Horizons Fall/Winter 2020

If rates are able to stabilize and increase as initially anticipated, we are set up to see a resurgence and significant increases within the industry, baring another economic shutdown. So what should companies be expecting for the remainder of 2020 as we look into the future? What else will be needed for the trucking industry to rebound and continue to recover? What should business owners be looking at as they continue to grow? As seen within the education system, there is a new call to virtual environments. Many colleges, high schools, elementary schools and day cares are now being forced to offer virtual experiences and solutions. Similarly, many employers are forced to follow suit so that parents can remain home with their children. While over-the-road truck drivers are not able to follow this trend, many logistic, brokerage and back office support staff within the trucking industry have had to adjust their normal ways of doing things. How dispatchers communicate and engage with drivers looks very different now. How customer service representatives interact with customers and develop relationships has changed. And, how sales team members network and develop new leads and opportunities is not the same as it used to be. With continued uncertainty on how long the pandemic will last, many organizations are reevaluating what all of us have been accustomed to for the framework of back office support staff. Those who have previously felt that the work has be done within the confines of a segmented building are now seeing that this work can be done anywhere. What this is doing is opening the competition market for qualified applicants. Today, locations of employees working in the back office of a trucking company are less of a focus than ever before. And in some cases, those employees do not even need to be in the same country.

The trucking industry has always been open to finding good quality drivers, no matter their location. However, the industry has often wanted or needed their office team to be from the same geographical region and in most cases, the same state or even city. With the effects of many employees dealing with stay-at-home orders, many of the tasks that used to be performed within the office space environment can now be done remotely. This is now causing a shift that enables employers to aggressively search for top talent regardless of their location. Looking towards the close of 2020 and onto 2021 and beyond, there are still a lot of uncertainties. There are ample improvements to driverless vehicles, constant changes to restrictions and guidelines related to safety measures, continued validity within the market rates, and a general uncertainty about the volume of hauls. The one thing that continues to be known is that the trucking industry must remain vigilant and ready to change. Those that are ready and willing to change quickly and effectively are those that are set up for the most success.

TRANSPORTATION & DEALERSHIP SERVICES RubinBrown specializes in helping members of the transportation industry secure a sound financial future through effective tax planning and advisory services.

John Butler, CPA, CGMA Partner-In-Charge Transportation & Dealerships Services 314.290.3333 john.butler@rubinbrown.com Aaron Pollard, CPA, CGMA Manager Transportation & Dealerships Services 314.290.3457 aaron.pollard@rubinbrown.com

Fall/Winter 2020

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