Truck Tracking Efficiencies

749 Words2 Pages

1. Description of the Organizational Problem
Problem/Opportunity Description
The area of study for this project will be truck tracking with an outcome which minimizes costs and maximizes efficiencies throughout the fleet of trucks. The end goals of this project are: 1. Locate the correct fleet size which is composed of both internal and external trucks, 2. Re-structure current contracts with external haulers to incentivize these haulers, 3. Integrate technology into fleet to increase efficiencies and automate back office processes.
How do we know this is a problem/opportunity?
In order to meet customer demands as well as keeping trucking costs at manageable levels the correct amount of trucks must be maintained on an ongoing basis. I believe that the best way to do this is to have an internal seasonal fleet of trucks that makes up 80% of the total fleet, with the other 20% being external haulers. By having the larger percentage of internal trucks a business is able to maintain a better level of control of its jobs and people, whereas with external haulers the ability to discipline may be more difficult. Having most of the fleet as part of the parent company also allows for more business-based comradery among employees, which may have a positive effect on the overall business.
A contract for external trucking vendors is another area of focus when building a stronger and more proficient trucking fleet. The most important portion of the contract is obviously the terms of compensation a driver will receive. This amount of compensation must be set at a nominal value that is attractive, but does cost more than the service is worth. The other portion of the contract that must be structured well is the definition of hauling poli...

... middle of paper ...

... use of asphalt pavements in Colorado” (Colorado Asphalt Pavement Association, 2013).

Works Cited

Colorado Asphalt Pavement Association. (2013). Colorado Asphalt Pavement Association. Retrieved from http://co-asphalt.com/who_is_capa/joinCAPA.htm.
Dutta, S. (2012). Field Service 2012: GPS and Fleet Management. Aberdeen Research, 1-7.
Malhotra, D., & Limeneau, F. (2011). Trust and collaboration in the aftermath of conflict: the effects of contract structure. Academy of Management Journal, 54(5), 981-998. Retrieved from https://ehis-ebscohost-com.csuglobal.idm.oclc.org/ehost/detail?vid=2&sid=f2825fbe-88b9-4a0c-8390-96931a1fef24%40sessionmgr4001&hid=116&bdata=JnNpdGU9ZWhvc3QtbGl2ZQ%3d%3d#db=buh&AN=67347551
U.S. Gasoline and Diesel Retail Prices. (2013). U.S. Gasoline and Diesel Retail Prices. Retrieved from http://www.eia.gov/dnav/pet/pet_pri_gnd_dcus_nus_a.htm.

Open Document