The Enemy is Us

Among drivers, 30% annual turnover rates are common; some companies will turn over their entire driver pool in one year. Finding and keeping qualified mechanics and managers is no less challenging. With nearly 30% of industry employees reaching retirement age in the next 10 years, companies need to be aggressive if they want recruit and retain talented young performers.

Trucking companies not only compete among themselves for talented people, they compete with other industries. And this industry’s reputation as a low-paying, low-margin, and staid environment with old-fashioned human resource practices-if any at all-doesn’t look enticing to bright, young people seeking a career in an environment where they can grow, develop, and add to their skill-set. They will stay as long as there are opportunities to acquire skills that will ensure their future employability and advancement.

Trucking companies generously invest in technology and equipment but spend a disproportionately low amount on their most important asset: people. They fail to create human resources strategies that let them keep a pulse on the organization’s climate and encourage feedback. Instead, their efforts-if they exist at all-are haphazard. Worse, focusing on “people” issues is often considered to be “hand-holding” or “going soft.” Ironically, the main reasons why any kind of organizational changes fail relate to ineffective leadership styles, communication, and conflicting priorities.

The problem relates to the lack of appreciation for the power of sophisticated HR practices and bringing in people with those skills, either in an advisory role or on staff. You would not think of having your truck serviced by your receptionist rather than a skilled mechanic, yet companies put the management of their human assets in the hands of managers who are untrained to deal with them, and they are reluctant to ask for outside help.

In addition, bringing in fresh blood-even if you have to look outside the industry-may bring in some innovative ideas to move the company forward. While experience in the industry has its advantages, it can easily lead to “in-breeding” and to a lack of innovative ideas.

Once you’ve decided on making a concerted effort to focus on effective human resource programs using advice from those with the necessary knowledge, skills, and abilities, consider the following:

1. Choose employees who fit the job and your company’s culture and values. Use a selection procedure that can identify “stayers” versus potential “leavers.” Bring in someone experienced in developing a selection procedures to help you.

2. Turnover is often company-specific. Identify causes of turnover at your organization and examine how they affect specific types of employees-i.e., those in a particular department or job.

3. Conduct exit interviews and surveys to re-examine company policy and address trends. For example, people may leave because they lack promotional possibilities, or they have no say or control over one’s work. Identifying those trends early on is important.

4. Structure your company to allow choices. Some people want more money, others more time off, benefits, or career-path choices.

5. Single out people for special programs: create tailored opportunities for individuals at all levels whom you want to keep.

6. Intention to quit is one of the best predictors of turnover. Find out who intends to quit by using periodic interviews or surveys. You may be able to rescue them.

7. Meet your employees’ expectations. Employees often leave because of a sudden shock-something happens that does not match their expectations. Ask about expectations during the hiring process, provide a realistic picture of the job, and monitor perceptions so that you’re aware of expectations as they evolve.

8. Commitment is a major predictor of turnover. While you can’t mandate commitment, you can create an environment that engenders it. Increase your employees’ identification with the company: monitor their satisfaction, give them input, and provide meaning for their work.

9. Make sure your HR programs-selection, rewards, promotion, termination, etc.-are perceived as fair.

10. Pay-although it has to be competitive-is generally not the main motivator for leaving an organization.

11. Make sure all your HR programs and policies are aligned with your businesS STRATEGY. As a leader, take an active part in them-don’t just delegate them to HR.

For managing driver turnover, respect, trust, appreciation, support while on the road, awareness of and timely follow-up on drivers’ needs are main reasons for leaving. The driver-manager or driver-dispatcher relationship is the key point of contact for drivers where positive or negative perceptions are created, not the only one. The whole organization-even customers-should consistently manage their relationship with the drivers.