a modern day pony express

situation

Caterpillar transmission production requires just-in-time transportation between a production plant in East Peoria, Illinois, and a supplier plant in Dyersburg, Tennessee. The plants are 390 miles apart, a distance that is too far (780 miles round trip) for one driver to legally run in one day. 

goals

Caterpillar needed a way to support the demands of its just-in-time production, but it also needed to eliminate risk and reduce costs. They needed a transportation solution that offered more efficiency across the board.

strategy

We considered several options and ultimately developed an innovative Relay Operation that splits the route in two. Now, instead of a team driving back and forth between the two plants, drivers are based in both East Peoria and Dyserburg. Here’s how it works. One driver leaves Peoria with a load and travels 140 miles south. A driver from Dyersburg travels 250 miles north. They meet, switch trailers, and return to their point of origin. To maximize hours of service and equipment, one northern driver completes three trips per day, while three southern drivers each complete one trip per day.

results

Caterpillar is extremely satisfied with this solution. By splitting the distance traveled, our Dedicated team can more effectively respond to breakdowns and accidents and respond to road and weather issues by altering distance traveled for each driver as needed. In fact, communication is key in this highly time-sensitive operation. Drivers play an important role by getting to know each other and the customer.

Ultimately, the Relay has generated great efficiencies in that we can now time runs down to the minute and safely achieve just-in-time delivery, we maximize equipment use, and we’ve reduced costs. Our drivers like it, too. They get to be home every night.