Customer vs Carrier vs O/O
Your carrier hires you to run an expedited coast to coast load 2800 miles, for a very good customer.
Your truck breaks down @ 1800 miles (due to a fuel injection issue), under load.
Customers expedited load remains on your truck and is 24 hrs overdue. Mainly due to incompetence of the repair shop. The truck could have been repaired in 4-5 hrs and the load could have only been delayed for that same amount of time. The truck was 3 days delayed in the end.
After 24 hrs. Customer requests load to roll.
Carrier hires another truck from another carrier (due to no other trucks in the area) to run the load the remaining 1000 miles.
Due to the Customers contract with your carrier, because of the breakdown under load, the customer now only pays 1/2 of the original cost of the expedited load (can be viewed as compensation for the delay) which covers the cost of the second truck.
Customer compensates original drivers for the fuel from the shipper to the breakdown point, but nothing for the 1800 mile haul.
Carrier makes $0 from the load, O/O make $0 from the load.
Who made $$ on the load? Pilot Travel Center for the fuel, and the fuel company. The repair shop. The hotel.
WHO ARE THE INJURED PARTIES??
1. THE CUSTOMER...load delayed...work on project delayed.....workers delayed...putting project into overtime
costing the customer more $$.
2. THE CARRIER...no profit made...unable to book truck for another load. In some cases: loss of the customer
can and does occur. Tension between the Carrier and the O/O. Word of mouth and misunderstanding of the
situation could also ruin the reputation of the carrier among drivers, which can have a chain reaction........
as well as word of mouth advertising among potential customers.
3. THE TRUCK OWNER..is out the $$ for the repairs, and hotel room for 3 nights for the drivers,
as well as wear and tare on the truck for the 1800 mile haul. With absolutely no compensation from
the load.
4. THE DRIVERS....the hours tied up on the load, and the stress and fatigue of the 1800 mile haul. 3 days with
no work. The cost of food for 3 days. Stress and fatigue of dealing with the repair shop and being down,
not to mention the stress of not being compensated on the line haul.
THE WINNERS AND PROFIT MAKERS OF THIS SCENARIO:
1. The repair shop
2. The hotel industry
3. The fueling station
4. The fuel companies.."Big Oil" industry.
5. The other trucking company.
In the business world, the customer is always right. It is the GOLDEN RULE of business. This type of scenario happens every day in the trucking industry. We have to keep our customers happy, or we lose their business. It was no one's fault. Even preforming the pre-trip inspections could not have fore seen this breakdown. Internal damages occur.
Had this been a preventable breakdown, it could have fallen back onto the driver. The driver could be held responsible not only for the repairs, but also any loss of revenue if the Carrier were to lose the Customers business. The driver could also be held responsible for paying for the 2nd truck as well. This is a "Chain Reaction" situation. Anyone getting into this business definitely needs to understand the nature of the business, and the importance of keeping the equipment in good mechanical condition. Many do not. It is those who do not, that end up failing in this endeavor. However it is also those same people who can ruin the reputation of a good carrier.
This scenario stresses the importance of keeping your truck in good mechanical condition. Some things you are not going to be able to fore see, however you CAN do your part to keep the profits rolling into your pocket and becoming a valuable asset to your business partners ie..truck owner/carrier, by preforming your pre-trip inspections to ensure every possible thing is being done to keep your money maker in top form.
Do your pre-trip inspections, repair simple things before they become major issues. It is the simplest way to fight against being taken advantage of in this industry.
Sunday, January 29, 2012
Monday, January 23, 2012
Laughter Lightens the Mood
The first year my husband and I went on the road as expediters, was the most difficult. We went from being together a few hours each day, to being together constantly. At times we were both a bit touchy to say the least.
On one occasion, my husband had been "PMS-ing", or having "mental pause" all week. Nothing I did was right, he was even telling me how to drive! I swear I could drive blind folded with him as my guide. Taking all I could at this point, I was of a mind to give my husband an attitude adjustment. I pulled into a rest area and parked. When he took his grumpy butt inside I moved the truck. The idea was to make him think I had left him there. I pulled to the opposite end of the parking lot, between two other trucks, shut the truck down and waited.
After a few minutes he came out of the building and headed right to the truck, laughing his fool head off. He got in the truck and asked, “What did you think you were doing”? Dumbstruck, I asked what he meant.
“Well, the fellow in the rest area told me the truck that I got out of was leaving, I told him you would be back. I figured you were up to something”.
I told my husband I was attempting to give him an attitude adjustment and figured if I hid the truck it might make him think about things a bit. At this, my husband laughed even harder.
I asked him what was so funny, and by the way, how did he know where the truck was? He laughed and said, “Next time you try to hide the truck, don’t park beside a flat bed! It stuck out like a sore thumb"!
I learned a good lesson that day. Next time, I will just have him get out and check that back tire.
On one occasion, my husband had been "PMS-ing", or having "mental pause" all week. Nothing I did was right, he was even telling me how to drive! I swear I could drive blind folded with him as my guide. Taking all I could at this point, I was of a mind to give my husband an attitude adjustment. I pulled into a rest area and parked. When he took his grumpy butt inside I moved the truck. The idea was to make him think I had left him there. I pulled to the opposite end of the parking lot, between two other trucks, shut the truck down and waited.
After a few minutes he came out of the building and headed right to the truck, laughing his fool head off. He got in the truck and asked, “What did you think you were doing”? Dumbstruck, I asked what he meant.
“Well, the fellow in the rest area told me the truck that I got out of was leaving, I told him you would be back. I figured you were up to something”.
I told my husband I was attempting to give him an attitude adjustment and figured if I hid the truck it might make him think about things a bit. At this, my husband laughed even harder.
I asked him what was so funny, and by the way, how did he know where the truck was? He laughed and said, “Next time you try to hide the truck, don’t park beside a flat bed! It stuck out like a sore thumb"!
I learned a good lesson that day. Next time, I will just have him get out and check that back tire.
Thursday, January 19, 2012
Successful Expediting
Expediting can be a very successful venture if you follow a simple guideline.
1. THINK POSITIVE.
Think outside the box, and widen your horizons. Begin with a good start every day.
2. BE NICE, POLITE AND KIND.
Do NOT argue with dispatch, shipper or consignee. This is your customer base.
3. COMMUNICATION.
Being in constant contact with dispatch while you are under load simplifies things. Little messages via the QC like: taking a break, out of truck, even sending a message regarding delays due to weather or traffic saves time and aggravation. Dispatch can check the QC (prior to calling) to first check for any messages or updates from you, and will be better able to keep the customer well informed. Major delays such as accidents or breakdowns should be called in immediately. Even keeping dispatch informed of progress during a breakdown is extremely helpful. Communicate problems @ the shipper or consignee with your dispatcher or Customer Service Rep. Always let your dispatcher or CSR know what is going on ahead of time if you can.
4. BE EFFICIENT WITH YOUR PAPERWORK.
Complete your paperwork accurately. Place your name, truck #, and pro # on every B.O.L., this will ensure prompt payment. In addition to this, scan or send in your B.O.L. immediately after each load. Procrastinating with the paperwork will delay payment from both the customer and your carrier.
5. PREFORM PRE TRIP AND POST TRIP INSPECTIONS DAILY.
Keep your vehicle clean and in top running condition. This will enable you to find a
minor problem early, to keep it from becoming a major problem while under load.
6. BE WELL ORGANIZED AND READY.
Being ON TIME and having all pertinent information ready at a moments notice saves you time, and may even help you to pass the DOT LEVEL I inspection.
7. TRY NOT TO CHERRY PICK YOUR LOADS.
The more AGREEABLE and COMPLIANT you can be, will greatly add to your success as an expediter.
8. REMEMBER TEAMWORK.
In the transportation industry, You, your carrier, dispatch, CSR, shipper and consignee, as well as law enforcement and DOT are a TEAM. A TEAM is ONLY as STRONG as it's weakest link.
How strong is YOUR link to YOUR success as an Expediter?
1. THINK POSITIVE.
Think outside the box, and widen your horizons. Begin with a good start every day.
2. BE NICE, POLITE AND KIND.
Do NOT argue with dispatch, shipper or consignee. This is your customer base.
3. COMMUNICATION.
Being in constant contact with dispatch while you are under load simplifies things. Little messages via the QC like: taking a break, out of truck, even sending a message regarding delays due to weather or traffic saves time and aggravation. Dispatch can check the QC (prior to calling) to first check for any messages or updates from you, and will be better able to keep the customer well informed. Major delays such as accidents or breakdowns should be called in immediately. Even keeping dispatch informed of progress during a breakdown is extremely helpful. Communicate problems @ the shipper or consignee with your dispatcher or Customer Service Rep. Always let your dispatcher or CSR know what is going on ahead of time if you can.
4. BE EFFICIENT WITH YOUR PAPERWORK.
Complete your paperwork accurately. Place your name, truck #, and pro # on every B.O.L., this will ensure prompt payment. In addition to this, scan or send in your B.O.L. immediately after each load. Procrastinating with the paperwork will delay payment from both the customer and your carrier.
5. PREFORM PRE TRIP AND POST TRIP INSPECTIONS DAILY.
Keep your vehicle clean and in top running condition. This will enable you to find a
minor problem early, to keep it from becoming a major problem while under load.
6. BE WELL ORGANIZED AND READY.
Being ON TIME and having all pertinent information ready at a moments notice saves you time, and may even help you to pass the DOT LEVEL I inspection.
7. TRY NOT TO CHERRY PICK YOUR LOADS.
The more AGREEABLE and COMPLIANT you can be, will greatly add to your success as an expediter.
8. REMEMBER TEAMWORK.
In the transportation industry, You, your carrier, dispatch, CSR, shipper and consignee, as well as law enforcement and DOT are a TEAM. A TEAM is ONLY as STRONG as it's weakest link.
How strong is YOUR link to YOUR success as an Expediter?
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