Logistics Satisfaction And Industry Commitment: A Study On Factors Affecting Truck Driver Retention In Container Logistic Industry

Discuss about the Logistics Satisfaction and Industry Commitment.

The container shipping industry came into existence in the year 1950. However, in the year 1960 it had gained popularity and thus it was considered as one of the most common mean for transporting different industrial and commercial product through sea. In this context, it has been examined that success of any industry or company totally depends upon its employees. This is because it is with the help of workers only firm can fulfill its aim and objectives in an effectual manner (Maloni and et.al., 2017). However, there are many reasons which forces employees to leave organization. In this context, it has been examined that current shipping industry is going through with the similar type of problem.

Herein, it is assessed that shortages of truck drivers represent one of the biggest threat to shipping and logistic industry. The studies conducted by many analysts indicate that trucking industry has 100 percent turnover rate. In addition to this, it has been claimed by American Trucking Association that current shortages of truck driver is between 35000 to 40000 nationwide (The current state of driver shortages in 2016, 2017). On the other hand, truck drivers who are currently working in the industry are also leaving companies. Furthermore, there are many companies which claim that they have many idle trucks but they do not have enough drivers to drive them. Thus, it can be said that container truck driver retention is emerging as one of the biggest problem for the container logistic industry worldwide. Thus, it is very necessary for the government of nation that it should take timely and effective action towards the respective problem. This is because, if not taken then whole shipping or logistic industry will be affected.

The present study is based on the topic of “A study on factor affecting truck driver retention in container logistic industry: an analysis of Australian Port City, Melbourne”. Melbourne is one of a busiest Australian port for general and containerized cargo. On daily basis there are lots of commercial transaction happens at respective port. This study will reveal about the specific factors which are affecting truck driver retention in container logistic industry specifically at Melbourne. In accordance with the given context, number of research aim and objectives will be framed. Furthermore, the study will also carry out in-depth analysis upon framed research objectives in literature review section. The study will also reveal about different research tools and techniques which will be applied in current research. This will help in fulfilling the aim and objectives of the study in an effectual manner. 

Factors Affecting Truck Driver Retention in Container Logistic Industry

The success of any research study totally depends upon clear and effective aim and objectives. This is because, these guides researchers towards the solutions of identified problem under study. In accordance with the given context, following are the aim and objectives has been formed for the selected topic under study:

• To examine the role of truck driver in container logistic industry.
• To assess the reason of high turnover of truck driver in container logistic industry of Melbourne, Australia.
• To recommend the ways of retaining truck driver in container logistic industry of Melbourne, Australia.

The study will give answer to these two basic research questions:

• What are the factors affecting truck driver retention in container logistic industry, Melbourne, Australia.
• What are the ways through which container logistic industry of Melbourne, Australia could retain its truck drivers.

The transport and logistics industry of Australia generates around 201 billion dollar a year in revenue. This accounts for around 15% of GDP (Gross Domestic Product). However, due to the high turnover of labor in respective industry, this figure is impacting in a negative way. In this context, it is correct to say that truck driver plays very critical role in the container logistic industry. Herein, as per the view point of Prockl and et.al (2017) truck driver plays the role of middlemen between product manufacturing company and final customers. The containers which truck driver loads on their truck possess different type of goods. Here, it is with the help of them only many companies are being able to carry out their efforts in terms of meeting the needs and demands of their buyers within the given specified time limit (Cantor and et.al., 2016). Furthermore, it is by complying with the given type of activity only truck drivers enhance the satisfaction of the companies to whom they deliver their services. This leads to give positive benefit in the form of increased profit and sales to the container or logistic industry which handles these truck drivers. In addition to this, according to the view point of Goldsby and Zinn (2017) truck driver ensures that they follow all type of safety related rules and regulations and thus reaches at their destination without any kind of delay. Here, it is through this type of activity only drivers enhance effectiveness of the container logistic industry. Thus, this raises the chance of utilizing the services of this industry in future also (Williams Jr, Thomas and Liao-Troth, 2017). Hence, it is by complying with given type of activity only truck driver give their economic contribution to the respective industry.

The studies which are being conducted by different scholars reveal about factors which are affecting retention of truck driver in container logistic industry. Christopher (2016) has stated that a minimal wage rate is being regarded as one of the factor which is forcing driver to leave job from respective industry. In this context, it is examined that the minimum wage rate of truck driver has declined from previous to current year (McKinnon and et.al., 2017). For any employee, money matters a lot. It is because of money only truck drivers take huge risk of transporting heavy load from one place to another. But, in case if they will not feel satisfied with the salary or wage which they are taking then it is obvious that they will move on to some other job.

Strategies of Retaining Container Truck Driver in Logistic Industry

In addition to this, as per the view point of Hege and et.al (2017) inability to get time off from the work is being considered as another most significant factor which is forcing truck driver to leave the respective industry. It has been seen that employees tend to feel highly satisfied if they are being able to maintain balance between their family and work life. But, this condition is not appropriate for the truck drivers who travel from one place to another. Here, drivers have to travel for long distance and due to this sometime they have to skip some major functions which happen at their family. In addition to this, there is no specific policy regarding week day off for truck driver (Miller and et.al., 2017). As a result of it they will have to work 7 days in a week. This is a very demotivating factor which needs to be considered by government of nation. This is because if effective action towards the same will not be taken then the country will regularly face the shortages of truck driver in container industry.

Furthermore, as per the view point of Staats and et.al (2017) lack of appreciation from the side of senior personnel is another reason of truck driver turnover in container industry. Each and every individual will need some kind of motivation regarding the work which they are performing.  However, it has been seen that there are many less senior personnel who tries to establish contact with the truck drivers as they considered it as low profile job. Besides this, Smith (2017) reveal that high risk of life loss forces truck drivers to shift on to some another job. The risk of life loss is huge in respective industry because drivers have to travel with heavy load in different type of locations and roads.

There are some tactics examined which would help in retaining container truck drivers in logistic industry in an effectual manner. In accordance with the given context, according to the view point of Lannoo and Verhofstadt (2016) associating performance of truck driver with good amount of incentives could be considered as one of the most effective approach which helps in resolving the truck driver problem of low wage. In this regard, effort should be made by government of nation in terms of giving incentives to those truck drivers who have perform well during the month. This will not only help in enhancing motivation level of truck drivers. But, it will also assist drivers with regard to give their exception services to the industry in an effectual way. This will lead to provide positive benefit to industry in the form of increased profit and sales.

Additionally, Christopher (2016) has depicted that by developing an environment of open communication a gap between senior personnel and truck driver can be reduced. Through this approach truck drivers can get an opportunity with regard to communicate the discontentment which is being faced by them directly to the senior officials in an effectual manner. Furthermore, the given thing will also provide opportunity to senior officials with respect to appreciate the commendable work which is being done by truck drivers. Furthermore, Hege and et.al (2017) have revealed that the problem of lack in maintaining balance between family and work life can be resolved by employing shift based system. In this system each drivers can select their work timing. For example, if driver have some work during day time then it can opt for night based system.

The study only reveals the problem as well as strategies to overcome the issue of high employee turnover in container logistic industry. Here, the study does not reveal about the positive factors due to which some of the truck drivers are still associated with respective industry. If this gap will be found out then an effective solution with regard to the examined problem under study will be given.

Research design is the overall tactic which researcher chooses with an aim to define the examined problem under study in an effectual manner. The design is of three types such as explanatory, exploratory and descriptive. The researcher makes use of explanatory research design when the goals of its study are not effectively defined (Silverman, 2016). However, when scholar faces difficulty in framing its research actions at that time it complies with exploratory research design. In the similar way, when researcher is interested in carrying out in-depth analysis upon selected topic under study at that time it complies with descriptive research design.

For the current study which is based on the topic of analyzing factor affecting truck driver retention in Melbourne container logistic industry descriptive research design will be applied. This is due to the fact that by using this approach researcher can effectively define the assessed problem under study (Alvesson and Sköldberg, 2017). Furthermore, it is by complying with given type of activity only the formulated aim and objectives of current study will be met in an effectual way. For the purpose to apply descriptive research design, following tasks will be carried out:

This time schedule is for descriptive research design. Herein, for the in-depth analysis researcher will at first collect different records related with the study. Thus, on the basis of analysis it will examine the research gap (Vaioleti, 2016). Finally, the gap will lead scholar to the appropriate solution with the help of which assessed problem under study will be resolved.

It is being regarded as the systematic approach of collecting or assembling the data for the selected topic under study. There are two sources of collecting data under study and these are primary and secondary. For the selected topic under study both methods will be taken into consideration. Herein, primary data will be assembled through survey wherein questionnaire will be framed which possesses both open and close ended type of questions. This method will help in collecting fresh data for the current study in an effectual manner (Caillaud, Rose and Goepp, 2016).

On the other hand, secondary data will be assembled by making use of the means like books, journals and online articles etc. With the help of these means researcher will be able to define its aim and objectives more appropriately. This will also help in resolving the problem of present study which is related with the topic of analyzing factor affecting truck driver retention in Melbourne container logistic industry.

For the scholars it is very necessary that it should appropriately analyse its collected data. In this regard, for data analysis purpose thematic approach will be taken into consideration. In accordance with the given context, number of themes will be prepared as per the objective of study (Litosseliti, 2017). Thus, it is by complying with the given type of activity only solution to the research problem will be identified.

It is not feasible for the scholar with regard to conduct its study among whole population. It is due to the presence of given context the need of selecting sample is being arises in front of researcher. Here, for selecting sample of current study random sampling technique will be used. This is because it gives each member of population an equal chance of being selected as a sample (Alvesson and Sköldberg, 2017). In addition to this, 50 truck drivers working in Melbourne port will be selected through this technique.

Two year time will be required for conducting research on present study. However, with an aim to segregate each task Gantt chart technique will be used. By using this method, scholar can direct its efforts towards correct direction.

These all given tasks will help in giving answer to the question such as analyzing the ways through which truck drivers can be retained within logistic industry in an effectual manner. Thus, it can be considered as final delivery of respective study.

For the respective study 5000 Australian dollar will be set as a budget. This budget is set on the basis of following activities.

The respective budget will be justified in following manner. Here, for literature review section different textbook and journal article will be taken into consideration which cost around 1000 Australian dollar. In the similar way, for the purpose to send questionnaire and access material through online sources internet connection will be needed this cost around 1000 Australian Dollar (Caillaud, Rose and Goepp, 2016). Furthermore, for the purpose to get different things researcher will have to travel a lot and for which 500 Australian Dollar will be required. Finally, in order to present this soft copy into hard copy printing expense will occur.

References

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Caillaud, E., Rose, B. and Goepp, V., 2016. Research methodology for systems engineering: some recommendations. IFAC-PapersOnLine, 49(12), pp.1567-1572.

Cantor, D.E. and et.al., 2016. Technology, firm size, and safety: theory and empirical evidence from the US motor-carrier industry. Transportation journal, 55(2), pp.149-167.

Christopher, M., 2016. Logistics & supply chain management. Pearson UK.

Goldsby, T.J. and Zinn, W., 2017. Research and Researchers: The Enduring Value of Conferences to Logistics and Supply Chain Scholars. Journal of Business Logistics, 38(3), pp.148-150.

Hege, A. and et.al., 2017. US long-haul truck driver work organization and the association with cardiometabolic disease risk. Archives of environmental & occupational health, 72(5), pp.303-310.

Lannoo, S. and Verhofstadt, E., 2016. What drives the drivers? Predicting turnover intentions in the Belgian bus and coach industry. Transportation Research Part A: Policy and Practice, 91, pp.251-259.

Litosseliti, L., 2017. Research methods in linguistics. Bloomsbury Publishing.

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McKinnon, A. and et.al., 2017. Logistics Competencies, Skills, and Training: A Global Overview. World Bank Publications.

Miller, J.W. and et.al., 2017. How Does Driver Turnover Affect Motor Carrier Safety Performance and What Can Managers Do About It?. Journal of Business Logistics.

Prockl, G. and et.al., 2017. Antecedents of Truck Drivers’ Job Satisfaction and Retention Proneness. Journal of Business Logistics.

Silverman, D. ed., 2016. Qualitative research. Sage.

Smith, E.M., 2017. Employees Communicating within Transportation and Logistics Organizations: What Studying Stress and Acts of Incivility in the Workplace Reveals About the Industry(Doctoral dissertation, University of Arkansas

Staats, U. and et.al., 2017. Fighting against a shortage of truck drivers in logistics: Measures that employers can take to promote drivers’ work ability and health. Work, (Preprint), pp.1-15.

The current state of driver shortages in 2016. 2017. [Online]. Available through: <https://cerasis.com/2016/05/03/driver-shortage/ >. [Accessed on 26^th October 2017].

Vaioleti, T.M., 2016. Talanoa research methodology: A developing position on Pacific research. Waikato Journal of Education, 12(1).

Williams Jr, D.F., Thomas, S.P. and Liao-Troth, S., 2017. The Truck Driver Experience: Identifying Psychological Stressors from the Voice of the Driver. Transportation Journal, 56(1), pp.54.