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Ryder System Inc. announced John Diez, president of its dedicated transportation solutions business, has been appointed president of fleet management solutions (FMS).
As a result of this change, Ryder will combine its supply chain and dedicated businesses under the leadership of Steve Sensing, president of global supply chain solutions.
Diez succeeds Dennis Cooke, who will leave Ryder to pursue other opportunities.
Diez was president of Ryder’s DTS unit the past four years and oversaw double-digit revenue growth and increased profitability, reflecting his focus on new business and customer service, according to the Miami-based company. Financial reporting of the DTS and SCS businesses will remain the same.
Favorable outsourcing trends, including a challenging driver market, contributed to strong DTS sales results in the company’s most recent quarter, Chairman and CEO Robert Sanchez said during a July 30 conference call to discuss Q2 results.
“We also continue to see lease customers expanding their relationship with Ryder by adding outsourced driver services and moving into dedicated solutions. This continues to be a significant ongoing growth opportunity for the dedicated business,” Sanchez said.
At the same time, over the past four years as president of SCS, Sensing led the management, operations, sales and financial performance of Ryder’s growing supply chain business.
Ryder expects 2019 to be the third-highest year for total company sales of contractual lease, dedicated and supply chain deals, Robert Brunn, vice president of investor relations, corporate and product strategy, said during the call.
“These contracts provide more stable revenue and earning streams over a multiyear period, delivering returns on new capital invested,” Brunn said.
Ryder Supply Chain Solutions ranks No. 11 on the Transport Topics Top 100 list of the largest for-hire carriers in North America.
In the second quarter, lower results from used vehicle sales, higher than normal levels of bad debt and new lease accounting standards, to a lesser extent, helped send earnings before taxes in FMS down 25% compared with a year earlier — while lease growth and benefits from its maintenance cost initiative aided the results.
“On behalf of Ryder, I would like to thank Dennis for his service for the past eight years. His passion and energy for our business resulted in the creation of new fleet management offerings and the largest fleet growth in the company’s history,” Sanchez said in a company release. “We wish him well in his future endeavors.”
Additionally, Steve Martin, vice president of supply chain and logistics for automotive, has been promoted to senior vice president of the DTS business. He has more than 30 years of supply chain and dedicated transportation experience at Ryder.