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Mobile Technology Impact

Posted by Evans Distribution Systems on May 7th, 2013 No Comments

Mobile / Wireless Technologies Are Driving Opportunity in Michigan

By: Linda Daichendt, Executive Director – Mobile Technology Association of Michigan.

What do you think of when you hear the terms ‘mobile technology’ or ‘wireless technology’? If you’re like most people you think of your cellphone, and maybe your tablet – and you likely assume that’s all there is. Such devices epitomize the level of awareness that the average consumer, business owner, executive, educator, or government representative have of mobile/wireless technologies. As a result, most people have no concept of the tremendous impact these technologies are having on our lives and the way we do business in today’s global marketplace – and they definitely don’t realize the positive impact the technologies are having on Michigan’s economy.

As an example of an unexpected use, most people would be surprised to learn that mobile technologies exist that will enable your alarm clock to automatically turn on your coffee pot every morning when the alarm goes off, so your coffee is hot and ready by the time you get to the kitchen! Or that sensors powered by mobile technologies can tell a dairy farmer when his cows need to be milked, and other mobile technologies can then proceed to do the milking!

We at the Mobile Technology Association of Michigan (MTAM) are focused on changing the perceptions about the mobile/wireless industry, as well as providing education about the tremendous economic impact that these technologies are now having, and will have going forward, on our lives, our businesses, and our economy – particularly here in Michigan. Typically, the assumption is that California’s Silicon Valley is the powerhouse in the U.S. when it comes to mobile and wireless. However, the facts may surprise you!

MTAM conducted a study, along with the Michigan Economic Development Corporation, to enable us to have a clear understanding of the economic impact these technologies were having in Michigan with regard to job growth and business creation, salaries, business productivity levels, education and more. Though we knew that mobile was heavily impacting Michigan, the results even surprised us! Facts such as:

every mobile/wireless-related job created in Michigan also creates 3.9 additional jobs outside the industry (jobs such as retail, accountants, realtors, food service, banking, etc.)
noting that there are currently over 47,000 Michigan residents employed in mobile/wireless-related positions in over 2300 companies in the state; these companies range in size from 1 – 2 person small businesses to enterprise-level firms such as Ford, GM, Quicken Loans, Amway, Consumers Energy, and Compuware. These employment numbers will continue to grow substantially.
that Michigan’s top 5 mobile app development firms alone (ranked by aggregate app downloads) are responsible for over 30 million app downloads (Crain’s Detroit) – and we have hundreds of mobile development firms in this State
that the average compensation for a mobile/wireless-related position in Michigan is over $63,000 annually (an equivalent cost-of-living to a Silicon Valley salary of $145,000).

One might also be surprised to learn that from a national perspective studies have shown:

mobile/wireless-related production jobs pay greater than 50% higher than the national average of other production workers (CTIA)
if smart traffic mobile technology were fully utilized, fuel consumption could be cut by as much as 20% (CTIA)
as the largest percentage of the U.S. population, the Baby Boomers, continues to age, mobile technologies will play an increasing role in providing affordable access to better healthcare, and in fact, 40% of physicians indicate they could eliminate up to 30% of office visits thru mobile health strategies, resulting in lower healthcare costs and better treatment options (CTIA)
wireless broadband investment will create as many as 205,000 U.S. jobs by 2015 (CTIA)
and that wireless economic contributions to the economy have grown faster (16%) than the rest of the economy overall (3%) (CTIA)

Michigan companies are capitalizing on these opportunities by building and operating Michigan firms that are producing and/or utilizing mobile/wireless technologies in such fields as mobile app development, wireless re-charging, intelligent devices and accessories, architectural lighting, mobile device touchscreen production, in-vehicle infotainment, safety and communication systems, mobile payments, mHealth devices and services, battery production, manufacturing, education, transportation, warehousing, data security, utilities, business and consumer services, building management, marketing and advertising, retail and many more.

Though Michigan’s mobile/wireless industry is one of the state’s fastest growing industries, it’s also one of the best kept secrets in the state. However, we fully expect that Michigan’s innovation culture, our existing resources, and the continuing mobile/wireless revolution will provide a wide range of opportunities to diversify Michigan’s economic base and drive prosperity in our state. We at MTAM are very excited to play a role in that, and hope that all businesses in Michigan will begin exploring the many ways these technologies can benefit their own firms with increased productivity and profitability.

Should you be interested in learning more about the ways these technologies can aid your firm, or how they are impacting Michigan’s economy, we invite you to visit our website at http://GoMobileMichigan.org or contact us at info@GoMobileMichigan.org. We would also encourage you to become involved in our non-profit trade association so your firm can take advantage of the many resources and educational opportunities we provide.

About the author, Linda Daichendt

Linda Daichendt is the Executive Director of the Mobile Technology Association of Michigan (MTAM), a Co-founder of Mobile Monday Michigan, and a Co-host/Co-producer of the international mobile marketing podcast series, ‘The Mobile Marketing Review’. She is an accomplished marketer and award-winning blogger, and one of Michigan’s leading proponents of the use of mobile technologies for businesses of all sizes – and in all verticals. She is a recognized business expert with 20+ years of corporate, small business and franchising experience. A 14-year resident of her adopted home state of Michigan, Linda’s daily focus is on educating Michigan business, government and education stakeholders about the opportunities that mobile technologies provide to substantially grow Michigan’s economy, as well as insuring the ability for all Michigan residents to benefit from the jobs and businesses created by those technologies.

About the Mobile Technology Association of Michigan

MTAM is a non-profit trade association for Michigan’s mobile / wireless industry. The organization’s mission is to increase the use of Michigan-based mobile/wireless technology products and services in-state, nationally and globally; to increase the productivity and profitability of every industry vertical in Michigan via the use of these technologies; and to create sustainable jobs and increased entrepreneurial opportunities in the state based on the use of these technologies, thereby achieving substantial growth of Michigan’s economy. Information about MTAM can be found at www.GoMobileMichigan.org. MTAM is also the statewide producer of Mobile Monday Michigan – a mobile / wireless industry networking and education organization which is a branch of an international organization. Here in Michigan we currently have 4 chapters (Detroit, Ann Arbor, Lansing and Grand Rapids) with over 2500 members state-wide, and additional chapters in the planning stages for 2013.

Foreign Trade Zone

Posted by Evans Distribution Systems on April 25th, 2013 No Comments

In a Global Marketplace, 3PLs Operating Foreign Trade Zones Provide Competitive Edge for Customers

By Leslie Ajlouny, Evans Distribution Systems

Third party logistics providers that operate U.S. Foreign-Trade Zones offer a unique advantage for their customers that import or export goods. They do this by allowing for value-added services to be performed before any duty is paid on the merchandise. A variety of functions often done by 3PLs can be conducted in a Foreign-Trade Zone, including assembling, testing, re-working, cleaning, re-labeling, re-packing, co-packing with other foreign or domestic product, or destroying. Foreign Trade Zone Evans Distribution

A Foreign-Trade Zone (FTZ) is a secure area under the supervision of the Bureau of Customs and Border Protection (CBP). FTZs are considered to be outside of the Customs territory of the United States for the purposes of payment of duty. That translates to weekly entry savings; duty exemption on re-exports; duty deferrals and no time limits for customers utilizing the zones.

The Foreign-Trade Zone program has been in existence since the 1930s and remains relevant today as the global marketplace becomes more competitive. While many companies consider moving to foreign facilities to reduce costs, a Foreign-Trade Zone can offer the solution that companies need to keep their manufacturing or distribution operations in the United States.

According to the National Association of Foreign-Trade Zones, in 2010 (the most recent year available), a total of 2,400 companies and 320,000 American workers made use of the FTZ program to manufacture, process and distribute a wide range of products, including clothing, electronics, refined petroleum, pharmaceuticals and automobiles. More than 250 Foreign-Trade Zones exist today.

Details of the benefits of operating in a Foreign-Trade Zone include:

Weekly Entry Savings: Under weekly entry procedures, users save by only having to file one customs entry per week, rather than one per shipment, while maintaining the same maximum Merchandise Processing Fee (MPF). There is a minimum $25 merchandise processing fee and a maximum of $485 per entry. The maximum is reached for any shipments valued over $230,952. By taking advantage of weekly entries companies, especially high volume importers, can save substantial amounts. For example, if you receive 10 shipments per week valued over the maximum amount ($230,952) you would owe $4,850 per week ($485 x 10) or $252,000 per year. By importing into a Foreign-Trade Zone, you can combine these shipments into one entry for the week for a total of $485 per week, or $25,220 per year, a significant cost savings of $226,780 per year!
Duty Exemption on Re-exports: Whenever a manufacturer imports a component or raw materials into the U.S., they are required to pay the duties once they enter the country. However, since the Foreign-Trade Zone is considered to be outside the commerce of the United States and U.S. Customs, no duty is owed until the merchandise leaves the zone and enters the commerce of the United States. If the imported merchandise is exported back out of the country, no duty is ever due.
Duty Deferral: Customs duty on merchandise brought into a Foreign-Trade Zone is deferred until the goods are released from the Zone. Therefore, companies can avoid substantial amounts of money being tied up for custom duties on inventory until they are prepared to release into commerce.
No Time Limits: There is no time limit placed on goods stored in an FTZ and goods can be released immediately, unlike bonded storage.
Manipulation of Goods: Goods can be manipulated while in the FTZ changing the essential character of the goods. Some examples include removal or application of labels or markings, changes to packaging, value-added packaging, etc.

Foreign-Trade Zones level the playing field and improve U.S. competitiveness by lowering effective duty rates, allowing special entry procedures, and encouraging production closer to market. Logistics providers that operate in FTZs are well positioned to help customers reduce costs and keep operations – and jobs – in the U.S.

Leslie Ajlouny is VP Business Development at Evans Distribution Systems, which operates General Purpose Foreign-Trade Zone #70 in Detroit, MI and #20 in Norfolk, VA.

Today’s Transportation Technology

Posted by Evans Distribution Systems on April 11th, 2013 No Comments

Today’s Transportation Technology

By Joe Porubsky, Transportation Account Manager at Evans Distribution Systems

The transportation industry has been increasing their use of technology over the past decade. The biggest advancement in the past few years is truck on-board computers and e-logs. The Federal Government has changed their assessment on Transportation compliance and come up with CSA. This new assessment has taken a closer look at driver fatigue and reckless driving.

This new technology has made it easier for trucking companies to watch their workforce and ensure they are driving safe. These Qualcom technology in truck on- board computers can monitor idle time, hard breaking, and engine anomalies. This is not only useful in accidents, but in driver performance reviews. These monitors are very beneficial for a safety manager who can monitor these incidents and take action.

Another benefit of the on-board computers is maintenance data. The computer will monitor fuel economy, oil pressure, coolant temp, transmission, and other important truck monitors. This can allow a maintenance supervisor to keep an eye on his fleet and bring in trucks for maintenance overhauls.

These benefits are great for a modern trucking company, but the issue is the capital it takes to buy and install the equipment in a fleet. The cost of, for example, Qualcomm units per truck is $2,000.00. This cost does not include the TMS system to monitor in the dispatch office that cost in the 100’s of thousands. If your company can not keep pace with the competitors then you will be left in their diesel wash.

Some customers require geo-fencing or GPS tracking to ensure they know where their freight is at all times. This technology is great for high value freight, Hazmat freight or military freight. Transportation technology is essential in today’s fast paced logistics world.

Sources:

www.fmcsa.dot.gov

www.omnitracs.com

The Importance of Hazmat Training

Posted by Evans Distribution Systems on March 20th, 2013 No Comments

The Importance of HazMat Training

By Shawnia Brewer, Operations Manager Mount Elliott HazMat Facility at Evans Distribution Systems

Hazardous Materials training is essential to a well-functioning and safe HazMat facility. The staff at Evans Distributions’, Mount Elliott, HazMat facility had their tri-annual Hazardous Materials training on February 16, 2013. Dustin Rayburn from FRG Corporation conducted the training and made the session not only informative but fun. The training is an 8 hour session learning the ins and outs of hazardous storage, shipping, and waste disposal. Evans Distribution Systems, hazmat, hazardous materials

The training included general rules for receiving, storing, and shipping of hazardous materials. How to prepare shipping documents, how to identify hazardous materials, and how to placard said hazardous materials. The training was done specifically for the operation here at MTE so most of the information was specific to our operation but worldwide information was also discussed.

Important changes to the MSDS (material safety data sheets) and to the overall shipment of hazardous materials were discussed. These changes include a global harmonization of hazardous information on the new SDS (safety data sheets) and the new labeling procedures going into effect the end of 2013 were discussed as well as the new tracking system by DOT for all hazardous shipments that will include new computer systems that you will have to input all hazardous shipments into so DOT can track them across the world. This new computer tracking system was to go into effect the end of 2013 but has been pushed to begin sometime between 2015 and 2018.

All participants in the training were taught how to read an MSDS sheet and how to locate the hazardous information, storage information, and health hazard information on these documents. This information is crucial to operating a facility like MTE because we not only want to protect our customer’s product but more importantly we want to protect all of our employees that work with the material on a daily basis.

Sarah El-Awad is from the Evans sales and marketing department and wanted to sit in on the training to learn more about hazardous material for a better understanding on how to sell it. She can now read MSDS sheets on her own and has a better understanding of the different classes of hazmat and how the different classes affect our storage operation here at MTE.

With these new regulations in place, best practices will be implemented across the board for the handling of Hazardous Materials. When there are accidents on the road, HazMat teams and DOT will know exact quantity and what types of materials they are dealing with before they arrive on scene. Ultimately, the new regulations will help prevent accidents and mishandling of Hazardous Materials.

Sources:

US DOT – http://www.fmcsa.dot.gov/safety-security/hazmat/complyhmregs.htm

Evans Distribution Systems – http://www.evansdist.com

Top 10 Considerations When Selecting A Warehouse Facility

Posted by Evans Distribution Systems on February 19th, 2013 No Comments

Top 10 Considerations When Selecting A Warehouse Facility

By Leslie Ajlouny, VP Business Development at Evans Distribution Systems

There are lots of considerations when selecting a warehouse facility for your products and equipment. Picking the right warehouse can save your business time, money, and give you the confidence needed to build and sustain a good supply chain.

Take a look at this list of things to consider before making your warehouse selection.

10. Ceiling height – must be appropriate for the commodities to be stored. Too high can increase cost of real estate, taxes, utilities, etc. too low can reduce storage efficiencies.

9. Accessibility – different than location it must be accessible to freeways.

8. Ordinances – must meet local ordinances which may limit truck traffic or may restrict type of goods stored.

7. Access to rail could be critical depending on the building use. The rail carriers and potential interchange expenses may need to be considered

6. Bay size will impact layout, rack ability and overall storage efficiencies

5. Dock doors – number of doors, size of doors, type of doors and location of doors in proximity to storage areas will be key to efficiencies

4. Price must match market and support business model

3. Flexibility and ability to expand is critical to meet changing needs.

2. Location

1. Location (location of the building is critical for several reasons including freight fans or drayage expense, proximity to quality labor, proximity to other resources, etc.

www.evansdist.com

LED Lighting Saves Energy

Posted by Evans Distribution Systems on February 5th, 2013 No Comments

Led Lighting Saves Energy

By Pat LaFave – CFO, Evans Distribution Systems

We have seen LED lighting go mainstream in the past few years with LED fixtures LEDlighting available on everything from cars to household lighting. Now as reliability has improved and costs have come down LED lighting is making major inroads in the warehouse and distribution industry.

A warehouse full of metal halide lighting has several things going against it. Short bulb life, lousy quality of light, and high maintenance costs. LED lighting addresses all of those things with 50,000 hour bulb life and high quality lite. LED lighting is also able to be controlled by making each light visible on your company’s computer network.

It is also apparent that government and electric companies are getting on board, providing incentives for change out of inefficient lighting. They have realized investing a little up front they can save on building additional infrastructure.

Evans Distribution Systems recently updated their Melvindale headquarters with LED fixtures throughout the parking lot. Thirty five new LED fixtures replaced the older lighting fixtures. These lights are projected to reduce parking lot energy usage by 80 percent.

Here are some references for more information on LED lighting:

Commercial LED lighting

http://www.energystar.gov/index.cfm?c=ssl.pr_commercial

LED manufacturer

http://www.cree.com/lighting

Driving A Green Machine

Posted by Evans Distribution Systems on February 1st, 2013 No Comments

Driving A Green Machine

By Derek Byrd and Sam Wright at Evans Distribution Systems

The buzz of fuel efficient vehicles and the concern of emissions is a hot topic in todays world. Driving a green machine is more than just car-pooling, its also being conscious of the types of fuel consumed, including clean diesel.

Seeing a lineup of tractor-trailers can be a good reminder of the amount of emissions from these vehicles. Some areas are more congested Deisel Exhaust Fluid Driving a Green than others and the emissions are more noticeable. Ultra Low Sulfur Diesel, also known as ULSD is a cleaner more refined fuel than the previous standards for diesel fuel, and is becoming increasing popular. This fuel has many advanced fillers that work to control emissions. These advanced fillers clean the diesel exhaust fumes before they actually exit the vehicles exhaust system.

As of five years ago, most retail locations selling fuel began to use ULSD. Since then many states have enacted regulation, ensuring this form of Diesel fuel be used to lower emissions. Because this grade of fuel is comparable to European grades, European vehicles will no longer need to be redesigned to accommodate higher sulfur fuel.

It’s good to know the trailers that are being used to transport parts to manufacture fuel efficient cars are actually fuel efficient themselves. Being from the city that was built on the automotive industry, it’s reassuring to know that steps are being made to make sure we are fulfilling our duties all around the transportation industry.

In 2012, Evans added two tractors and 13 switchers utilizing Diesel Exhaust Fluid, aka DEF. DEF is used to reduce harmful emissions, specifically Nitrogen Oxides, NOx. This additive reacts with NOx to convert the pollutant into nitrogen (N2) and water (H20) for cleaner emissions. DEF can also help improve mileage between five and 11 percent according to reports from GM and Parman Energy.

Learn more about DEF at www.BrennTagDEF.com. Find out more about ULSD at www.clean-diesel.org

Sources:

Effective Leadership – A Matter of Trust

Posted by Jim Simpson on January 30th, 2013 No Comments

Effective Leadership – A Matter of Trust

Jim Simpson Leadership Series: Volume III

Trust is a major component of leadership. That’s why leadership is about doing the right things. Making effective decisions that adhere to Effective Leadership at Evans Distribution Systems the culture and mission of an organization builds this trust. Great leaders “Walk the Talk”. Their word is their credo. Communication is 87 percent visual. Leaders must be observed doing as promised on a consistent basis. People pay attention to what they see, not what they hear.

BEING A LEADER

A person can be given the title of manager. They must earn the trust and respect of their team-members to be real leaders. Being a leader requires followers. Team members are not forced to follow, they do it out of trust and respect for the leader. They work hard because they want to please their trusted leader. Leaders pull people along with them, they don’t push them.

THE THREE C’S

I look at leadership as a three-legged stool, the Three C’s. All three legs must be in place for effective leadership. The first leg is conscience, again a reference to making the right decisions. The second is competence. People won’t follow someone who is incompetent. The third leg is consistency. Followers expect their leader to remain consistent in their behavior and decision making.

A three-legged stool can not stand on one or two legs, it takes all three to be effective.

In our next segment we will take a look at the Three C’s of leadership in more detail. Subscirbe to this blog to follow the Effective Leadership Series by Jim Simpson. Also find out more at www.jsimpsonandassociates.com

Effective Management Step-by-Step

Posted by Amy-Jo Boggs on November 1st, 2012 No Comments

The following is Leadership Series Volume II guest blog from Jim Simpson of J Simpson & Associates

Effective management is essential to create a successful company. It is responsible for the Day-to-day operations which create a smooth flow of activity. Today’s tough economic environment rewards efficient, effective operations. Tight margins require even tighter expense controls. An effective manager understands this and reacts accordingly. Getting the very best performance out of each team member is one of the requirements of today’s manager. Continuous improvement is essential.

GREAT EXPECTATIONS

Improvement comes from having a clear picture of what is expected. A written job description which really explains the requirements of the job is essential. There should also be written processes breaking down the required activities of the job. The processes help in training and help isolate problems to assist is their correction. Once a team member understands completely what needs to be done, the next question is “can you do it”? If not, training should be provided. Once the employee knows exactly what the job requires and is sure he can do it, the good manager gets out of his way and let’s him do it. Micro-management is not an effective management style.

FREQUENT FEEDBACK

Feedback is the biggest motivator of people. Hopefully the feedback can be positive but even negative feedback is better than none at all. Many companies get hung up on quarterly or annual employee evaluations and when conducted properly they can be of value. The problem is that most people, the managers included, hate them! Seldom are we trained in how to conduct them effectively. A good evaluation points out the negative and positive aspects of the employee’s performance and the parties agree on a plan to improve performance where needed. Discussions of pay or pay increases should not be a part of this process.

PERSONAL TOUCH

“Day-to-day” management is very effective. Spend time with your direct reports each day. Get to know them and how they feel about you, their job and the company. Solve problems with them while the issues are small and you will seldom have big problems to address. This technique also builds trust which we will discuss in our next visit.

Jim Simpson, president of J SIMPSON AND ASSOCIATES, LLC in Shelby Township, MI, specializes in Executive Coaching and Leadership Team Development. Jim has worked with the Management Team at Evans Distribution Systems since August of 2010. Find out more at jsimpsonandassociates.com

3 Key Criteria for 3PLs when Selecting Carriers

Posted by Nathan Wheeling on October 9th, 2012 No Comments

When looking into carriers that can help move your customer’s freight, a number of items must be considered to ensure you are working with the right partner. You must formulate a solution that meets your customer’s requirements, while also providing protection for any problems that may occur to procure a long-standing relationship.

Safety

I put safety at the top of the list and suggest you make this one of the first items that you consider for any carrier you approve to move freight. There are a variety of resources to research a carrier’s safety record. SAFER (Safety and Fitness Electronic Records) has both a free option and a fee based option that allows you to review company information. The free version includes info on the company’s size, type of cargo, inspections and out-of-service summary, crash data and safety rating (if any). The fee based service provides additional safety-related info from inspection and crash reports, as well as results of any reviews or enforcement actions involving the carrier.

The new CSA 2010 carrier ratings are the new standard for carrier rankings and being able to understand the new categories and rating system is important to know what deficiencies a certain carrier may have. This information can be found on the FMCSA Safety Measurement System website.

Reputation

Word of mouth still plays a huge factor for many consumers when looking to purchase a service/product. Utilize your network of industry associates and/or groups to get an idea of what carriers are able to provide the best service, rates, capacity for a specific freight lane, etc. This is critical and valuable information and who better to provide it than your peers in the industry.

Price

While admittedly price is an important factor to your customers, it’s important that you have the previous two factors nailed before looking at this piece of the puzzle. It can be tempting to take the lowest rate, but consider the old saying “If it seems too good to be true…it probably is.” Backhaul capacity from a qualified carrier is the ideal solution to help provide attractive rates to your customers and finding a carrier that is looking to bring equipment home is always the easiest truck to assign to a load. When selecting a carrier to run a headhaul vs. a backhaul, you will generally find the backhaul carrier most eager to service the freight. It works out great for both parties – you are helping them get home and you get a great rate for your customer in the process.

If you need assistance with your carrier selection/management you can reach out to Nathan who manages Evans’ transportation management division. 313-388-3200

Making it easier to navigate the world of logistics.

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