Profitable Trucking Business

5 Expenses that Kill Profit of Your Trucking Company!

In this day and age the trucking business can be very profitable. Each year, we witness a lot of new trucking companies rise in the market but they fail before they can even establish themselves. Numerous reasons are behind the scenes that will predict this kind of outcome. One of the main reasons is …


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Eating or “killing” the profit in your Tracking Company

Being an owner of such a business requires complete dedication, as well as energy and full hands on involvement. It takes more than just knowing this type of business and/or the law and regulations, but also knowing the expenses.

When it comes to cutting the expenses, effectively saving and cutting cost in your organization, there are few tips which can help you improve your business, while at the same time save you a lot of money in the long run. In order to remain competitive, one must think of ways to stay cost effective and follow the legal guidelines while at the same time utilizing time modern and up to date techniques, so on the end of the day you-the owner can be in a win-win situation.

How do we create the winning scenario? Start by working on the following issues that are potentially eating into your earnings. Doing so will help reduce operating cost (if not even eliminate), while at the same time raise the profit margin on an enormous scale.

Top 5 issues to Stop

1. Paying a lot on postage or courier services, instead of using email (scaning or faxing) for document delivery

2. The “Out Of Route Miles” – always take the shortest trip – Use Route Optimizer

3. Idling Time – Tell your drivers to turn the truck off while they are parked on dock

4. Bad Fuel Quality – vehicles can get 5% lower consumption due to fuel quality

5. Expensive Maintenance – Plan and Maintain vehicles so they don’t breakdown while on the road, causing expensive repairs

1. Reduce traditional postage, use digital mailing (e-mail) instead.

Reducing the cost of transaction mail has never been easier than now! Technology will do the work for you, all you need to do is to change the traditional mailing hard copy mail into electronic .

This way you will:

  • Lower mailing cost
  • Reduce mail delivery time
  • Delivered mail the way your customers want it
  • Increase mail security and privacy
  • Do quicker payments Have mail tracking, including opening of the letter and attachments

The benefits are endless, and on the top of everything: You are helping to save the planet!

How cool is that! Now you are turning GREEN!

Businesses of all sizes are looking for ways to reduce costs and improve efficiency. If companies want to reduce mail processing costs further, they must begin to eliminate hard copy mail and replace it with email.

Email can be used in most situations, standard email is not as secure or private method of communication and proof of delivery is difficult, if not impossible. Today many mail recipients (43%) would prefer to receive their bills and statements in their inbox as an email with a secure attachment.

Secure Electronic Document Delivery, Bill Presentment, and Payment – Another  win-win for both the mailer and the recipient.

2. The “Out Of Route Miles – Drivers need to take shortest trip – Use Route Optimizer

According to one estimate, Americans waste more than 65 billion dollars a year sitting in traffic! Say you want to go to your grocery store, your bank, and then the Target store.  Did you know there are 6 different routes you can take? In fact, as the number of stops increases the numbers of possible routes go up exponentially.

For 4 stops, there can be 24 routes and for 5 stops, there can be 120 different routes!


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Organizations need to figure out how to cut travel distance and travel time. Less distance traveled means less fuel burned, reduced gas emission in the air, reduced tear/wear on your vehicle, reduced probability of accident and reduced insurance cost–not to mention customer efficiency and going home early.

The savings can be huge. An efficient routing system is an indispensable tool for any driver. Manually routing your fleet, even on a small scale, can be extremely difficult and time consuming. Why waste time and resources when it can be done more accurately and quicker.

When one route is optimized there is a difference of over 35 miles in the route. Now take this and multiply it by the number of routes and drivers you may have in a single day and the difference becomes even more visible. This is also known as ‘Intelligent-Dispatching’

When there are multiple vehicles, route optimization is only one piece of the puzzle.  The second piece is automatically dispatching the stops to the right vehicle. Intelligent Dispatching not only optimizes routes, but assigns them to the best matched vehicles.

The built-in logic in the state-of-the-art software’s on the market can tackle some of the most difficult tasks in vehicle routing from single depot (a warehouse) to geographically dispersed routing scenarios.

Also, each vehicle has start location as well as an optional finish location so that all its stops can be fitted into the best possible route. In short, the software examines your stops and vehicles, decides which is the best possible scenario, then assigns route to each vehicle based on several factors like quickest route, average speed of vehicle, load capacity, weight, max. stops,  etc.  Every route is optimized for minimized time. Pretty cool stuff!

Invest in a good route optimizer software and save yourself on money and nerve cells!

3.  Idling Time – Tell your drivers to turn the truck off while they are parked on dock.

Reducing vehicle idling will cut pollution and save money. No bigger reason than this is needed to reduce Idling time. Right now!

In the trucking industry you can’t help but have an idling time or downtime. But what is important here is to try to reduce that time to bare minimum.

Every day in the U.S. millions of cars and trucks idle needlessly, sometimes for hours
and an idling vehicle can release as much pollution as a moving one. You may not be able to avoid keeping your engine running when you’re stopped at a traffic signal or stuck in slow-moving traffic. But other times idling is unnecessary.



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