Checking Up Or the Leeds Schedule
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Whilst Accepting the Principle of a Country-wide Scale of Rates, There Seems to be Room for Criticism of the Figures in the Proposed Schedule
Solving the Problems of the Carrier
AT the conclusion of my last week's article I showed that the terminal charges for standard trafficsstandard in the sense that they can be loaded and unloaded within the standard times for those operationsshould be as follow:-For a 6-tonner, 2s. 4d. per ton; for
7-8-tormer, 2s. 7d. per ton ; for a 10-tonner, 3s. 5d. per ton ; for a 12-tanner, 3s. 7d. per ton and for a 14-tonner, 4s. 2d. per ton.
I suggested an "average " figure of 3s. 6d. per ton, subject to further consideration made necessary by the fact that on the larger vehicles-the 10, 12 and 14-tonners-it is common practice to employ a mate with the driver. If a second man be employed, the cost of terminals is increased. The allowance, on account of the second man, to cover wages, overheads and profit, amounts aiproximately to 3s. per hour.
Now, the formula for standard loading time is 10 minutes per ton for the load plus 15 minutes for the vehicle. For unloading the same time is allowed.
In the case of a 10-tonner the total, for both loading and unloading, is four hours, involving an addition, on account of ,the second man, of 12s. or is. 3d. per ton (to the nearest penny).
For a 12-tonner the time is Q. hours, involving an addition of 13s. 6d. or is. 2d, per ton, For a 14-tonner the time is 51. hours, costing 16s. 6d., also 1s. 2d. per ton.
The above charges for terminals must be revised, therefore, so far as these three types of vehicle are concerned to 4s, 8d. per ton for the 10-tanner; 4s 9d. per ton for the 12-tonner and 5s. 4d. for the 14-tonner. The average of all the rates thus becomes 4s, per ton, which is just double the amount quoted in the Leeds Schedule. That is, if the application of a flat rate for terminals is to be accepted. On the face of it, as it means a useful extra profit in „the case of a 6-ton or 8-ton load, and an appreciable loss in the case of 10, 12 and 14-ton loads, it would seem to be. doubtful.
For the time being we may leave it at that, subject to amendment in the light of the examination of the other items. The next of these is the " Progression at 3id. Per Ton Lead Mile," which must be considered in conjunction
with Weightage of Rate.'
In an earlier article, in " The Commercial Motor " dated May 22, I criticized the spread of this weightage over the distance ef 142 miles. It seemed to me that, assuming for the sake of.argnment that the principle of weightage be
applicable to long-distance haulage, it should, nevertheless, terminate at somewhere arcnind 40 miles.
When the method of assessment of this progression of 8/cl, per ton mile lead is examined, the reason for the excessive weightage is disclosed. It is based on an average speed of 15 m.p.h. Now, it.is a fact that, in open country, the average speed of a 6-tOnner is 25 m.p.h., and of the larger vehicle 18 mph.
It seems to me that the need for the application of this excessive weightage has been brought about by the artificial depression of the figure for the overage speed, and if that be eliminated, the weightage can be either done away with or reduced to more manageable proportions and be more easily understood.
My own method, which has had acceptance in connection with certain rates preposals, is to assume, for the 6-tonner, an average speed. for the 6rst and last 20 miles of any journey, of 15 m.p.h., and an average speed of 25 m.p.h. for the rest of the journey. In other words, the average
for all journeys over distances up to and including 40 miles is assumed to be 15 m.p.h. and beyond 40 miles 25 m.p.h.
For the larger vehicles the corresponding average 'speeds, over the same distances, are assumed to be 12 m.p.h. and 18 m.p.h.
Over very short leads I add the customary weightage applied in respect of short-distance haulage, namely, a maximum of 15. 3d.. per ton for a one-mile lead, falling by Id for each Additional mile lead until it disappears at 16 miles and thereafter ceases to apply.
Now, before the " Progression Per Ton Lead Mile" certain figures for time and mileage charges must be assumed. They are: for the 6-tonner, 5s. 6d. per hour and PIA. per mile; for the 7-8--tonner, 6s, 6d. per hour and 10jel. per mile; for the 10-tonner, us. 6d. per hour and 1s. 2d. per mile; for the 12-tonner, 12s. 6d. per hour and 1s, 3d. per mile and for the 14-tonner, 13s. 6d. per hour and is. 4d. per mile.
To find the "Progression Per Ton Mile Lend" for the 6-tonner proceed in this way. One mile lead is two miles travelling. The charge for running is thus is. 7d. The time taken to run two miles at 15 m.p.h. is eight minutes and the charge for eight minutes at 5s. 6d. per hour is Pd. The total is 2s. dd. and the progression is 4.7d., say, 4id. per ton lead mile,
In the case of the 7-8-tonner the mileage charge per mile lead ,is twice 10d., or is. 9d. The time charge 1.5that for 10 minutes, that being the time needed to travel two miles at 12 m.p.h. For 10 minutes the charge, at 6s, 6d. per mile, is 1.s. 1d. The total charge is 2s. 10d., and the progression per ton per mile lead, allowing for an average toad of 71 tons. is thus 41-cl.
For the 10-tormer, at 1s. 2d. per., mile run, the mileage charge is 2s. 4d. per mile lead and the time charge, for 10 minutes at 11s. 6d. per hour, is 1s. 11d. The total is 4s. 3d., or 5d. per ton per mile lead.
For the 12-tonner, the mileage rate is 2s. 6d. and the' time charge 2s. 1d. The' total is 4s. 7d. and the progression 41d.
For the 14-tonner the corresponding figures are 2s. 8d. and 2s. 3d., total 4s. lid., and progression 41d.
When the journey extends beyond 40 miles radius it is assumed that the vehicle can-be driven at a highor speed. The progression per ton lead mile is, therefore, diminished for that part of the journey which exceeds 40 miles. It is important that this should he clearly understood. The assumption is that, for the first 15 to 20 miles, and for the last 15 to 20 miles of any journey, the vehicle is getting away from a traffic-congested area, or is entering one, so that the speed which can be t.naintained is less than that which is possible in open conntry. The total of 40 miles is taken as a basis for calcination because allowance is made, in respect of a long journey, for occasional patches of country where, for similar reasons, speed is again diminished. A long journey, therefore, is assumed to comprise 40 miles of running at the slower speed and the rest of the distance at the higher speed.
For every mile of any journey in excess of 40, therefore, this " progression" will be less, because the time taken to cover the two miles will be less. In the case of the 6-tonner, for example, only five minutes, instead of eight, minutes, are needed, and for the larger vehicles, seven minutes instead of 10 minutes.
The time charge for the 6-tonner now becomes 51d., the total is reduced to 2s. Old., so that the progression per ton mile lead is reduced to 4d. For the 7-8-tonner, the time charge is 9d., total, 2s. 6d. and the •" progression " 4d. For the 10-tonner, the corresponding amounts are is. 3d., 3s. 7d., 41d. For the 12-tonner, the figures are 1s, 51d. 3s. 111d. and 4d., and for the 14-tonner, is. 7d., 4s. 50., and 4d.
These basic figures must now be used to compile a table of rates which can be compared with the Leeds Schedule. Unfortunately, in the first place, there must he one table for each size of vehicle, as a preliminary to welding them into one. For reasons which I will divulge in a later article, I have not calculated rates for distances in excess of 50 miles.
Glancing at the figures, the first thing that becomes apparent is that there are considerable differences between rates for short leads but not between those for long leads, that is, if we except the 10-tonner. I thirtk we must
except this size, because it is s\o obviously the odd man out. The reason is not far to seek. It is the effect of the wages of the second man on a load not sufficiently remunerative to Justify them.
Having eliminated the 10-tonner, the next thing is to check up the weightage. This must be calculated again, in the light of the revised figures for terminal delays and speeds. It has, moreover, been pointed out to me by several readers that I was extravagant, in the article which appeared in " The Commercial Motor" dated May 29, in taking the maximum possible earnings as the measure of the weightage. Two journeys per day, and not one, would be a better guide. Suppose I apply that reasoning and check the earnings over the six-miles lead.' For the 6-tonner, making two journeys, the total waiting time would be five hours, leaving 31 hours for travelling. All of. it would be covered at 15 m.p.h., so that the maximum mileage woidel. be 53. Actually, if the operator covers only two journeys in a day over a six-miles lead-and he should certainly be able to do that-he has run 24 miles, and thus loses the potential profit on 29 miles. The revenue for 29 miles at 91d. per mile is 23s. The cost at 8d. per mile is 19s. 4d. The loss, without the provision of weightage, would thus have been 3s. 8d. Actually, weightage to the extent of 10d. has been added.
Reckon it another way. The actual earnings, for two journeys over a six-miles lead, are £3 7s. per day and covering the maximum mileage are 81 times 5s. 611. for the time, which is £2 6s. 9d. plus 53 miles at 91c1., which is' £2 2s., a total of £4 8s. 9d., from which must be deducted the amount saved by not having to run 29 miles at 8d., viz., 19s. 4d., leaving £3 9s. 5d., se that he is really 2s. 5d. down in the day. That would be balanced by the addition of 3d, to the weightage.
Now, take the opposite extreme, the case of the 14tonner, first making the obvious observation that it is an uneconomical vehicle for short hauls. Its terminal period is 51 hours, leaving three hours for travelling. (One journey per 81-houe day is all that it can do.) The maximum distance is 36 miles-only 12 miles have been tun. The actual earnings, at the figure of 8s. 4d. per ton
stipulated in Table V. are 25 16s. 8d. The potential earnings, assuming 36 miles are run, total £8 2s. 9d., from which must be subtracted the cost of running 24 miles at is. id. per mile, which is £1 6s., leaving £7 16s. 9d.., so that the operation of a 14-tonner is £2 down on the day, and to male that up the weighinge must be increased by
3s. to 3s. 10d, per ton. S.T.R.