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Unlikely co-pilots have Pilot Freight Services thriving with innovation, bucking trends

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Richard Phillips Jr. and his sister Stephanie Phillips joined their family’s business, Pilot Freight Services, early in 2005, without a background in shipping or logistics. Phillips was a lawyer on Capital Hill working with Senators Kennedy and Leahy, while his sister was a producer for the Today Show and Dateline.

What the pair did bring was a long view of the Delaware County company’s capabilities and the marketplace, which, even in the most challenging of economic climates, has put Pilot at the front of the line in an industry that is forced to regularly reinvent itself.

Traditionally a forwarder of air freight, Pilot has expanded to include various modes of transportation as well as a full suite of logistics services. But even more than innovating the company’s offerings, Phillips and his sister have bought into the corporate culture established by their father, Richard Sr., a former high-powered attorney in Philadelphia.

“It’s an unusual place, with a strong family feel,” says the younger Phillips, Pilot’s CEO. “Dad always espoused the virtue of treating everyone like family. It’s not just a cliche. The vast majority of the employees here, I know they’re over at dad’s house all the time, for dinner, doing things on the weekend.”

That family feel extends to Pilot’s customers, tailoring solutions to each client. That has happened thanks to a focus on technology that has revamped its customer portal, built from scratch and able to give customers basic features as well as those specific to their needs.

Pilot has increased its revenue by close to 30 percent to $371 million in 2008 since the elder Phillips bought the company in 2004. Most recently, things are looking up thanks to a new line of business in home delivery. The company, which has 50 locations (including four in PA) nationwide, has contracts with major retailers like Amazon.com to make white-glove deliveries of large products like home appliances. Pilot’s ability to streamline a usually slipshod process–including increased communication with customers and more detailed information for delivery drivers–is winning over more and more customers.

“We spent many years and a lot of money investing in infrastructure to make home delivery work,” says Phillips, who also increased the company’s special services line of business, which works to make complex deliveries–like an MRI to a city hospital’s third-floor treatment room–easier.

Source: Richard G. Phillips Jr., Pilot Freight Services
Writer: Joe Petrucci

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