Hidden costs of truck rollovers
Hidden costs of truck rollovers
When a truck rollover occurs often the initial attention is focused on the tragic consequences which is the greatest loss. Yet, the ripple effects of a rollover are far-reaching for organisations, including effects on supply chains, driver mental health, environmental impact, and several other business challenges.
Supply chain disruption
The loss of the truck and cargo extends further down the line. The CEO of a driver training organisation, Eugene Herbert, expands:
“Immediate cargo loss is often inevitable. Most items being transported are unlikely to withstand the forces of a rollover."
“Replacement of the vehicle needs to be expedited as few organisations can maintain delivery schedules with one vehicle less. These delays can result in lost business. Additional downtime is also possible depending on the specific business and its specialised operational needs,”
says Herbert.
Workforce impact
A driver escaping with their life is top priority, yet this does not stop the affect on business.
“Drivers may experience physical injuries, PTSD and anxiety. Recovery can take time, and drivers may never return to their job due to emotional trauma."
“Additional training following a rollover should be non-negotiable. This can be for new drivers, corrective actions and additional safety programs using the incident as a learning experience. While it can affect immediate productivity, long-term benefits outweigh this,”
says Herbert.
Operational consequences
A rollover will inevitably affect insurance coverage.
“It is not uncommon for vehicle replacement costs to exceed insurance pay-outs. Organisations need to pay the difference or risk further financial loss with one less vehicle in operation. Claims usually increase premiums as well."
“While South Africa is not as litigious as other countries, this does not mean that drivers cannot be imprisoned, fined (or face demerit points when AARTO begins). An example is the truck driver in the Marion Hill crash that killed 24 people who spent almost seven years in jail for his role in the crash,”
says Herbert.
Infrastructure repair
Companies can be liable for the repair of infrastructure and environmental damage in a rollover.
“This includes compensation for road closures to facilitate repairs and investigations. Those transporting fuel or other hazardous cargo are also liable for environmental cleanup costs,”
says Herbert.
Long-term business impact
There are other several other impacts associated with rollovers:
- Reputation damage
- Higher employee turnover rates
- Exclusion from preferred supplier lists
A rollover has far-reaching effects that can be significantly decreased through targeted and proven training.
*Information provided by the publicist
