members in motion

A LOOK BEHIND THE CURTAIN OF TRUCK DRIVER SHORTAGES

BY: Danny Schnautz, President, Clark Freight lines Inc.

THE TRUCK DRIVER SHORTAGE: are we seeing a problem, or a symptom? One longstanding claim in supply chain discussions is that there is a truck driver shortage. That is not the case and a look at the facts will show the reasons why. Truck drivers are thought of as spending their day driving on the roadways. Moving goods is the purpose of truck drivers, trucks, and trucking companies. But America’s truck drivers know that a big part of their job is waiting. Like the age-old military expression “hurry-up-and-wait,” drivers are experts in getting there and then waiting. Actually, they are usually told to “wait patiently.” Even though they are not receiving full pay (often no pay!), and frequently without restrooms, a waiting area, and realistic updates on their progress (or lack of it). Drivers are paid for moving the loads, but are not paid for their time. How much do truck drivers wait? Anywhere from 20-40 hours per week! Truckers wait as one of the core competencies of their jobs. While safety is always the top priority while driving, their minds are often also preoccupied with waiting – or avoiding waiting. Drivers skip meals, doctor appointments, and family time in order to move a load and then wait the least amount possible. Drivers sacrifice to try and minimize waiting at shippers and receivers, port facilities, repair shops, or in traffic congestion. This waiting creates stress and causes a shortage in their pay, resulting in a general bad morale in truck-driving as a career. Despite this, over 450,000 new commercial drivers licenses (CDLs) are issued each year. New drivers enter the industry with optimism that stems from the “earn up to” claims in trucking recruiting ads, and then soon leave when their paychecks fall far short. Usually these disillusioned and now-broke newbie drivers try different trucking companies on their way out – creating annual turnover rates of more than ninety percent for the long-haul forhire segment of trucking, mostly for very large fleets. Waiting is not new for truckers, but the supply chain gridlock has brought attention to this problem – sort of. Instead of seeing the bottleneck issue as truckers waiting, disengaged observers instead call for more trucks and more drivers - but to what end? To create longer lines of waiting drivers, backed up onto public roads? For decades in America, every load that needed to move each week did move. We did not have strawberries rotting in the fields for lack of trucks, nor empty shelves at Christmas. And still today, even while there are backlogs of loads in a global gridlock of cargo, more trucks and truck drivers is not the answer, neither for the short-term nor the long-term. The prior years of wasting drivers’ time did not worry most people in the supply chain. Market forces created an uneasy balance of trucks arriving at facilities of all sizes and expecting extended waits. The view for most parties has been that drivers’ time is free. Facilities and processes have been built expecting to optimize parts of the operations other than loading and unloading trucks – since the established norm is that truck drivers will wait. Now that loads are universally not moving optimally, the waste of driver’s time is getting more attention. But drivers are still waiting, with procedures and pay that commonly still do not value drivers’ time. This brings us to the point; we are not short on truck drivers, we are short on using truck drivers’ time wisely. The fixes for this are many, but not all are without cost. The way that federal truck regulator FMCSA and the civil courts treat drivers, there may be a driver shortage someday. Increasing regulations and excessive legal liabilities create burdens that limit a driver’s freedom and productivity with little or negative improvement for safety.

Drivers commonly miss a day’s loading or unloading by a few minutes, as well as do not attempt the drive to pick up or deliver a load because of closing time at a facility.

Expanded hours help by allowing a larger window of shipping and receiving, and also spreading out the number of trucks per hour being serviced.

Increasing staffing to move trucks helps speed up each step along the way, from paperwork to forklifts. We don’t have to reach for “Berlin Airlift” levels of coordination (we can!) but changes are overdue. In these days of stay-in-your-car oil changes and tire rotations, the process of drivers checking in and signing out is ready for overhaul. The time expectation of loading and unloading must change. Airlines, gas stations, and rental car companies have all transformed their processes to improve both customer experiences and company productivity. Similarly, before we put more drivers waiting in line, we should look at ways to utilize the drivers already in line. Truck drivers operate in the unpredictable workspace of construction zones, traffic congestion from crashes, mechanical problems, and DOT roadside inspections. They are often told to plan their day better, yet trucking companies and truck drivers have been doing that for decades for simple economic reasons. Truck planning is taking place. Beyond shipping and receiving hours and staffing, what procedures can be improved? What different standards can be set? We don’t have to do things the way that we always have. Quoting truck driver advocate OOIDA President Todd Spencer, “One third of drivers’ time is wasted. If we eliminate half of this waste, we may find that we have more trucks than we need.”

Another 3 to 10 hours are spent waiting to unload. Over half a driver’s day is consumed by inefficiencies.

ATRI states that 1.2 billion hours are lost to congestion – or the equivalent of 425,533 truck drivers sitting idle for a working year.

Truckers spend on average 56minutes of drive time a day looking for parking.

Deliver at Receiver Receive a Dispatch

ELD

The Typical Day for an Owner-Operator

Members drive over 20,000 empty miles each year, which eats up valuable on-duty drive time.

Truck Parking Empty to Shipper

Congestion Pick-up at Shipper/Port

Members spend 3 to 10 hours each week waiting for their truck to be loaded.

SHELL DEER PARK

Staying safe: Shell Deer Park funds body armor vests for volunteer fire department The changing role of the firefighter as a first responder is creating a need for more-extensive personal protection equipment to maintain optimal safety. As members of task forces that will intervene in a variety of scenarios that endanger public safety, the Deer Park Volunteer Fire Department (DPVFD) requested and received funding from Shell to purchase 19 body armor vests. “In my initial letter to Shell I realized it was a weird ask,” says DPVFD Assistant Chief Phillip Arroyo. “But these are the times we live in and we need to have this equipment beforehand to practice and hope that we never have to use it.” Traditionally, firefighters and Emergency Medical Services (EMS) personnel would stay in a safe area until the threat was eliminated before going in to do their work. Today, they are being asked to go in under police protection while the threat may be diminished but ongoing. “It’s almost an expectation now that we are going to get in there as fast as we can to reach victims and prevent fatalities,” Arroyo says. The gold standard for a task force, Arroyo says, is a small group of six people or less where the police provide security, EMS administers first aid and firefighters bring out the victims for transport to a hospital. Multiple teams will be available for deployment based on the magnitude of the event. “While it’s a first-time acquisition for Deer Park, departments around the country have been doing this for years due to an uptick in incidents,” Arroyo says. “It would be great to use these funds for equipment directly related to fighting fires, but we can’t wait until something happens to get this protection.” Learn more: http://www.deerparktx.gov/1556/Fire-Department

San Jacinto Logistics

Our program prepares you for a career in transportation, international logistics, and global supply chain management industries. You’ll also gain field experience as a logistics intern with a Greater Houston area company.

Introducing: Opportunity

Our NEW Business Equity Division provides resources to small, minority- and woman-owned businesses seeking to participate in Port Houston procurements.

Learn more about how we can help support your business at www.porthouston.com/businessequity

SHELL DEER PARK SUPPORTS

EHCMA to hold Crisis Communications Workshop for public information officers. Shell Deer Park donated $20,000 to cover the cost of the workshop and ensure there is no charge for participation. In a region that’s home to hundreds of petrochemical manufacturers, refiners and related businesses, it’s impossible to overemphasize the importance of timely and effective crisis communications. That’s why the East Harris County Manufacturers Association (EHCMA) is hosting a crisis communications workshop on April 28. The workshop is open to all EHCMA member companies, with other attendees representing Harris County, municipal groups, local emergency planners, Texas Chemical Council, American Chemistry Council, and crisis communications professionalsThe event will be held at San Jacinto College’s Center for Petrochemical, Energy and Technology in Pasadena. “Improving crisis communications is one of EHMCA’s critical goals for 2022,” says EHCMA Executive Director MaryJane Mudd. “Part of our strategy to achieve this is to provide basic information for non-traditional PIOs – particularly in our smaller to mid-size members – to better understand the responsibilities of those serving in the PIO role in an emergency situation.” Participants can look forward to a fast-paced and informative day that starts with remarks by County Commissioner Adrian Garcia, a discussion about building better relationships between industry and municipalities; and a two-phase interactive response drill that addresses the key elements of crisis communications when an incident occurs. “We really appreciate the grant from Shell to help make the workshop a reality,” Mudd says. “It further demonstrates Shell’s long-standing commitment to our communities by expanding emergency response capabilities.”

WOOD

An estimated 1,400 high school and college female students attended to learn more about the highpaying careers in trade and craft that are available to them in Southeast Texas.

While it is especially tailored to students seeking out more information about trade and craft careers, this annual conference is designed for all women— the unemployed or underemployed, high school and college students, veterans, and women in transition. The program provided information about petrochemical and industrial trades career fields—and how capable, motivated women can find success in a once male-dominated profession. Between sessions, attendees mingled with exhibitors and gathered important information to help them begin or move ahead with their own careers in a challenging new field with serious salary and benefits. Nine community colleges from across the region, including Brazosport College, were also in attendance to provide valuable information on financial aid, childcare, fast track courses, and certificate and associate degree programs. In addition to powerful keynote presentations, attendees heard from industry leaders during panel discussions about specific careers, and what it takes to obtain and advance in a new field. They also participated in breakout sessions, interviews with employers, networking and more.

ASSOCIATION OF CHEMICAL INDUSTRY OF TEXAS

TCC and ACIT are pleased to announce the hiring of Sabrina Schwertner as Director of Meetings and ACIT. Sabrina has served as a marketing and communications strategist for PetroPages Industrial Marketing Agency in Houston and as Executive Director of Economic Development for the Hitchcock Industrial Development Corporation. In addition to her meetings, marketing, and community relations background, Schwertner brings over 15 years of experience in industrial business development, and has served as a chamber executive with the Greater Southwest Houston Chamber of Commerce. “We are excited to welcome Sabrina Schwertner to the TCC & ACIT family,” said TCC-ACIT President Hector Rivero. “Sabrina is extremely knowledgeable with our industry and has been involved with ACIT over the years. In addition to managing our meetings and events, she will be focused on ACIT membership development.” Sabrina succeeds Darlyne Ingalls, who is retiring at the end of this year, after 10 years of dedicated service to TCC and ACIT. Sabrina’s passion for business and economic development will be an asset to TCC and ACIT. Schwertner holds a BBA in Marketing from Texas A&M University. To learn more about Sabrina connect with her on LinkedIn - Sabrina Schwertner, or by email at Schwertner@texaschemistry.org. Please join us in welcoming Sabrina Schwertner to the TCC and ACIT team!

TEXAS CHEMICAL COUNCIL

TCC is pleased to announce the appointment of Caroline Espinosa as Director of Communications. Espinosa has extensive communications and public affairs experience both in government and the private sector. Caroline served as Director of Communications for the Texas Public Policy Foundation, a public policy think tank headquartered in Austin, Texas. Espinosa also previously served as Special Assistant for Public Affairs to the U.S. Secretary of State and as Press Secretary to former U.S. Senator Gordon Smith (R-Oregon). “I am honored to have Caroline join the TCC team in this new communications role,” stated TCC President & CEO Hector Rivero. “Caroline’s experience will be instrumental in developing and implementing the Council’s strategic

communications plan to enhance our industry’s image and help advocate for our industry.” “I am thrilled to join TCC and represent an industry that is integral to the well-being and health of all Texans and people around the world,” said Espinosa. “I look forward to engaging industry leaders and employees, policymakers, and communities to foster a better understanding of our industry and the contributions it makes to improving our everyday lives.” Caroline holds a Bachelor of Arts degree in International Affairs from George Washington University in Washington D.C., and earned a Masters in Management from Excelsior College in New York. Please join me in welcoming Caroline Espinosa to the TCC Team. You can contact Caroline at Espinosa@TexasChemistry.org.

INEOS - WOMEN IN MANUFACTURING AWARD

League City - INEOS proudly announces that the Manufacturing Institute —the workforce development and education partner of the National Association of Manufacturers – will honor Lorraine Black as one of 30 women in North America with the Women in Manufacturing STEP Ahead Emerging Leader Award. The STEP Women’s Initiative is the nation’s marquee program to close the gender gap in manufacturing. In her role as a mechanical reliability engineer at INEOS, Lorraine has become known for her ability to find strong, creative solutions in the face of issues large and small. Having earned the reputation of being a true problem solver, Lorraine welcomes the opportunity to tackle new tasks. In all that she does, Lorraine displays a drive to increase manufacturing reliability with novel improvements to inspection and maintenance strategies. INEOS is a global chemical company comprised of 36 businesses including consumer brands and sports interests.

PASADENA CHAMBER OF COMMERCE

Pictured: Membership Coordinator, Christian Rocha (left), our new Administrative Assistant, Kyndra Ashcraft (Center) and our new Events & Programs Coordinator, Jennifer Sparks (Right).

All three are so excited about their roles here at the Pasadena Chamber and helping to make our city better then ever!

COASTAL ICE & WATER

Covestro’s Baytown is participating in a pilot program with Coastal Ice & Water’s Sustainable Hydration Solution. The no-touch Refresh’R® kiosk dispenses safe, chilled, filtered water promoting a more sustainable solution to hydration needs. Using this system, reduces the need for plastic water bottles and increases participants role in sustainability. As part of Covestro’s sustainability goals, to have zero waste to landfill, the company is hopeful this solution will reduce plastic waste at the facility. Recently, the no-touch Refresh’R® kiosk, was featured at Covestro’s Baytown 50th Anniversary Celebration. Innovation and Sustainability Council sponsor and PMO member, Nikki Mason stated, “It was great to see and hear about Covestro's commitment to sustainability during the 50 year celebration. We even got to try out the new hydration station that will arrive at the Baytown plant site for our pilot in April. This will help us to complete our vision of no more plastic water bottles onsite." The pilot program will begin in mid-April and include a ribbon cutting on April 21, 2022 in honor of Earth Day on April 22, 2022. Coastal is encouraging more Houston Ship Channel sites to commit to reducing plastic bottles through use of its no-touch Refresh’R®. It also is exploring options to recycle plastic bottles at sites to convert to liquid feedstock – producing a circular economy.

“Covestro and all of industry’s positive response to our Sustainable Hydration Solution is refreshing.” said Scott McAlister, Coastal’s president. “We offer traditional hydration or can usher along your Circular Economy goals. We give you options!” For more info, see Coastal Ice & Water’s ad (page 11)

HCA HOUSTON HEALTHCARE SOUTHEAST

HCA Houston Healthcare Southeast has achieved re-designation as a Level III Neonatal Intensive Care Unit (NICU), in addition to the existing Level III Maternal Designation received in 2021. Designation by the Texas Department of State Health Services confirms the hospital’s commitment to provide comprehensive care for complex medical and surgical conditions for mothers and their babies. In addition, Level III is the highest level awarded to hospitals in communities like ours. “These designations are a testament to the continued commitment of our team,” said Meghali Singhal, MD, NICU medical director of HCA Houston Southeast. “We are proud to provide compassionate support for low risk and complex pregnancies for mothers in our community.” In addition, HCA Houston Southeast offers complimentary classes for expectant mothers including Preparation for Breastfeeding, Child Birth, and Baby Care. Patients also have access to lactation services and round-the-clock OB hospitalists and neonatal providers. Learn more, visit www.hcahoustonhealthcare.com/southeast

HCA Houston Healthcare Southeast offers spacious private labor and delivery rooms designed with mother and baby in mind.

THE RIGHT TALENT IS HARD TO FIND BIC Recruiting is your solution

““If you are serious about acquiring the top management talent in our industry, BIC Recruiting must be considered. You won’t be disappointed.”

— Jeff Bearden, President, Bayou City Industrial Contractors

““I was very pleased with the level of talent BIC Recruiting brought to the table. It is obvious BIC Recruiting’s Thomas Brinsko and the entire team know the industry well.”

— R. E. “Bob” Parker, Vice Chairman — Industry Relations and Strategic Initiatives, EMCOR Industrial Services

 Industrial Sales

 Sales Management

 Operations Management

 Marketing Management

 Accounting Management

 HR Management

 Safety Management

 C-Level Executives

SCAN TO ACCESS THE LATEST HOT JOBS

BRIDGEPOINT CONSULTING

Bridgepoint Consulting, an Addison Group company and a leading management consulting firm that helps organizations drive innovation and successful business transformations, is pleased to announce it has expanded its services to the Boston market. The new office reflects the continued growth and momentum Bridgepoint has experienced in the last several years. Founded in 1999, Bridgepoint has marked the last 23 years with growth that spans acquisitions, industry vertical service offerings and geographic expansion. Throughout that time, the firm has served more than 2,500 clients, helping to transform their operations and amplify growth as they navigate the rapidly changing business landscape. Offering a broad range of finance, technology, and risk/compliance services, Bridgepoint supports clients from the startup phase all the way to IPO readiness and beyond. Since its founding, the firm has been helping executives and management teams reduce their business and operational risks, bridge resource gaps, and improve overall performance. Whether an organization needs interim expertise to improve infrastructure and processes, or strategic management of a major transition or transaction, Bridgepoint’s team of leaders can provide the critical support needed to ensure success. The firm is headquartered in Austin and has offices in Dallas, Houston, and Denver with an additional presence in Seattle, Minneapolis, and Philadelphia. To learn more about Bridgepoint Consulting and how it can help serve your organization, please visit https://bridgepointconsulting.com or reach out to Adan Belgodere at adan.belgodere@ bridgepointconsulting.com or at 832-498-9346.

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2022 GULF COAST INDUSTRY FORUM

Thursday, September 22 Pasadena Convention Center

TEXAS MUTUAL

Texas Mutual employees raise $190,256 for United Way. At Texas Mutual, we see strengthening our communities as a part of everything we do. It’s a mission we share with our longstanding partner, United Way, and recently put into action through our largest annual fundraiser in support of the organization. Through creative virtual fundraisers and personal donations, employees helped raise a company record of $190,256 to go toward creating meaningful change in the communities where we live and work. The Texas Mutual Houston office employees raised $13,892, which goes directly to the local United Way. By supporting United Way, we’re helping build a stronger, safer Texas. We’re grateful for our employees as we show up for our neighbors and put our mission into action.

WINKLER PUBLIC RELATIONS

Ross Winkler, Government & Public Affairs Director, Winkler Public Relations, serves as 2022 Deer Park Chamber Chair, leading a talented 19-member board of directors. Mayor Jerry Mouton conducted swearing-in ceremonies February 17th. Winkler, the board and chamber staff have activities planned to enhance economic vitality and quality of life in Deer Park. One initiative includes building awareness of the value of Deer Park’s industry, jobs and how products made from local building block chemicals make our world better. Chemistry Day held March 28 sets the tone for the year with nearly 250 people attending a luncheon, visiting booths to learn about jobs and products made by industry, and touring San Jac’s LyondellBasell Center for Petrochemical, Energy & Technology which trains future chemical plant workers.

ARCO

ARCO Design/Build Constructing First Speculative Cold Storage Facility in Houston.

ARCO Design/Build is in the process of constructing a 315,111 SF speculative cold storage warehouse facility that can accommodate a variety of cold storage uses. Known as Houston ColdPort, the state-of-the-art development is strategically located in the heavy-haul corridor of Port of Houston and provides unparalleled access to major thoroughfares and terminals in Houston, Texas. The facility is currently undergoing steel erection and the standing of insulated metal panels, and is being designed to provide ultimate flexibility to tenants. Features will include a 50’ clear height warehouse, 60’-deep cold dock and 38 dock positions. ARCO would like to thank Boomerang Interests LLC, CenterSquare Investment Management, Colliers and JLL for their partnership on this project which is expected to deliver in the second quarter of 2022.

KENCO BUCKET TRUCKS

10± Acre Waterfront Property for RORO and Storage Capabilities. We are pleased to showcase Baytown’s premiere Roll-On/Roll-Off (RORO) site.