THE ROAD TRANSPORT MANAGEMENT SYSTEM (RTMS)

09 MAY 2013

TRANSPORT FORUM

•Transport Industry Overview

•What is RTMS?

•Barloworld Fleet Overview

•Post RTMS Review

•Smart Trucks

•The way forward

AGENDA This presentation will cover:

RTMS is an industry–led, government-supported, voluntary, self-regulation scheme that encourages consignees, consignors and road transport operators to implement a management system (a set of standards) with outcomes that contribute to preserving road infrastructure, improving road safety and increasing productivity.

Overloading

Speeding

Vehicle maintenance

Driver hours

Reckless driving

False licenses (vehicles & drivers)

Load securement

Bribery & corruption

The Culture of Non-compliance

Regional Road Freight issues

ROAD FREIGHT

TRANSPORT

GLOBAL COMPETETIVENESS

QUALITY OF LIFE

SUSTAINABLE ENVIRONMENT

Transport efficiency

Cost of logistics

Congestion

Cross-border delays

Optimum road

maintenance

Road safety

Congestion

Cost of logistics

Road condition

Road condition Congestion Energy consumption Emissions

0

2

4

6

8

10

12

2001 2002 2003 2004 2005 2006

Year

Fata

l cra

sh

rate

Aust

Can

France

Denmark

USA

South Africa

Switzerland

Fatal truck crash per 100 million vehicle kilometres travelled Source: OECD report, Moving Freight with Better Trucks, 2010

HEAVY VEHICLE FATAL CRASH RATES

1. Inventory of RTMS vehicles

2. Assessment of vehicle mass

3. Verification of assessed mass

4. Maintenance of roadworthy vehicles

5. Vehicle and load safety

6. Management of Driver Wellness

7. Training & Education

8. Tasks & Responsibilities

9. Records & Documentation

10. Self Assessment (Internal Audit)

RTMS - ARP 067-1:2007

A UNITIFIED APPROACH TO ACHIEVE SAFER ROADS

Law Enforcement 10%

Voluntary Compliance – RTMS

100%

TOGETHER, WE CAN MAKE A DIFFERENCE!

BWTS Overview

• Toyota X-Dock – Gauteng (RTMS) • PPC Cement – Gauteng (RTMS) • Illovo Sugar – Gauteng (RTMS) • PPC Cement – Eastern and Western Cape (RTMS) • Illovo Sugar – KZN (RTMS) • Corobrik – KZN (RTMS) • PPC Cement – NW (RTMS) • Anglo Platinum – NW (RTMS) • Meadow Feeds – National (RTMS – Paarl and PE) • Ecosse Chemical – Gauteng (Next to be done) • Manline (Pending) (All Depots) Total number of ± 800 Trucks will fall under RTMS accreditation

• RTMS Accreditation

• Key areas which gives the RTMS credibility and value:

– Stringent adherence to:

• Legal payloads

• Speeding

• Driving hours

• Maintenance practices

• Documentation Control

• Training and education

• Risk assessment

• Post RTMS Review

• Formal framework for all existing operational and technical protocols • Areas where improvements have been seen:

• LTIFR – reduced from 2008 (4.9) to 2012 (0.3) • Driving hours – 0.58% (all not at risk) • Maintenance practices – 100% compliance • Risk assessment – internal risk audit score over 90%

• Being self regulating has been well received by current and potential

customers

Post RTMS Review (Cont.)

• Contracts have been awarded to BWL because of good internal risk and operational protocols and RTMS helped to bring this together.

• Post RTMS accreditations have been obtained for the transportation of explosives and chemicals. The RTMS framework covers over 80% of these audit requirements.

• The benefits are starting to come through in cost saving in all areas of our daily operations

Smart Trucks Demonstration Project

• Barloworld is currently working on a few Smart Truck projects in different parts of the country and on different vehicle configurations.

• We fully support and understand the key advantages of the Smart Truck Program: – Reduced road wear – Improved stability – Improved payload capabilities – Reduced road congestion – Reduced CO2 emissions per ton of payload moved

RTMS LOGO

CURRENT RTMS STATUS

• RTMS ARP’s have been converted to a SABS standard (SANS 1395)

• SANS 1395 is closely aligned to ISO 39001

• RTMS section 21 company will be registered shortly

• Additional auditors will be accredited through SANAS

• RTMS boards will be changed on an annual basis and will reflect the year in the back – ground

• Back office will be set up during 2013

CURRENT RTMS STATUS (CONT.)

• 5 RTMS workshops planned for 2013

• Special workshop to be held for the bus industry

• Currently over 3600 vehicles fall under RTMS (In 2007 when RTMS started 74 vehicles were accredited)

• SADC Cross – border RTMS project will be run shortly in conjunction with South Africa, Zimbabwe and Zambia. On a portion of the North – South corridor