GLOBE GAZETTE • MARCH 2011
IN BUSINESS • 19
A semi stops at Pilot Truck Stop in Clear Lake. Many North Iowa businesses are trying to reduce travel costs for overthe-road vehicles as fuel costs escalate. RICHARD JOHNSON/ The Globe Gazette
FUEL PRICES/From Page 18 Oil prices topping $100 per barrel this winter have businesses scrambling. That spike was heightened by the turmoil in Libya. Plus the massive earthquake, tsunami and resulting nuclear woes in Japan have cast a massive cloud over the world oil market, with the impact still to be determined. As recently as Monday, oil prices tumbled as concerns grew about the economic impact. But it’s a sure bet that taxi and shuttle services, construction companies — even community service agencies that pay staffers to visit clients in their homes — are squeezing bottom lines. RISING FUEL COSTS must eventually be passed along to customers. “But you have to reduce them first,” said Joe Rottinghaus, pool shipping manager for Curries Co. and Graham Manufacturing Corp. in Mason City. The companies use trucks for hire. Curries ships non-residential steel
doors and Graham ships commercial wood doors to distribution centers and a network of distributors in all 48 states in the continental U.S. Curries spends about $8 million annually on freight costs while Graham spends about $3 million, Rottinghaus said. Fuel surcharges — up 3 to 5 percent from a year ago at this time — range from 10 to 20 percent, depending on the transportation mode. Among the companies’ cost-saving measures: • Load-planning of “pool” trucks to multiple stops, reducing miles and costs. Trucks are routed for the shortest possible trips. “That’s a major part of it,” Rottinghaus said. “That’s one of our No. 1 priorities in addition to making sure the trucks are full” and reducing backand-forth stops. Rottinghaus works closely with carriers and logistical partners.
Council” works to reduce waste and maximize energy savings at the Mason My advice to company lead- City facilities. Lights shut off automatically when ers would be listen no one’s in a certain area, air curtains at shipping areas keep heat in and cold to every idea that out, and high-volume, low-speed fans has an opportunity reduce heating and cooling costs and to cross your path increase employee comfort. “I feel through employee involveand make transment and new technology, Curries and portation a positive Graham are making excellent strides in saving energy while continuing to be method to sell your products focused to meet and exceed customer rather than an expense.” demand,” Rottinghaus said. — Joe Rottinghaus “My advice to company leaders Pool shipping manager for Curries Co. would be, listen to every idea that has and Graham Manufacturing Corp. an opportunity to cross your path and make transportation a positive method “Fuel is definitely a part of those dis- to sell your products rather than an cussions on a day-to-day basis,” he expense,” he said. said. “You have to keep that communication open on a daily, weekly and MINNEAPOLIS-BASED Jefferson monthly basis.” Bus Lines’ 70 or so buses roll about 7 • Curries/Graham’s internal “Green Continued on next page
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