Viewing posts from: June 2015

Trucking Industry Highlights Nation’s Freight System Security Vulnerabilities

Posted June 24, 2015 by Administrator

Fire fighters making entry on a truck leaking fluid,  The hazardous materials team trains on a recent corrosive drill in Roseburg Oregon. May 28, 2009

Transportation security is a major concern for the trucking industry. The events of 9/11 created a heightened awareness and focus on security for motor carriers. Long-haul drivers report that they often have a hard time finding a place to park at night because of heightened security in public areas. Drivers also report having to be more vigilant and take extra precautions in fear their load could be used as a terrorist weapon.

Increased truck tolls have increased, citing higher insurance costs. A higher rate of truck inspections, and the associated time lost, has increased 150 percent since 9/11. Additional terminal security – such as installing fencing, gates and monitoring cameras all increase costs for trucking companies.

Overall, leaders in the trucking industry point out that most of the enhanced security systems are a good thing. Security practices are actions that drivers should have been doing anyway. Most of the security measures have not adversely affected productivity and more security is better for everyone involved.

New security procedures and regulations are expected to be rolled out by the Transportation Security Administration (TSA). Trailer locks, border crossing and hazmat transport are three types of issues that need to be addressed.

There are two types of trailer locks – indicative and barrier seals. Indicative seals are designed to detect tampering or entry and are traditionally made of plastic or wire. Barrier seals are designed to prevent tampering or entry. New electronic seals combine elements of traditional seals with radio frequency identification tags. In the event of tampering, a radio frequency signal alert is sent to a central communication center. A number of e-seal technologies are currently being developed and refined, with the support from the U.S. DOT.

Border crossing security involves thorough inspections of trucks and trailers at the U.S. borders. All of the major trucking associations have agreed to participate in the Customs Trade Partnership Against Terrorism for U.S.-Canada shipments. The intent of this program is to prevent transportation of weapons of mass destruction. This agreement helps reduce the number of customs inspections and thus reduces border delay.

Freight security is already the subject of intensive research. Clearly, additional research will be needed to study trucking security options and to assess the effects of new security regulations.

Make a Difference by Nominating a Rookie Trucker for this Prestigious Award

Posted June 17, 2015 by Administrator

Nominations for the 2015 Trucking’s Top Rookie Award contest are now open! The nomination period will close Friday, June 26, 2015 at 5:00 pm ET. The annual Trucking’s Top Rookie contest is designed to recognize and increase professionalism among new truck drivers in America. Truck drivers have an extremely high new driver turnover rate. In 2014, fleets that earn more than $30 million per year, have an annual astounding 103% turnover rate in truck drivers. In fleets that earn less than $30 million in annual sales, the turnover rate is 94%, up 12 percentage points. (American Trucking Association)

Turnover rates are especially high for drivers who have been on the job for less than 1 year. More importantly, 39% of truck drivers leave the industry after 90 days. (Wright Management Consultants)

There are many factors that are affecting the truck driver shortage, such as:trucking top rookie

  • An aging workforce,
  • Rising freight volumes,
  • Tightening of requirements for truck drivers,
  • Lack of appreciation, and
  • Lack of respect for the profession.

The premise behind Trucking’s Top Rookie Award is that recognition leads to retention. Now, more than ever, fleets that identify and recognize the efforts of new hires will increase their odds of success in the marketplace.

To learn more about the contest and submit a nomination form, visit Trucking’s Top Rookie Award webpage. Nominations may be made by motor carrier employers, training organizations, and/or other interested parties.

Cline Wood offers commercial and agribusiness trucking insurance and is focused on that which is important to our customers. Contact us today at 888-451-3900 for more information on how we serve our customers in the best way possible.

Stay Informed on Animal Health and Food Safety Regulations

Posted June 10, 2015 by Administrator

livestock imageThere are various Federal agencies that administer animal production health and food safety in the United States. These agencies are charged with:

  • Ensuring livestock production has a minimal negative impact on the environment,
  • Imported livestock is inspected and monitored to prevent transmissible diseases such as foot and mouth disease, swine flu, and avian flu – do not spread to U.S. food-producing animals,
  • Livestock feeding practices, and
  • Food safety for meat products.

The agency that is responsible for inspecting imported live animals is USDA’s Animal and Plant Health Inspection Service (APHIS). This agency helps to ensure that livestock are not exposed to certain diseases that can cause catastrophic economic losses to U.S. food producing animals, or diseases that can also affect humans entering into the U.S. food supply.

The U.S. Food and Drug Administration (FDA) administers oversight of livestock feeding. The food ingested by livestock can have a major impact on the nation’s food supply and public health. The regulations are primarily focused on keeping contaminants and diseases out of the food supply. More information can be obtained at the FDA’s Center for Food Safety and Applied Nutrition.

The USDA’s Food Safety and Inspection Service (FSIS) is the government agency responsible for inspecting slaughter facilities, animals and meat products. The FSIS generally focuses on  food-borne illnesses such as E. coli, salmonella and listeria.

Other animal health and food safety agencies include:

Energy and Natural Resource Companies Need Strong Risk Management Strategies

Posted June 2, 2015 by Administrator

shutterstock_115189144Risk management for the energy and natural resources (ERN) industry has come of age; early adopters of risk management efforts need to reconsider their strategies and expectations, according to a study released by KPMG Global Energy Institute (2014.) The study, No Paper Chase: Transforming Risk Management at Energy and Natural Resources Companies, can be found at KPMG International.

The research for the study was conducted by the Economist Intelligence Unit. A total of 1,092 C-level executives responded to the questionnaire.

The study, released in 2014, found that overall, the energy sector has done well thanks to strong prices and expanding production. However, the risk factors for energy and natural resource companies has become more complex as companies are going into more remote regions of the world to search for natural resources. Often, the environment is under threat in these remote areas.

Technology is creating new opportunities for ERN companies, especially for the development of oil and gas fields in fields that were previously impenetrable.

Labor tensions are common in the industry and the public is often hostile to ERN companies, posing additional risks.

All of these findings demonstrate that today’s complex business environment requires a strong ability to master risk management. Large oil and gas companies in particular were early adopters of risk management programs, but progress in this area has not progressed as fast as the business environment. Companies need to re-evaluate their risk management strategies and reconsider their expectations in order to take risk management to the next level.

The knowledgeable staff at Cline Wood understands the unique risks of the energy sector. We are here to help create a plan that best protects your business. Contact us today at 888-451-3900.

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