Cost Control “More than just taking away the credit cards”

Cost control is a mindset – it has more to do with processes and quality than many carriers think.  At a large carrier in the Midwest with 35+ years of experience, we helped the team identify and drive out millions of dollars in costs in driver expenses, recruiting, tractor recoveries, equipment, maintenance, and tires.  In some instances, the savings came from switching vendors and negotiating more competitive deals with existing vendors.  In other instances, the savings came from changing the policies and processes to buy better products and better align drivers and equipment with the needs of the carrier and shippers’ contracts.  Within just 2 months, the operating ratio improved by over 200bps at a time when almost every public carrier reported a deteriorating operating ratio.