Transportation Tuesday: The Evolving Culture of Logistics

The industry of logistics is changing and if you ask me, it is changing for the better!

The days of bullies and unethical a-holes is thankfully coming to an end. There are still plenty of those who follow the old ways around but their numbers are diminishing FAST.

If you are one of these people, I recommend that you take a break and reconsider your approach to the job because you may not have it for much longer. Carriers and ethical brokers are fighting back and putting many people and companies on blast.

If you are new to the industry, know that you are getting in at the right time because you are getting in while things improve!

When I first entered logistics, it was a battlefield between distributors, brokers and carriers. On any given day, you could walk into my office and hear dozens of brokers yelling into their phones or even at each other. It was all about who could push who the hardest.

Words can be weapons and at that time, they were surely used as such.

It was such a grotesque environment that only 3 people out of the 11 I was hired with actually made it a month. The following hiring group only had 1 person make it.

I remember one veteran broker laughing and talking about how the success rate was higher for Navy SEALs than it was for the this logistics brokerage.

Here’s the real crazy part though.

Not only was there a less than 10% success rate, but you also had to sign a non-compete agreement saying that you would not work within the industry period for a year afterward. That’s bullying in itself!

That was only the tip of the iceberg too.

When you got in, you were taught that dispatchers and drivers were scum. The only thing that mattered was getting the job done and it didn’t matter who you take advantage of in the process.

When a driver was driving slow, you either belittled them or made large financial threats so that they would get more miles in.

If there was a claim on a shipment, it was ALWAYS the driver’s fault. You didn’t want to make the customer anymore mad so you just pushed the claim off and made the truck deal with it.

If another broker quoted a customer cheaper than you, you needed to make sure to call that broker personally and let them know that they are screwing you. This went for brokers both within and outside your company.

This all sounds crazy right?!

Well luckily, most of all this is behind us.

The industry has grown a ton and it is no longer only ran by a select few large companies. There are new companies popping up every day who bring change.

With that, people are looking for culture rather than paychecks.

You can look up reviews and easily see that the toxic workplaces are struggling and falling apart while the healthy workplaces are starting to really take off. This is no surprise though, as workplace transparency is taking off across all industries.

I’ve seen countless brokers leave 6-figure jobs because they simply want a better work environments.

On top of that, non-competes are becoming more and more obsolete. Many states are not enforcing them and many companies are just not doing away with them completely.

And why not? At the end of the day, do you want a driven worker or a hostage?

As for the mistreatment of carriers, the law is finally shifting a little in their favor.

There are currently record-breaking numbers of drivers finally speaking up and filing legal complaints, calling out people who are coercing them to drive beyond the legally allotted drive times. They are also leveraging social media to put many individuals and companies on blast.

Social media has a lot to do with this but I believe the large Sikh community, along with many others, growing within the industry plays a part too.

The Sikh culture is an extremely peaceful and loving culture that puts kindness above dollar signs. With their massive expansion within the industry, they are taking the power away from bad companies.

The last note I have is that there is a massive truck shortage.

Not only are drivers leaving the industry, many trucking companies are either going out of business or struggling to put trucks on the road. The numbers are dwindling.

This means that when demand goes up, the carriers have way more leverage and can pick and choose who they want to work with.

What a time to be alive and working within the logistics industry!

Sure, these times definitely have plenty of challenges. The industry culture is improving though and I believe that there are plenty of bright times ahead.

Stay positive, build relationships and be transparent.

If you can follow these guidelines and stay dedicated to your craft, you can be wildly successful in this industry!

Feature Photo by Caleb Ruiter on Unsplash

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