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Capacity Qualifications & Requirements

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Presentation on theme: "Capacity Qualifications & Requirements"— Presentation transcript:

1 Capacity Qualifications & Requirements
Third Party Capacity Validate active authority and Satisfactory DOT rating or, if not rated, evaluate DOT reportable accident history and/or SEAs as reported on SAFESAT Verify liability insurance and cargo coverage with insurance providers that are rated B+ or better by A.M. Best Company Execute a Landstar Transportation Brokerage Agreement that clearly establishes responsibilities, liabilities, indemnifications and insurance coverage requirements Daily re-verification of all broker carriers qualification requirements with FMCSA data Dedicated Capacity – BCO Extensive Background Screening including criminal background check and work history verification 23 years old with a minimum of 1 year of verifiable OTR experience in past 3 years Class A CDL with Hazmat Endorsement We take qualification of BCO and 3rd party capacity very seriously at Landstar. On the 3rd party capacity side, we validate the carrier’s active authority and satisfactory DOT rating, or if the carrier is not rated, we evaluate the DOT reportable accident history and Safety Evaluation Assessment as reported on SAFESTAT. We also verify liability insurance and cargo coverage with insurance providers that are rated B+ or better with the A. M. Best Company. We execute a Landstar Transportation Brokerage Agreement with the provider that establishes responsibilities, liabilities, and insurance requirements. And most important, we have software that allows us to do a daily re-verification of all 3rd party capacity providers’ qualification requirements with Federal Motor Carrier Safety Administration (FMCSA) data on that carrier. So we are reviewing each of these carriers daily. On the Landstar dedicated BCO capacity side, we do extensive background screening, including a criminal background check and work history verification. We require that the driver be at least 23 years old with a minimum of 1 year verifiable over the road experience in the past 3 years. All Landstar BCOs are required to have a Class A CDL with a Hazmat endorsement and most important, a safe driving record. I know that the Hazmat endorsement requirement is important to Real Products with some of the product you’re shipping to your customers.

2 BCO Orientation Process
2-Day Orientation Ongoing Safety & Business Planning Annual BCO Performance Reviews Hazardous Materials Orientation Defensive Driving Programs Quality Process All of the Landstar BCOs go through a 2-day orientation process at one of our Landstar orientation centers before they haul their first Landstar shipment. The Landstar orientation process helps our new BCO understand how to survive at Landstar, how to get their loads, how to do their paperwork, how to get paid,……. it also gives them an understanding of all Landstar requirements and procedures. All of our Landstar BCOs have the Hazmat endorsement on their license but we require that they go through a Hazardous Materials Orientation and a Defensive Driving Program during the orientation. We also put them through Landstar Quality Process Training during the orientation which, at the BCO level, addresses things like the value of picking up on time, delivering on time and good communications.

3 A Quality Safety Process
BCO Safety Meetings Safety Thursdays Landstar Safety Officers (LSO) Safety Awards and Recognition Programs Truck Giveaway M.U.S.T. (Mutual Understanding of Safety Together) “A unique program that brings shippers and Landstar representatives together to build safer working environments and solid business relationships” Safety is the most important thing we do every day. Our Company has a saying, and it is a way of life at Landstar, and that is “Safety First.” We do a number of things at Landstar that are similar to what other carriers do to promote safety, such as our Safety Awards and Safety Recognition Programs. But we also do a number of things that set us apart from other transportation provider such as our a M. U. S. T. program which stands for Mutual Understanding of Safety Together, where we work with our customers to help develop best safety practices around our customer’s facilities, and to help create a better safety environment for our drivers and our customers employees around their shipping areas. We also have a Safety Thursday Conference Call …. which is call that has been held the 3rd Thursday of each month for over 15 years. Participants on this call include Landstar BCOs, agents, DOT officials, state police, customers and employees. We have a topic each month, such as construction zone safety in early spring, or maybe driving in Icy conditions in late fall. And then there’s the Landstar Truck Giveaway. Each year, Landstar gives away a new tractor with a value of over $100,000 to one of our BCOs. The main criteria to win this truck is to fill out an entry, operate all year with no accidents, no cargo claims and no moving violations, and attend a minimum of 1 safety meeting per year. If they do all of that, then the BCO is eligible to win the tractor. To help keep our BCOs focused on safety all year, for each additional safety function they participate in at Landstar during the year, they get another entry into the truck giveaway. The winner is drawn at random from all of the eligible BCOs ……… That’s some incentive.


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