Skip to main content

Self Driving Trucks: Logistics on New Heights

 In real life, consumers will not advocate as strongly for self driving trucks as the business owner with a multi million dollar profit opportunity. There will be concerns regarding consumer self driving trucks that will pressure regulators and slow the process. But business will spend the dollars to make it’s case and approvals will come. Trucks will have CDL personnel in the cab when self driving trucks operations begin and they will be restricted to limited access highways and small distances beyond the off ramp. A single 24 hour ‘driver monitor’ replaces two team drivers. Later the monitor is removed because over the road saFDV trucks will have ‘x’ billion miles of safe driving” Truck drivers will be terminally unemployed. There is no natural next job for this set of skills. And, yes, this is a problem. In the beginning, the shortage of employees and attrition will help balance the negative effects of the faSDV truck. The problem is that the transition period will be relatively short. it will be governed more by manufacturing capacity than a slowly emerging desire for faSDV trucks.


In the real world, the economic savings of not paying a driver will be extreme. These savings will be employed in two ways: 

1.increased owner profits and

 2.lower prices for customers (shippers). 

Companies are naturally competitive and will use their lower cost base from faSDV trucks to try to increase their business and gain market share.

And these lower prices will ‘terrorize’ the trucking companies that rely on human drivers. They will need to match prices and the effect is, at best, a loss of profits, and, at worst, the loss of business leading to business failure. And the ONLY response possible is to ‘fight back’ by acquiring faSDV trucks as soon as possible and at any price. In the early years, a price premium of $100,000+ for a long haul faSDV truck would not surprise me. Which means that the trucking industry might turnover completely to those businesses (perhaps not now in trucking) that have access to massive amounts of low cost capital AND connections with manufacturers to get a priority position on deliveries.

Bottom line, I expect that drivers will quickly become unemployed at a rate that far exceeds attrition and job vacancy. And that many of the company in the shipping industry will fail as well. SELF DRIVING TRUCKS tech is a revolution big, noisy, and very destructive to human beings.”


Labels:

Comments

Post a Comment

Popular posts from this blog

Civil Services in India - A Career Opportunity or Status Craving !

India is a diverse country spread across states, divided by boundaries, rivers, mountains from east to west Arunchal Pradesh, Rajasthan, North to South Kashmir to Kerala with so much diverse culture, languages but still our nation is a unitary icon. A single constitution  holds the dignity of each civilian to the nation. When come to political and Administrative structure, India is democratic, sovereign country with a liberal and moderate system providing each deprived to express himself, to oppose the unfair with him. The key to the whole system in decision making, policy drafting, evaluation of the schemes implemented for wellness and development of infrastructure, basic needs , social activities is bureaucracy . A mechanism that controls the whole government system and unifies the end to end of the country i.e. the last beneficiary to the government. Civil Services Exam is a hard core exam that takes a year long time and around 10 exams with interview to select the finest mind t...
Post a Comment
Read more

Drinking Water Crisis: Need of the Hour

  Water one of the essential element of nature, being the necessity of life for existence is thought to be found around 400 billion years ago with evolution of the living planet, The Earth. Every living body is thought to be formed with five elements and one of the elements is water. Earth appeared to be a livable planet after the evolution of other universe identities as a result of the Big Bang phenomenon. The Big Bang phenomenon was result of fusion and fission and resulted into formation of planets, stars, asteroids, milky way etc. After the rise of planets, earth comes to have water on its surface and due to tectonic activities, the landscape shapes appeared as mountains, plateau, deserts, gorge, rivers, lakes and plains. There are total 7 continents on earth named as Asia, Australia, Europe, South America, North America, Africa and Antarctica. Further these continents have different amount of water bodies like oceans, rivers, lakes and the availability of water is not uniform...
Post a Comment
Read more