Leave a comment

Growing Your Business Through The Ontario Trucking Association

Posted by krtstransportation on February 20, 2013 in Independent Owner Operators, KRTS Inc, Truck Training

With the recession still in high gear, and for most, profits still being granular in best cases, most look at their expenses regularly to see where they can trim.

Most of us will look at organizations or associations we belong to, to get a look at whether we should continue to pay the dues or not, and if we are getting a return on our investment.

In most cases like anything else in life, you get back what you put in. So if your idea of putting in is mailing a cheque to an association and that is it, you should save your money or put it elsewhere in your business. You need to be involved when you join.

Back in the day when we started KRTS, I asked a ton of questions to people in our industry. I still do, that is how you learn. I took the advice of some pretty good people and joined the OTA. I didn’t really know anyone there at OTA and I knew very few of their members, but when I took a look at their directory and their members (no web site then) I saw plenty of trucking companies, the who is who of our industry and I saw a number of companies representing services and products to the industry who were part of the allied trade division. Before making my investment I called a few of the companies, tracked down the decision maker, and introduced myself. I asked them why they were members, the value they received and how long they had been involved. I heard both sides; the association was a good investment, it allowed them to get in front of their customer, the networking opportunities were good, and it was good for their business. The others who did not get value from the association had a common theme, they did not get involved.

We joined and have never looked back. That was 20 plus years ago. We are very active. We went into the OTA looking to be active, and we continue to be active today. Personally, I have met some wonderful people both who work at OTA and those who are members. I truly believe what gets measured gets managed, and it is easy to measure our return on the investment of being involved with OTA

I have sat on many committees, attended many meetings and functions, eventually became a board member of the Allied Trade, and for the next two years I have the honour of serving as the Chairman of the Allied Trade Division. I am looking forward to what lies ahead and working with some great folks. I am also interested in growing the Allied Trade Membership and would welcome any of your calls about the values of being a member and how to join.

If you’re offering a service to the industry you are always looking at ways to promote your business, sell your services and get in front people. The OTA offers up that venue on a regular basis. I look forward to your call.

1 800 771 8171 extension 201.

Safe travels,

Kim

About the Author: Kim Richardson is a husband, proud dad, friend, loves Caledonia, and is involved in a couple of businesses; KRTS, Transrep, The Rear View Mirror. Currently the Chairman of the Board OTA Allied Trade Division. Executive Director, PTDI and TTSAO. Anyone who knows Kim knows he has been in the industry and transportation runs in his blood. Kim can be reached through his business websites at KRTS Inc. and Transrep Inc.

 

Tags: , , , Permalink
Leave a comment

How Are You Networked?

Posted by krtstransportation on January 30, 2013 in KRTS Inc

When I was first asked this question in the early 90’2 by one of my mentors, I really did not understand what he meant. I simply answered “I know alot of people”. A big smile came acorss his face and he said “so does Santa Clause and he comes once a year and never sees anyone when he comes”.

The lesson my mentor taught me was that you need to be the ‘go to’ person, the ‘I know a guy’ kind of guy and the first person people think about when it comes to connecting people.

My mentor also taught me that if you give everyone what they want or what they are looking for, you will always have what you want. This is a bit of a challenge and few can do it right. I will be the first one to admit I don’t always do it right but I will tell you, I practice it every day. As a matter of fact I practiced it this morning before I started to pen this blog. The best part is that I practiced in front of someone very special to me that I am now mentoring full time at work.

Here we go; we were doing a presentation to a client about the new on-line Rear View Mirror. We both know the individual we were pitching to and he is a great fella, and he and his company are very good at what they do. So before we got into what we were looking for we were talking about other things; What they were working on, new projects, current hurdles, bright spots and opportunities their company was working on. I have built years of trust with this gentleman and he knows I like ti help out where I can. He discussed a piece of business they do and we both agreed it could be much bigger. I happen to know a guy and I offered to give him a call and suggest that there may be something he could be very interested in and would also benefit from. I had to call him any way and I could bring up the opportunity during our call. I would suggest that it would be worthwhile for them to chat and then they could have a meeting, lunch, or a beverage to discuss in more detail.

Now I must confess, we spent a fair bit of time talking about this but I did not mind a bit and in the end I was giving the client what he wanted. We had not even started to talk about what I was after, honestly it did not matter if I got what I wanted in this case. I think what we pitched to our client was a great opportunity and his company should and probably will get involved with the new online Rear View Mirror. Time will tell.

What I do know is this; I gave someone what they wanted, that someone will eventually tell someone what I did and how it helped and that is a very small example of how someone becomes networked.

I will be talking about this more as the guest speaker for the monthly meeting of the Delta Nu Alpha Transportation Network on Feb 28th taking place at the Delta Hotel Airport West on Dixie Road in Mississauga. Come on out, have a great dinner and we can talk more about how to use networking and some proven steps to become the ‘I know a guy’ kind of guy or the ‘I know a girl’ type of girl. Learn more about the Delta Nu Alpha at http://www.deltanualpha.ca

About the Author: Kim Richardson is a husband, proud dad, friend, loves Caledonia, and is involved in a couple of businesses; KRTS, Transrep, The Rear View Mirror. Currently the Chairman of the Board OTA Allied Trade Division. Executive Director, PTDI and TTSAO. Anyone who knows Kim knows he has been in the industry and transportation runs in his blood. Kim can be reached through his business websites at KRTS Inc. and Transrep Inc.

Tags: , , Permalink
Leave a comment

Keeping Yourself Alive in Trucking!

Posted by krtstransportation on September 29, 2012 in Career Articles, KRTS Inc, Truck Training

You may think that this is an article about safety but in truth it is an article about professionalism. Next time you are in a truck stop or any place with professional drivers I want you to look around and take note of what you see. For instance you will see drivers that look very tired. They may be tired from their shifts but what I am talking about is tired from being on the road. If you have ever been on a road trip you will notice that the trip can take a lot out of you and that is no different in trucking. What most truckers do in a day is major vacation outing for a regular family.

In the beginning life on the road can bring a spring to your step and excitement to your life. That is the catch that keeps people in it for the long term. After a while however that feeling has a habit of going away and leaving you tired. You’ve missed some personal commitments, you’ve met a few too many grumpy receivers, and you wonder if it is all worth it. On the other hand you will find drivers that are excited about the industry. Those have worked for good companies, been treated like the professionals they are, and have a good name in the industry. So what has the second group done differently than the first?

If you ask them you will find that they enjoyed what they did. They kept themselves moving up the ladder in a fashion whether with new runs, trucks, or other perks. They enjoyed meeting people and learning about new processes, or equipment, and they had pride in their profession and company. There is no secret to winning in this industry, many stay in because the work is steady, but the real winners stay in because they enjoy the industry as a whole.

So for you to have a successful career you have to keep your license clean, enjoy what you are doing, and be positive about the ride. Try to understand how everyone fits into this industry and you will see each part has its own problems, by understanding that you will raise the bar on your performance to help others meet their goals. We need positive professionals in this industry and it starts with each person doing their part.

About the Author

Bruce Outridge is a business and leadership consultant with over 30 years of experience in the transportation industry. KRTS Inc offers heavy equipment and truck training courses for the transportation industry. For more information on KRTS Inc please visit their website at www.krway.com

Tags: , , , , , , , Permalink
Leave a comment

Time Management and Transportation, Two Peas in a Pod

Posted by krtstransportation on September 24, 2012 in Career Articles, Finding a Job, KRTS Inc, Owner Operators, Time Management, Truck Training

When I talk with new professional drivers and Owner Operators I like to ask them what they think is the most important quality for a new driver to possess coming into this industry. The answers range from everything such as training to driving a specific make of truck and more. What many new drivers forget is that the soft skills we have can be much more important than some of the hard skills learned in the industry. Now before you get all bent out of shape, hear me out, I’m not saying that good driving habits or quality fuel economy techniques aren’t important. They most certainly are and paramount in the success of your career. Safety on the roadway should always be first, but many of the skills we possess will take you farther, make you more important to a carrier, and give you a decent career path as a professional driver.

So in answer to the question posed at the beginning of this article in my mind Time Management may be the most important skill a professional driver can learn. Add many other soft skills such as customer service, respecting people, treating people the way you would like to be treated and you will be well on your way to a successful career. I have put time management first because that is the one skill that is tied to everything in transportation. Time affects your log book, how many miles you can put in a day, the hours you can work, how much income you can earn, and how quickly the company gets paid affecting cash flow for all. Think about it, even if you are getting paid $2.00 per mile, if you sit for two days or only drive 1000 miles that week you still are no further ahead of making big money. If time didn’t affect your hours of service you could keep driving all day, but then safety may suffer. So good time management skills are necessary for a decent income, maximizing your hours of service, and creating a profitable future as a professional driver. Many of the drivers with poor time management are the ones complaining of not making any money. They deliver late, which causes them more downtime, more downtime means less income, and poor time management also reduces their integrity so they remain on an open board longer than many others.

So if you are trying to make yourself important to the company, and profitable in the industry, time management is the way to do that, improve that and you can improve your whole career.

About the Author

Bruce Outridge is a business and leadership consultant with over 30 years experience in the industry. KRTS has been training individuals for the transportation industry for over 25 years. For more information on their courses please visit their website at www.krway.com

Tags: , , , , , , , , Permalink
Leave a comment

Becoming a Steel King, Hauling Steel for a Living.

Posted by krtstransportation on September 14, 2012 in Career Articles, Finding a Job, KRTS Inc, Owner Operators, Steel Industry

You’ve watched them go down the road, multi-axle trailers almost as long as trains. Some look like old time covered wagons known as rack and tarps and other look like a wavy van trailer. Some are outfitted just like a flat-deck with a tarp bundle on it, while other look as though they are sporting a diamond ring for show to the world with a single coil placed in the centre of the flat-deck. Welcome to the world of steel, an industry within the transportation industry that like food is one our countries largest exports. Steel is normally priced well depending on the company or market conditions and can be everything from coils or wire to machine dies and more. Many companies are in this tight knit industry from large carriers with many trucks to single Owner Operators and a mixture of the two.

So what do you need to get into this industry, the first is experience. This is not an industry that welcomes new comers to the rigs and will generally be looking for drivers with a 2-3 years of experience. Patience is something that is a necessity, if you have ever been to the shipping area of a steel factory you will find trucks lined up for miles waiting their turn to load. Time management is crucial as many of the businesses in this sector require delivery appointments. If you plan on being an Owner Operator in this area not only will you need a truck but you may also be required to buy your own trailer depending on the company which is the norm in this area. So this area is not for the new or faint of heart, the drivers that succeed in this area know the ropes and have been doing it for quite a while. I have seen many good women in this area so don’t be afraid to go for it if this is something you feel you can handle.

The downside of this part of the industry is the downtime in my mind. There is a lot of waiting around. If you are an Owner Operator you have higher costs due to equipment requirements and steel is mostly an export commodity so economic markets can affect the industry drastically. That being said I know many drivers that have done well focusing on steel over time. If you think this may be for you then give it a whirl just make sure you go in with your eyes wide open.

About the Author

Bruce Outridge is a business and leadership consultant with 30 years of experience in the industry. KRTS is leader in truck and heavy equipment training. For more information on their courses please visit their website at www.krway.com

Tags: , , , , , , , , Permalink
Leave a comment

Do I Buy It or Lease It?

Posted by krtstransportation on September 7, 2012 in Independent Owner Operators, KRTS Inc, Owner Operators, Truck Training

You’ve decided to go down the route of an Owner Operator and are wondering the best way to attain your truck. There are a number of ways to get a truck and much of it will depend on your personal credit rating, your capital for a down payment, the carrier you are signing on with, and the number of years in the industry. Add to that the various options of traditional leasing, options for buying a truck, and of course the in-house lease plans through carriers.

Leasing and buying a truck each have their own advantages and disadvantages depending on your own situation and capital attained. So this will be the first step in determining the direction you need to go. Financing options will be determined by your credit history and how well you have managed that side of your life. So lets look at buying or leasing by themselves. When you buy or lease truck you are creating a fixed expense for your business. Whatever number you negotiate will be there for the next five years or length of contract you were able to sign on with. The goal of the business owner is to keep fixed costs as low as possible. If you’re buying the truck going in with a higher downpayment will give you the best deal for a lower payment. Buying a good used truck over the bright shiny new truck will give you a lower payment. Now remember the goal is to keep your fixed expense as low as possible so negotiating a deal with no downpayment will give you a larger fixed payment on a monthly basis. If you buy a truck you can modify it within reason as you like within the warranty. You want that big Texas bumper go ahead and put it on, so you gain some flexibility there. You are also building equity in the payments leaving you with ownership of the truck in the end, and you gain the options such as writing off the depreciation and taxes if the truck is purchased.

If you’re leasing your truck your payment pay be lower or higher than buying depending on your credit rating. People many times go the leasing route as the down payment is usually considerably lower which is the appeal but you have to be aware of some of the pitfalls of leasing. When leasing you don’t own the vehicle at the end, it is much like a rental agreement. You make your payments and after the term of the lease is expired you have the option of returning the truck to the dealership or buying the truck out at the end. This may seem like the smart way to go but depending on how well the truck was cared for on the road it can be costly. Depending on your business setup you may be able to write off the payments for the lease, but it may cost you more in taxes at the end if you decide to purchase the unit. If you buy the unit and turn it over afterward then you may pay more than the unit is worth. With a lease changing or modifying the truck may be out of the question. Any customization would change the lease agreement because the truck should be turned back in in the same shape other than normal wear and tear as when you picked it up. If either of these options don’t work there is one other option known as an in-house lease.

An in house lease is when a carrier has their own equipment and leases it much in the same as traditional lease but with more restrictions. For instance many times you never get to a point where you own the vehicle as the trucks are turned over in certain time periods. You can’t move the truck to another carrier if you find the one you are with not working out. Many drivers end up leaving and have in essence paid for a truck driving job. All the control of the lease is in the carriers hands with very little flexibility for the owner. The reason these are popular is you usually get new equipment with essentially nothing down. Some are good but many are not worth while for the long run. If you have the money for a regular down payment then go a traditional route where you buy or the lease the truck yourself and sign it on with a carrier. If you do go this route do your homework and read the agreement very carefully.

About the Author

Bruce Outridge is a business and leadership consultant with 30 years of experience in the transportation industry. KRTS Inc is one of the top training schools in Ontario for over 25 years. For more information on programs in transportation and heavy equipment please visit their website at www.krway.com

Tags: , , , , , , , , Permalink
2 Comments

Independent Versus Leased Owner Operator, Which is for You?

Posted by krtstransportation on August 31, 2012 in Career Articles, Finding a Job, Independent Owner Operators, Owner Operators, Truck Training

When we speak about Owner Operators most of the time we are talking about the leased variety.These are the men and women that have signed on with a specific carrier with or without their own trailer and are dispatched much like a company driver would be. All the administration is completed for you in the way of fuel tax calculations, insurance provisions, dispatch, safety programming, payroll and more. You focus on running the miles and operating your truck. This is a great step for many to learn how to manage a business and it creates a safety net should an incident happen on the road. Most likely 80 percent of the Owner Operators on the road today operate under this model and will continue to do so over time, but what about the true Independents?

What are true Independents? The true independent Owner Operators are the ones that you see in the movies. They run under there own authorities, find their own loads, and want total control of their business. In the old days, like when I was born this was a much more common model, because companies didn’t lease to other operators, that’s where the Independents came in. Deregulation changed much of that and to compete carriers started contracting Owner Operators, having them run almost as a company truck and more. Every few months I will get a call from someone that is looking to become a true Independent. Most often it is because they feel they haven’t been getting their fair share of the pie. Somehow they have found out the true rate of a load and feel the company has been holding out on them and not paying them fairly. This is the wrong way to become an independent operator and I will be the first to steer them down a different path, they will thank me later. Some are fresh out of school, know they want to be an Owner Operator but know an Independent and feel it can work for them. Even then I am cautious, I prefer someone to get their feet wet with a lease on situation first so they understand everything that is required as an Owner Operator. So lets look at the total independent model for Owner Operators.

Capital is crucial for startup, most leased Owner Operators will need around $15,000 dollars of capital to buy a good used truck and have some operating capital for the first month until statements start coming in. As an independent you can at least double that if not more. You will need the same costs as the lease owner but will also be required to pay for other items such as plates, operating authorities, insurance, and other services to get you going. You will need to pay fuel out of your own pocket which will quickly eat up operating capital. Tolls, road tax and more need to be added to your costs and don’t forget you may need your own trailer depending on the operation. It’s hard to haul product on the back of your cab. The true pinch for independents is finding loads to haul. There are many dispatch services out there but the loads may be great for filler, but you will quickly learn that finding your own outbound contract works best. In other words the whole operation falls on your shoulders. There are many great services out there to help you, but they will require more capital.

For most especially new people this is too much for them to handle. Once someone has been in the industry for a while this can be part of their goals and be a smart move down the road, for most it won’t be a move they’re willing to make. If you do decide to go that route, it can work well, but get proper guidance and work with reputable people or you may find yourself in a big mess.

About the Author

Bruce Outridge is a business and leadership consultant with over 30 years experience in the transportation industry. KRTS Inc is one of the top schools in Ontario and offers truck and heavy equipment training. For more information on KRTS please visit their website at www.krway.com

Tags: , , , , , , , , Permalink
Follow

Get every new post delivered to your Inbox.

Join 70 other followers

%d bloggers like this: