60 Seconds with Clark Skeen
Chairman of CubiScan discuses the future of the industry.
Title: Chairman
Company: CubiScan
Location: Farmington, Utah
Experience: More than 29 years experience in the dimensioning equipment business, including 26 years as a member of MHI
Modern: Clark, you’ve recently stepped down as president of CubiScan. How long were you in that position, and what comes next?
Skeen: Almost 30 years. CubiScan is a privately held company and my title, when necessary, is now chairman. I continue to work at CubiScan, mainly in sales and strategic account management. It’s in my blood.
Modern: Can you tell us briefly about how you entered the materials handling industry?
Skeen: I participated in the founding of the business. Like many high-tech startups, CubiScan technology was developed for application by the U.S. Department of Defense—to optimize storage space in supply depots. That lead to private sector opportunities, and here we are today.
Modern: CubiScan sits at the intersection of warehousing, distribution and transportation, in that the information you collect about a product is essential to how it is handled through the supply chain. From your perch, what are the most significant changes you’ve seen in recent years?
Skeen: There are three things. First, and generally, it’s no secret we live in the information age. CubiScans are simply [dimensional] data collection instruments. Usable space—whether for inventory storage in a DC or during shipment by truck or plane—equates to money. We help users (generally retailers/distributors) save money by economizing the use of space. We help sellers (i.e., freight carriers) charge appropriately—using dimensional weight. Secondly, recent policy changes by parcel carriers now require all packages be subject to volumetric charges, not just air freight. And finally, ground freight companies now use dimensional data to cost and price the freight they carry. That increases profitability and improves utilization of revenue-generating assets (trucks and trailers). At the end of the day, people are either using space or they’re selling it. If you don’t have the data to manage either, you’re at a competitive disadvantage.
Modern: What has the effect of e-commerce been on your business, and do you see any new trends emerging in that space?
Skeen: E-commerce means more freight on the roads. That means greater use of infrastructure, assets and resources (highways, vehicles and fuel, to name a few). Knowing your cube to optimize the use of storage space and for revenue-recapture, on a micro level, means greater profitability. On a macro level, it preserves the environment.
Modern: When you look down the road, what are you watching, or what excites you most about the direction of the industry?
Skeen: I’m glad to see this informational element of commerce take on greater importance. Those who realize its value will prosper. Those who don’t will be wasteful and uncompetitive.
