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Page 3
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PHEW, WHAT A YEAR...
Over the decades, road transport operators have learned to deal with pretty much anything thrown in their path, which is just as well, because 2007 has tried the abilities of even the most dogged business.
As if you needed reminding, try two bouts of flooding to bring some of the UK's main arteries to a complete standstill; lead times for new truck deliveries vanishing over the horizon as Europe went truck crazy; and rocketing fuel prices creating a major sting in the tail for anyone planning to coast into Christmas. Add a soupcon of credit crunch and a dash of foreign competition and you've got the picture.
There have been some notable business closures during 2007 as time was called on operations or they were forced out
"Demand for road transport has never been greater, yet margins are low for too many"
by crippling debts. It wasn't only operators putting up the closed sign: Boalloy succumbed to the administrators and MAN finally called time on ERE Demand for road transport has never been greater and the ability of the industry to offer the most efficient means of moving goods around the country is unquestioned. Yet it remains an unbelievably low-margin business for far too many. Next year promises to be just as tough, if not tougher. The global squeeze on credit appears to be getting tighter and the economy appears to have the jitters, neither of which bodes well.
The next couple of weeks we'll be back on 3 January are a time to kick back and relax. But it's also time to develop a strategy for success, or possibly survival. Assess your customers, suppliers and yourself, and see what improvements can be made.
For all the financial challenges we face next year, the UK road transport industry can take pride in a job well done during 2007. Despite everything that's been thrown its way, the freight on which the economy relies has always got through. At Commercial Motorwe're committed to supporting you and keeping you informed of events in an ever-changing industry. Thank you for your support during 2007; we wish all our readers a happy Christmas and a prosperous New Year.