April 2010

2009 U.S. Construction Machinery Exports

Digging New Industries

Emissions Compliance

Stimulating Industry News

Head of the Class

Word from the Work Truck Show

The Green Machine

Digging New Industries
Terex Auger Drills Transition to Utility Business

Terex is a company that always seems to be evolving. Whether it’s acquiring its own compact equipment lineup or most recently, moving its auger drill product line from Terex Mining to Terex Utilities. This move is the result of the previously announced sale of the Terex mining business to Bucyrus International. Production and engineering support for Terex auger drills will now be handled in Watertown, S.D., while product and service support will be handled by the extensive network of Terex Service Centers.

“These products complement our digger derrick and aerial device products and we will be able to leverage product development, marketing, sales, channel development and product service and support for the auger drill line,” said Lee Jacobson, General Manager, Terex Utility Products. “Our sales and support channel has become very familiar with this product over the years.”

A cross-functional group of Terex team members from all areas of the company worked to enable a smooth transition, ensuring that parts and service support levels were uninterrupted and that production was in place to meet the needs of its customers. In addition, Terex’s efforts allowed for complete training of other team members whose functions will now include responsibility for the auger drill product line.

“The alignment of the auger drill business within the utilities group of Terex provides our drill customers with a team of dedicated professionals that understands the utility business and the importance of superior drilling products,” said Gary Rice, Product and Sales Manager, auger drills. “We look forward to providing an enhanced product offering while further strengthening the level of service and support that our customers have come to expect.”

Emissions Compliance
Where to Start with New Regulations

With the California Air Resource Board (CARB) regulations in full effect and Tier 4 Interim engine emissions right around the corner, sifting through engine emissions requirements can be confusing and time consuming. For contractors who are paying more attention to their bottom line than new regulations, John Deere offers tips to keep your crews working in compliance with legislation.

We’re now in the Tier 3 and Interim Tier 4 period, which requires a significant reduction in particulate matter (PM) and nitrogen oxides (NOx) emissions. Interim Tier 4 standards are based on timetables determined by the horsepower rating of the engine. Final Tier 4 standards begin phasing in during 2013.

So what should you do first?

See your local dealer for an assessment, which will help you determine local and/or state emission requirements for your existing equipment or fleet and what strategies, such as repower, retrofit or repurchasing (buying newer iron), might be right for your particular location, equipment and applications.

“Make sure your dealer has a designated Interim Tier 4 focus person responsible for spreading Interim Tier 4 expertise across the dealership organization,” said Joe Mastanduno, Product Marketing Manager for engines at John Deere. “Also, ask the dealer if they are part of a manufacturer’s ongoing emissions compliance training program that covers more than just Interim Tier 4 technology — you’ll want the benefits from a broad range of training, like knowledge of changing regulations and government funding resources.”

Emissions Background

Today’s regulations have their roots in the Clean Air Act of 1970, one of the most significant environmental laws in U.S. history, which created sweeping laws to reduce and control air pollution. Among other air pollutants, the Clean Air Act addresses PM (known as soot) and NOx. Nitrogen oxides react with sunlight and other substances in the atmosphere to create ground-level ozone, otherwise known as smog. Particulate matter and NOx come from many sources, including diesel engines.

In an effort to reduce and control PM and NOx emissions, the Clean Air Act required the EPA to, among other things, establish and enforce progressively more stringent emissions requirements for all new off-road diesel engines starting in 1996, known as the Tier emissions standards.

Stimulating Industry News
More Construction Firms Likely to Perform Stimulus-funded Work in 2010

The construction industry may be down on its luck right now (sitting at over 20 percent unemployment), but it’s certainly not down for the count. Stimulus funded infrastructure projects are saving and creating more direct construction jobs than initially estimated, according to a new analysis of federal data recently released by the Associated General Contractors of America (AGC). The analysis also found that more contractors are likely to perform stimulus funded work this year as work starts on many of the non-transportation projects funded in the initial package.

“The stimulus is one of the very few bright spots the construction industry experienced last year and is one of the few hopes keeping it going in 2010,” said Ken Simonson, the association’s Chief Economist. “The stimulus is saving construction jobs, driving demand for new equipment and delivering better and more efficient infrastructure for our economy.”

Simonson noted that new federal reports show the $20.6 billion dollars worth of stimulus highway projects initiated over the past twelve months have saved or created nearly 280,000 direct construction jobs. That amounts to 15,000 jobs per billion dollars invested, well above pre-stimulus estimates that every billion invested in infrastructure projects would create 9,700 direct construction jobs.

Simonson added that heavy and civil engineering construction employment was stable last month even as total construction employment declined by 75,000. Meanwhile, highway and road construction was one of the only areas to see an increase in spending last year even as total construction spending fell by $100 billion. The two figures are a clear sign the stimulus is having a significant and stabilizing impact on the industry, Simonson noted.

Simonson cited examples like Pittsburgh’s Golden Triangle Construction Co. as an indication of the benefits of investing in infrastructure. The company is hiring two new engineers and over 100 employees this spring just to perform $24 million worth of stimulus-funded projects this year.

It also is ordering new construction equipment to perform the work from Ripon, Cali.-based Guntert and Zimmerman. As a result, the equipment maker saved 40 jobs on its assembly line. And thanks to its stimulus work, Golden Triangle decided to complete construction of its delayed headquarters, providing even more local construction jobs.

“The stimulus will keep a bad situation from deteriorating further,” Simonson said. “That may not make for great headlines, but it is welcome news for construction workers anxious to continue receiving paychecks.”

Head of the Class
Construction Academy Prepares Women for Leadership

You’d better think twice before thinking that construction is a man’s world. Women hold strong positions in the construction industry and the NCCER and the National Association of Women in Construction (NAWIC) will make sure that even more women solidify their place in construction with the fourth annual Women’s Leadership Academy on June 19-22 at The Nature Place in Florissant, Colo.

The Women’s Leadership Academy targets business owners, education directors, office managers, training coordinators and anyone interested in learning how to be a more effective leader. It consists of three days of intense training sessions specifically geared towards women covering such topics as powerful language skills, gender-based power in business leadership styles, negotiating techniques, time management, productivity and conflict resolution. Participants also receive lasting network opportunities by sharing their experiences with peers from around the nation.

“The Women’s Leadership Academy is a unique experience for women to connect with other women in the industry and build lasting leadership and business skills,” said Rachael Smith, Marketing Director for NCCER.

The Women’s Leadership Academy is led by quality instructors that motivate and engage participants through a series of team-building exercises, group projects and hands-on activities.

Denise Norberg-Johnson, an Instructor for the academy and the President of NAWIC from 1999 to 2000, said the Women’s Leadership Academy is not designed to teach women to manage exactly as men do, but instead embraces gender differences and helps women to make the most of their unique management style.

“Women think differently than men,” said Johnson. “They form relationships and bring their subordinates into the decision-making process, and while this used to be considered ‘weak’ management, it is now taught across the board as a successful management style.”

Tuition for the academy is $1,495 and includes lodging, all meals, course materials and transportation to and from the airport. Upon completion of the academy, participants will receive continuing education units and may receive industry-recognized credentials from NCCER’s National Registry.

To register for the Women’s Leadership Academy, visit www.nccer.org/leadership. To find out about current academy promotions call the NCCER Training and Registration and Fulfillment Coordinator at (888) 622-3720.

Word from the Work Truck Show
New Road Warriors from Navistar and Kenworth

In March, St. Louis hosted the National Truck Equipment Association (NTEA) Work Truck Show. Utility Contractor had editors on the front lines, gathering the latest news on medium-duty trucks. Here’s the latest and greatest to roll out of St. Louis.

Navistar International TerraStar

The new International TerraStar Classs 4/5 commercial truck offers a wide range of commercial-duty features — from its commercial-duty MaxxForce 7 V-8 diesel engine to the one of the largest, roomiest cab available. At the heart of the truck is its all-new 300 hp, 6.4-liter engine, delivering 660 lb-ft torque. This engine features a compacted graphite iron (CGI) block which offers high strength without added weight. The MaxxForce 7 will be matched with a commercial-duty Allison 1000 transmission to optimize its power output.

The TerraStar features MaxxForce Advanced EGR emissions technology. With MaxxForce Advanced EGR, customers won’t have the worry or inconvenience of finding or filling liquid urea. And, with no added SCR aftertreatment equipment, the TerraStar provides a clean and clear chassis for easy body and equipment mounting, not to mention less added weight.

While built on a strong and durable commercial-duty platform, the TerraStar is also easy to operate. The TerraStar features outstanding visibility. And, with an industry-best 107-in. bumper to back-of-cab length and a 44-ft curb-to-curb turning radius, it offers outstanding maneuverability in even the tightest work environments.

Kenworth 16,000-lb Rated Front Axle for T370 Model

Kenworth Truck Co. expanded the versatility of its T370 medium-duty product with the introduction of a 16,000-lb rated front axle. The new 16,000-lb. rating includes taperleaf springs, a choice of single or dual steering gears and up to 315 Series tires.

“Our new axle rating for the Kenworth T370 broadens our commitment to support medium-duty vocational applications such as fuel hauler, dump, mixer, utility, service truck and others, which require a heavier front axle to get the job done,” said Gary Moore, Kenworth assistant General Manager for Marketing and Sales.

Kenworth medium-duty models have also added Mutliplex instrumentation and driver information center. The new, state-of-the-art multiplex instrumentation system, which can be ordered on all Kenworth T170, T270 and T370 models with 2010 engines, provides increased serviceability and reliability with wiring behind the dash, color-coded and numbered for easier servicing and critical connections maintained with positive locking connectors. The system is supported by the Kenworth Electronic Service Analyst, a computer-based diagnostics tool which simplifies troubleshooting.

The multiplex system is incorporated into a more modern, visually appealing and ergonomic dash. A new speedometer and tachometer cluster features large, 2-in. diameter gauges with chrome bezels, an engine hour meter, odometer, trip odometer and outside temperature gauge. A diesel particulate filter (DPF) status indicator lamp, high exhaust system temperature (HEST) warning lamp and seatbelt reminder light are included. LED back-lighting is used in the face plate and pointers, and the dash rocker switches contain LED indicator lights.

The Kenworth Driver Information Center provides instant trip access information for miles per gallon, engine and idle hours, idle percentage and optimum rpm range. A sweet spot indicator offers visual cues when the optimum rpm is reached, while a bar graph displays current mpg against trip average mpg.

The Green Machine
Komatsu’s Hybrid PC200LC-8 Excavator Is Put to Work in Los Angeles

Late in 2009, Komatsu America introduced the first of 10 Hybrid PC200LC-8 excavators into the U.S. market to test the innovative equipment that was designed to reduce environmental impact by saving fuel and reducing green house emissions.

On March 11, representatives from Komatsu, along with representatives from the California Air Resources Board (CARB), the office of Los Angeles Mayor Antonio Villaraigosa, the contractor Griffith Co. and Savala Equipment Co. Inc. — which has been using a Hybrid PC200LC-8 — gathered for a demonstration of the hybrid excavator at work at the Port of Los Angeles.

“We’re really in the process of seeing a complete transformation of this port, as well as the trucking and construction industries,” noted Mary Nichols, Chair of CARB. “We’re actually cleaning the air one piece of equipment at a time, and the machine being showcased today and others are going to help us meet our goals of energy efficiency and diversification of the fuel supply.”

The Komatsu hybrid excavator is one of a number of other kinds of green machines that the Port of Los Angeles has introduced or tested, resulting in reduced diesel emissions that comply with a Clean Air Action Plan that was adopted in November 2006 by the Ports of Los Angeles and Long Beach.

Griffith Co., a Brea, Cali.-based contractor, has seen positive results with the Hybrid PC200LC-8. Dan McGrew, Vice President of Business Development for the Griffith Co. said that they were skeptical at first, but the hybrid excavator “surpassed all expectations while using 30 percent less fuel.” McGrew noted that the hybrid excavator has a shorter cycle time than a conventional excavator, and concluded that Komatsu’s Hybrid PC200LC-8 is a “fantastic machine.”

There are 700 of Komatsu’s hybrid excavators already in use at construction sites in China and Japan.

“Komatsu’s decision to apply its engineering excellence to the largest construction machine segment clearly signals our commitment to developing environment-friendly equipment,” said Dave Grzelak, Chairman and CEO of Komatsu America Corp.

Powered by the Komatsu Hybrid System, the Hybrid PC200LC-8 uses a newly developed electric swing motor, power generator motor, capacitor and diesel engine. Komatsu developed its revolutionary hybrid system to work on the principle of swing energy regeneration and energy storage using the Komatsu Ultra Capacitor system. Komatsu’s Ultra Capacitors provide fast energy storage and instantaneous power transmission.

In tests comparing the standard PC200LC-8 hydraulic excavator to the Hybrid PC200LC-8, the hybrid model reduced fuel consumption by approximately 25 to 40 percent, depending on the application.