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ROACO LLC Uses Technology to Compete Against Larger Competitors

ROACO LLC specializes in providing LTL and partial truckload distribution services in the Chicago, Illinois commercial zone and throughout the Midwest region. The company manages the transportation requirements for several large corporations in the region including major consumer electronic suppliers, manufacturing companies and household product suppliers.

In addition to using company equipment ROACO utilizes a large number of partner carriers to provide brokerage and logistics services to areas beyond the Midwest. The brokerage operation at ROACO has grown to account for close to 50% of the company’s freight volume.

ROACO has a close relationship with General Warehouse and Transportation Company (GWT) which operates 2.2 million square feet of distribution space in the Midwest. This affiliation enables ROACO and GWT customers to utilize one provider for both transportation services and inventory management.

“Having both of these operations closely integrated gives our customers a one stop shop to effectively handle all requirements,” explained John Rowan President and CEO of ROACO LLC.” The ability to offer a complete service solution is seen as a major asset by our core customers.”

ROACO invested in the TruckMate for Windows software solution in early 2001. Since implementing TruckMate, ROACO has taken advantage of other tools provided by Maddocks including EDI mapping to key shippers, web enabled shipment tracking and Web Services data transferring.

“The biggest reason we selected TruckMate was the ability Maddocks had to modify their software to fit our unique operational needs,” added Rowan. ”The flexibility of the software and being able to incorporate new features in annual releases were additional benefits.”

Gain the Ability to Compete Against Larger Transportation Providers

Properly utilizing available transportation technology can level the playing field for fleets competing with larger companies which have more resources at their disposal. To compete with larger providers, ROACO understood that they needed to provide the same types of IT services provided by these large carriers.

However, the company needed to find an effective way to deliver the same services without dramatically increasing their costs. Maddocks worked closely with ROACO to provide a solution that would keep costs low and still enable the company to capture large opportunities.

The Solution— Web Services, TM4Web and EDI Integration Deliver Results

In addition to TruckMate™ for Windows enterprise software, ROACO has invested in several additional solutions provided by Maddocks. The company can now provide shippers the ability to track shipments and request pickups 24 hours-a-day via the web enabled solution TruckMate™ for the Web (TM4Web). ROACO also utilizes the seamless EDI integration available in TruckMate and one of the most important solutions the company now provides to major shippers is the ability to transmit shipment information via Web Services.

“We now have the capability of approaching large shippers and manufacturers that need a transportation provider that utilizes cutting edge technology,” explained Rowan. “We can compete for the business of technology savvy prospects because we have the IT support their internal systems require.”

In its simplest form, Web Services technology enables companies to consolidate and transmit detailed information in a standardized format across multiple software applications. The process is attractive to transportation carriers that want to receive detailed orders from customers and seamlessly bring this data into TruckMate for Windows.

Web Services has been a cost effective solution for keeping the costs of servicing these customers low, giving ROACO the ability to focus resources on capturing new business. On the brokerage side of their business utilizing these tools has enabled ROACO to attract partner carriers that would have otherwise not considered the company.

“The flexibility of Truckmate and the attentive reliable service provided by Maddocks have helped ROACO capture some significant business opportunities that would have otherwise been unavailable to us without this technology,” explained Rowa

The Results - New Technology Provides the Services Shippers Demand

ROACO has built its business upon exceeding the expectations of customers and finding innovative solutions to respond to customer requests. Investing in the technology to deliver the technical services shippers expect and backing this up with enhanced service has enabled ROACO to compete with much larger providers.

“As we grow, we intend to use the Maddocks solution for improving our cost and profitability analysis, giving us the information we need to make better decisions about what business to pursue,” explained Rowan.

Future plans at ROACO include expanding on pool consolidation and flexible distribution services that are growing in demand. Technology plans include investing in document imaging to easily manage requests for documents over the phone or make them available to shippers online.

John Rowan is currently serving as Program Chair for the Chicagoland WERC Council and Co-Council Leader for the Workforce Boards of Metropolitan Chicago in the Transportation, Warehousing, and Logistics sector for the Critical Skill Shortages Initiative project sponsored by the State of Illinois.