How much more would be added to your bottom line if key performance areas such as Driver Productivity, Laden Mile, Tons/Load, Revenue/Mile, MPG and Cost/Mile all improved by just one-half of one percent?

Now imagine the impact of one percent, three percent and even five percent improvements.


Improve Executive Group Performance

Trucking company executives have significant national, regional or departmental responsibility and as a result, their individual performance has a major impact on profitability.


Executives are usually very focused on making assigned goals as their financial incentives can be quite lucrative.  Unfortunately, often executive assigned goals are too narrow and overlook major profit opportunities.

For example, the bonus for a VP of Sales may be based solely on new revenue where instead he/she might add more to the bottom line by fixing costly freight network inefficiencies or shedding unprofitable business.  A VP of Maintenance may be rewarded solely on maintenance cost-per-mile where instead equipment availability and MPG performance should be included in the bonus calculation.


Our Executive Performance Management Program refocuses executive performance and supporting processes to their greatest profit contribution opportunities. Program development includes:

  • Initial meeting with company's owner/CEO/president to discuss individual executive job descriptions, performance goals, current actual performance and 'uncaptured value areas'.
  • Meetings with individual executives to discuss assigned performance goals, goal obstacles, daily activities, resource needs and value areas they think should/should not be part of their responsibilities.
  • Review of company's annual operating goals, current major campaigns and key performance metrics to identify accountability gaps in executive job descriptions, assigned responsibilities and bonus opportunities.
  • Analysis and rewrite of executive job descriptions, performance goals, bonus calculations and relevant company policy to encourage cross-departmental cooperation and refocus executive effort to their highest profit contribution opportunities.
  • Development of resource needs and best practices to help executives obtain refocused goals.


Refocusing executive group responsibilities to increase the value he/she adds to the bottom line is in effect refocusing the efforts of all employees assigned to that executive. That provides a powerful opportunity for improved profitability.

Insight: Executive bonus awards should be based on both individual performance to goals and company financial performance.  The greater the problem of silo performance within an organization, the larger the weighting of company financial performance should be.

© 2018 CostDown Consulting: The industry's most respected and results-oriented trucking consultant.