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Interview with Dave Miller, Vice President of Global Policy and Economic Sustainability for Con-way Freight Inc.

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01/02/2009

An interview with Dave Miller, Vice President of Global Policy and Economic Sustainability for Con-way Freight Inc.

Con-way is an industry leader in the transportation and logistics industry combining the resources of more than 30,000 professionals, decades of experience and industry leadership, and the financial stability of a $4.7B publicly traded (NYSE:CNW) company to create a competitive advantage for its customers.

Dave Miller began working in the industry at age 16 where he worked cleaning the dock floor and aprons before going into maintenance, then driving, then working shifts at the service center level. As vice president of global policy and economic sustainability for Con-way, Inc., Dave Miller divides his time between environmental policies. Government affairs and business practice. He is a frequent advisor to state and federal governments and the military and is currently involved in policy development with the U.S. Chamber of Commerce.         

Con-way Freight Inc. offers a portfolio of services through operating companies ranging from less-than-truckload (LTL) (Con-way Freight) to logistics (Menlo Logistics) to full truckload (Con-way Truckload).

Q.  Mr. Miller, how does Con-way integrate environmental policy with business practices?

A.  Con-way is guided by a mission to balance its commitment to people, the planet and profits. We strive to be good stewards of the planet and at the same time remain focused on growing the company and improving the economy through sustainable solutions. We evaluate each decision against these three factors before making the best choice for our business. Then, recognizing that there are immense challenges as a society and an industry, we continually re-evaluate that decision against market realities, needs and opportunities. We know that change is inevitable and that we can’t stay married to the same policies.    

“People. Planet. Profits. Whether customers choose us for it (environmental policies) or not, we’re committed to a business model that is sustainable and that provides jobs and shareholder value. SCR is one technology that helps make sustainability cost effective.”

 

Q.  You recently visited with customers in Europe who were using SCR to reduce their emissions. How is SCR working out for them?

A.  The technology (SCR) works. The trip absolutely confirmed that. There was no degradation in performance and SCR posed no problems for large fleets of 50-60 trucks or more. Another thing I noticed was that (diesel exhaust fluid) dispensing units were everywhere. Con-way builds fuel islands for its own refilling purposes. It was nice to see the SCR dispensing set up and know that we can have bulk (diesel exhaust fluid) filling on site. Based on what we saw, a fleet owner can specify its own filling units, fill when it is convenient and save some money per gallon of fluid.  

“The (SCR) technology works. The chance to see European fleets in operation and talk to them absolutely confirms it. No degradation in performance.”

Q. What about the drivers? Based on what you saw in Europe, how do you think drivers will adapt to the SCR technology?

A.  Our drivers understand that Con-way is into sustainability and committed to a sustainable business model that will provide jobs as well as shareholder value. They understand the economic realities of what we do and have gotten on board with the program. For instance, we are one of the first major fleets in the U.S. to reduce our CO2 footprint as well as fuel costs by promoting progressive shifting and reducing our speeds from 68 miles per hour to 62 miles per hour. Because of the hills we face and the loads we pull, we fought automatic-transmission shifting for a long time. Now we’re reassessing that position considering the benefits that seem to be derived from that type of equipment configuration. Topping off (with diesel exhaust fluid) will not be a problem for our drivers. 

Q.  On the policy side, what regulations do you see coming down the road?

A.  Con-way beta tests a number of initiatives, including on-board diagnostics. We know that fuel efficiency will continue to be the name of the game. In 2010, engines using SCR will be about as efficient as they can get. After that, we’ll continue to see more aerodynamics designed into the trucks. Then, based on our experience, the only way left to reduce CO2 will be to reduce fuel consumption by allowing for more efficient truck combinations (longer vehicles and heavier load limits). Our data shows hauling more tons per mile can improve fuel efficiency by up to 20 percent. Other future policies and regulations will be needed to better manage traffic congestion and improve road and bridge infrastructure.    

 

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