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Cargo Theft/Value Loss Increases in 3rd Quarter

Friday, November 2nd, 2012

cargo theft

There are two words that are every trucker, shipper, manufacturer, and consignee’s worst nightmare…CARGO THEFT.  Despite enhanced security features and continued attempts to educate individuals on the subject and ways to prevent it, cargo theft continues to remain an issue that the industry faces every day, costing up to $30 billion each year according to FreightWatch.

2012’s 2nd quarter demonstrated a drop in the number of cargo thefts (excluding food/drinks, miscellaneous, and home/garden, which increased) from the 1st quarter to 210 thefts with an average value loss of $147,440, a 29% decrease. 1, 2

But this drop quickly vanished in the 3rd quarter with the number of thefts increasing to 225 and accounting for a cost of $172,403, increasing 23% from the 2nd quarter. 1

July contributed to the greatest number of thefts at 78, with California being the top state in which cargo theft occurred.

When analyzing the location of theft, unsecured parking areas took the number one spot with Jewelry/Accessories experiencing the greatest value loss of $600,000, which derived from a single theft, and food/drinks being the target of choice followed by electronics and auto/parts. 1

And this number is expected to get worse in the 4th quarter with the holiday season as manufacturers ship loads of food in preparation for Thanksgiving and electronics, jewelry, apparel, and consumer goods for Christmas.

ComScore.com reported that during the first 25 days of November leading up to the Thanksgiving holiday last year, online retail sales increased 15% compared to the previous year reporting $12.7 billion, continuing into December.

While trucking companies are benefitting from this spike in seasonal spending, thieves are finding it beneficial as well.  According to FreightWatch, cargo theft increases nearly 28% during the holiday season.

In order to help differentiate between the types of products stolen, and reduce the large numbers of cargo thefts grouped under the same category, FreightWatch has created the following new categories (info. below provided by http://www.truckinginfo.com/news/news-detail.asp?news_id=78398):

-Cosmetics/Personal Care

-Jewelry/Accessories

-Metals

-Luxury Goods (both under Clothing/Shoes and Jewelry/Accessories)

-Pharmaceutical sub-categories now include:

*Rx

*OTC Medication

*Medical Devices

*Consumer Products

Road Scholar is combating cargo theft through the following ways:

-Providing satellite and reefer tracking for live monitoring of your freight down to the street level.  You’ll always know where your freight is and who has it.

-Qualcomm distress/panic messaging allows disablement of the vehicle to prevent your cargo from taking off with the wrong person(s).

-Navlock, bolts, and seals protecting the contents of your freight.

-Background/drug checks and online driver verification to ensure that only the safest drivers are transporting your freight.

-Brightly colored awareness trucks that make our trucks easily recognizable and harder to steal.

Learn about supply chain security and the risks/importance of carrier selection by requesting your free white paper Supply Chain Insanity at http://www.roadscholar.com/supply-chain-insanity.php!

What are you doing to prepare and prevent holiday cargo theft?

1http://www.truckinginfo.com/news/news-detail.asp?news_id=78398

2http://www.truckinginfo.com/safety-compliance/news-detail.asp?news_id=77633&news_category_id=12

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Factors Continue to Increase Operational Costs in Trucking Industry

Thursday, September 20th, 2012

ATRI

The American Transportation Research Institute (ATRI) recently updated their 2012 Analysis of the Operational Costs of Trucking, which compared costs from 2008 (when the ATRI began publishing the reports) to the present, listing contributing factors to the high cost of operating a trucking business.

According to the analysis, last year’s average cost per mile and cost per hour was the highest it’s been in four years, increasing from $1.65 (CPM) and $66.07 (CPH) in 2008 to $1.71 (CPM) and $68.20 (CPH) in 2011.  LTL carriers accounted for the highest operating costs, followed by specialized and then TL in 2010 and 2011.1

Below are the current top six factors contributing to high operating costs:

#1  Fuel Prices

Increasing fuel prices represented the largest cost facing the trucking industry today.

We all wish we could go back to September 1994 when the average price of diesel fuel was $1.126.  Now, the current average diesel cost in the U.S. is $4.135, up $0.30 from a year ago and $0.11 from Sept. 2008, increasing almost 10 percent from January to August of this year.

In fact, the American Trucking Association estimated that the trucking industry spent $13.9 billion more on diesel fuel in 2011 ($115.4 billion) compared to the previous year ($101.5), causing fuel to account for 35% of total costs in 2011.1

But the ETA is offering some hope, predicting “that diesel prices will moderate over the next two years and projects an average retail diesel price of $3.62 per gallon for July through December 2012 and an average of $3.58 per gallon for 2013, even though diesel prices are currently higher than these estimates.” 1

#2  Driver Wages

It comes as no surprise that there is a shortage of drivers in the industry, which is expected to increase to 150,000 by the end of 2012 and reach 240,000 by the end of next year.

This shortage is the result of many combining factors including the trouble of finding new, qualified drivers to replace those who have retired, with this problem becoming worse with a 21-year-old age requirement, stricter regulations, and the cost of training, among many others.

In order to succeed in recruiting qualified drivers in what is currently a competitive market, carriers are finding it necessary to increase driver wages, a factor which accounted for 27% of total costs last year.

The mean hourly wage for heavy-duty truck drivers increased from $18.97 in 2010 to $19.15 per hour with a mean annual wage of $39,830. 2 Not to mention $1,500-$3,500 sign-on bonuses being offered.  FTR senior consultant Noel Perry expects wages to average $60,000-$90,000 by 2014, which means bad news for shippers, as rate increases are expected to account for higher costs of conducting business.

#3  Lease/Purchase Payments

Despite capacity restraints, in that carriers do not have enough drivers to fill the trucks that they do have, stricter rules and regulations, including CSA 2010, are forcing carriers to invest in new equipment to replace old ones.  Those leasing or purchasing trucks and trailers faced an average payment of 18.9 cents per mile last year, resulting in 11% of total operational costs.1

#4  Repairs/Maintenance

Carriers who choose to put off purchasing newer equipment are more prone to their trucks breaking down and needing repairs.  In fact, 9% of costs were due to maintenance.

Those who participated in the ATRI’s survey reported an average increase in repairs/maintenance to be 15.2 cents per mile last year, an increase of 2.8 cents from the year before. 1

#5  Driver Benefits

Also coming in at 9% was driver benefits.  Once again, in order to recruit and maintain qualified drivers, carriers increased benefits to $0.151 per mile in 2011.

#6  Insurance

Rising insurance premiums over the past two years has lead to an increase in liability and cargo premiums that are often calculated by mile, increasing average CPM premiums from 5.9 cents in 2010 to 6.7 cents in 2011. 1

Other costs affecting operations include permits, special licenses, tires, and tolls.

Although fuel accounts for the number one operational cost, it ranked 5th in ATRI’s 2011 Top Industry Issues survey, which rated the economy as the primary issue, followed by hours-of-service, driver shortage, and CSA.

What do you consider to be the largest issues in the trucking industry?  How have operational costs affected your company?  List your comments below.

Request a copy of ATRI’s 2012 Analysis of the Operational Costs of Trucking at www.atri-online.org.

Below are some tips on how you can help lower your operating costs provided by Qualcomm (http://transportation.qualcomm.com/fleet-management/lowering-operational-costs):

-Improve fuel consumption:  “While a variety of factors, including vehicles, road conditions, weather, and routes can affect fuel consumption, it is driver behavior (such as idling, speeding, hard braking) that can increase fuel consumption more than any other factor.”

-Improve trip planning with efficient routes

-Efficient delivery information and invoicing

-Safer driver which translates to lower insurance premiums

1www.atri-online.org

2http://www.truckinginfo.com/news/news-detail.asp?news_id=76606

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President Signs Highway Bill Part 4: Should EOBRs Become Mandatory on Trucks?

Wednesday, July 18th, 2012

(This is the final of four articles regarding the effects of the passage of the highway bill)

eobr

As you already know, the recent passage of the highway bill has come with many changes that clearly impact all members of the trucking industry.  These include a field study that would look into the effectiveness of the 34-hour restart provision, the creation of a federal drug and alcohol clearinghouse, and requiring the mandatory usage of electronic onboard recording devices (EOBRs) on all trucks.

As groups, including the American Trucking Associations, Advocates for Highway and Auto Safety, and Commercial Vehicle Safety Alliance state, EOBRs would be beneficial to the trucking industry and all those on the road, leading to greater safety through HOS compliance, saving time by ridding of paper logs, result in better accuracy, and help fight detention by providing proof of times spent at docks.

At the same time, groups such as the Owner-Operator Independent Drivers Association note that driver harassment, pressure to meet their quota/driving tired and thus enforcing safety hazards, as well as cost remain large issues.

But the Federal Motor Carrier Safety Administration (FMCSA) recently explained that EOBR implementation costs are not as expensive as estimated a year ago.

In a FAQ section, added to the agency’s website last week, the FMCSA acknowledged that they are “currently preparing a supplemental NPRM that will re-examine the estimated costs and benefits (both paperwork savings and safety) associated with an EOBR mandate for carriers using handwritten RODS.” 1

The FMCSA stated that last year carriers were told that they “would likely be required to spend $1,500 to $2,000 per CMV to purchase and install EOBRs, and several hundred dollars per year for service fees,” which was based on the retail value of Qualcomm’s Mobile Computing Platform at around $1,775 at the time. 1

An expense like this would cost the industry over $2 billion a year, OOIDA explained, and is a cost small carriers cannot afford. 2

But since the last estimate, more vendors have come forward offering more cost-efficient products.  FMCSA’s FAQ notes that Qualcomm has an updated version that costs around $899 and other vendors are offering products as low as $500. 2

And while there is a cost associated with the new rule, the agency explains that the benefits outweigh the expense.  FAQ states, “FMCSA’s RIA for the 2011 NPRM reported total benefits of $2.711 billion, resulting in an annual net benefit of $344 million. A significant portion of these benefits would come from $1.965 billion in annual paperwork reduction – a savings of $688 per driver each year – due to drivers no longer completing and submitting logbooks.” 1

Although passage of mandatory EOBRs would be a success to the ATA, OOIDA is hoping that an amendment to block the course will hold up.

The amendment, which was brought to light shortly before the President’s signature, states that “none of the funds made available by this act may be used to promulgate or implement any regulations that would mandate global positioning system (GPS) tracking, electronic on-board recording devices or event recorders in passenger or commercial motor vehicles,” although Congress would still be able to fund it with the appropriations bill. 3

However, it appears that the chances of the blockage being approved are slim as the Senate has already supported the mandatory usage of EOBR on multiple occasions.

To read the FMCSA’s EOBR FAQ visit http://www.fmcsa.dot.gov/about/other/faq/faqs.aspx and select “Electronic On-Board Recorders” in the drop down box.

Are you in support or opposition of the EOBR mandate?  Do you think that the reduced costs of implementation the FMCSA mentioned will attract more supporters?  List your comments below.

1http://www.fmcsa.dot.gov/about/other/faq/faqs.aspx

2http://www.truckinginfo.com/news/news-detail.asp?news_id=77508&news_category_id=3

3http://www.thetrucker.com/News/Stories/2012/6/29/HouseamendmentstripsfundingforEOBRmandate.aspx

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USP Proposes New Chapter Focused on Good Distribution Practices

Tuesday, January 10th, 2012

The US Pharmacopeial Convention (USP) introduced the proposal of a new chapter, which they hope to publish in the March/April 2012 Pharmacopeial Forum 38(2) journal, which would concentrate on good distribution practices in the pharmaceutical supply chain to avoid theft and risk factors.

The information, which is non-mandatory, covers a variety of supply chain topics including the consequences of pharmaceutical theft, factors leading to increased risk, implementation of carrier security systems to reduce risk, and security procedures for carriers.

As USP’s proposal explains, “Companies that store and ship large amounts of products (pharmaceutical and medical device manufacturers, distributors, etc.) should review their security procedures for their warehouses and distribution centers and their transportation procedures, particularly for transportation by trucks and tractor trailers.”

The risks of choosing an unsecure carrier for a lower rate can result in drastic consequences.  As the USP notes, although a portion of the shipment may be stolen, often the whole lot needs to be recalled for health risks resulting from contamination problems from improper storage or handling.

These risks increase when choosing a transportation company that does not communicate with their drivers, does not apply tracking systems onto their fleets, or leaves their cargo unattended.  As Walt Beadling (Managing Partner for the Cargo Security Alliance) and Jim Barrett, President of Road Scholar Transport, explain in their presentation on cargo security (available at http://www.roadscholar.com/university.php), “cargo at rest is cargo at risk,” which is why Road Scholar never leaves their trucks unattended in high-risk areas lacking security surveillance.

Instead, the USP lists ways in which shippers/manufacturers can reduce the risk of their shipment being tampered with.  These include choosing carriers with the following (provided by http://www.usp.org/pdf/EN/USPNF/c1083.pdf):

-Tamper-evident seals, utilized by Road Scholar Transport along with Navalock and a tamper-evident steel locking bar

-Immobilization devices and alarms.  Road Scholar employs Qualcomm distress/panic messaging which allows for the disablement of the vehicle to prevent your cargo from taking off with the wrong person(s).

-Two-way communication between carrier and driver

-Monitored and/or Geofenced GPS tracking system.  A Geofence is a virtual perimeter on a geographic area using a location-based service, so that when an asset with a tracking device enters or exits the area a notification is generated.  Road Scholar Transport has geofencing technology to help protect your freight.  As an example, a virtual fence could be set around a distribution center yard.  Maybe this yard is closed on weekends.  If the geofence is activated and a Road Scholar Transport trailer is removed from that yard by someone unauthorized, an alert can be sent to the operations center.

-Covert cargo tracking device.

Not only should carriers apply security technology to their fleets, but shippers should follow secure procedures as well.  These include verifying that the vehicle is properly sealed prior to transport, “planning schedules and routes to avoid stops or overnight parking in insecure locations,” avoiding weekend delivery, screening drivers (companies can verify Road Scholar drivers at www.roadscholar.com), and especially “using only known carriers.”

This applies to those shippers utilizing brokers to move their freight, in which case you often do not know who is transporting your freight.  (Learn more here).

Read the USP’s proposal at http://www.usp.org/pdf/EN/USPNF/c1083.pdf.

What do you think of the USP’s proposal?  List your comments below.

click for quote

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Challenges the Trucking Industry can Expect to Face in 2012

Tuesday, December 20th, 2011

As 2011 quickly comes to an end, experts are providing their knowledge and input on what challenges the trucking industry can expect to undergo in the New Year.

Among these is the high price of diesel.  Although the national average of diesel has dropped 6.6 cents to $3.82/gallon, the lowest we have seen since Oct. 24th, prices have risen as high as $4.12 last May.  As the Department of Energy forecasts, “diesel fuel will average $3.73 per gallon in 2012,” which although is lower than we are currently experiencing, is still 25% higher than 2010 averages (http://www.dcvelocity.com/articles/20111219top_10_logistics_challenges_for_2012/).

Along with higher diesel prices comes rising truck rates.  According to Transport Capital Partners, LLC’s fourth quarter business expectations survey, 70% of carriers expect to raise their rates over the next year, while half of those surveyed have already done so.  Logistics Management explains that most major LTL carriers raised their rates this quarter by between 5.9 and 6.9 percent.

One of the reasons for higher rates is the current capacity shortage facing the industry.  With issues including the rising costs of healthcare and equipment (which is up 20% this year), new safety restrictions such as CSA 2010 and the Federal Motor Carrier Safety Administration’s hours of service proposal, the lack of available credit, generation x drivers retiring, and rising fuel prices mentioned earlier, many trucking companies are keeping their fleets small due to the difficulty they are having qualifying for a loan and keeping up with surging costs, while others are being forced to close their doors for good and sell their assets.  Learn more about the Perfect Storm for Capacity Shortage by clicking here.

unemployment rate

On top of capacity issues, the economy poses another challenge to the industry, demonstrating a weak growth period.  Unemployment rate fell to 8.6 percent last month, according to the Bureau of Labor Statistics, with trucking companies continuing to struggle with finding drivers to meet capacity issues.  Drivers looking for a rewarding career can apply here.

Experts also predict challenges pertaining to truck regulations in 2012.  In order to account for capacity shortages, The Safe & Efficient Transportation Act is encouraging raising the current 80,000 pound weight limit of trucks to 97,000 pounds. This, however, would only be acceptable on certain roads and only on trucks equipped with six axles instead of five, allowing the extra axle to account for the additional weight.

Among truck regulations includes a stronger effort to go green, decreasing gas emissions in order to achieve a cleaner, healthier environment, the way that Road Scholar Transport does with its new trucks, which give off 1/42 the amount of diesel particulate as the 2007 engines.

Finally, a stronger emphasis on security can also be expected in the New Year.  As DC Velocity states, “the idea of guaranteeing that every package and every container is safe boggles the mind,” but that’s what Road Scholar Transport aims to do.

Road Scholar Transport applies security features which include electronic door monitoring, reefer and power unit tracking, Qualcomm distress/panic messaging, roof decals for aerial tracking, navalock, facility security, and much more.

As a member of CargoNet, a group dedicated to theft prevention and recovery, Road Scholar Transport is continuously pushing the performance envelope with new products and technologies to keep your freight safe.

Visit Road Scholar’s University page on our website (www.roadscholar.com) for valuable information regarding cargo security.

What challenges do you feel the trucking industry will face in 2012?  List your comments below.

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No Tracking Device Offers Little Hope in Recovering $1.7 Million Electronic Shipment

Monday, December 19th, 2011

BlackBerry PlayBook tablets Electronics have always been a high-risk target among thieves, especially around the holidays, ranking in as the number one stolen commodity between February 2010 and January 2011 (21% of all stolen goods) according to FreightWatch.  Knowing this, it would come as no surprise that shippers are taking extra precaution when it comes to transporting their cargo, choosing carriers such as Road Scholar Transport, who provides high security features that ensure the safety of your freight.

Then again, maybe you are a gambler and would rather play with price than safety.  Would you be willing to put your $1.7 million high-risk shipment on a truck with no tracking devices?

That’s what happened last Thursday for a load of electronics destined for Ontario, Canada.

The truck, carrying 22 pallets filled with 5,000 of RIM (Research in Motion)’s BlackBerry PlayBook tablets valued at $1.7 million, was traveling from a distribution center in Plainfield, IN when its driver decided to stop at the Pilot Travel Center in Daleville for food and a shower, only to find the truck missing that afternoon when he returned.

According to The Herald Bulletin, the distribution center told police that “the shipment did not have any tracking devices,” and therefore, the chances that the truck and its cargo would be recovered are considered slim.

Although no suspects have been named, the police are looking at up to five people involved with potential fingerprints of one of them, believing that the load may be headed for Miami (http://www.theinquirer.net/inquirer/news/2133759/usd17m-worth-playbooks-stolen-truck).

RIM’s name has been in the news lately with questions referring to its Blackberry as a “setback” and a “need to ditch the Blackberry for survival.”  Just last week the company announced its financial burden, selling only 150,000 Blackberry Playbook tablets in the third quarter, and therefore, delaying “the launch of smartphones running its Blackberry 10 operating system amid disappointing financial results,” from the beginning of 2012 to a later date, according to The Inquirer.

showme

Now the company has to deal with a $1.7 million loss.  With Road Scholar Transport, however, the shipper can track and receive live status updates and precise locations on their shipments via computer or mobile phone with our ShowMe tracking feature.

Road Scholar’s tractors are also equipped with Qualcomm which provides:

-Panic buttons with vehicle disabling systems to remotely prevent the operation of a vehicle

-Full fleet visibility via computer as well as two 50-inch screens constantly monitored in headquarters

-Digital communication to and from drivers

-The ability to track the movement of a power unit from startup to shutdown as well as its history

-Ability to “ping” a specific power unit for details on its location, which can be updated as frequently as every minute

awareness trucks

If that’s not enough, Road Scholar has roof tracking decals on their trailers and with our colorful awareness trucks, it becomes very easy to pinpoint one of our trucks, and more importantly, harder to steal without going unnoticed.

All of our trailers also contain break locks in which once a key is dislodged, the trailer cannot be moved since the air brakes are locked up, protecting the trailer from being stolen.

With electronic door monitoring alerting of every door opening/closing, our team will be constantly on guard of any irregular activity.  Not to mention Navalock capability which is bolt cutter, sledgehammer, and chisel proof to prevent the tampering of your freight.

Simply put, when your LTL and truckload freight is onboard a Road Scholar truck, you will not have to worry about receiving a call from someone that says, “I’m sorry, but we don’t know where your freight is.”

Visit www.roadscholar.com today to learn more about what Road Scholar can do for you.

What do you think of a shipper choosing price over service when transporting their high-valued freight?  List your comments below.

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Stories from a Sales Rep…Lori Bruno

Wednesday, December 14th, 2011

I started working in the trucking industry in 1984.  After 15 years, I got out of the industry and reentered it in February of this year working for Road Scholar Transport.

lori

I can’t help but notice the difference in technology from when I first started out and now.

Back then, our inbound and outbound manifests were paper format versus today with Road Scholar’s great tracking abilities such as Qualcomm, ShowMe, and all of the technology we have…things are so different.

In the past, to reach/contact someone was not as convenient as it is now.  There really was no e-mail.  To contact people we used beepers and had to wait in line at a pay phone to return a customer’s call.  Now we have luxuries such as the iphone, cell phones, e-mails, etc., with the ability to get in touch with someone almost immediately.  Even written communication and fax machines have been replaced by e-mail since we are a paperless “go green” society.

When it came to tracking inbound and outbound manifests, you basically told customers that you were not really sure when they would get their shipment because everything was beepers or pay phones…you didn’t have the GPS tracking you have today.

In other words, you were basically lying to a customer…playing guessing games.  Today there are no guessing games.  The customer knows exactly where their shipment is right up until the moment we are bumping their docks.

Road Scholar offers all of this with technology that allows the live tracking of freight, not only showing where a shipment has been like many companies do, but exactly where it is at that precise moment, accessible both on the computer or by cell phone.

Back then things were definitely different.  Today there is so much better technology out there and Road Scholar certainly does a good job incorporating and improving that technology on our fleet.

Technology is “literally” at our fingertips today and Road Scholar is right in line with the times!

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Driver Turnover Hits 89% in 3rd Quarter

Tuesday, December 13th, 2011

ATAAccording to the American Trucking Associations (ATA), driver turnover has increased for the fourth quarter in a row.

The turnover rate for large truckload carriers increased from 79% in this year’s 2nd quarter (ranking in as the highest rate since 2008’s first quarter) to 89% last quarter, an article on fleetowner.com notes.

Although 2005’s fourth quarter holds the highest truckload turnover rate at 134 percent, driver turnover averaged 81% this year, increasing by 50% since 2010’s first quarter (http://fleetowner.com/management/news/driver-turnover-rate-tl-carriers-1213/).

Those truckload carriers considered small (bringing in under $30 million a year in revenue) increased in driver turnover as well, rising 10% to 57%.

On the other hand, the less-than-truckload’s driver turnover continued to remain low at 10%.

The ATA’s Bob Costello accounted for these changes stating that, “Clearly, due to the economic recovery, as well as regulatory factors like CSA, we are seeing the market for good, quality drivers tighten…As our tonnage index has shown recently, demand for freight continues to rise, so we expect the need for quality drivers to become more acute going forward, particularly if regulations either force current drivers out of the industry or force fleets to put more trucks on the road” (http://fleetowner.com/management/news/driver-turnover-rate-tl-carriers-1213/).

As Costello explains, new/stricter safety regulations, such as the CSA 2010 are taking unsafe drivers off of the road and are forcing carriers to close.  Besides that, drivers expressed their reasons for leaving a job in the Journal of Commerce’s CostDown Consulting study which included the following:

-Insufficient compensation/benefits:  Given that LTL drivers typically make more than truckload drivers ($58,000 on average compared to the $48,000 truckload drivers make, according to FTR Associates recent data), compensation would account for a smaller percentage of driver turnover than truckload drivers  (http://www.dcvelocity.com/articles/20111213high_driver_turnover_at_large_truckload_fleets/).

Road Scholar Transport compensates our drivers for their hard work, offering a $1500 sign-on bonus, excellent pay, safety bonuses, a comprehensive benefits package for eligible full-time employees, and much more!

-Broken promises set forth upon hirement in regards to wages, bonuses, etc.

-Not enough home time:  Road Scholar (as a family-owned business) understands the importance of family, which is why we offer flexibility in work schedules, home time, as well as full-time and part-time opportunities so your personal life is not inconvenienced by work.

-Poor equipment/vehicle maintenance:  A company may be offering a hefty start-up bonus but what about the safety of the driver?  Under what conditions are they working with?  Vehicle safety is not something that can be left up to chance and could cost drivers wages due to being inoperable, or worse, cause an accident.  That’s why Road Scholar always conducts pre- and post-trip vehicle inspections, has a skilled maintenance team, and operates excellent equipment which includes new 2012 models.

-Little respect/honesty

-Poor communication

-Inability to provide problem resolution in the work environment:  Road Scholar’s drivers use equipment such as Qualcomm and Nextel direct connect to communicate with a friendly, courteous, and knowledgeable operations team who responds immediately to any concerns.

-Improper training

-Unclear/unfair work rules

Companies can draw in drivers through bonuses but can they maintain them?  If you are looking for a carrier in the trucking industry and are seeking the above criteria, then visit www.roadscholar.com and apply for a job today!

What’s most important to you when applying for a truck driver position?  Cast your vote/comments below:

-Compensation/Bonuses

-Home Time

-Respect

-Equipment/Vehicle Model and Maintenance

-Other (List comments below)

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Thanksgiving Accounts for Largest Holiday Theft Activity Last Year, Prevent Your Cargo from Being Stolen with These Tips

Wednesday, November 23rd, 2011

One thing that no one is thankful this Thanksgiving is cargo theft.  Unfortunately, while many are celebrating the holiday season, others are dealing with the problem of a full cargo loss.

Thanksgiving

Last year, 14 cargo thefts were reported during Thanksgiving, making it the number one holiday weekend for cargo theft activity, according to FreightWatch International.

As FreightWatch demonstrates in its reports, US cargo theft rate increases 28 percent during holidays.  This is because cargo sits during the holiday weekend.  Those members of the trucking industry are well aware of the golden rule that applies here, “cargo at rest is cargo at risk.”  That’s why Road Scholar Transport is on the road 24/7 365 days a year, so your cargo is not just sitting, waiting to be stolen.

As a result of previous holiday theft statistics, shippers and carriers are asked to remain on guard this season and take preventative measures.  Below are a few tips offered by CargoNet to help keep your freight secure (tips provided by http://www.americanshipper.com/Main/News/Tips_to_combat_holiday_cargo_theft_47716.aspx).

*Over half of holiday cargo thefts took place in unsecured areas with a few occurring in a secured lot, which is why CargoNet stresses the need to park in protected areas only. FreightWatch further emphasizes the need for cargo to never be left alone and for drivers to remain vigilant and maintain communication with their dispatch when stopped at high-risk areas such as truck stops and rest areas, the way that Road Scholar’s drivers do (http://www.landlinemag.com/todays_news/Daily/2011/Nov11/112111/112211-01.shtml ).

*Utilization of tracking devices on both cargo and trailers.  Road Scholar Transport, a member of CargoNet, takes this a step further with independent tracking on both tractors and trailers.

*“Secure all trailers (loaded and unloaded) with high-security ISO 17712 compliant barrier seals in combination with hardened padlocks. Utilize king pin locks for unattached trailers.”  Road Scholar not only utilizes Navalock, a strong, resistant, tamper-evident steel locking bar that acts as a barrier against thieves, but is also alerted of any door openings/closures, proving that your freight was not tampered with during transport.

*Facility maintenance/security.  Road Scholar Transport has just that with a digital surveillance system of our entire property that is monitored 24/7, protecting our trucks and your freight from intruders.

*Never leave keys inside the vehicle.  In fact, with Qualcomm, Road Scholar drivers can utilize the panic button feature to prevent operation of their vehicle.

The above steps are suggestions on what companies should do to prevent theft…now this is what Road Scholar is doing…

-Provide satellite and reefer tracking for live monitoring of your freight down to the street level.  You’ll always know where your freight is and who has it.

-Qualcomm distress/panic messaging allows disablement of the vehicle to prevent your cargo from taking off with the wrong person(s).

-Navlock, bolts, and seals protecting the contents of your freight.

-Background/drug checks and online driver verification to ensure that only the safest drivers are transporting your freight.

awareness trucks

-Brightly colored awareness trucks that make our trucks easily recognizable and harder to steal.

And that’s not all.  Road Scholar is constantly improving our security features to have only the most innovative and resourceful tools accompanying your freight.  Visit www.roadscholar.com to learn more.

Will your freight be safe this holiday season?

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Driver Turnover Rises Due to Ten Influences, Shippers Called Upon to Help

Monday, October 31st, 2011

Trucking companies, manufacturers, and shippers have all come to experience the problem of driver shortage facing the industry today.  In order to employ more drivers into their fleet, trucking companies are taking recruiting drivermeasures, such as placing signs advertising sign-on bonuses onto the back of their trucks.

Now it’s okay to offer an incentive for safe drivers, Road Scholar Transport, in fact, offers a $1500 sign-on bonus.  But for many drivers, a large bonus is not the only factor they look for when applying for a job.

The Journal of Commerce stated a CostDown Consulting study which outlined ten influences that led drivers to leaving their job.

The first influence dealt with compensation/benefits, as we have already established with the example of sign-on bonuses.  Road Scholar Transport also offers excellent pay, safety bonuses, a comprehensive benefits package for eligible full-time employees, and much more!

Along with compensation/benefits comes keeping the promises set forth upon hirement in regards to wages, bonuses, etc.

Another reason for driver turnover was home time.  As an article in www.joc.com notes, policy on home time is defined by the company but “in the long-haul sector, a competitive policy gets drivers home once a week for 36 hours or every 10 days for two days off.”  Road Scholar understands the importance of family; we are a family-owned business, which is why we offer flexibility in work schedules, home time, as well as full-time and part-time opportunities so your personal life is not inconvenienced by work.

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Along with home time, the survey also lists equipment and equipment maintenance as factors drivers are concerned about…and they should be.  A company may be offering a hefty start-up bonus but what about the safety of the driver?  Under what conditions are they working with?  Vehicle safety is not something that can be left up to chance and could cost drivers wages due to being inoperable, or worse, cause an accident.  That’s why Road Scholar always conducts pre- and post-trip vehicle inspections, has a skilled maintenance team, and operates excellent equipment which includes new 2012 models.

The article also lists influences including respect/honesty, communication, and problem resolution in the work environment.  Road Scholar’s drivers use equipment such as Qualcomm and Nextel direct connect to communicate with a friendly, courteous, and knowledgeable operations team who responds immediately to any concerns.

The survey also states reasons such as training and clear/fair work rules as increasing driver turnout.  At the same time, trucking companies are increasing their transportation costs in order to account for increased driver wages.  This, in return, threatens the shippers who, CostDown Consulting’s Joe White explains, can help trucking companies by “becoming more flexible to their needs” as well as “discuss pickup and delivery times with carriers with an eye to helping drivers avoid rush-hour traffic congestion” (http://www.joc.com/labor/rising-driver-turnover-rate-threatens-shippers).

According to interstatetransport.wordpress.com, driver turnover has already reached 79 percent in the second quarter and is expected to increase a driver’s pay from “3 cents to 5 cents per mile for company drivers and 4 cents to 6 cents for owner-operators during the next year.”

Companies can draw in drivers through bonuses but can they maintain them?  If you are looking for a carrier in the trucking industry and are seeking the above criteria, then visit www.roadscholar.com and apply for a job today!

What qualities do you look for in a trucking company when searching for a job?  List your comments below.

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