Hutt Trucking Company in Hamilton, Michigan, about 25 miles southwest of Grand Rapids, maintains an annual growth rate of 10% to 15%. The truckload and LTL carrier prefers to grow steadily with existing customers rather than taking on new markets, says Jim Hutt, company president.
But about two and a half years ago, the company decided to enter the lucrative office furniture transport business that thrives in southwestern Michigan. In addition to existing service to the East Coast, Hutt Trucking added a lane to the West Coast and started replacing older equipment. Now the company confronts the prospect of unprecedented growth.
"We've had a steady ride from the day we opened this business 14 years ago until we started hauling furniture," Hutt says. "It's a bumpy ride now. Sometimes customers want us to haul more freight than we can handle. In response to the increased demand, we started a brokerage to find other carriers for loads beyond our capacity. We broker loads only with the prior approval of our shippers."
Like several other refrigerated carriers in southwestern Michigan, a major office furniture manufacturing center, Hutt Trucking in Hamilton balances outbound furniture loads with backhauls of produce and other perishables. Lanes to the West Coast handle only truckload freight.
Prior to starting West Coast runs, Hutt Trucking offered truckload and LTL service between western Michigan and New England. On these eastbound lanes, the company hauls yogurt, turkey, fresh meat, and dairy products. Return loads include nonrefrigerated, nonhazardous industrial products.
A major Hutt Trucking customer is Yoplait/Colombo, a yogurt producer with distribution centers in Michigan, Massachusetts, and California. Hutt hauls from all three locations. Two tractors and trailers based near the Yoplait distribution center in North Reading, Massachusetts, make shuttle runs in Boston. The rest of Hutt's fleet of 22 tractors and 45 refrigerated trailers is domiciled in Hamilton.
"We were seeing seasonal fluctuations of the products we hauled to the Northeast," Hutt says. "Beginning in the fall, yogurt sales drop off, and consumers have had their fill of turkey by December. We saw an opportunity to fill these slow periods with furniture loads to the East and West Coasts."
West Coast runs also provide an opportunity for Hutt Trucking to use specialized refrigerated trailers to handle various types of cargo. These trailers actually provide triple capability, Hutt says. They can haul dry products, refrigerated cargo, and decked loads of furniture. Outbound furniture loads from Michigan to California are balanced with inbound loads of dairy products and produce.
Equipment Purchases Since Hutt Trucking began hauling furniture, the company has nearly doubled its refrigerated trailer fleet. Recent additions are 53/102 Wabash and Trailmobile vans with Thermo King SB-III Smart Reefers. Vertical logistics tracks on interior sidewalls provide anchors for furniture loads.
The company also upgraded its tractor fleet. Hutt now runs tractors for four years. "We used to purchase used tractors," says Rick Kubiak, Hutt Trucking fleet maintenance manager. "In 1996, our first new purchase was seven Kenworth T600s. About two years ago, we settled on Freightliner C120 Century Class tractors as our standard. Freightliner offers an extended bumper-to-bumper warranty for three years or 350,000 miles."
14 New Freightliners Hutt Trucking has purchased 14 C120s tractors and a Freightliner Classic XL in the past two years. They will be traded after about 450,000 miles, Kubiak says. Long life components and a long life warranty will save Hutt maintenance costs.
Company technicians spend less time greasing components because Freightliners have more sealed components than earlier model Kenworths, Kubiak says. Sealed components include U-joints, slack adjusters and brake cams, slip yokes, front hubs, steering column U-joints, and front spring suspension pins.
"We save about 120 hours of maintenance a year for 'A' service," he says. "And we don't have to change the engine oil every 15,000 miles. We do oil changes at 20,000-mile intervals, and send oil samples for laboratory analysis to spot potential engine problems and make repairs before they become serious."
The savings in service hours has decreased the work load per vehicle for Hutt Trucking's two technicians, he adds, and Hutt has not had to hire additional maintenance personnel.
New Freightliner tractors have helped Hutt Trucking control fuel costs. "We encourage drivers to use cruise control to improve fuel economy," Kubiak says. "We believe driver incentives and the performance of the Series 60 Detroit Diesel 430/500 hp engines in our tractors have contributed to an overall improvement in fleet fuel economy. Engine governors are set at a maximum highway speed of 71 mph." Warranty for Detroit Diesel is 500,000 miles for major engine components.
Hutt Trucking pays driver bonuses on a sliding scale. Drivers who produce better fuel mileage get bigger bonuses. Bonus pay starts when fuel mileage reaches 6.1 miles per gallon. Top pay is 21.2 cents a mile at seven mpg. "Engine data is downloaded weekly to check mileage," Hutt says. "Our 25 drivers now average 6.72 mpg."
Engines drive through Eaton Fuller RTLO-16610B 10-speed transmissions. In April, Hutt Trucking started testing the new FRLO-16410C-T2 Lightning Transmission, a 10-speed with the Top 2 feature. The driver shifts the lower eight gears manually. Changes between the top two gears are automatic.
Hutt works closely with Eaton, which has a plant in Galesburg, Michigan, about 50 miles south of Grand Rapids. Another supplier with a plant near the Hutt Trucking terminal is Holland Hitch in Holland, Michigan. Hutt has tested new Holland equipment in the past and equips tractors with Holland Hitch fifthwheels exclusively.
Meritor Drivelines Hutt Trucking equips its tractors with Meritor brakes and running gear. This includes a 12,000 lb FF-981 front axle with 15X4 Q+ brakes and slack adjusters. The 40,000 RT-40-145 drive tandem has a 3.73:1 final drive ratio.
"We use all synthetic gearbox lubricants," Hutt says. "Meritor and Eaton both provide a 750,000-mile warranty. We use Mobil lubricants across the board. Engine oil is Mobil Delvac 1300 15W-40." The tractors are equipped with aluminum wheels to reduce weight. Weight is an issue, Hutt says, because the company hauls a lot of heavy product such as meat and produce. Aluminum wheels are used with Michelin 275/80R 24.5 low-profile tires.
Tractor specifications were determined with the input of company drivers, Hutt says. Keeping drivers happy is important for driver retention. In the Grand Rapids area, good drivers may choose to work at any of a number of trucking companies that all haul furniture on the same lanes. To please drivers, Hutt Trucking ordered longnose tractors with 70-inch raised roof sleepers. Trucks have carpeted gray vinyl interiors and air-ride seats.
Hutt Trucking communicates with its drivers using a satellite system provided by American Mobile Satellite in Reston, Virginia. It automatically updates each truck location every hour. "Drivers and dispatchers communicate with laptop computers," Hutt says. "We have a fully integrated system linking dispatch software with satellite tracking."
