How To Eliminate Dwell Time & Improve Efficiency in the Trucking Industry w/ Wayne Lalevee

WEBVTT 1 00:00:00.000 --> 00:00:03.799 We're in a free market, so you know, everyone can choose to not 2 00:00:03.839 --> 00:00:11.599 do business with a call them problem ship points or receivers. Welcome to the 3 00:00:11.640 --> 00:00:16.399 road forward, a podcast for trucking industry leaders. This is the show for 4 00:00:16.519 --> 00:00:20.679 industry that's like you, hard working, honest leaders who know there's promise around 5 00:00:20.679 --> 00:00:26.079 the next bend and exciting future for the trucking industry and a chance for your 6 00:00:26.079 --> 00:00:29.640 company to thrive. If you see the opportunity ahead but don't want to travel 7 00:00:29.760 --> 00:00:33.359 the tough road alone, join us, as we talked with business leaders finding 8 00:00:33.399 --> 00:00:38.320 their way forward and a changing industry. Let's get into the show. Welcome 9 00:00:38.359 --> 00:00:41.960 to the road forward. I'm flunn Hole Brook, your host. I'm here 10 00:00:42.000 --> 00:00:47.920 with Wayne Lela Vy, who's co owner of CNL logistics, located in North 11 00:00:47.960 --> 00:00:50.880 Carolina, and I got to know Wayne just a little bit a couple of 12 00:00:50.920 --> 00:00:56.520 weeks ago, and they are not only a brokerage but they also own some 13 00:00:56.600 --> 00:01:02.479 trucks and use some power only owner operators see. You know, primarily focuses 14 00:01:02.520 --> 00:01:08.200 on food distribution, so they're doing truckload work primarily with reefs, and I 15 00:01:08.239 --> 00:01:11.599 thought it was pretty fun when Wayne and I caught up a few weeks ago. 16 00:01:11.680 --> 00:01:17.239 He said that they tend to dance to the beat of their own drum 17 00:01:17.319 --> 00:01:22.319 and he gave me quite a few pretty interesting examples of why that's the case. 18 00:01:22.359 --> 00:01:26.760 They don't always follow the industry no norms. So, Wayne, thanks 19 00:01:26.760 --> 00:01:30.959 for thanks for joining me today. Thanks so much for having me, flint. 20 00:01:32.280 --> 00:01:36.280 So when I think we can jump right in, I you look, 21 00:01:36.319 --> 00:01:38.959 when we talked a few weeks ago, you mentioned the driver shortage and I 22 00:01:40.000 --> 00:01:47.439 think everybody is feeling the driver shortage across the board. You mentioned how how 23 00:01:47.480 --> 00:01:51.200 it's how it's really affecting your business. What do you think is causing the 24 00:01:51.239 --> 00:01:55.439 shortage? You know, I think there's a couple different things that are causing 25 00:01:55.480 --> 00:02:00.079 a flint, last year was really an eye opener for us because we had 26 00:02:00.159 --> 00:02:04.480 so many trucks that were sitting and we recognized that we needed to do something 27 00:02:04.480 --> 00:02:10.919 different. So changing the way we approach the just our normal activities, has 28 00:02:12.000 --> 00:02:15.719 helped to write our ship. If you go and so like, what like? 29 00:02:15.800 --> 00:02:20.759 What are you seeing out there? Do you think it's drivers leaving the 30 00:02:20.800 --> 00:02:23.159 market? And when you say right, right, your ship, what, 31 00:02:23.159 --> 00:02:27.960 what do you mean? You've been able to recruit and retain. We have 32 00:02:28.479 --> 00:02:32.719 you know, we probably had thirty upwards to thirty to forty percent of our 33 00:02:32.759 --> 00:02:37.639 fleet sitting last year for a couple of months. So, you know, 34 00:02:37.719 --> 00:02:42.319 we did a couple things. We hired an amazing person, Rosalind, to 35 00:02:42.560 --> 00:02:46.919 boost our social media presence. We added a recruiter to help us to be 36 00:02:46.919 --> 00:02:52.879 more responsive to drivers that maybe just inquiring about our company. But you know, 37 00:02:52.919 --> 00:02:54.919 there's this, there's so many factors. That's that's causing this. You 38 00:02:54.919 --> 00:02:59.520 know, we've got an aging driver population. We got to increase demand. 39 00:02:59.520 --> 00:03:04.000 COVID has, you know, caught caused everyone to buy more stuff. Look 40 00:03:04.039 --> 00:03:08.719 at how Amazon has grown so much recently. My neighbors probably get no less 41 00:03:08.759 --> 00:03:14.879 than six deliveries a day. Me Too, our us to my wife's doing. 42 00:03:14.960 --> 00:03:17.520 Yes, but you know, a lot of the technology that's in the 43 00:03:17.520 --> 00:03:23.120 trucks nowadays and the you know, the the requirement of the LDS has forced 44 00:03:23.199 --> 00:03:27.919 some of the aging population out and some of this technology is also caused some 45 00:03:27.960 --> 00:03:32.199 of these independence to look to go into other professions. So yeah, you 46 00:03:32.199 --> 00:03:36.400 know, another thing that's causing it that we need to talk about or need 47 00:03:36.439 --> 00:03:39.000 to need to be cognizant of, is just equipment availability. You look at 48 00:03:39.000 --> 00:03:45.919 all Om's and I don't know of any fleet that has been able to receive 49 00:03:45.960 --> 00:03:50.800 one hundred percent of their orders. Yeah, so there's challenges. There's challenges 50 00:03:50.919 --> 00:03:54.319 all over all over the industry year. Do you think pay has something big 51 00:03:54.360 --> 00:03:57.960 to do with it? I mean our drivers, you know, the labor 52 00:03:58.039 --> 00:04:01.360 market is kind of in this big upswing post covid our drivers looking out there 53 00:04:01.400 --> 00:04:04.719 and saying why should I drive when I can go do x, Y and 54 00:04:04.800 --> 00:04:10.560 Z and make the same money and work a forty hour week? Very good 55 00:04:10.639 --> 00:04:15.080 question and very good point plant it. Pay certainly needs to be addressed. 56 00:04:15.080 --> 00:04:20.439 Benefits to but along with having competitive pay, with what where, every other 57 00:04:20.560 --> 00:04:25.639 character is, you know, transparency and respect are huge as well, and 58 00:04:25.879 --> 00:04:29.399 I believe that that is, you know, all of those factors are the 59 00:04:29.399 --> 00:04:33.920 reason for our recent success. Yep, so that's yeah, that's interesting. 60 00:04:34.000 --> 00:04:38.519 So how big of a factor do you think dwell time is? I know 61 00:04:38.560 --> 00:04:43.399 that that's something that's been brought up in the news a lot lately and there 62 00:04:43.439 --> 00:04:46.480 seems to be this you know, push and pool of saying, well, 63 00:04:46.519 --> 00:04:50.279 we're not handling dwell time correctly and shippers obviously don't want to pay it and 64 00:04:50.319 --> 00:04:54.199 so like. How important is dull time? What's your view on it? 65 00:04:55.040 --> 00:05:00.680 I believe that dwell time is a major factor in the crisis that we're faced 66 00:05:00.720 --> 00:05:06.240 with today as far as driver availability and also capacity. We're members of the 67 00:05:06.279 --> 00:05:13.399 American trucking association and we're firmly aligned with their stance. That which has been 68 00:05:13.439 --> 00:05:16.800 no other industry offers free time. Why should trucking offer free time? We 69 00:05:16.920 --> 00:05:23.759 believe that the truck should be compensated from the time they arrive and not offering 70 00:05:23.759 --> 00:05:30.120 any kind of free time. And you not only believe that as a human 71 00:05:30.199 --> 00:05:35.040 being right sitting sitting here thinking, but you've actually implemented this in your business. 72 00:05:35.079 --> 00:05:41.000 Correct. We have. We've made the decision to part companies, with 73 00:05:41.519 --> 00:05:45.360 our company, with some clients, when we couldn't come to terms on an 74 00:05:45.360 --> 00:05:49.040 equitable dwell time policy. But overall, in the industry, Flint, I 75 00:05:49.079 --> 00:05:55.959 would say that we I'm seeing more and more customers migrating to lower, lower 76 00:05:56.000 --> 00:06:00.439 times that they're asking trucks to sit. And by that, do you mean 77 00:06:00.480 --> 00:06:04.160 that the shippers are being more efficient and actually getting the trucks loaded on the 78 00:06:04.199 --> 00:06:09.639 road, or is that you only sit now for an hour for free? 79 00:06:09.680 --> 00:06:12.439 Instead of two hours for free. Is that what you mean, or is 80 00:06:12.480 --> 00:06:16.800 it but and we actually both very good listening. Yeah, I would say 81 00:06:16.879 --> 00:06:23.439 that shippers are definitely becoming more responsive. I think they're hearing and seeing the 82 00:06:23.560 --> 00:06:27.639 driver shortage out there and realizing that they they play a key role in this, 83 00:06:27.800 --> 00:06:30.879 and then they're also in order to be a shipper or customer of choice, 84 00:06:30.920 --> 00:06:34.959 they are lowering some of those times. Yep. And so you own 85 00:06:35.000 --> 00:06:39.519 your own trucks and obviously you're also a broker, and so tell me, 86 00:06:39.560 --> 00:06:45.399 like, how important is dwell time in your operation, especially for your the 87 00:06:45.399 --> 00:06:47.879 trucks that you own in the drivers that you pay? If you end up 88 00:06:47.879 --> 00:06:51.360 with a bunch of dwell time, what does that do? It kills the 89 00:06:51.439 --> 00:06:58.560 drivers efficiencies in the trucks efficiencies. So we implemented guaranteed pay for drivers. 90 00:06:58.639 --> 00:07:02.199 So if we do, for whatever reason, have a truck that's delayed somewhere, 91 00:07:02.439 --> 00:07:05.560 by no fault of the driver, that drivers still going to receive a 92 00:07:05.600 --> 00:07:09.639 guaranteed minimum for that week as long as he or she, you know, 93 00:07:09.720 --> 00:07:13.959 is available for that that time. Interesting. Interesting. Okay, so maybe 94 00:07:14.000 --> 00:07:17.800 that's something like if I'm sitting here as a carrier listening to this interview. 95 00:07:17.839 --> 00:07:24.480 What can I actually do right to begin addressing this problem? What advice do 96 00:07:24.519 --> 00:07:28.079 you have for a carrier, and maybe that's one item right, is is 97 00:07:28.120 --> 00:07:31.920 guaranteed pay. So that's something we do on the driver end. But I 98 00:07:31.959 --> 00:07:35.720 think the question I'm hearing you ask is what advice could I give to other 99 00:07:35.759 --> 00:07:41.199 carriers or even brokers as well? To have that conversation and and that's exactly 100 00:07:41.240 --> 00:07:44.639 what it is. It's a conversation with the client. You know, I 101 00:07:44.680 --> 00:07:48.920 heard someone say a very long time ago the one with the most data wins. 102 00:07:48.920 --> 00:07:53.800 And you know, if you have that documentation, whether it's a eld 103 00:07:54.120 --> 00:07:58.199 or, you know, trailer tracking or or a, you know for kites, 104 00:07:58.240 --> 00:08:01.600 trucker tools, type of tracking device, if you have that data and 105 00:08:01.600 --> 00:08:07.240 you could present that to your customers and say look, we're seeing an excessive 106 00:08:07.240 --> 00:08:11.240 amount of dwell time at this location and we need to do something about it. 107 00:08:11.279 --> 00:08:16.040 Just having those difficult conversations, you know, some sometimes they're not very 108 00:08:16.040 --> 00:08:20.120 difficult, sometimes they're. They may not recognize that they've got a pinch point 109 00:08:20.120 --> 00:08:22.720 in their organization and they need to do more hiring or maybe change some some 110 00:08:22.800 --> 00:08:28.319 hours. Yeah, that's that's that's really good advice. So in the past, 111 00:08:28.360 --> 00:08:33.960 when you've had those conversations, that generally go well and your customer understands 112 00:08:33.960 --> 00:08:35.799 a situation helps you remedy it. I mean, how often do they say 113 00:08:35.879 --> 00:08:41.720 I don't care? The very few clients that we've had that conversation with? 114 00:08:41.840 --> 00:08:45.720 That said, we just don't care. We no longer we choose not to, 115 00:08:46.080 --> 00:08:50.200 you know, we allow our competition to do business with them. Interesting, 116 00:08:50.200 --> 00:08:54.039 okay. So, so obviously this is a big industry wide issue. 117 00:08:54.120 --> 00:08:56.960 As a broker, do you see like a right? Let me back up. 118 00:08:56.960 --> 00:08:58.639 If I am a carrier and I want to do what you just did 119 00:08:58.679 --> 00:09:01.840 and okay, fine, shipper, you don't care, you can do business 120 00:09:01.840 --> 00:09:07.080 with my competitor, is there always a competitor out there that's willing to take 121 00:09:07.120 --> 00:09:11.639 that work? Like, at what point does the competitive dynamic shift to say 122 00:09:11.679 --> 00:09:15.679 now most carriers are going to expect we all time. So now we actually 123 00:09:15.759 --> 00:09:18.519 have to do something about that. Does that make sense? It does. 124 00:09:18.559 --> 00:09:22.320 And you know we're in a free market, so you know, everyone can 125 00:09:22.399 --> 00:09:28.240 choose to not do business with a call them problem ship points or receivers. 126 00:09:28.519 --> 00:09:33.600 But you're you're right. Someone will always come in there and you know, 127 00:09:33.639 --> 00:09:39.080 maybe they'll be a change of management and hopefully, you know, that facility 128 00:09:39.159 --> 00:09:45.000 will be will be corrected that behavior right. So obviously it's an industry wide 129 00:09:45.039 --> 00:09:48.519 issue. So what do you think? If this issue can get solved industry 130 00:09:48.559 --> 00:09:52.600 wide, and obviously we're making a lot of headway towards that. Right like 131 00:09:52.679 --> 00:09:58.240 this is now a topic of discussion. And so if if do well, 132 00:09:58.279 --> 00:10:01.360 all of a sudden isn't free acrosss the industry. What is how does it 133 00:10:01.440 --> 00:10:05.080 change the industry? Do you think that that there's a massive shift here? 134 00:10:05.519 --> 00:10:09.279 I don't know that I would say massive. kind of hard to quantify, 135 00:10:09.279 --> 00:10:15.080 but I think we would see a substantial you know, capacity would increase because 136 00:10:15.159 --> 00:10:20.720 the driver availability would increase. So, you know, just simple things like 137 00:10:20.759 --> 00:10:24.480 that. Autrey is a great resource as well. You know, they talk 138 00:10:24.519 --> 00:10:30.200 about the pinch points in the country with with delays, with traffic and and 139 00:10:30.240 --> 00:10:35.000 how, you know, changing, you know, laws, with allowing drivers 140 00:10:35.120 --> 00:10:37.879 to, you know, me do more slip split, sleeper Earth type scenarios 141 00:10:39.000 --> 00:10:43.600 would increase productivity as well. But this this you know, dwell time alone 142 00:10:43.679 --> 00:10:46.919 could have, I believe, a substantial impact. Yeah, I mean at 143 00:10:46.919 --> 00:10:50.080 the simplest level. I've got to think less sitting in the parking lot and 144 00:10:50.120 --> 00:10:54.879 more time with your wheels turning has got to increase capacity a huge way. 145 00:10:56.000 --> 00:11:00.320 Absolutely, absolutely, I would. I would pay your drivers, yeah, 146 00:11:00.320 --> 00:11:03.399 and APP your well better paid drivers. Yeah, exactly. It's a win 147 00:11:03.440 --> 00:11:07.600 win. Yeah, so that's that's that's pretty cool. So really the big 148 00:11:07.600 --> 00:11:11.480 takeaway here's have a conversation with your customers, it sounds like, and this 149 00:11:11.559 --> 00:11:16.000 isn't the first time I've heard this way, and I'm I'm happy that you've 150 00:11:16.039 --> 00:11:18.840 said this again and that most people are pretty reasonable and actually understand where you're 151 00:11:18.879 --> 00:11:22.519 coming from. Well, thank you. I just you would think that we 152 00:11:22.600 --> 00:11:24.600 plan this, but it's I feel like it's quite simple. My partner, 153 00:11:24.639 --> 00:11:31.039 Rick Coats, and I have been transparent and straightforward all these years and and 154 00:11:31.480 --> 00:11:35.120 have never shied away from the difficult conversations. Yep, that's great and and 155 00:11:35.279 --> 00:11:37.840 and you've got to right in this business, like, if you're going to 156 00:11:37.879 --> 00:11:41.559 own a business and be successful, you got to take the bull by the 157 00:11:41.559 --> 00:11:45.120 horn. So waiting. I really appreciate you joining me today. I think 158 00:11:45.120 --> 00:11:50.679 we've covered some really interesting information and given some pretty solid advice to listeners out 159 00:11:50.720 --> 00:11:54.320 there. This has been a real pleasure. Look, the biggest thing I 160 00:11:54.320 --> 00:11:56.399 want to just ask this last question. What is the biggest thing that you 161 00:11:56.440 --> 00:12:01.919 have your eye on over the road for word for the next twelve months? 162 00:12:01.519 --> 00:12:07.679 Growth, growth and growth, but, but, and just in your business, 163 00:12:07.720 --> 00:12:11.120 you guys are so heads down focused on growth. Threatening we are. 164 00:12:11.279 --> 00:12:16.799 We just open an office earlier this month. We're getting ready to open another 165 00:12:16.840 --> 00:12:20.559 location. So you know we really have some aggressive growth plans for this year. 166 00:12:20.759 --> 00:12:24.360 That's awesome. So if you're listening, you just heard Wayne say that 167 00:12:24.440 --> 00:12:28.320 he's Modi's is big focus is growth. So if you haven't done so, 168 00:12:28.399 --> 00:12:33.960 I highly suggest that you go to our website, the road forward podcastcom, 169 00:12:33.000 --> 00:12:37.679 and subscribe to our email list because when I wrap this interview with Wayne, 170 00:12:37.679 --> 00:12:41.120 we're going to ask the fast five questions and some of those have to do 171 00:12:41.159 --> 00:12:43.360 with growth in his business and how he looks at that and what are his 172 00:12:43.480 --> 00:12:48.679 KPI's? So I think you're going to want the answers that Wayne is about 173 00:12:48.720 --> 00:12:52.759 to give us. So again, the road forward PODCASTCOM. Typing your email, 174 00:12:52.799 --> 00:12:56.519 subscribe the list and if you're enjoying the show, remember to subscribe wherever 175 00:12:56.639 --> 00:13:01.639 you get your podcasts. Just click the little subscribe button so that you'll see 176 00:13:01.679 --> 00:13:05.519 our new episodes. Wayne, this has been such a pleasure. Thank you 177 00:13:05.559 --> 00:13:09.720 so much for joining me today. Thank you, flend it's really been enjoyable 178 00:13:09.799 --> 00:13:13.159 and great to see you again. Yeah, yeah, same here. It's 179 00:13:13.159 --> 00:13:15.639 a lot of fun. So, folks, just remember, if you listen 180 00:13:15.639 --> 00:13:18.360 to the show, that our industries changing really fast and until next time, 181 00:13:18.399 --> 00:13:24.159 you need to keep your eyes on the road forward. If you manage a 182 00:13:24.200 --> 00:13:26.919 truck feet, you go to bed every night driving that three am phone call, 183 00:13:28.080 --> 00:13:31.440 because that call is never a good way. Either your drivers tell you 184 00:13:31.440 --> 00:13:33.480 they have a flat tire and the shipment's delayed, or they were shut down 185 00:13:33.519 --> 00:13:37.200 and take it it at the way station, if the thought of those middle 186 00:13:37.240 --> 00:13:39.759 of the night calls keeps you up at all hours. Trucks by can help. 187 00:13:39.799 --> 00:13:45.399 Trucks by gives managers total visibility into what's happening on the road. Companies 188 00:13:45.480 --> 00:13:48.840 use our hardware to make sure their fleets are productive and safe, so that 189 00:13:48.879 --> 00:13:52.919 managers like you can see in real time where their trucks are and what they're 190 00:13:52.919 --> 00:13:56.240 doing. More trucks make it on time and without issues or losses, helping 191 00:13:56.279 --> 00:14:01.480 you rest easy. Learn more at trucks by DOT IO. You've been listening 192 00:14:01.559 --> 00:14:05.879 to the road forward, the show for trucking industry. That's like you. 193 00:14:07.159 --> 00:14:09.480 If you want to hear from other business owners who've seen trends come and go, 194 00:14:09.639 --> 00:14:13.679 all the while building lasting businesses that keep America running, make sure you're 195 00:14:13.720 --> 00:14:18.399 subscribed to catch more episodes. To easily find the show on your favorite podcast 196 00:14:18.440 --> 00:14:22.440 player, go to the road forward podcastcom. Until next time, keep your 197 00:14:22.440 --> 00:14:24.000 eyes on the road forward.