Fuel: The Elephant in the Room

Thursday, June 26, 2008 - 2:00 pm - 2:45 pm

Track: Transportation Issues

Session Abstract:

As the Director of Fuel Products for Ryder System., one of the largest surface transportation fleets in the United States, I am constantly asked what is driving the petroleum market and where is it headed. With crude oil, heating oil and gasoline reaching historical highs, and with new market events it seems every day, it is hard to budget and plan for your fleet’s fuel transportation expenses which can account for 40% of the total transportation cost. We will explore some of the key market indicators such as, weather, supply and demand, geo-political and hedge funds and effect they all have on today’s fuel prices.  What will they mean for fleet operators in 2008? What, if anything, can you do to manage this volatile commodity?  Is risk management or hedging the answer?  How about alternative fuels?  Can they reduce the cost and what does the future hold for the President’s 20 in 10 policy?  In this session, we will discuss these questions and take a look at the issues that continue to change and evolve on a daily basis. We will review the market as it looks today. We will talk about hedging and Bio-diesel to see if they might be an answer. I will also attempt to give some guidance for future cost in 2008.  As a wrap-up, there will be a Q&A session on any related issues.

Learning Objectives:

•          Explanation of petroleum market drivers

•          Explore Bio Diesel as an alternative fuel

•          Discuss the basics of hedging

Learning Outcomes:

•          Better understanding of what drives the petroleum markets

•          Hedging options for your fleet

Copyright 2005 - Distribution Business Management Association  - All rights reserved. 
Privacy Policy    Webmaster   Remove from Database