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Case Studies

We found $129K in a 17-truck fleet and fixed it for $34K

PMG Holdings' 17-truck delivery fleet was leaking about $129K a year in idle wages and a standby driver. Four rented trailers and a re-sequenced dock lifted on-time deliveries from 90% to 97%.

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PMG's industrial business ran its own 17-truck delivery fleet, about 70 deliveries a day. On paper it worked. In practice one or two loads were missed every single day, so a backup driver sat permanently on call.

The situation

Two high-volume drivers did ten deliveries between them. Fifteen more did four apiece. The drivers were long-tenured, treated like family, and every miss came with a familiar excuse.

We went in the way an operating partner does. Not to hear the story, but to measure it. GPS, daily logs, a stopwatch on the dock.

The truck-dayOne 8-hour day each, seventeen trucks

What the numbers showed

The waste hid inside "labour" and "we need a spare driver." At a loaded driver cost of $37.80 an hour, two costs stood out and added up to a six-figure annual leak.

The hard costIdle wages and a standby driver, per year

On top of that, about $144K a year of billable capacity. Roughly 1,400 driver-hours the fleet could have sold at $140 an hour and spent waiting instead.

Why it was happening

The dock, not the driver

Two to three trucks a day sat 2+ hours because the forklift and dock crews weren't staging loads ahead, and often there weren't enough trailers on site to pre-load one.

The clock

GPS and daily logs showed a handful of drivers taking longer routes and pulling off, because they were paid by the hour and knew a full day was a full day, loaded or not.

No accountability

With no data, tenure won every argument. The same excuses had run for years because nobody could prove otherwise.

The intervention: $34K of capital, not a reorg

Rented four trailers, about $34K a year

So a loaded trailer is always staged and ready. Against roughly $129K of annual waste, it was the easiest capital decision in the building.

Re-sequenced the dock

Stage loads before the driver arrives, and put every route and hour on GPS with findings written into formal performance reviews. Behaviour on the record, and a clear read on who to keep heading into slow season.

A textbook case for automation

GPS, staged-load scheduling and performance dashboards now do this monitoring continuously. It is the system we install across the freight platform.

Operator's note: the art of execution

The real danger here isn't the analysis. It's what the analysis can break. These drivers and owners had trusted each other for decades, and those bonds don't rebuild on a spreadsheet. Hold people accountable carelessly and you win the argument but lose the culture. The craft is getting done what the business needs while keeping the relationships intact, pressure and trust at the same time. Most people treat this as a numbers problem. It isn't. That balance is the art of execution, and it's where value creation lives or dies.

The value captured

What it cost to fixThe fix against the leak it closed
Return on the capitalCost removed for every dollar deployed
ServiceOn-time deliveries, before and after

The play

The operating-partner playbook in one move: measure the waste the owner can't see, deploy small capital against it, and turn the on-time rate into margin. It's exactly what we do on every book we buy in the freight platform.

[ { "id": "chart-1", "type": "truckday", "rows": 17, "idle": [ { "row": 3, "pct": 29 }, { "row": 9, "pct": 22 }, { "row": 14, "pct": 27 } ], "scaleLeft": "Start of shift", "scaleRight": "end of shift", "keyRoad": "On the road", "keyIdle": "2+ hours waiting at the dock, a quarter of the working day, gone", "noteStat": "2-3 trucks a day sit 2+ hours.", "noteHead": "The dock, not the driver.", "noteBody": "The waste isn't spread across seventeen drivers. It's a few trucks standing still, and the cause is upstream of the cab.", "alt": "Seventeen truck-days shown as full shifts. Three of them, trucks 3, 9 and 14, lose roughly a quarter of the day waiting at the dock." }, { "id": "chart-2", "type": "splitbar", "format": "currencyK", "segments": [ { "value": 53000, "label": "Idle wages" }, { "value": 76000, "label": "Standby driver" } ], "total": { "value": 129000, "label": "Hard cost / yr" }, "alt": "Idle wages of 53 thousand and a standby driver at 76 thousand add to 129 thousand dollars of hard cost a year." }, { "id": "chart-3", "type": "splitbar", "format": "currencyK", "headL": "$129K of waste found", "headR": "$34K to close it", "segments": [ { "value": 34000, "label": "Spent to fix it, trailers", "tone": "accent" }, { "value": 95000, "label": "Net saved / yr" } ], "caption": "$34K deployed against $129K of waste. The fix is roughly a quarter of the leak, and the rest is margin that stays in the business.", "alt": "The 129 thousand dollars of waste found, split so the 34 thousand dollar fix takes about a quarter and 95 thousand is net saved." }, { "id": "chart-4", "type": "statpair", "stats": [ { "value": 3.8, "unit": "x", "dec": 1, "label": "Cost removed per $1. About $95K net a year.", "tone": "accent" } ], "alt": "Every dollar deployed removed three dollars eighty of cost." }, { "id": "chart-5", "type": "statpair", "arrow": true, "heading": "On-time deliveries", "stats": [ { "value": 90, "format": "percent", "label": "Before" }, { "value": 97, "format": "percent", "label": "After", "tone": "accent" } ], "alt": "On-time deliveries rose from ninety percent to ninety-seven percent." } ]