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ON THE HORIZON Operational Costs of


Trucking on the Rise 2014 updated research shows most costs increasing


BY REBECCA M. BREWSTER GuestWriter


Benchmarking fleet financial performance


is a key way that carriers keep costs in check and identify areas where operational efficiencies can be gained. Since 2008, the American Transportation Research Institute (ATRI) has provided the industry with a key benchmarking tool through its publication, Analysis of the Operational Costs of Trucking. ATRI recently released the findings of its


2014 update to the “Ops Costs” report. The research, which identifies trucking costs from 2008 through 2013 derived directly from fleets’ financial and operational data not only provides motor carriers with an important high-level benchmarking tool, but also guides public sector transportation analyses for future infrastructure improvement based on real-world data.


MOTOR CARRIER COSTS


Vehicle-based Fuel Costs


Truck/Trailer Lease or Purchase Payments Repair & Maintenance


Truck Insurance Premiums Permits and Licenses Tires Tolls


Driver-based Driver Wages Driver Benefits


TOTAL 6 The average marginal cost per mile to


operate a truck in 2013 was $1.68, a three percent increase over 2012. Two cost centers, fuel and driver costs, account for 64 percent of the total cost per mile. The largest line-item increases in 2013


occurred in the driver-based costs. The average driver wage cost per mile increased to $0.44 in 2013 compared to the average of $0.42 per mile found in 2012. Additionally, the average driver benefit cost per mile increased to $0.13, up from the $0.12 per mile found last year. The increase in driver costs is attributed in


large part to the growing driver shortage that continues to plague the trucking industry. The American Trucking Associations (ATA) projects that the industry could face a delta of almost 240,000 drivers between driver supply and demand by the year 2022 if the trend does


2008 2009 2010


not reverse. In ATRI’s annual survey of the top industry issues, the driver shortage ranked second in 2014, and looking just at motor carrier respondents, it ranked first. As motor carriers seek to retain their most qualified drivers and recruit new entrants, it is expected that this line item will continue to increase in future years. On the vehicle-based side of total marginal


cost, 2013 experienced a relatively stable diesel fuel price when compared to 2012 (average of $3.95 and $3.97, respectively) resulting in an essentially unchanged fuel cost per mile. Another area where fleets experienced


increased costs in 2013 was for vehicle repair and maintenance, up to an average of 14.8 cents per mile in 2013 from 13.8 cents per mile in 2012. This increase is attributed to an increase in overall average fleet age, up from


2011 2012 2013


$0.633 $0.213 $0.103 $0.055 $0.016 $0.030 $0.024


$0.435 $0.144


$1.653


$0.405 $0.257 $0.123 $0.054 $0.029 $0.029 $0.024


$0.403 $0.128


$1.451


$0.486 $0.184 $0.124 $0.059 $0.040 $0.035 $0.012


$0.446 $0.162


$1.548


$0.590 $0.189 $0.152 $0.067 $0.038 $0.042 $0.017


$0.460 $0.151


$1.706 ROADWISE |


$0.641 $0.174 $0.138 $0.063 $0.022 $0.044 $0.019


$0.417 $0.116


$1.633


$0.645 $0.163 $0.148 $0.064 $0.026 $0.041 $0.019


$0.440 $0.129


$1.676 ISSUE 5, 2014 | www.mttrucking.org


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