills programme that incorporated basic skills, financial life skills, problem solving and communication. 

According to Cargo Carriers’ owner driver manager, John Sprenger, the owner driver programme is all about a continuing partnership where the drivers are empowered to determine their own future while at the same time increasing productivity and enhancing service levels – something he says has already happened in the previous five year period. 

Sprenger says the introduction of the programme has not been without its snags and many hours of negotiation with all the various role players actually slowed the whole process down somewhat. What came out in the end though was a mutually beneficial service agreement between the owner-drivers and Cargo Carriers. 
 

Team BME. The four owner drivers with representatives from BME, back row from left are Ivor Geldenhuys, BME’s transport coordinator, Solomon Mnisi, Mimosa Mokoena, BME’s procurement officer, Abraham Getyesi and Charl Kuhn BME’s procurement manager. In front are Daniel Mohopelo and Joseph Ramokhothoane. 

The agreement strikes a balance between control and supervision and the driver’s ability to perform the service as he sees fit. It also gives the owner-driver control over vehicle selection under a full maintenance lease agreement. While, in this case, the vehicles of choice were Actros 2650s, the selection process takes into consideration the full package in terms of finance agreements, interest rates, maintenance and after sales service. 

Other areas covered included:

  • Provision of online banking

  • Comprehensive insurance cover

  • Credit life cover

  • The supply of tyres and tyre management services by Maxiprest

  • Cell phones and C-Track devices from Digicore and;

  • The provision of fuel, trailer equipment, hosting facilities for the C-Track devices, infrastructure systems, experience and back up by Cargo Carriers. 

Mercedes-Benz Financial Services tailor-made the deal to the specific requirements of the Cargo Carriers owner-driver scheme and included a full service package that covers finance, insurance and maintenance. 

In spite of their many years of experience behind the wheel, the four owner-drivers will undergo vehicle familiarisation and driver training. This will cover the new Powershift system, active and passive safety systems, primary and secondary braking systems, the Mercedes-Benz Telligent systems and so on. 
 

"The Mercedes Benz
vehicles chosen for
this contract are ideally
suited for long-distance
transport. We wish the
owner drivers many
happy kilometres in
their new vehicles"

Rudie Walles
Corporate sales manager of
Mercedes Benz Financial Services

 

Driver training takes place at Cargo Carriers’ Sasolburg depot. The main objectives of the three day economic and defensive driver training course is to evaluate the overall ability of the drivers in terms of economic driving, foresighted and defensive driving techniques and so on. 

The training involves both practical and theoretical exercises. 

Trevor Goodwin from the Mercedes-Benz Driver Training Academy explains how the truck maker has developed sector driven training programmes. This means, chemical and hazardous good hauliers, such as for the BME contract, will get specific training designed for that type of operation. 

In a sea of scepticism, this scheme truly does act as a ray of light.

Copyright © 2008 FleetWatch magazine and FleetWatch On-Line.
No part of this publication may be reproduced without the prior written permission from the publishers. 
Views published are not necessarily those of the publishers.