Transport Management: Planning, Dispatch and Driver Allocation

Transport Management Software for Planning, Dispatching and Allocating Truck Drivers
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Transport management is the central command for logistics, using technology to coordinate the complex interplay of vehicles, drivers, and schedules. It ensures on-time delivery while critically balancing safety, efficiency, and cost.

The trucking industry faces constant external disruptions, like the recently postponed dockworker strike. When port operations halt, fleet managers must quickly reroute trucks and adjust schedules.

So, this makes flexibility and contingency planning essential for effective transport management.

What are the Biggest Challenges in Driver Dispatch?

The industry now compares dispatchers to air traffic controllers. They must balance multiple variables at once and maintain clear, constant communication with both drivers and customers.

Transport Management Software for Dispatching Truck Drivers
A fleet manager using a digital map on a tablet to coordinate multiple trucks on a highway, symbolizing modern transport management. | Image Source: Dreamstime.com

The modern dispatcher faces a complex set of challenges that test both their logistical skills and emotional resilience. Here’s key dispatch challenges in modern trucking:

Challenge CategorySpecific ExamplesImpact on Operations
Driver ManagementShortages, retention, aging workforce, high turnover (up to 90%)Increased training costs, safety concerns, operational instability
Cost PressuresRising fuel costs, maintenance, insurance premiumsReduced profit margins, need for optimized efficiency
Regulatory ComplianceHours-of-Service regulations, environmental standards, safety requirementsAdministrative burden, risk of fines, operational constraints
Unpredictable VariablesWeather, traffic, mechanical breakdowns, port disruptionsDelays, customer dissatisfaction, constant need for rescheduling
Technology AdaptationImplementing new software, data management, transitioning to electric vehiclesTraining requirements, upfront costs, workflow adjustments

Today’s dispatchers operate in a high-stakes environment where every decision impacts safety and profitability. This requires a forward-thinking approach, as emphasized by Louis Teh of TBC Transportation, who advocates for staying “ahead of regulations.”

The role is further strained by severe driver shortages and turnover rates that can reach 100%, forcing dispatchers to constantly train new drivers. Coupled with the need for 24/7 availability, these pressures create irregular hours and a high risk of burnout.

As a Truck Driver, What Do You Expect from Your Dispatcher?

Transport Management Tool for Dispatcher and Truck Driver
A truck driver and a dispatcher communicating seamlessly via headset, representing the critical partnership at the heart of efficient driver dispatch and allocation. | Image Source: Cargo Runner Co.

The driver-dispatcher relationship is the most critical partnership in trucking, directly impacting efficiency, safety, and morale. Here’s what drivers need from their dispatchers:

  • Clear Communication: Provide comprehensive info on loads, routes, and changes.
  • Respect and Professionalism: Understand life on the road and treat concerns seriously.
  • Appreciation: A simple “thank you” for a job well done boosts morale significantly.
  • Helpful Feedback: Offer constructive guidance, not just criticism.
  • Flexibility: Collaborate to adjust plans when unexpected issues arise.
  • Proper Support: Ensure drivers have the documentation and resources they need.

Josh Johnson of Carter Express says successful dispatchers must fully support their drivers. This includes monitoring their locations and hours-of-service to prevent violations and being available for their questions and concerns.

So, this supportive approach benefits both drivers and the broader operation.

What is It Like to Work as a Dispatcher?

Transport Management for Dispatcher and Truck Driver
Being a dispatcher, one should be multifaceted with coordinating driver schedules, solving problems under pressure and managing customer issues 24/7. | Image Source: Relay Payments

A dispatcher is the “behind-the-scenes powerhouse” of trucking, orchestrating daily logistics. Their role is a high-pressure, multifaceted job that blends scheduling, customer service, and crisis management.

A Day in the Life of a Dispatcher:

  • Starts by checking driver hours and locations for compliance.
  • Involves constant coordination of schedules, customer communication, and GPS tracking.
  • Requires continuously solving problems, from breakdowns to weather delays, and adjusting plans in real-time.

Key Challenges and Rewards:

  • It’s a 24/7 job with high stress and irregular hours, often leading to burnout.
  • Decisions directly impact safety, customer satisfaction, and profitability.
  • Despite the pressure, successfully navigating complex challenges is deeply rewarding for those who thrive in dynamic environments.

Why Do Big Trucking Companies Prioritize Recruiting Over Retaining Experienced Drivers?

The trucking industry faces a persistent challenge with driver turnover, particularly at larger carriers where rates can reach from 90 to 100% annually. This turnover poses serious operational and safety risks that management must mitigate.

The Retention vs. Recruitment Focus

  • Perceived Cost Differences: Some organizations view recruitment as less immediately expensive than implementing comprehensive retention programs, though this often proves shortsighted given the substantial costs of continuously training new drivers.
  • Industry Dynamics: The trucking industry has historically high turnover, leading some companies to accept it as “the way things are” rather than investing in cultural change.
  • Immediate Operational Pressures: With demanding delivery schedules and capacity needs, recruiting new drivers can seem like a quicker solution than the long-term work of improving retention.
  • Aging Workforce: As experienced drivers retire, companies must recruit replacements, particularly challenging as “young people are less willing to enter the industry” according to Shu-Ling Su of Chi Sheng Transportation.
Why Big Transport Companies Recruit New Drivers Rather Than Experienced Ones?
Many big trucking companies might prefer new drivers than an experienced driver because of the cost differences, aging workforce and immediate operational pressures. | Image Source: Nuvizz

Retention Strategies Forward-Thinking Companies Employ

Progressive fleets recognize that retention ultimately proves more sustainable than constant recruitment. Effective strategies include:

  • Financial Incentives: Many fleets have increased retention bonuses by nearly 90% over four years, with averages reaching $1,272. Competitive wages and benefits also play crucial roles in keeping experienced drivers.
  • Improved Working Conditions: Addressing pain points like long unpaid wait times, irregular schedules, and time away from home helps reduce burnout. Companies that listen to driver concerns and implement practical improvements tend to retain staff longer.
  • Modern Equipment: Leasing trucks rather than owning them enables fleets to provide drivers with “late-model equipment with the newest safety and driver-comfort features, which can make it easier to attract and retain quality drivers”.
  • Respectful Corporate Culture: Drivers stay with companies where they feel valued and respected. This includes positive dispatcher relationships, fair treatment, and recognition of their contributions.

High driver turnover lowers safety scores. As one expert warns, “inexperienced drivers make more mistakes, and those mistakes cost people their lives.”

Each time a driver switches companies, they face a risky adjustment period to new routes and equipment.

Do Truck Drivers Own Their Trucks, or Are They Assigned One Randomly Before Each Haul?

Do Truck Drivers Drive Their Own Trucks?
Yes, truck drivers might drive their own trucks but in a shared pool system, they need to follow orders from their dispatcher or fleet manager for road operations. | Image Source: Star Fleet Trucking

Truck assignment isn’t random; it follows established models with distinct operational impacts. The most common approaches are:

  • Company-Assigned Truck: A driver is consistently assigned to a specific vehicle. This builds familiarity with the truck’s mechanics and encourages the driver to take personal responsibility for its condition.
  • Shared Pool System: Drivers use whichever truck is available. This is less common for long-haul routes but can be used to maximize asset utilization.
  • Owner-Operator: The driver owns and operates their own truck as an independent business, handling both the driving and business management.

The best model involves a trade-off. Company assignment boosts familiarity, pool systems may increase utilization, and owner-operators are highly motivated. The choice depends on the company’s size, operational needs, and specialization.

Manage Vehicle: Your Transport Management Software for Business Growth

For transport operators struggling with driver planning and dispatching, Manage Vehicle is the all-in-one transport management software designed to solve these problems.

Manage Vehicle, Your Trusted Transport Management Software
Manage Vehicle, your trusted transport management software for planning, dispatching or allocating drivers. | Image Source: Simply Fleet

Key Features of Manage Vehicle Software That Help Your Business Grow:

  • Real-Time GPS Tracking: Monitor vehicle locations 24/7 using both cellular and satellite networks, enabling better route planning and timely service. The system provides real-time location tracking with alerts and customizable reports accessible via web browsers or mobile applications.
  • Driver Behavior Management: Gain visibility into driving patterns with detailed reports on harsh acceleration, braking, speeding, and idling. This data helps identify training opportunities while promoting safer driving practices.
  • Fuel Usage Monitoring: Since “fuel costs make up for a majority of a fleet businesses expenses,” Manage Vehicle’s detailed fuel reporting helps identify waste through idling, inefficient routes, or potential theft.
  • Maintenance Scheduling: Avoid costly breakdowns through automated maintenance reminders and scheduling. This proactive approach extends vehicle lifespan and reduces unexpected downtime.
  • Remote Vehicle Diagnostics: Proactively identify potential vehicle issues before they escalate, enabling preemptive maintenance that reduces road failures and repair costs.

Ready to stop struggling with dispatching and start growing your business?

Sign up for a Free Demo of Manage Vehicle today and see how easy driver management can be!

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