CHALLENGE
Over the last 40 years, Watco has grown from a single switching operation into a logistics powerhouse with locations spanning North America and Australia. Their operations encompass an unmatched network of short line railroads, terminals and ports. However, what truly sets them apart is their commitment to safety, efficiency, and sustainability.
Through their investment in the latest telematics tech, the Watco team have been able to take significant strides forward.
The terminal facilities are the hub of the logistics process, where materials are received and stored, and then shipped to the different customers they have been sold to. With many of their customers requiring the raw materials to sustain production lines, a disruption to delivery schedules can come at a high cost, and this drove the Watco team to find a solution that ensured their team always had the equipment to get the job done.
SOLUTION
When Watco found themselves over maintaining some equipment, while under maintaining others, the integration of TN360 ACM was a game-changer for their electronic maintenance platform.
Shifting from the traditional calendar-driven schedules, Watco moved to a data-driven approach. By automatically pulling engine hours and odometer readings, they could create finely tuned preventive maintenance schedules that cut unnecessary maintenance visits, leading to real world savings and increased equipment availability. This started with their use of video telematics, where they’re able to protect their drivers from false claims, and more recently expand into their terminal facilities, where they implemented an asset management platform to help improve the efficiency of their transloading service.
We didn’t have good visibility of the current runtime across our equipment, and were bringing in equipment for maintenance on a more frequent basis than needed. Moving from a periodic maintenance schedule to a data driven schedule has already resulted in significant maintenance cost savings.
Watco's serious commitment to safety shines through their adoption of digital pre-use inspections. Moving away from the traditional paper-based methods, the team now receive real-time notifications of potential safety concerns, allowing for swift corrective action.
Turn times is a key marker of operational efficiency. With many of Watco’s customers requiring they ship raw materials to sustain production lines, any delay in delivery could have a costly impact. With the help of TN360 ACM, Watco now has the visibility into their turn time efficiency, helping them continually improve processes, minimize the risk of preventable delays, and protect from delays that are outside of their control.
The integration between TN360 ACM and Gasboy has also provided invaluable insights into fueling practices and consumption patterns. It ensured authorized fuel usage and accurate fuel selection while offering a detailed view of fuel efficiency across their fleet. This comprehensive view of fuel consumption played a pivotal role in cost management.
The impact of the integration is going beyond cost savings and Watco is using the data to support their sustainability initiatives, utilizing fuel data to populate Electric Vehicle (EV) feasibility studies.
RESULTS
Watco's journey with telematics, powered by TN360 ACM, has helped fuel their success across the entire business from driver protection to terminal optimization and more including:
1. Overall Fuel Cost Savings
2. Increased Operational Efficiency
3. Finely Tuned Preventative Maintenance Schedules
ABOUT WATCO
Watco is a full-service supply chain solutions company providing rail, transloading, terminal and port, and logistics services. The privately owned company, headquartered in Pittsburg, Kansas, has nearly 5,000 team members and has been recognized by Forbes and Newsweek for outstanding culture.
Since Watco’s founding in 1983, they’ve grown as owner and operator of a diverse and network of short line railroads, terminals, and ports throughout North America and Australia. Using both Watco assets and a vast network of industry connections, their logistics division is a true third-party logistics (3PL) provider, providing customers with the right shipping solutions.