Wednesday, August 24, 2011

Waste Haulers and Manufactures the Truth Behind the Story

Manufacturing of any product produces a magnitude of waste. I have been in the waste industry for over 20 years in the USA and in Europe. So, as and expert in the waste industry, I have seen the sheer enormity of waste produced by manufacturers. The amount of waste produced in the production of most products is an enormous problem for the manufacturer.

As the producer of large amounts of waste, you have the issues of health and safety, pollution control, equipment needed to remove the waste, the placement of equipment for ease of use, the cost of complying with state and local regulations and the removal of the waste. The waste industry knows what a huge problem this is for manufacturers and they do their best to keep it that way. I don't say that in a malicious context.

I say it because it's the way the waste hauler makes its money. After all, they are called waste haulers because they haul your waste away. And the more waste you produce, the more profit they make. I'm sure that you have sat across the table from your local hauler and heard them tell you how they can move your waste and comply with all the legal issues that you have concerning the waste you produce. And they can. I'm not disputing that at all.

What I am disputing is the image that they portray as the people that you can trust to do the job in the most cost effective and environmentally friendly way possible. In the twenty years that I have been helping manufacturers deal with their waste removal, the one thing they have all said to me is "I believe that I am paying way too much to remove my waste". The truth is they are! It is not in the best interest of the hauler and its profits to be or to even offer a way to be efficient. Quite frankly their unscrupulous strategy is to be as inefficient as possible.

Today's waste haulers are in an industry that produces billions of dollars. They have done their research and planned ahead for the best ways to keep their profits up and grow their business in the same way that you have. The difference, in my opinion, is in the unscrupulous strategies they employ to achieve there goals. To give you an example, a waste hauler will tell you that the best way to handle your waste is to use open-top roll-off containers and that this is the way you can keep your cost down by fitting a lot of waste into one container. They will only charge you for the pull plus tonnage. On the surface this seems reasonable. But here is where there unscrupulous strategy comes in. They will place a roll-off container on your site. You start to put your waste in to it and they come and haul it away. Sounds good right? They are pulling the "full" roll-off away and replacing it with an empty and charging you each time they pull it.

What you don't realize is that the "full" roll-off they are taking away isn't full (not sufficient tonnage in container to be considered full)! The hauler will come in and pull that roll-off as much as he possibly can. The least amount of waste in the roll-off the better. I have seen them pull roll-offs when they weren't even a quarter full. And you the customer still have the full charge to pay. Remember, we are talking about waste haulers and they are charging you every time they hook up to that roll-off and haul it away. There is the tonnage charge for the waste that is in the roll-off. But where the waste hauler really makes his money is with the haul charge. So, the more times he can haul a roll-off away with the least amount of waste the more money he makes. Let's take it a step further. Let's say that as the customer you saw this was happening and confronted your waste hauler with it. I can tell you right now that they have a myriad of canned excuses that have been researched.

These are excuses that you, as the customer, can't really argue with. Let's just name a few:
1) we just wanted to make sure you weren't left with a roll-off that was overflowing;
2) you are on a scheduled time for pick up and my drivers don't have time to climb out of their truck to see how full your roll-off is;
3) We are just trying to give you the best service we can.

If you where to push them for a solution to the problem. They will offer you a ram compactor for what they consider to be a reasonable cost. They will sell it to you as the best way to get as much waste into a container as possible and reduce the number of pulls for which you are charged.
Again, sounds good, doesn't it? This will reduce the number of pulls slightly and your cost per month will go down slightly. But they know that they will make that lost revenue back when they raise your cost per pull which they do at least once a year anyway.

Let's ask ourselves, why didn't they offer a ram compactor sooner? Why did you have to push them for a solution to a problem they created? Answer: PROFIT! Let's also ask ourselves, why is the ram compactor the machine of choice for the waste hauler and not some of the other waste handling machines out there? Answer: The ram compactor has been around for 50+ years and is inefficient.
It is very old technology. The hauler knows how to turn the pressure down on them if they chose, to where they are not much better than an open top roll-off. And they can still control how often it gets hauled. Because you can't see the inside of a ram compactor, you can't tell if it is full or not. So you get charged accordingly.

The big issue here is not the haulers' using unscrupulous tactics to make their enormous profits but that the manufacturers are forced into the position of trusting that the advice of the hauler is in their best interest. They believe the image that the haulers are being efficient and fair with the service they are providing. There are answers out there that stop the haulers from using these tactics. The trick is to ask for the answers from someone in the industry other than the same hauler who stands to profit the most.

Mr. Robert Kamppi has been in the Waste industry here in the United States and in Europe for over 20 years. He has worked with National Waste Haulers, Equipment Manufacturers and as consultant to Manufacturers and industry. He has also become an independent, trusted and valued expert nationally on waste hauling efficiency and reduced environmental impact strategies for many companies. He is currently involved with the introduction and placement of next generation High efficiency waste control equipment. Mr. Kamppi firmly believes that Manufacturers and Industry leaders that are looking to lessen there impact on the environment and lessen the impact of waste removal on there bottom line profits should investigate this new equipment. You can contact Mr. Kamppi at his web site for more information or to ask any questions

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