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Moving mountains
Bobby O'Connell and Sons based in Ardnacrusha in Co Clare celebrates 25
years in quarrying this year. John Loughran visited the company's impressive
47-acre quarry last month and was overawed by the sheer scale of operations.
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Bobby O'Connell entered the quarrying business in 1978. In the past quarter
of a century he has earned a reputation as a supplier of high quality
crushed rock and associated quarry products in both counties Clare and
Limerick.
Indeed the company's ability to produce high quality crushed stone products
with a high PSV rating at competitive prices has been one of the cornerstones
of the company's ongoing success. Another cornerstone is the quarry's
location - just three and a half miles from Limerick city.
Bobby commented: "Location is vitally important. We operate mostly
within a seven mile radius of the quarry. That keeps the cost of haulage
down."
However, being situated within a stone's throw from a major urban sprawl
can have its drawbacks. "The traffic in Limerick is outrageous. We
are starting earlier and earlier to try to avoid the traffic. It is taking
longer to get the loads out, and that is all down to the traffic,"
he noted.
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A
CAT loader put through its paces
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The company supplies crushed stone to a wide range of customers in the
general construction industry and has built up a solid business rapport
with the leading building companies in Limerick city as well as semi-state
companies such as Irish Rail and the Office of Public Works. He elaborated:
"We are dealing with all the major builders in Limerick and supplying
Irish Rail on the Ennis to Limerick and Limerick to Tipperary lines. The
whinstone in our quarry is particularly suitable for the rail job."
To complement the company's activities in the construction and semi-state
sectors, the company also has a healthy database of customers in the private
house building market. In the recent past it has also supplied crushed
stone to many of the road projects in the hinterland of Limerick city.
Father and
sons Richard (in the cab), Robert and Bobby O'Connell
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In what is very much a family owned and operated business, Bobby receives
tremendous support from his sons, Richard and Robert, who both play key
roles in the running of the company. With a fulltime staff of just 10
people this is a tightly knit and efficient enterprise.
Interestingly, Bobby plumped for predominantly sub-contract haulage instead
of running and maintaining a large fleet of vehicles. The company runs
just two trucks, but utilises upwards on 30 sub-contractors on an ongoing
basis.
Bobby revealed the company's reasons for plumping for sub-contract haulage.
"We find that sub-contract haulage works very well for us. We use
a mixture of eight-wheeler tippers and articulated tippers. They are all
owner drivers and are profit driven. We find them to be very flexible."
He added: "By using sub-contract haulage, we don't have any of the
problems associated with buying and maintaining vehicles. We don't have
to recruit drivers for the trucks and we don't have to bear the high cost
of insurance."
At the quarry
face
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Indeed the company has adopted a partnership approach with its sub-contracted
hauliers to form a mutually beneficial relationship. "Many of our
hauliers have been with us for many years. Our credit controller Connie
Keith has built up a very good working relationship with the hauliers
and the customers.
About 10 of them have their trucks sprayed in the company colours of yellow
and red," Bobby remarked. To facilitate the smooth running of the
company Bobby has invested in state-of-the-art plant and equipment within
the quarry. All activity begins at the quarry face where the raw material
- whinstone rock - is blasted.
It is then fed into a mobile crusher, and crushed down into the various
different grades. The company also utilises a series of mobile screens,
which ensure the end product falls within exacting specifications. In
the rough and tumble world of quarrying, maintenance of plant and equipment
is vitally important. To that end the company uses 'in house' expertise
and can also call on a local maintenance fitter.
Part
of the fleet
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Bobby remarked: "All our equipment is mobile. We use high quality
CAT, Volvo, Komatsu Finlay and Pegson plant and equipment We have a fulltime
fitter on site who looks after all the servicing and maintenance. We also
use a contract fitter where needs be. In this business you need to keep
the equipment in good repair."
To ensure that all trucks leaving the quarry are loaded within legal weight
limits, the company uses two separate weighing devices. Boddy explained.
"We have weighers on the loading shovels, which are very accurate.
We also have a weighbridge at the gate."
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This
CAT Loader is an unsung hero at Bobby O'Connells
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Spiralling insurance premiums has hit the haulage sector hard in the
past two years. The quarrying business has been equally affected. Last
year alone the company's insurance bill spiralled by 200 per cent despite
remaining accident free.
"The insurance companies are blaming the terrorist attacks in the
United States two years ago, but I don't believe it. I feel it is just
the insurance companies ripping off the customer," Bobby commented.
Another impediment to future growth is the soaring cost of diesel. "Our
diesel bill has doubled in the last year or so. We haven't been able to
pass that on to the customer because in a lot of cases we are locked into
tender prices. We have been forced to increase our prices to our private
customers."
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Drilling
at the quarry face
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Quarrying is possibly one of the most dangerous sectors in the economy
from a health and safety perspective. However, the company is fully aware
of its health and safety responsibilities and employs a fulltime health
and safety officer, Paul Heneghan, to ensure the company complies with
best health and safety practice.
"In this business you have to be very health and safety conscious
because of the type of machinery you are operating. All our staff are
trained to the highest level. Thankfully we never had a claim against
us in all the years we have been in business," he remarked.
Despite the slowdown in the economy, Bobby is happy to report that the
company is bucking the national trend. Indeed the affable entrepreneur
is optimistic that the company can maintain its current level of activity
for the foreseeable future. "We have had 23 trucks drawing Clause
616 to one job in Limerick since last October. There is plenty of work
in the Limerick area at the moment and we are getting our share,"
he enthused.
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All
smiles for our snapper
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With an eye to the future, Bobby is researching the possibility of producing
'chips' used in road construction and maintenance. He is also considering
branching into the production of readymix concrete. This quarry company
isn't content to rest on its laurels.
A strategic partnership
Sub-contracted haulage is very popular in the quarrying industry because
of the seasonality of the work. It is common practice for quarry owners
to draw on sub-contractors during peak periods to complement their own
fleet. However, it is quite unique to find a quarry that sub-contracts
practically all of its haulage requirements all year round. Bobby O'Connell
and Sons is the notable exception.
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Weighing
up the options - Richard and
Bobby O'Connell
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Bobby O'Connell and Sons utilises a fleet of 34 sub-contract hauliers
from its quarry at Ardnacrusha throughout the year. This is much more
than an employer / employee relationship. It is a strategic partnership,
which enables the company to specialise in producing and selling high
quality quarry products and provides the hauliers with steady and profitable
employment.
It is a symbiotic relationship that benefits all concerned. The company
has thrived over the years because its hauliers deliver exceptionally
high levels of customer service. In a similar vein the hauliers have benefited
because the company produces much sought after products at competitive
prices.
Connie Keith has been employed with Bobby O'Connell and Sons for the past
four years. She is responsible for accounts and credit control as well
as being an able lieutenant in the transport and logistics department.
She is therefore ideally placed to comment on the vital role played by
the company's haulage contractors.
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Connie
Keith, accounts and administration manager
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Connie joined the company in 1999 as transport manager, but as with all
things in the quarrying industry, nothing is ever as straight forward
as it seems. Shortly after joining, Connie was asked to manage the company's
accounts department.
She willingly accepted this challenging position and left transport management
in the more than capable hands of owner, Bobby O'Connell. A veritable
all-rounder, Connie is equally at home, dealing with the mountain of paperwork,
that emanates from the transport department or at the 'coalface' dealing
with customers' orders and scheduling deliveries.
"I deal with all the sub-contractors, which can be very challenging
from an administrative point of view.
I would check all their invoices. I check that they are charging the correct
rate and so on," she quipped.
She added: "I am be responsible for their payments cards and ensuring
that their haulage plates and tax clearance certificates are up to date.
There are a lot of legal requirements on the company with regards to the
hauliers, and it is my job to ensure that everything in order."
On a personal level Connie enjoys working in what is a male dominated
environment. She enthused: "They are all individuals and have their
own personalities. I must say they are very easy to work with and are
very loyal to the company. There is very much a family atmosphere here."
Connie is equally at home scheduling deliveries and taking orders over
the phone although that onerous task normally falls to Bobby O'Connell.
"I fill in for Bobby when he is out of the office or on holidays.
It can be a demanding job, but I like it nonetheless."
Down through the years, the company has developed an enviable reputation
for delivering high levels of customer service. Connie revealed the secret
of the company's success. "We treat all our customers equally. We
prioritise the loads to be delivered and then schedule the deliveries.
That way everybody is treated fairly."
The company and indeed its hauliers fully realise that they are only as
good as their last delivery. To that end they are prepared to go the extra
mile for the customer. Connie commented: "We try to accommodate everybody,
but sometimes that isn't always possible. We have a very good customer
base, and we are very honest with the customer. They appreciate honesty.
That is why we are one of the busiest quarries in the area."
Having a dedicated and highly motivated fleet on hand is also another
key ingredient in this ongoing success. "I must say that our hauliers
are brilliant. They know all our customers and all the sites. All our
hauliers use modern and well maintained trucks, which means they hardly
ever have a breakdown," Connie commented.
She added: "They are very dependable. If a haulier goes on holiday,
he will always get somebody else to drive his truck. We have built up
an excellent working relationship with them down through the years. We
can plan on that basis."
A significant percentage of the trucks are liveried in the company's colours
of yellow and red which typifies the relationship. "Our hauliers
know that the work is there for them and that they will all get a fair
crack of the whip. That is why they are willing to spray their trucks
in our colours and commit to us."
She continued: "We treat all the hauliers equally. There are no favourites
here. We mix up the work so that everybody gets a fair chance. That way
we are able to keep all our hauliers happy."
The quarrying business can be seasonally affected with peaks in the summer
months and troughs during the winter. However, because of the company's
geographical location, close to Limerick city, it doesn't suffer the vagaries
of seasonality. "With the exception of the builders' holiday we are
busy all year round. That is another reason why hauliers want to work
with us," she noted.
There is another cogent reason. "We pay all our hauliers on the 10th
of the month, which is important to the haulier. They need to be sure
of their money because they have bills to pay also. Everybody gets paid
on time," she concluded.
Opening from 7.00am to 6.00pm Monday to Friday and from 8.00am to 1.00pm
on Saturday, the company's hauliers get ample opportunity to earn more
than a honest crust. The fact that they are working in a happy and harmonious
environment, is just the icing of the cake.
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