Keep on trucking Featured

8:00pm EDT June 25, 2007

Elmer Buchta Jr. was elevated to company president of Elmer Buchta Trucking LLC in 1979 ahead of some older siblings.

While negotiating the trials of a family business, he also identified three primary issues hampering increased profitability. The first issue was how to maintain a steady source of good, qualified truck drivers. The second issue was the proper balance between volume and services and the ratio of independent drivers and company drivers. The third issue was the fluctuating cost of fuel, which was outside the company’s control.

To deal with the driver shortage, Buchta created a driver training “experience” school, providing a bridge between the licensing process and needed experience. The result of the school over the last three years is an excellent safety record that has reduced insurance costs and increased profits. The continuous supply of drivers has greatly increased equipment utilization, which also translates directly to profits.

Buchta also reviewed company data over a period of time, applying his engineering education and skill, to calculate a more optimal relationship between the number of trucks the company owns and the number of independent truckers it hires. By optimizing this ratio, profits have increased substantially during the last three years.

He also worked diligently with customers to incorporate a provision in contracts to provide for changing fuel prices with fairness to both the company and the customer, eliminating the fluctuating margin caused by fuel cost changes.

HOW TO REACH: Elmer Buchta Trucking LLC, www.buchta.com or (812) 354-6300