Peregrine Trucking Company

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Running Head: Peregrine Trucking Co Peregrine Trucking Co MGT 325 Transportation Management William Barker 02/14/2012 Organizations are constantly being challenged to identify ways to reduce operating cost, increase equipment capacity and utilization. There are many variables in why we see continued increases. One of the major effects is raising fuel cost. Companies are constantly battling this variable. This is not the only issue facing companies today. But it is certainly a concerning one to companies who rely on fuel for their company to thrive. These challenges are aligned with rising material costs as well. The economics of transportation affects the lives of all U.S. citizens and citizens of other nations. The…show more content…
If the tire air pressure is not correct, the efficiency will also be impacted by the imbalance. One option is to use nitrogen instead of air; the molecules are larger than air and maintain its consistency much better to allow for greater travel distance. Dura-seal technology has been around for a while. The initial cost of the tires can add up, but the return on the investment is well worth the cost. This technology is self-sealing operations that prevents flats and save companies thousands of dollars in down-time. Combine with proper driving style this can amount to huge gains on the part of the trucking company and decrease fuel consumption. Leasing hybrid semi trucks can also help achieve both fuel-efficiency and satisfy environmental concerns. The technology has proven to be very effective and companies like Wal-Mart plan to use hybrid big rigs to increase the efficiency of their fleet. It is estimated that the savings with hybrid semi trucks can reach $10,000 per year. The rigs will also have a positive impact on the environment by helping reduce emissions. If Peregrine Trucking Company is not utilizing their capacity effectively it can have a direct impact on the tons-per mile. The capacity usage can impact the fuel- efficiency of a transportation business if the haul is not utilized correctly. If Peregrine trucking company is not
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