TRUCKING INDUSTRY CHALLENGES

Transport trucks are faster than rail transportation and cheaper than air freight. This is because the transport truck to provide service door-to-door delivery to the customer compared to other transport only transport is limited in certain areas only and customers are able to save costs and time. In addition, this also provides truck transportation good position in the transportation industry. Commercial trucking industry move more than 80 percent of U.S. freight, generating revenues of $ 525 billion in 2003.

Trucking industry has been growing faster than other industries in terms of the overall economy because other modes of transportation are constraints in terms of time, distance and cost. The truck transportation also well-suited for current business practices such as just-in-time supply. In addition, the economies of scale suggest a trend for larger, centralized manufacturing and warehousing operations, and shipping more goods also require transport truck for truck transport service can provide door-to-door. On-line shopping and online sellers also need a truck as a commercial transport to deliver the products to customers quickly and without causing any damage to the truck transportation is becoming more increasingly popular.

International challenges in the trucking industry has been faced by companies in the transport truck is high fuel costs and stringent regulatory environment following

have put additional pressure on the trucking industry. The main challenge is the industry low operating margins. It is because of intense competition with other industries, namely water, water, pipelines, and rail. Moreover, the lack of drivers is also one of the factors that had to be faced by a specific party. This is so because of the high rate of drivers to move to the construction, addition, more stringent regulations have resulted in loss of productivity and an increase in operating costs.

Eligibility driver is also high causing high costs for hiring and use the driver . Greater challenge is the rising price of oil. Other reasons are the drivers of dissatisfaction on the quality of life issues that are away from home for extended periods, irregular schedules, and the inability to follow after work routine. Although drivers are more educated and more qualified than ever before, they have little voice in their companies. Decision making is highly centralized in the truck companies, although the workforce is highly decentralized, with the driver controlling about 80 percent of the variable cost. Variable costs are factors such as labor, fuel, and maintenance. For these reasons, high driver turnover. The conclusion is trucking industry has many challenges that need to face by company in the transport truck.