Five trucking industry challenges
The trucking industry is integral to the economy. Yet it faces some of the greatest challenges compared to any other industry. This can make it difficult for trucking companies to stay afloat, though knowing what you’re up against can also help you put your plan into action.
These are the five greatest trucking industry challenges that you will need to overcome to make your trucking company successful.
1. Operational costs
Rising operational costs are one of the toughest struggles for all trucking companies, especially smaller operations. Surging fuel prices and insurance premiums are among these, eating away at profit margins.
On top of that, fierce competition from other firms can make it difficult for you to stay profitable in the industry.
2. Driver shortages
The current statistics listed by the American Trucking Associations have announced a shortage of over 80,000 truckers. A number of factors have contributed to the shortage of truck drivers with many retiring out of the workforce as well as the challenging lifestyle aspects of being on the road.
Additionally, driver retention remains a bone of contention in trucking. Lack of robust pay and benefits along with longer routes are sending current truckers looking for other ways to earn a living.
To overcome shortages, trucking companies will need to have an attractive salary and benefits package while also providing a safe and secure work environment.
3. Parking
While drivers want to waste no time on their routes, federal mandates cap their hours. As such, they’ll need to park or risk violating the hours of service regulations.
Large trucks have to follow specific guidelines for parking and can only park where permitted. They can risk it by parking illegally, but that can lead to steep fines.
4. Supply chain crisis
With diesel prices at a record high, shortages of parts, and other indicators of recession, supply chain disruptions continue to remain a massive threat. The concern continues to grow in 2023, with many worried that a global recession will further impact the trucking industry.
5. Scheduling delays
Truck drivers have always been concerned about detention fees since they reduce the pay earned while waiting at customer facilities. It’s yet another reason why driver shortages continue to rock the industry. It is a huge drawback for attracting new drivers and retaining current ones.
How to address challenges in the trucking industry
With every challenge comes the opportunity to find new and innovative ways to move forward. Trucking companies that stay flexible and adaptable to find new solutions will prevail and thrive.
If you want your trucking company to succeed, you have to be ready for any challenges.
Staying competitive and successful is the key, and you may find that by investing in maintenance programmes, reducing your operating costs, and implementing strategies to attract new drivers while retaining your fleet is the way to get there.
Start here if you want to find the best way to help your new trucking company succeed no matter what is happening in the industry.
Continue reading…