Safest Companies Realize a Payoff From Their Efforts

Every decision a trucking executive makes — from who is sitting behind the wheel of a rig to the kind of equipment purchased — can have an impact on safety.

Barry Pottle, president of Pottle’s Transportation in Bangor, Maine, sees safety in terms of the number of his trucks that are parked because not enough qualified drivers can be found. In his mind, the cost of having idle trucks — measured in higher equipment costs, lost revenue, etc. — is offset by the risk of having a major accident that could result in higher insurance premiums and legal expenses.

While most executives view safety through the prism of insurance and related costs, more complicated motivations are at work that could affect a carrier’s financial performance. There are the intangibles, such as a company’s reputation, training programs and employee morale, that go beyond the bottom line. But the best indicator of improved safety is still a ledger in the black.

To test the assumption that safe companies are more profitable, Transport Topics examined the performance of 14 carriers that had won seven or more safety contests in the past 10 years. It involved seven less-than-truckload carriers, two truckload carriers, two tank carriers and one carrier each in refrigerated, household goods and specialized hauling.

For the full story, see the Sept. 13 print edition of Transport Topics. Subscribe today.