The private and/or for-hire motor carriage decision: an analytical approach

The purpose of this dissertation is to explain why private motor carriers have or have not applied for for-hire authority. To accomplish this task, the decision variables looked at by management are identified and their impact discussed.

The results of the research are that only four of the 22 decision variables somehow influence the decision-making process; changes in accounting practices, pickup and delivery, empty miles currently logged, and claims procedures.

Recommendations for private motor carrier fleets considering the for-hire option include the hiring of managers with for-hire carriage experience, maintaining existing traffic lanes and add customers only if they are in these lanes, understanding that entering the for-hire arena requires more financial commitment, having the for-hire fleet nonunion because of labor costs, and establishing performance standards to measure customer service effectiveness.