Deciding Moments for Navigating the Truck: When to Steer, When to Send, and When to Abandon Vehicle Entirely
In the dynamic world of trucking, understanding when to drive, dispatch, or step out of the driver's cab is crucial for business growth, profitability, and sustainability. Patrick Galster, an author from the October 2024 issue of FAHRSCHULE, delves into this topic, offering valuable insights for trucking business owners.
Firstly, true ownership involves regularly reviewing key performance indicators such as maintenance, fuel usage, dispatch performance, broker relationships, and preparing for the next truck before the current one burns out. However, if you're at truck #2 or #3 and still driving, you might be slowing your growth. The earlier you systematise these processes, the better your long-term margins and stability.
Running a trucking company is a full-time job. If you're doing both, driving a truck and running the company, something will eventually break. Driving makes sense in three situations: building capital with a plan, taking advantage of a niche lane, or genuinely loving it and running lean. But, as your business expands, you'll need to delegate tasks to focus on the overall management of your company.
Dispatch becomes necessary when adding another truck, when your time is worth more off the load board, or when building a brand, not just a DOT number. Outsourced dispatch without oversight, however, can become a margin drain. When hiring a dispatcher, it's crucial to train them, audit their performance weekly, and align them to your goals, not just rate per mile.
Before hiring a fleet manager, it's essential to first build SOPs, structure, and expectations, then hand over the reins to someone trained to execute. Stepping out of the truck completely is the next step for business building and can be the most uncomfortable transition for some. But, with the right people in place, this step can propel your business to new heights.
It's important to note that there's no magic number for the "right" number of trucks to stop driving. If you have more than one truck and are still driving one, you're limiting your business's potential growth. True ownership involves knowing your numbers weekly, and when you have a dependable driver, a knowledgeable dispatcher, solid compliance, and a well-maintained fleet, it's time to delegate tasks instead of dominating them.
Lastly, a business owner who manages every load is not scalable. Chaos cannot be outsourced, and it's essential to have systems and structures in place before delegating tasks. The right time to delegate is when you have the right people in place.
In conclusion, navigating the transition from driver to dispatcher to business owner requires careful planning, the right people, and a clear understanding of your business's needs. By following these guidelines, trucking business owners can optimise their operations, scale their businesses, and ensure long-term success.
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