Truck Driving Jobs

Professor427 · Posted: Wed Apr 02, 2008 9:26 am Post subject:

scooter823 wrote: No wrong again, I know quite a few independents. And yes I have taken Economics 101 which is actually Ecn125 along with Ecn221 micro, 225 macro, 324,328,330,421 & 428 and I can assure you sir this is not about supply and demand. This is also not about being able to run a successful business, that is being done. This is about getting raped at the pumps. :roll:

It is indeed about supply and demand. While the United States consumes 23 percent of total world consumption of crude oil, the emerging economies in China and India mean demand will only increase. And since the U.S. imports 60% of the oil it consumes (much of it from Canada, not the OPEC cartel) it's virtually impossible for the U.S. federal government to contain crude oil costs.
This increased demand (refined oil or petroleum is also the raw material for many chemical products, including pharmaceuticals, solvents, fertilizers, pesticides, and plastics; the 16% not used for energy production is converted into these other materials) means we may hit an "energy crunch" by 2030 when demand exceeds production.
So, it doesn't matter if every truck in North America was parked, the increased demand for crude, along with a devalued U.S. dollar and the volatile oil futures market, will keep prices high.

scooter823 · Joined: 16 Jul 2007 Posts: 98 Location: NC

Professor, if you will go over to the April 1 thread and read Gman's response. It explains exactly what I was trying to say. Maybe his fine written words will help you understand.

arky · Joined: 02 Dec 2004 Posts: 274

Quote: Gman Wrote: I prefer to compete on service. I will match the quality of service that I provide with anyone, regardless of size.

GMAN, I agree with what your doing, but I always wonder what defines a more quality service? Obviously, prompt and safe delivery of product, but I'm sure there are other things that an independant can do to set himself apart from the crowd. I would think that the shippers who are willing to pay a premium for their freight also very much expect this extra quality. No doubt, the JB's and Swift's have been there offering to cut the rates.

What are some of the things an independent can do to be sure they are providing the level of quality service that will make their customer "want" to do business with them, even if the rate may be a bit higher?

NOTE: Please understand this is in no way a wise-crack question, but genuine curiosity. I also understand that you may not want to divulge everything you know! LOL

BigDiesel · Posted: Wed Apr 02, 2008 11:54 am Post subject:

arky wrote:

What are some of the things an independent can do to be sure they are providing the level of quality service that will make their customer "want" to do business with them, even if the rate may be a bit higher?

It is very simple..... Just present yourself in a PROFESSIONIAL and RESPECTFUL manner to the traffic/shipping manager. Most of the slobs out there have no idea how to do this...

scooter823 · Joined: 16 Jul 2007 Posts: 98 Location: NC

BD,I do agree with what you just wrote, something so simple to do and yet most can't seem to do this.

Professor427 · Posted: Wed Apr 02, 2008 2:12 pm Post subject:

scooter823 wrote: Professor, if you will go over to the April 1 thread and read Gman's response. It explains exactly what I was trying to say. Maybe his fine written words will help you understand.
Gman's comments from the other thread:
Things are difficult, but when you are in business, you learn to make adjustments to changing conditions or go out of business. What you and so many others don't realize is that much of what is happening with these high fuel costs is related to the government becoming too involved in our business. Government is NEVER a solution to an economic situation. Most of the time they are actually the cause, either directly or indirectly. The government benefits directly when fuel prices go up. One other thing to keep in mind is that it was the GOVERNMENT who allowed the major oil companies to merge, thus reducing competition. It was the GOVERNMENT who prohibited the oil industry to drill in known rich oil fields, thus reducing our dependency on foreign sources. It was the GOVERNMENT who failed to put a comprehensive energy policy together. It was the GOVERNMENT who would not allow new refineries to be build, thus reducing our capacity to process more oil and possibly reduce prices. I could go on, but I think you see my point. Besides, I don't understand what you really want the government to do about fuel prices

While I respect Gman's opinion that government involvement has made matters worse, it still wouldn't change the global demand and the shrinking supply. And without trying to hijack this thread, government does and should have a role that speaks to a country's environmental well-being, not just its economic needs. What would be better for all of us - economically and environmentally - would be to reduce our dependence on oil.
So what can truckers do? To steal part of Twilight Flyer's message: reduce idling and slow down. You'll save money and reduce demand/dependence on foreign oil, while reducing the impact on the environment.
I suppose I should at least acknowledge that the handful of parked rigs that participated in the "strike" at least produced less nitrogen oxide for one day, so something good did come out it, however small that contribution may have been.

scooter823 · Joined: 16 Jul 2007 Posts: 98 Location: NC

Professor, It was his last entry that I was referring to.

Professor427 · Posted: Wed Apr 02, 2008 2:51 pm Post subject:

scooter823 wrote: Professor, It was his last entry that I was referring to.
Gman's last quote on other thread:
There really isn't a true supply and demand issue with the oil industry. Prices are controlled by a monopoly, OPEC. They can manipulate the market and prices at will, so the true market forces are not necessarily at work when it comes to prices. There is little true competition in the U.S. When the congress allowed the major oil companies to merge, competition was put at bay. If market forces were truly at play with current prices, then there would be a push for more refining capacity in the U.S. and more drilling. The government inhibits competition within the oil industry through public policy. They will not allow additional refineries to be built and prohibit drilling in what is believed to be some of the most fruitful sites in the world. There is also little done on the public side to encourage alternative energy sources. A lack of competition is the main reason we pay such a high price at the pump. Competition would bring prices down to a more equitable level.

There are a lot of people speculating in the market. That has resulted in rising prices. That has nothing to do with supply and demand. It has artificially inflated prices. At some point, the market is likely to correct itself and some of these people will take a bath in red ink.

Well, both comments make the same point, about the role of government, so I won't repeat myself.
But Gman's is absolutely spot-on when he talks about the role of speculators in the recent price spike, and without a doubt, many will get burned when the big players close out for a quick profit and the price of crude dumps. Crude will likely drop below $100 a barrel (it fluctuated between $99.80 and $105 today) but it's unlikely to return to his true cost of production because there are too many other factors at play in the global market.

Twilight Flyer · Joined: 13 Nov 2002 Posts: 5737

Quote: Some truckers, on CB radios and trucking Web sites, had called for a strike Tuesday to protest the high cost of diesel fuel, saying the action might pressure President Bush to stabilize prices by using the nation's oil reserves. The protests were scattered because major trucking companies weren't on board and there didn't appear to be any central co-ordination.

That's from the AP stories that are circulating. Most say the same thing and that quote above is found in pretty much all the versions. In other words, more of the same schtick we see every year. As Yoda would say...'that is why you fail.'

:roll:

GMAN · Joined: 13 Feb 2005 Posts: 9780 Location: Tennessee

arky wrote: Quote: Gman Wrote: I prefer to compete on service. I will match the quality of service that I provide with anyone, regardless of size.

GMAN, I agree with what your doing, but I always wonder what defines a more quality service? Obviously, prompt and safe delivery of product, but I'm sure there are other things that an independent can do to set himself apart from the crowd. I would think that the shippers who are willing to pay a premium for their freight also very much expect this extra quality. No doubt, the JB's and Swift's have been there offering to cut the rates.

What are some of the things an independent can do to be sure they are providing the level of quality service that will make their customer "want" to do business with them, even if the rate may be a bit higher?

NOTE: Please understand this is in no way a wise-crack question, but genuine curiosity. I also understand that you may not want to divulge everything you know! LOL

One of the most important things any trucking company can do is to make certain that you keep your word. If you commit to make a pickup or delivery by a certain time, then you make sure to do it. About 2 months ago one of my trucks broke down in Fresno, CA. We were under a load and I wasn't sure what was wrong with the truck. I had already committed to another load. Rather than not deliver the load or cancel the other load that I had committed, I rented a truck at a cost of about $800/week to fulfill my commitment. The shipper and broker were both extremely happy. Neither could believe that I would rent a truck to fulfill my commitment to them. I was told later that any time I needed a load to let them know. I made little, if any money on these loads, but kept my word and in doing so, gained a substantial amount of goodwill. I will do anything that I can to keep my word. In this case, the problem wasn't my fault. However, I did make a commitment. I felt that it was important for me to keep my word. That is only one example of what I mean by providing extra service. If this had happened to one of the larger carriers, they would likely have either tried to reschedule the load or re-power to suite their schedule rather than that of the shipper. While the problem would have been understandable, sometimes shippers operate on a tight schedule. If the carrier doesn't deliver as expected, then it can cost the shipper time and money.

The larger the carrier the more difficult it is for them to keep all of their commitments. It is much easier for a smaller company to keep their commitments than it is for a company with 1,000+ units. The more people with whom you deal the more difficult it is to maintain control over your business.

Shippers and brokers will sometimes pay a premium for a carrier who is dependable. Most will not waste their time with those who are not reliable.

One thing that I NEVER do is cancel a load once I commit to it. There are some carriers and/or independents who will cancel a load if they find one that pays more. That is bad business. It isn't good for anyone. It is difficult to build a good reputation. It takes little to ruin it. I am not saying that if you cancel a load, once committed that you will ruin your reputation, but it is something that a shipper or broker is likely to remember. But they also remember those who provide excellent service. By providing good service you establish good will and when a really good load comes along, then you will be at the top of the list.

If you provide excellent service you can command a higher rate. If you provide mediocre service then you don't deserve the better rates.

allan5oh · Posted: Wed Apr 02, 2008 5:54 pm Post subject:

I nominate GMAN's previous post for:

"Post of the year - 2008"

Orangetxguy · Joined: 23 Jan 2007 Posts: 1765

GMAN wrote: arky wrote: Quote: Gman Wrote: I prefer to compete on service. I will match the quality of service that I provide with anyone, regardless of size.

GMAN, I agree with what your doing, but I always wonder what defines a more quality service? Obviously, prompt and safe delivery of product, but I'm sure there are other things that an independent can do to set himself apart from the crowd. I would think that the shippers who are willing to pay a premium for their freight also very much expect this extra quality. No doubt, the JB's and Swift's have been there offering to cut the rates.

What are some of the things an independent can do to be sure they are providing the level of quality service that will make their customer "want" to do business with them, even if the rate may be a bit higher?

NOTE: Please understand this is in no way a wise-crack question, but genuine curiosity. I also understand that you may not want to divulge everything you know! LOL

One of the most important things any trucking company can do is to make certain that you keep your word. If you commit to make a pickup or delivery by a certain time, then you make sure to do it. About 2 months ago one of my trucks broke down in Fresno, CA. We were under a load and I wasn't sure what was wrong with the truck. I had already committed to another load. Rather than not deliver the load or cancel the other load that I had committed, I rented a truck at a cost of about $800/week to fulfill my commitment. The shipper and broker were both extremely happy. Neither could believe that I would rent a truck to fulfill my commitment to them. I was told later that any time I needed a load to let them know. I made little, if any money on these loads, but kept my word and in doing so, gained a substantial amount of goodwill. I will do anything that I can to keep my word. In this case, the problem wasn't my fault. However, I did make a commitment. I felt that it was important for me to keep my word. That is only one example of what I mean by providing extra service. If this had happened to one of the larger carriers, they would likely have either tried to reschedule the load or re-power to suite their schedule rather than that of the shipper. While the problem would have been understandable, sometimes shippers operate on a tight schedule. If the carrier doesn't deliver as expected, then it can cost the shipper time and money.

The larger the carrier the more difficult it is for them to keep all of their commitments. It is much easier for a smaller company to keep their commitments than it is for a company with 1,000+ units. The more people with whom you deal the more difficult it is to maintain control over your business.

Shippers and brokers will sometimes pay a premium for a carrier who is dependable. Most will not waste their time with those who are not reliable.

One thing that I NEVER do is cancel a load once I commit to it. There are some carriers and/or independents who will cancel a load if they find one that pays more. That is bad business. It isn't good for anyone. It is difficult to build a good reputation. It takes little to ruin it. I am not saying that if you cancel a load, once committed that you will ruin your reputation, but it is something that a shipper or broker is likely to remember. But they also remember those who provide excellent service. By providing good service you establish good will and when a really good load comes along, then you will be at the top of the list.

If you provide excellent service you can command a higher rate. If you provide mediocre service then you don't deserve the better rates.

That is the entire reason for quality service!

Ya nailed that one goooooood Mike!

Orangetxguy · Joined: 23 Jan 2007 Posts: 1765

Professor427 wrote: scooter823 wrote: Professor, if you will go over to the April 1 thread and read Gman's response. It explains exactly what I was trying to say. Maybe his fine written words will help you understand.
Gman's comments from the other thread:
Things are difficult, but when you are in business, you learn to make adjustments to changing conditions or go out of business. What you and so many others don't realize is that much of what is happening with these high fuel costs is related to the government becoming too involved in our business. Government is NEVER a solution to an economic situation. Most of the time they are actually the cause, either directly or indirectly. The government benefits directly when fuel prices go up. One other thing to keep in mind is that it was the GOVERNMENT who allowed the major oil companies to merge, thus reducing competition. It was the GOVERNMENT who prohibited the oil industry to drill in known rich oil fields, thus reducing our dependency on foreign sources. It was the GOVERNMENT who failed to put a comprehensive energy policy together. It was the GOVERNMENT who would not allow new refineries to be build, thus reducing our capacity to process more oil and possibly reduce prices. I could go on, but I think you see my point. Besides, I don't understand what you really want the government to do about fuel prices

While I respect Gman's opinion that government involvement has made matters worse, it still wouldn't change the global demand and the shrinking supply. And without trying to hijack this thread, government does and should have a role that speaks to a country's environmental well-being, not just its economic needs. What would be better for all of us - economically and environmentally - would be to reduce our dependence on oil.
So what can truckers do? To steal part of Twilight Flyer's message: reduce idling and slow down. You'll save money and reduce demand/dependence on foreign oil, while reducing the impact on the environment.
I suppose I should at least acknowledge that the handful of parked rigs that participated in the "strike" at least produced less nitrogen oxide for one day, so something good did come out it, however small that contribution may have been.

On the topic of government and the merger of our oil companies.
By allowing the merging of AMOCO and the purchase outright of ARCO, to British Petroleum, plus allowing the purchase of Quaker State Oil and Pennzoil by RoyalDutch Shell, the government effectively made foreign oil companies the largest holders of domestic oil reserves. In the "On Shore" lower 48 states, BP holds more "production acreage" than does Exxon, Chevron, or ConocoPhillips, individually. BP (majority holder of Permian Basin leases) is the largest producer of "West Texas" intermediate crude...which is the US benchmark crude. BP also has extensive holdings in Colorado, Utah, Wyoming, New Mexico (San Juan Basin) East Texas and Louisiana. In the Gulf of Mexico "Offshore", BP holds the largest blocks of "Ultra-deep Water" proved reserves, and is a shareholder in some of the blocks that have been proved on by Shell, BHP-Billiton, PDVSA, and Total. As with BP, all of those companies are "Foreign for profit" companies. All of them, plus several other foreign oil companies, have been winners of bids for "deep water" drilling rights.

Now....for areas that it is known that there are oil and natural gas deposits, but drilling is prohibited.... "Offshore" Florida...east and west coasts. Offshore Delaware, the entirety of the Puget Sound and "Offshore" the states of Washington and Oregon. In 1991 one estimate by ARCO, of proveable oil and gas reserves under Puget Sound were 55 to 85 billion barrels of oil and 300 trillion cubic feet of natural gas...none of it accessible, due to state and federal drilling prohibitions.

State and Federal environmental regulations are also the reason over 30 refineries have been idled and torn down nationwide. Oh Yeah...reducing refining capacity also had the effect of reducing product availability..there by driving up retail prices.

And..Professor...you being Canadian as you are....you don't really want the US reducuing it's oil imports all that much...we pay for a big portion of your medical benefits...what there are of them.

Doghouse · Joined: 21 Mar 2007 Posts: 967

There are many things you can do as an independant to stand out among the rest. It's the same in any business.

1.Always be calm and retain control of the situation. I know there are times you want to reach through the phone,or choke somebody,..but don't show your anger,..remain calm at all times. After all is said and done,you can then decide if you want to work with the same people again.

2.Keep your equipment clean and repaired,..nobody wants to see their freight go on a truck with bald tires and dangling body parts.

3.Make sure you can commit to the load and run it legal, if you know you can't do it legal, walk away from the deal before you have any paperwork started.

4.Be ready to rent a truck in case of Gman's situation, plan it now and get preapproved by a truck rental company. You don't want to be sitting on the side of the road when Penske says,...your credit sucks and you can't rent one of our trucks.

5.Create a professional mailer and staple your business card to the inside then send it to some shippers you are interested in hauling for. Send it every two weeks to the shipping dept. and follow up with a phone call to make sure they have your info on file. You would be surprised about how often shippers get fed up with carriers and are looking for new ones.I did this and I have 2 shippers in the Tampa area who always have a good light, good paying load for me when I'm ready to leave home.

6.Get rid of the notion that you are too small to be able to provide a service. Most of these shippers hand their loads to multiple brokers and don't care who moves it as long as it moves.

7.Don't look like you just rolled out of bed, wash your stinky parts, and smile,....your a trucker,....try not to act like one :lol:

This is the end of lesson one,..keep in mind I have only been an OO for 4 months, and this information can be disqualified in any truck stop.

GMAN · Joined: 13 Feb 2005 Posts: 9780 Location: Tennessee

Orangetxguy wrote:
That is the entire reason for quality service!

Ya nailed that one goooooood Mike!

I am glad that you like it, Stan. I believe in providing quality service.

I like your comments on government and the oil industry.

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