"You must provide a reliable service to gain recognition."
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Paul Holgate
MW's decision to wash its hands of Rover, followed by Ford's announcement that car production at its Dagenham plant was to cease, were two serious blows to a nation's manufacturing pride. The effects went far beyond those directly employed by these giant firms, and reached those involved in car transportation.
But the atmosphere at car transport specialist Paul Hodgson Transport is anything but downbeat. Quite the opposite. Expansion is on the cards here.
The view from the windows of general manager Graham Holgate's office is like a scene from a Scandinavian forest Beyond the depot's perimeter fence is a wood of pine trees. But Paul Hodgson Transport is, in fact, handily placed in the Hampshire countryside, four miles from the M3.
How does general manager Paul Holgate view the wider Ford and Rover situation? It takes potential vehide movements away from the country and the volume [of cars] is more spread out," he says. Importantly, though, the
0 BMW and Ford issue boils down to car production. Rationalisation and closure may damage home-grown manufacturing, but cars still have to be carried—whatever their origin. Much of Paul Hodgson Transport's work in that field is in hauling new imported cars from ports to UK dealerships. "We know our market very well and we pride ourselves on our ability to give our customers a good service," says Holgate.
Like most things in haulage, providing sterling service can only come with experience, and the best way to gauge that know-how is to look back at the Hodgson operation.
More opportunities
Managing director Paul Hodgson started as an owner-driver in 1984 in Newcastle-uponTyne when his motor trader father, Dave, lent him a small car transporter. He worked for anybody who needed vehicles moving, such as car leasing companies. Then he started to work for British Car Auctions, which specialises in selling second-hand cars. Although he was based in Newcastle he ran down to southern England where he found more opportunities.
The work was not without incident, as Holgate testifies. "One time Paul spent two days stuck in deep snow on the MG with a load of Mitsubishis. Luckily he had a heated cab; eventually the road was cleared and he got out."
Fortunately, the customer was "understanding" about this wintry predicament.
With such a wealth of work in the South, the company moved to Fleet in Hampshire in 1994. "We would collect second-hand cars from dealers, then take them to auction houses. There would not be a tremendous distance between the two," says Holgate. Dave's car trade knowledge proved valuable in supplying Paul with business contacts. The firm moved to its present home at Eversley Haulage Park in 1996.
Dave Hodgson ceased working as a motor trader, joining his son's firm as director. This is a family firm, but with a difference—technically speaking, father works for son. Dave's wife, Doreen, oversees day-to-day truck movements; Paul Hodgson's partner, Julie Hodgson (coincidentally the unmarried couple share the same surname), looks after the administration. Typical of many haulage firms, there is a strong family identity here: phone the Paul Hodgson office and expect to be greeted by a distinctive Geordie accent.
The firm still carries second-hand cars but is branching out into new markets, as Holgate explains. "Today we concentrate on transporting new cars, mainly from ports including Grimsby, Southampton and Harwich. After the cars are collected we take them to the showrooms of the franchised dealers."
Some 8o% of the firm's work involves carrying cars for five fleet operators, and the Paul Hodgson Transport general manager is under no illusion that only dedication will attract business from the big players. Crucially, the major fleets are reluctant to take on firms which have not established a solid reputation. Holgate says: "You must provide a reliable service to gain recognition. These people do not take you on straight away." The other 20% of work is in spot hire. "We are looking to expand and in so doing these percentages will alter. We want to secure our own contracts."
Regardless of who you are working for, transporting new cars brings its own pressures. Holgate says: "In the new car market, the security of the load is fundamental, and of course it is more critical the more vehicles you are handling on one trailer.
"Each truck is fitted with tracking equipment to monitor progress while providing added security. When you are moving new vehicles the attention to detail is much more important than moving second-hand."
Site security is also taken seriously. The day CM arrived at the depot we had to wait at the gate to be admitted by Hodgson staff.
Punctuality is vital. "This is a very timecritical industry," Holgate says. "When a car is allocated to be somewhere, the clock starts to tick. A late delivery can mean a financial penalty."
In 1999 new vehicle registration launches became twice-yearly, replacing the traditional f August scramble. This benefits the firm as there are two smaller peaks rather than one large one.
In the shiny world of brand new motors, image matters. All drivers are provided with a uniform—in this market the last thing you want is a driver turning up in a football top and jeans.
Maintenance
The way the fleet is built up has also changed. Gone are the days of lease purchase; now the company buys new. Holgate says: "It is proving more financially viable this way, with full maintenance agreements." The firm runs 13 tractive units, pulling nine nine-car transporter trailers and two trailers with a so-car capacity. Single-car movements can also be undertaken with a 4x4 vehicle and trailer.
It is an impressive transport capability, but Holgate says the firrn is keen to diversify. "The ambition is to offer more services to the car industry," he says.
This could mean new vehicle preparation— in practice, getting cars on the road—as well as de-fleeting, vehicle repairs and more accommodation. "We do have this two-and-ahalfacre site but we desperately need to increase car storage," says Holgate. "We are spreading our wings."