#012012

Revving up in Kenya

Going local for the new Quon

The roots of Tokyo Sky Tree

The Global UD Trucks Customer Magazine

WORKING ONTHE WATERFRONT

1-1, Ageo-shi, Saitama 362-8523, Japanwww.udtrucks.com

The new Quon from UD Trucks: a vehicle truly built for the

professional. A rugged, reliable truck powered by the fuel-

efficient GH engine—available with a choice of horsepower

ratings—created for comfort and easy operation for the

driver, and ease of maintenance, long service intervals and

increased uptime for technicians, managers and fleet owners.

The newest member of an already-successful heavy duty truck

lineup, the new Quon is the result of an evolution driven by

the expectations of UD Trucks’ customers around the world.

Its improved safety, fuel-efficiency, comfort and reliability is

backed by UD Genuine Parts and Service, and a range of other

services to support your business and keep your truck on the

road working hard for you.

With the new Quon, the UD Advantage for your business

becomes very clear.

Quon: Experience the UD Advantage

04 Feature story

Revving up in KenyaA building boom and regional growth is boosting the economy of the East African nation of Kenya, and that means lots of new opportunities for UD Trucks and its partners in the country.

08 News

What’s happening Around the world of UD Trucks.

10 In Action

Working on the waterfrontAustralia’s ports are booming, with container cargo shipments rapidly expanding. One logistics company is growing as well, driven by its use of UD trucks.

15 Global Business

Going local for the new QuonUD Truck’s heavy-duty Quon truck is out in a new version—and it’s not only available in one flavor. The team who tailored the truck to local markets talk about the process.

18 First person

Fresh, clean water for Hong KongThe green trucks of Watsons Water are a familiar sight on the streets of Hong Kong as they carry distilled water to city residents—and they come from UD.

20 Tradition

The roots of Tokyo Sky TreeThe world’s tallest tower is about to open in Tokyo. Underneath a shining, modern exterior is an ancient technique for ensuring the structure’s strength.

22 Case Study

An eco approach to safety and qualityToei-Logistics Construction found that pursuing safety, increased product quality and improved environmental performance all went together as part of an ambitions program.

#01 | 2012

Mark WalkerBased in Melbourne,

Australia, Mark Walker is a photojournalist who has spent

the past 14 years covering various automotive subjects for

a range of magazines and books.

Mark BeanOne of Australia’s leading transport photographers, Sydney-based Mark Bean’s work has appeared in many leading publications over the past 25 years.

William RossLong-time Japan resident William Ross is a writer and editor who has been producing magazines and contributing to publications around the world for some 30 years.

Contributors this issue:

Cover photograph Mark Bean

Roads is published three times per year by UD Trucks Corporationwww.udtrucks.com

PublisherDaisuke Takahashidaisuke.takahashi@ udtrucks.co.jpTel: +81-3-6695-3857

Editorial ProductionNext Inc.roads@nextinc.comwww.nextinc.comTel: +81-3-6436-4270

Editor-in-Chief Kjell Fornander

Executive Editor William Ross

Art Director Koichi Asano

Production ManagerHaruko Miyazaki

Printed in Japan

Joachim RosenbergHead of UD Trucks

Executive Vice President, Volvo Group

Exciting times ahead

I would like to start this issue by offering my sincere appreciation to all of you for your interest in UD Trucks. Some of you have been loyal customers for

decades, while others may be newer members of our family of customers around the globe. Either way, we will do all we can to earn your continuing trust by providing the best products, service and support possible. We are here for our customers. In this issue of Roads we share stories from UD customers on three different continents.

UD Trucks has a long and proud tradition as the ultimate dependable Japanese truck maker, one that passionately focuses on the customer. Now, as a part of the Volvo Group, we continue our quest for excellence by combining the best of our Japanese and European traditions, technology and expertise.

My strong belief is that you will see this change very clearly in the coming years, in terms of reliable, fuel-efficient trucks, and a professional service network that is growing around the world.

I am excited about the new models that we are introducing, as well as the response we are receiving in markets around the world. One example is the development of our heavy duty flagship Quon, which you can read about in this issue.

I’m pleased to say that we are in a very different place than we were in just a year ago in Japan. The massive destruction of the March 11, 2011 earthquake and subsequent tsunami had a huge impact on the country. Luckily, our company was largely spared the very worst, and we were able to return to relatively normal conditions within a short time. Japan, too, has seen a remarkable period of rebuilding, and of turning its focus to the future. A symbol of this new future is the Sky Tree, which you can read about in this issue.

I am also pleased to say that the focus on UD Trucks within the Volvo Group is getting even stronger. This is reflected by the establishment of our Volvo Group Trucks Asia-Pacific headquarters in Tokyo, Japan.

This is a time of exciting change. So, in 2012 and beyond, we are really excited about the road we are on—the Road to Your Success!

Known locally as Ndovu, or “elephant” for its reliability on all roads: a UD truck at work in Kenya

Revving up in KenyaThe East African country’s transport industry is busy preparing for major growth.Text: Jette Kristiansen Photos: Torbjörn Selander

There is a wave of optimism rolling through Kenya, and it’s hard not to be affected by the upbeat mood. The country’s new constitution was recently adopted by Parliament, there will be elections later

this year, and a building boom has seen the number of cement factories more than triple in the last four years.

“If you look at the geography of East Africa, Kenya has traditionally been the hub of a region which includes Uganda, Tanzania, Rwanda and Southern Sudan,” explains Njogu Gachagua, Divisional Manager of CMC Motors Group, Ltd., which imports UD Trucks. “Most international NGOs have had a presence in Kenya, which has also been the regional center for trade and banking. With the recent finds of oil in the neighboring countries of Uganda and Southern Sudan, we are bound to see a positive effect on the Kenyan economy.”

The only oil refinery in the region is in the Kenyan port of Mombasa. This means that the discovery of oil in the neighboring countries will boost both the Kenyan transport industry and infrastructure. For both political and geographical reasons, the Southern Sudanese prefer trading with Kenya rather than Sudan’s capital, Khartoum.

“Both Southern Sudan and Uganda rely on Kenya for their growth and transport structure,” Mr. Gachagua says. “The Kenyan government has therefore called on all stakeholders to be prepared for the escalating transport needs in the next one or two years, and the UD Truck is ideal for this kind of transport. It is not for

nothing that the UD Truck is called Ndovu, which means ‘elephant’ in Swahili. It is a very robust and reliable truck.”

Mr. Gachagua sees the situation as a great opportunity for CMC Motors and UD Trucks in particular. “We hope this will mean good business for us,” he says. “We have always had branches in these countries.”

He feels that UD Trucks are very competitive in this market. “UD Trucks have a track record of low maintenance and a wide product portfolio, from the lightest to the heaviest vehicles, which means that there is always a product that will satisfy any client’s needs,” he says. “That always helps any brand.”

There is also growing demand for cement and steel in Uganda. One company which has been able to profit from this development is Kenyan transport firm Trailink.

Njogu Gachagua

KENYA

AFRICA

04 #01 | 2012

Name: Cyprian WereAge: 40Training: ElectricianLanguages: English, French and Swahili

Cyprian Were has worked as a truck driver for the last 15 years, the last 10 with Trail-ink. He has chosen to work on the route from Nairobi, Kenya to Kampala, Uganda instead of the more lucrative route from Nairobi to Mombasa on the south coast of Kenya, so that he can be with his fam-ily more often. His wife is a clearing and forwarding agent at Malaba, on the border between Kenya and Uganda.

“This job is quite hectic and stressful,” Mr. Were says. “You are responsible for the truck and very expensive cargo. You get hassled by the authorities over paperwork, and the traffic is tricky, because Kenyan people are not very good drivers.”

Another of the perils of the job is the threat of highway robbery. Trailink stopped driving to neighboring countries for a num-ber of years because of the risk of hijacking, but has recently begun serving Uganda again. A tracking system that allows staff in the Nairobi office to trace the movements of every one of the company’s trucks will hopefully help them to immediately identify any attack as it happens.

“The way the robbers operate is either to set up a barricade across the road at night, or jump on the truck at a steep hill and disconnect the air pipes for the brake compressor,” Mr. Were says. “This stops the truck automatically. I have been lucky that it only happened to me once. But I frequently have had wild animals chase me when I got out to stretch my legs on the way!”

Pritpal S. Kalsi

The company’s areas of expertise include the transport of raw materials from Mombasa to cement factories in the Nairobi area, and of the finished cement from those factories to Uganda and major building sites in Kenya. One of these construction projects in Kenya is a major ring road around Nairobi, expected to be ready in a few years, while a new highway to Mombasa is already complete.

“These new infrastructure projects are of double benefit to us,” says Trailink’s Director Pritpal S. Kalsi. “We transport cement and steel for the foundation of the highways, but of course all these new roads also mean a boost to the transport industry.”

Three years ago, Trailink owned 60 trucks; today the company has 130, of which 39 are from UD Trucks.

“We would like to own more UD trucks, and we are just now in negotiations with CMC to buy 10 new UD

The truck driver’s story

05 #01 | 2012

Feature story

01

02 03

01. A scene at some of one of the many construction sites in Nairobi.

02. A cement factory, part of a booming industry fueling growth in Kenya’s transportation industry.

03. A UD truck gets a thorough inspection and servcie at Trailink.

04. The “doctor” himself: Patrick Mwangi is passionate about after-sales service.

trucks.” Mr. Kalsi says. “The only reason for buying these new trucks is that our business is expanding. Not a single one of our original UD trucks has needed any repair, apart from normal wear and tear,” says Mr. Kalsi. He points out that Trailink only uses genuine parts supplied by CMC, as he believes they are by far superior.

He also stresses the good relationship with the dealer. “I like to do business with the right business partner,” Mr. Kalsi says. “With CMC, who imports UD Trucks, we have a very trusting relationship.”

Mr. Kalsi feels that the current boom will continue until at least 2030. “There is a very simple reason for this,” he says. “There are no investment restrictions in Kenya, and we see a lot of foreign investment coming in. This is the century for Africa.”

With his white coat, stethoscope around his neck and friendly face, you would feel completely safe putting your life in Patrick Mwan-gi’s hands if you met him in a hos-

pital. In fact, however, Mr. (not Dr.) Mwangi’s patients are not people but trucks. As the divisional Aftersales Manager at CMC, the importer of UD Trucks in Kenya, he is on call 24/7 and at the disposal of anyone who needs his help. He is also a man on a mission.

In 2009, Mr. Mwangi went to Japan for training. “There I noticed a very small company, a UD Trucks dealer in Kawaguchi, which had ten times the turnover we have,” he says. “When I asked them how that could be, they explained to me that the majority of their in-come was generated from their aftersales department. At CMC, it is the other way round. Seventy percent of our income comes from unit sales. To me, that was a light-bulb moment.”

By a stroke of good luck, Mr. Mwangi was later made Aftersales Manager, and he decided to put his new

ideas into practice. Today, he heads a department with about 60 employees.

“I make sure that every single employee knows that he is an important cog in the wheel,” he says. “My motto is: As a boss, you start from the bottom, not from the top, because you are only as strong as your weakest link.”

Mr. Mwangi’s main drive in building the aftersales department is by offering outstanding personal service. He leads by example, even if it means that he has to interrupt a weekend or a holiday to go on the road with his toolbox.

“On Monday, for example, we drove for two hours to help a client,” he says. “It turned out that it was a small problem that we could fix in 20 minutes. You could argue that it would have been easier for us to refer him to the local CMC office, but I think that if a client asks for Patrick, then Patrick must go. Three weeks ago, we helped another client in a similar way. He has now or-dered 20 new trucks from us. At the end of the day, it is the personal service that makes the client comfortable, and in the long run it pays off.”

The flying truck doctor

06 #01 | 2012

04

“It’s the personal service that makes the client comfortable,and in the long run it pays off” Patrick Mwangi

07 #01 | 2012

Feature story

L aunching a major change to a favorite truck lineup requires a big event, and that’s just what UD Trucks Southern

Africa did on March 8, 2012 in South Africa. Marking the arrival of a greatly expanded lineup of the heavy-duty Quon truck in Africa’s biggest market, a whole-day event was held in the resort of Sun City, including an evening party with music, dance, comedy and the introduction of the new truck lineup.

The event also marked the 50th Anniversary of UD Trucks’ presence in the South African market. Many of the company’s past management and staff were also in attendance.

The new lineup represents a major expansion in choice for truck operators. The

T he newest lineup of UD Trucks’ heavy-duty Quon got a high-profile

showing in Japan before some target customers and distributors from the Middle East and North Africa. Held in early December 2011, the Quon Premium Launch brought together customers from Saudi Arabia, Qatar, Kenya and Ethiopia for a chance to raise the expectations for the new product range, while also building stronger relationships with UD Trucks’ customers.

The group began the five days of activities with a visit to the Tokyo Motor Show, including an in-depth

new-generation Quon lineup for the market includes 14 model variations, including 4x2 truck tractors, 6x4 freight carriers, 6x4 dump trucks and 6x4 truck tractor. The changes include a new engine series, the latest transmission technology, new clutch and brake technology and a modified chassis. The new Quon lineup also features an extra engine brake providing a huge,

presentation providing details not only on the product, but also on the service and parts availability for the new lineup. The new Quon for overseas markets was also physically on display at the UD Trucks booth at the Motor Show.

On Tuesday, December 6, the group got an even more in-depth exposure to the truck, not only with a visit to the UD Trucks factory in Ageo, but also got a chance to experience the driver comfort of the air-suspension cab and the acceleration/torque of the new engine on a test track featuring both paved and

South Africa

Japan

Big launch for new Quon lineup in South Africa

Launch for Quon in Tokyo

UD TRUCKS NEWS

rough road sections, as well as steeps. While the group then went on for a few days of sightseeing in Tokyo and Kyoto, they ended with some very positive feedback on the new Quon. “The test drive was

impressive (as) I could feel the premium quality of Quon,” said a customer from Ethiopia, while a Kenyan guest simply said, “I would like to replace my whole fleet with the Quon!”

1,470Nm of brake torque.The GH13 powertrain used in the Quon

now has three variants: 370, 410 and a powerful 490 horsepower unit. All meet the new Euro III emission standards, and feature flat torque characteristics and high injection pressure thanks to electronically-controlled unit injectors.

Expanded intervals between servicing

Above: The group enjoys a hands-on experience with the Quon on the test track.Left: At the UD Trucks booth at the Tokyo Motor Show.

08 #01 | 2012

A snowplow version of UD Trucks’ heavy-duty Quon truck was exhibit-ed at Yuki Mirai 2012, an exhibition

covering snow-related issues and tech-nologies held in the Japan Sea coast city of Kanazawa, Ishikawa Prefecture, on February 2 and 3, 2012.

UD Trucks is already well known in the country’s snow clearing industry for its sturdy, reliable vehicles. For Yuki Mirai 2012, UD Trucks displayed a snowplow-equipped version of the Quon (model LDG-CZ5YL), an all-wheel (6x6) truck equipped with a tri-fold plow and the powerful GH11TC engine.

It needs to be a powerful snow clearer. Japan is in fact one of the world’s snowiest countries, with half the nation—particu-larly on the Japan Sea coast and north—at least partially covered in snow in the win-

ter. Some regions, in fact, are among the snowiest on earth, including the Hokuriku region in which Kanazawa is located. Even so, the area has a remarkable record of

keeping its highways and roads open in even the deepest snowfalls, with proactive governmental infrastructure investment at all levels a key factor.

The snowplow version of the Quon, on display at the UD Trucks section at Yuki Mirai.

The historic T80 eight-ton payload truck, introduced in South Africa in 1962, was on display.

One of the stage shows held during the South Africa event.

Japan

Snow-Clearing Quon Shows its Strength

has also been addressed, with full-flow and bypass oil filter and a new multi-function display to provide a constant view of engine performance.

One of the strength of the new Quon range lies with the transmission: a selection of manual and automatic transmissions has been employed across the range to suit many different applications. There are three manual transmissions: the MTS75D 7-speed, the MPR90A 9-speed and the VO514B 14-speed. The manual transmissions are synchromesh and feature power shift,

while the automatic transmissions are non-synchromesh with improved PTO capabilities and innovative protection devices. The 9- and 14-speed gearboxes have overrun protection, with the 14-speed transmission also equipped with a range lock function.

The automatic gearboxes were specifically developed to improve safety, overall economy and offer operators easy driving capabilities. The new ATO2612 automated manual transmission offers two-pedal or clutch-less operation through the innovative

12-speed ESCOT V gearshift mechanism. The ESCOT V transmission technology offers both power and economy in a wide variety of driving scenarios, by increasing driving performance at low speeds and reducing engine speeds in high gear at cruising speeds.

UD Trucks Southern Africa is also responsible for exports to 12 countries in sub-Saharan Africa; both right- and left-hand drive variants will be introduced into the region according to each territory’s market requirements.

But while introducing this important change for a major truck in African markets, the event was also an excellent time for interaction with customers, partners and the local media. Along with introducing the new Quon lineup and talking about developments in the market, the day at Sun City also was a time to enjoy together, with plenty of entertainment, excellent food and drinks. A big event to mark the launch of a big development for UD Trucks in Southern Africa.

09 #01 | 2012

News

An ACFS UD truck dedicated to wharf duty takes on a container just offloaded in Botany Bay.

10 #01 | 2012

UD Trucks are the choice for a major mover at Australian portsText: Mark Walker Photos: Mark Bean

There are no busier roads in Australia for heavy-duty transport than right within the country’s main seaports, with millions of shipping containers arriving and departing—and needing to be transported—each year. In this non-stop environment where logistics are under incredibly tight deadlines, reliability is everything. This is what makes UD Trucks the king of the wharves.

11 #01 | 2012

In Action

“Our general fleet normally works 24 hours a day, and a minimum five days a week. If the wheels

aren’t turning, they’re not making money,” says Arthur Tzaneros, Managing Director, Australian Container Freight Services (ACFS), the largest privately owned container-port transport operator in Australia. Even though the company has only been in existence since 2005, Mr. Tzaneros and his brother Terry have overseen growth of between 20 to 40 percent every year since inception. The company currently has bases in three of Australia’s major cities: Sydney, Melbourne and Brisbane. Client demand, he says, should see further expansion in the coming years.

Headquartered at Port Botany, the gateway to Australia’s largest city, Sydney, ACFS currently has over 100 UD Trucks vehicles in its fleet. The company leads other portside businesses with the innovative use of its trucks, with efficiencies that make the operation attractive to large- and medium-sized clients.

Although ACFS’s UD trucks don’t travel as many kilometers a year as would vehicles running on highways, the stop-start nature of metropolitan city driving, coupled with a 24-hour working day, place tremendous

demands on the equipment. Since 1991, Mr. Tzaneros has found that UD Trucks are up to the job.

“They are durable, and they are resilient to the work that we do on a daily basis,” Mr. Tzaneros said. “There’s no doubt that we have stuck with UD as a supplier due to the build quality of the trucks. The latest UD Quon version has improved driver comfort as well. There has never been a problem with reliability; the product just keeps getting better and better.”

At the company’s base, a fully-equipped workshop ensures that the fleet keeps on moving by providing all general maintenance. ACFS plans to keep each vehicle in service for around eight years.

“The company model is to buy brand new trucks,” Mr. Tzaneros says. “The reason for that is that we don’t want to be doing major repairs. The first UD truck we bought as ACFS was in 2006; they are starting to get to end of their lifecycle now, and we still haven’t spent much money on them.”

One area where ACFS is continuing to lead the field is in the specifications of their trucks. Mr. Tzaneros says that a conscious effort has been made in recent years to specify vehicles with aerodynamic kits, lightweight wheels and lightweight trailers which can adapt to different tasks. The weight savings gained on the truck means

Arthur Tzaneros, Managing Director, Australian Container Freight Services (ACFS).

01

12 #01 | 2012

01. UD trucks from the ACFS fleet await containers being offloaded in Botany Bay.

02. Trucks get big in Australia: a UD Trucks Quon GK-series truck in the Super-B trailer configuration, hauling four empty containers.

03. Mark Perry, National Fleet Manager for ACFS: the man in charge of keeping the company’s fleet on the road.

04. Don Hughes, New South Wales General Manager, ACFS, has the busy job of coordinating the movement of trucks on the container yard.

both savings in fuel costs which can then be passed on to customers, as well as a reduced total weight of both vehicle and cargo, so customers can load additional stock into their containers and not pay higher road tariffs.

“We are starting to spec our trucks and trailers now to the finer detail,” Mr. Tzaneros said. “It is a conscious effort; while we are only trying to pick up potentially half a ton, that half a ton could be the difference between a customer making money on a container or not. If they gain half a ton on one container, then across thousands and thousands of units we’re improving their logistics.”

ACFS has its own container yards and large warehousing facilities located right next to each of the ports. This gives the company a distinct advantage, as all freight is channeled through their facilities prior to distribution. The company has divided its transport arm into three sections—wharf,

delivery, and empty container trucks—with trucks dedicated and ideally suited to each task.

For the short travel needed for pickups and drop-offs between ACFS’s bases and the wharves, the company uses what is called the Super-B trailer configuration. Made possible due to legislation allowing its use in defined port areas, one tractor unit (known in Australia as a prime mover) can haul up to four twenty-foot equivalent container units (TEUs) at a time. The result is a total truck and trailer span of fully 30 meters—and, by using one truck instead of the two that would otherwise be required to move four containers, congestion around the port is reduced by some 12 percent.

Once the containers have been brought to one of ACFS’s facilities they are delivered to customers on single trailer units, or B-Double units.

The final task, the transport of empty containers between the company’s holding

“There’s no doubt that we have stuck with UD as a supplier due to the build quality of the trucks” Arthur Tzaneros

0302

04

13 #01 | 2012

In Action

About Port BotanyPort Botany is the second-largest container facility

in Australia, after Melbourne. More than 2,000,000

containers are imported and exported annually,

with the total value of port trade estimated at

A$61 billion. The port currently is serviced by

two separate dock areas, with a third dock to be

completed in 2013—the largest port development

in Australia in 30 years. Port Botany also features

facilities to handle bulk liquids such as petroleum and natural gas. Some 17,000 people are

directly employed throughout the logistics chain associated with Sydney Ports.

Botany Bay holds special significance to Australia, dating back to 1770 when Captain James

Cook landed the HMS Endeavour on the bay’s sandy shores. Cook’s travels preceded the 1787

arrival of the First Fleet, the 11 ships bringing prisoners from England to create a penal colony

at the site of Cook’s landing. In 1788, though, the surroundings of the bay were considered

too harsh for habitation, so the colony was moved north to Port Jackson. This settlement grew

into the city of Sydney, which now has a population of over 4,500,000 people.

yards and the wharf, is carried out by either Super-B or B-Double units, but using a 4x2 tractor unit. The use of the smaller trucks for the hauling of the lightweight empty containers has been a major competitive advantage for the company, Mr. Tzaneros says.

“With a single drive prime mover we have lower registration costs and a more fuel-efficient truck, as all the truck is doing is pulling empties. So we’re able to pull four TEUs behind a single drive prime mover—why do it any other way? I’m actually surprised others haven’t followed our lead.”

ACFS has been able not only to serve a growing number of clients, but the company is also able to attract drivers—no small problem in a transport industry with a fierce marketplace for labor. Mr. Tzaneros says that paying a competitive salary is one factor, but having UD Trucks for the drivers is also a major reason for the vehicles company having a loyal staff.

“You need a good product for these guys to drive,” he says. “At the end of the day, ACFS prides itself on the fact that we pay good rates, we have nice trucks and we work in a nice environment. Our facilities are of a high standard. So when you have all of these things in place, we consider ourselves to be an employer of choice.

Rather than us having to find drivers, we have drivers contacting us saying, ‘Have you got any jobs?’ So that makes it easy, and it means our staff retention is very good.

“This is also very important to our customers,” he adds, “because when you get large clients, you put dedicated drivers on those runs. The clients see the same face, day in, day out. For a big company, it is a rarity to see the same faces.”

ACFS is currently expanding, with ambitions to be a truly national operator. In 2013, new facilities will open in both Fremantle, western Australia, as well as at of the Port of Brisbane, with this development covering a sizable 17 hectare area. The company is also evaluating opportunities to expand inland from the congested port areas of Sydney and Melbourne.

Adelaide

Melbourne

Sydney

BrisbanePort Botany

Australia

The busy harbor of Port Botany, container cranes at the ready.

14 #01 | 2012

In Action

Going local for the new

Text: WilliamRoss

Interview photography: HirotakaNakayama

15 #01 | 2012

GlobalBusiness

Even with a new truck as powerful durable and popular as the Quon, it’s no longer a matter of just making one model in Japan, and selling it as-

is around the world. “It’s complicated!” says Taizo Matsuo, Vice President, UD Trucks Product Management. Mr. Matsuo knows, because he, along with his colleague Yoshio Kawai, Chief Project Manager, Range & Project Management for Volvo GTT (located within UD Truck’s Ageo plant in Japan), are part of a team that has since 2007 been localizing the Quon for local markets, especially South Africa and Indonesia.

“Preparing the Quon for the Euro III Emissions standards is a key part of this,” Mr. Matsuo explains. “This is a major issue for us, because the area covered by Euro III is huge, so the project also became a huge one. Also, the ways in which the truck

is used are also quite varied: long-haul, construction, mining, short-haul, deliver, and others.”

The question for the team, he says, was in finding the commonalities between the markets, and the

key was employing Volvo technology. “We applied the Volvo design philosophy called CAST: common architecture, shared technology,” he says. “We wanted to use common technology as much as possible in order to gain volumes. So the question is, to meet the customer’s needs, how much will we have to develop the product for each market.”

The Quon, of course, was first produced in 2004. “The current model is being sold

in several markets, including South Africa,” Mr. Kawai explains. “Meeting the gas emission requirements was one big reason for beginning this project. The second was fuel efficiency, as we have more customers asking us to work on reducing fuel consumption. And the third was safety, as many countries are introducing more safety requirements. The Quon cabin is already very strong, and we’ve added a new braking system. It’s all about improving transportation efficiency.”

With just the two markets of South Africa and Indonesia, the two men outline some of the different requirements that different markets make. “You can start by seeing that cargo is largely moved on paved roads and dump trucks largely work on gravel roads,” Mr. Matsuo says. “Mining is also harder on dump trucks than normal construction activities. Then you see that the requirements for South African and Indonesian mining are quite differed because of the different climates and altitudes. So if we can make a modification, that often helps them locally. The judgment about what features we actually can offer a local market is very important.”

While not directly related to this project, Mr. Matsuo notes that other pressures have come from markets around the world, and especially Southeast Asia, since the 1990s. “Many of the countries are themselves competing to have their own automotive industries,” Mr. Matsuo says. “So they

Taizo Matsuo

Yoshio Kawai

Making a good thing even better for markets around the globe: the new Quon truck is not only powerful, durable, rugged and reliable, it’s also increasingly tailored to the needs of world markets.

16 #01 | 2012

04

01. Taizo Matsuo (left) and Yoshio Kawai, with the Quon at the UD Trucks headquarters in Ageo, Japan.

02. A Quon on the assembly line.

added import duties which could be very high for a finished vehicle. But if we added a percentage of local content, then they would cut the tax quite a bit. That is not a difficult calculation to make!” he says with a laugh.

So while the team has been working officially since 2007 to localize the Quon, this is not an entirely new process for UD Trucks. The men explain that as early as 40 years ago, engineers were sent to work on local needs in South Africa and Indonesia—not just to go and take a look, but to be assigned to the market on a long-term basis.

Despite the size of the project—the Quon is sold in many markets globally, each with its own unique demands—the team was not all that big, Mr. Matsuo says. “We set up a steering committee, with each market participating. We have a constant flow of

information coming in to us, even if the representatives are not coming to Japan that often! The point, of course, is that they are out there, and that they understand their market. I’m then responsible for coordinating the representatives.”

“We applied the Global Development Process from Volvo,” Mr. Kawai explains. “That sets out a series of gates that must be passed, from the initiation of the project to the start of production.” “Each gate represents a concept and a target,” Mr. Matsuo adds, “and we have to come up with a plan to realize these.”

“If we can’t open up that gate, we can’t pass on to the next,” Mr. Kawai says. But, he adds, there is a clear final gate for the project, at least in this phase—because, as they both say emphatically, this is a project

that really never will come to an end. “For good or bad—I’m not really sure—

Japanese manufacturers will always try to fulfill even small changes at small volumes for local markets,” Mr. Matsuo says. “In the past, we didn’t have the different emissions requirements; all we had to do was develop a truck for the Japanese market that was durable and reliable. The Japanese market is very competitive, so we could then just export that truck, maybe with only the change from right-hand to left-hand steering position. While Japanese trucks are still very strong, especially in markets like Australia and South Africa, and particularly for medium-duty trucks, it’s no longer that simple. We have to respond a lot more to local needs, and find an economically feasible way to do it.”

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17 #01 | 2012

GlobalBusiness

The Customer

Watsons WaterUD Trucks customer since 1998

Location: Hong KongBusiness activities: Producer and distributor of distilled water, to both home and office customers.Trucks: Total fleet of 120 trucks, including 40 UD trucks UD Trucks’ challenge: To provide an optimal vehicle for the stop-and-go city driving of Hong Kong—one that provides excellent fuel economy/low environmental impact, even in a wide mixture of driving speeds and situations; driver comfort; and quick access to spare parts and maintenance.

Hong Kong is a city of high-rise apartments—and many of the locals have found that this often means water from rooftop tanks that just doesn’t taste all that good. For many homes and offices in the city, drinking water means a delivery by the friendly green trucks of Watsons Water. Founded in 1903, the company is a specialist in the production and delivery of

distilled water—and has continued to expand beyond Hong Kong, with additional production plants in Beijing, Shanghai and Guangzhou, and customers across the Asia-Pacific region.

Fresh, Clean Water for Hong Kong

18 #01 | 2012

Luk Wai Keung, Service Manager,

Garage Department

“UD plays a very important role in our company, and their trucks are very helpful in doing our business. We just bought five new Green UD trucks, which we are currently testing. The test drives are going on right now, and things are going very well.”

Liu Chun Chung, Driver

“I’ve been driving trucks for 10 years, five of them in UD trucks. For me as a driver, security and speed are what I pay attention to. UD trucks have proven themselves to have great fuel economy, strong horsepower, comfort for the driver, good access to spare parts and easy maintenance. They help us drivers a lot in delivering our product in time. UD Trucks really is our best friend in the business!”

www.youtube.com/user/udtrucksvideosTo see the video of this story and other cases of UD trucks in action, see the UD Trucks YouTube channel:

19 #01 | 2012

First person

You can’t miss it: 634 meters of steel and glass scraping the sky above Japan’s capital.

Less obvious, though, is the traditional soul at the

core of Tokyo Sky Tree, the world’s tallest tower. When architects and engineers at Nikken Sekkei Ltd. set out to design a structure capable of standing firm atop the country’s temperamental tectonic foundation, they found themselves applying a technique similar to one used in centuries-old wooden pagodas.

Those buildings, postcard-perfect symbols of ancient Japan, are, quite simply, tough to topple. While many have burned down due to lightning strikes or the flames of war, “There are no records of a five-story pagoda crumbling in an earthquake,” says Sho Toyoshima, representative for Tobu Tower Sky Tree Co.

It’s a mystery how early Japanese builders came up with their formula for structural sturdiness. But whoever decided to install what is called the shinbashira, or “heart pillar,” was on to something.

Though the pagoda concept was imported from China along with Buddhism, the shinbashira is uniquely Japanese. It is a single piece of timber running up through the middle of the structure. It carries no load, yet it is considered a big reason why pagodas like the one at Horyu-ji Temple in Nara are still standing. Horyu-ji’s masterpiece dates back to somewhere around the year 700, according to UNESCO. That makes it one of the world’s oldest wood buildings.

“Objects with different weights shake at different speeds,” Mr. Toyoshima explains. “So they cancel out each other’s energy.” When an earthquake strikes, the heavy shinbashira acts as a counterweight, preventing a pagoda’s floors from careening too far in any one direction.

What does all this have to do with the ultra-modern tower in Tokyo’s Sumida Ward? It, too, has a shinbashira, albeit a 21st century version.

Instead of a giant tree trunk, Sky Tree has a 375-meter-tall reinforced concrete tube. Like a pagoda’s heart pillar, this

01. The five-story pagoda at Muro-ji in Nara (similar to that at Horyu-ji), dating back to the eight century.

02. An illustration showing the position of the shinbashira (courtesy Nikken Sekkei).

The modern tower that is Tokyo skyline’s newest pinnacle has some surprisingly ancient origins.

Text & photos: Jim Hand-Cukierman

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The roots of

Tokyo Sky Tree

#01 | 2012 20

weighty column is structurally separate from the tower’s steel frame. But it is connected to the frame by steel beams up to a height of 125 meters, and then by oil dampers the rest of the way up. Nikken Sekkei describes it as a unique application of the added mass control method, capable of reducing the tower’s vibration in an earthquake by 40 percent.

“The Sky Tree’s column is obviously different from those of pagodas,” Mr. Toyoshima says. “But it was given the

name shinbashira out of respect for tradition.”

The design team showed reverence for old Japan in other ways, too. Consider the tower’s color. Although it looks white in the sunshine, it’s actually a very specific, traditional shade of blue known as aijiro.

“It’s the whitest blue used for dyeing Japanese textiles,” Mr. Toyoshima says. “If it were pure white, it would be too bright.”

Even the height of 634 meters is a nod to an earlier era. At the end of the Edo Period (1603-1868), what is now Sumida Ward was part of a province called Musashi. And in Japanese, the number 634 can be read as mu (6) sa (3) shi (4). Mr. Toyoshima notes that although the tower could have been even taller, the planners liked the 634/musashi connection. “Musashi is easy for Japanese people to remember!” he says.

Japan does have a lot on its collective mind these days, from the earthquake- and tsunami-stuck northeast, to ongoing economic challenges. Might the tower—which weathered the great quake unscathed, even though all its safety features weren’t installed—provide a national morale boost?

“We’re not in a position to say that we can cheer the country up,” Mr. Toyoshima says. “But hopefully we can help Japanese people rediscover their culture and feel proud of it.”

When Sky Tree officially opens May 22, it will be a moment for reflecting on the past as much as looking to the future.

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03. Not officially completed, the Tokyo Sky Tree is already a popular part of the landscape, as this couple along the famous Sumida River records on camera.

04. Sho Toyoshima, spokesman for Tobu Tower Sky Tree Co.

05. The written characters for shinbashira, combining “heart” and “pillar.”

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21 #01 | 2012

Tradition

Toei-Logistics Construction, a trucking and logistics company located not far from the headquarters of UD Trucks in Saitama Prefecture, north of Tokyo, has set itself no small goal: to be the number-one company in safety and quality, providing safe and ecologically sound driving.

As early as 2005, the company set out its goals for improved quality and safety in its Safety & Quality No. 1 Plan, a mid- to long-term

program that aims at zero accidents—on the road, in its facilities and for its employees—while also keeping a strong customer-first policy in all its activities. And Toei Logistics handles many different jobs: forwarding and transport, warehousing, packaging, processing and distribution, automobile transport, and other contracted logistics activities. The company employs 372 people, and operates 117 vehicles.

The company had taken many steps toward improving safety and quality. These included driver training courses; the requirement for all employees—not just drivers—to obtain the Safe Driver (SD) card issued by the Japan Safe Driving Center; and the installation from 2004 of equipment such as digital tachographs, which

an outside consulting firm to provide not only a way to make change happen, but to also provide a neutral viewpoint.

Often, drivers see eco-driving as meaning cost reductions for the company, but something which has no special benefit for them. But, the consultants pointed out, it also represents a way to realize safer driving. Toei Logistics agreed with this idea, and made it part of their policy to increase driver awareness that eco-driving also means safe driving. So one of the major tasks for the consultants during the year spent with Toei Logistics was to create an organization that was not only top-down, but bottom-up as well.

Building a new, bottom-up system

Too often, eco-driving is largely a top-down effort in big companies, while increasing the driver’s awareness is a bottom-up process. It was therefore important that a bottom-up system be well-implemented in the company for the project to be effective.

It was well known that applying the factors required for eco-driving would improve fuel economy and reduce accidents. But for eco-driving to be a success, the company had to accomplish four main tasks: it needed to be completely accepted by company leaders; a good environment in which the program can flourish had to be created in the company; a fuel-use database had to be created; and an ongoing series of driver-focused meetings must begin.

Of all of these, the consultants felt the most important is the fuel use database. If the company relies only on the drivers for this data, it won’t work well. That’s why it’s important to call in an outside consultant. UD Trucks was also brought in to help with the project. The fuel data is important, not just so that people can compare themselves with others, but for the driver to better

could provide more hard data on engine operations, and thus driving behavior.

But, says Nagatoshi Endo, president of Toei Logistics, it wasn’t only about training and technology.

“We felt that an important part of improving safety and quality was in the issue of human awareness,” he says. “We found in reviewing their Safe Driver cards that, in their private lives, some drivers were not obeying rules on things like seatbelts and speed—and that these were the people who had a greater chance of having accidents on the job as well. We thought that installing digital tachographs in the trucks would be a good way of addressing this problem, something that was proved in fact as well.”

Eco-driving: the link to safer driving

But while they made good progress, Toei Logistics also made the decision that “eco-driving”—pursuing methods to improve fuel economy and reduce emissions—was also a very important goal for the company. This was in line with the company’s commitment to reduce carbon emissions and make the lowest possible impact on the communities it serves, but also a realization that eco-driving would also help to reduce costs in an age of rising fuel prices. The company also felt that by working toward eco-driving, the company would also realize safer driving.

The company also knew that this would require a whole new way of thinking and working for all of its employees. To help make this happen, the company called on

Nagatoshi EndoPresident of Toei Logistics

22 #01 | 2012

FY 2004

FY 2005

FY 2006

Toei-Logistics ConstructionFounded: 1963 Headquarters: Kuki City, Saitama PrefectureBusiness activities: Transportation, warehousing, automobile transport, driver management, distributionEmployees: 372

understand his own driving behaviors, with the addition of feedback from his superior and others.

“The real meaning behind eco-driving is to improve the bottom-up style, not just based on the fuel consumption data, but to increase the communication between all employees, and to improve quality and safety,” Mr. Endo says. “This means vertical and, importantly, horizontal communications.”

Through the process of implementing these steps, a number of meetings bringing people at all levels of Toei Logistics together. Following these meetings by executives, consultants, and drivers, the decision was made to implement the driving record card.

More detailed reporting

The card records total distances driven, the amount of fuel added, fuel consumption, oil changes and other inspections. It also allows for comments to be added by drivers, their bosses and others. Before that, there were only reports by the drivers; now the records are more detailed and allow for comments by both the superior and the driver. This data is also checked by the consultant, with the data then input and analyzed, and feedback given to the superior, who can then give feedback to the driver as well.

Before the driving record card was introduced, drivers didn’t have a written way to request parts and service from their boss. With the card, they were given a more effective method of communication, so now they can make these requests. The process also requires drivers to write down their fuel consumption every day, not just once a month, so they’re much more aware of the factors that are in play in the performance of their vehicles—they can more clearly see how road conditions, load size and their own driving effects fuel efficiency.

The only negative, the meetings of drivers and executives revealed, was that some drivers felt that doing this work was troublesome—but it also revealed that the vast majority of drivers had made a real attitude change, and were invested in the project.

While the driving card is a tool to review fuel consumption, fuel use will also change greatly depending on many conditions. But the key point is that it is a tool for

communication and feedback. Ensuring data accuracy is the responsibility of the supervisor, but the driver is the person who actually does the eco-driving. When there is a problem, the card can be very helpful in helping change understanding. The introduction of the card is best when it’s not just about the truck—but that it’s a means for feedback and communication, to achieve eco-driving.

New approach to accident reporting

Mr. Endo adds that the company also took further steps to reduce accidents. “We created an accident manual for handling the situation when an incident actually does occur,” he says. “But in the manual, we decided that the main thing wasn’t to immediately write down everything, but rather to cool down and get some perspective first, then have a meeting with all the people involved in safety and then report on the incident. In the past, we usually thought accidents were about a lack of responsibility by the individual driver, but we stopped this focus primarily on the individual. We don’t simply ask the driver, ‘What happened?’ afterwards. We look at it a lot more carefully and broadly.”

He points out that many factors can be involved in and influence the occurrence of an accident. “It’s easy to discover an accident where some illegal or inappropriate action has been made, but actively evaluating safe driving is a lot harder. It all begins with building understanding, changing the thinking of the drivers. This

increases safety and quality, and also eventually leads to eco-driving. ”

The changes the company has made are resulting in a huge effect on both safety and fuel consumption. The amount of fuel used continued to show a month-by-month drop, while vehicle accidents on public roads dropped from 19 in 2004 to five in 2005 and to just three in 2006.

In the end, the company discovered that eco-driving has meant both fuel savings and less accidents—and there is hard data to prove this. Toei Logistics has in a sense just gotten things started, but bottom-up education isn’t just for the driver but a challenge for the entire company. Bottom-up and top-down; the balance is really important in achieving eco-driving.

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Vehicle accidents on public roads

23 #01 | 2012

Case Study

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