Tuesday, May 22, 2018
By David Lowe… Is compensation a driver’s only consideration on the job hunt? “Absolutely not,” according to David W. Lowe, vice president of sales for Johnson City, N.Y.-based Pro Image Communications. Recruiting quality drivers who are willing to stay with a retail propane company has become more of a challenge for many marketers.
“Most retail propane marketers don’t have a human resources department and they aren’t trying to maintain a large fleet of trucks. Most typical small retail propane marketers need [only] two or three good drivers and they want them to stay for a long time,” Lowe said. Building a company culture with clear expectations that appeals to quality drivers looking for a long-term, stable career opportunity is essential.
Lowe is not a newcomer to the subject of driver recruitment and retention. Having grown up in a family retail propane business in Michigan, he has spent most of his career in a variety of companies where he evaluated, hired, trained, promoted, and sometimes terminated many drivers. “Winners like winners,” Lowe explained. “The right potential employees look for a great team to work with. They recognize losers quickly. Recruiting, evaluating, and leading drivers is a lot like evaluating, recruiting, and managing professional baseball players.”
Lowe, also well-known in the propane industry for his passion for baseball, offered the analogy that professional drivers are very much like professional baseball players and have a strong need to feel they are positioned to succeed and on the right team. Lowe should know. He also has experience in professional baseball, working for the New York Yankees in the minor league and scouting departments. In addition to serving as the assistant general manager of the Yankees’ Class A team in Fort Lauderdale, Lowe has also owned and operated a baseball-softball training center in Lansing, Mich. His work with delivery drivers includes employment at his family’s businesses, Lowe Bros. & Dad and LB&D Truck Lines (Moorman Livestock Feed).
He has also worked for Stanford LP Gas in Michigan and consulted with many more companies in Ohio, Pennsylvania, Wisconsin, and Texas, to name a few. Lowe has employed many of the same development philosophies whether evaluating and training baseball players or delivery drivers. Just as he has worked with professional, college, and youth baseball and softball players, he has sat in the cab with many drivers of all ages, trained them on everything, written employee reviews, and developed metrics to evaluate each driver.
“Whether drivers or ballplayers, there is a difference between treating people equally versus treating them fairly,” Lowe pointed out. “Treating people equally means they receive the same reward regardless of their performance. Treating them fairly means their reward will be determined by the metrics and goals they achieve.” This strategy has worked well for Lowe throughout his career. “If people are motivated to reach some agreed-to goals and know the reward, they will work hard to achieve the goals.”
With propane delivery, he emphasizes that efficiency is critical to the equation. “We shouldn’t be rewarding miles driven or number of deliveries since anyone can drive a lot of miles or make numerous deliveries. Companies usually are much more successful and make more money when drivers drive fewer miles and deliver more gallons per stop. It is almost always more cost-effective and less work to make deliveries of 300 gallons per stop versus 200 gallons per stop. There should be a larger reward for the driver and the company for delivering the gallons more cost-effectively.” Ultimately compensation must tie to improving gross margin.
Lowe added he also feels that treating drivers fairly means paying fairly. “Sometimes we see companies where owners have boats, fancy cars, take a lot of trips, interact very little with employees, try to pay employees the bare minimum, and then are challenged with recruiting and retaining quality drivers. Winning drivers can quickly detect a poor work situation very easily. Companies that fail to pay competitive wages, lack an incentive compensation, and cannot keep a driver on the payroll through the summer will risk losing those drivers before the next winter to a better opportunity.” Lowe said he feels such operations require a company culture and mindset overhaul if they want to recruit and retain drivers.
Another factor companies should consider when trying to attract drivers is to appeal to various age groups and provide for their needs. “Millennials have different wants and needs than baby boomers,” Lowe noted. “Every individual is different, but there are certainly trends in terms of what age groups value in employment situations.” Regardless, communication, building a relationship with drivers, and a strong understanding of expectations and rewards are critical components of retaining quality drivers for the long-term.
David Lowe has long-term experience with managing and retaining quality drivers over the years. He shared his expertise during his breakout session at NPGA’s 2018 Southeastern Convention in Atlanta. His presentation was titled “Strategies and Impact: Driver Recruitment, Training, and Retention.” —Pat Thornton
“Most retail propane marketers don’t have a human resources department and they aren’t trying to maintain a large fleet of trucks. Most typical small retail propane marketers need [only] two or three good drivers and they want them to stay for a long time,” Lowe said. Building a company culture with clear expectations that appeals to quality drivers looking for a long-term, stable career opportunity is essential.
Lowe is not a newcomer to the subject of driver recruitment and retention. Having grown up in a family retail propane business in Michigan, he has spent most of his career in a variety of companies where he evaluated, hired, trained, promoted, and sometimes terminated many drivers. “Winners like winners,” Lowe explained. “The right potential employees look for a great team to work with. They recognize losers quickly. Recruiting, evaluating, and leading drivers is a lot like evaluating, recruiting, and managing professional baseball players.”
Lowe, also well-known in the propane industry for his passion for baseball, offered the analogy that professional drivers are very much like professional baseball players and have a strong need to feel they are positioned to succeed and on the right team. Lowe should know. He also has experience in professional baseball, working for the New York Yankees in the minor league and scouting departments. In addition to serving as the assistant general manager of the Yankees’ Class A team in Fort Lauderdale, Lowe has also owned and operated a baseball-softball training center in Lansing, Mich. His work with delivery drivers includes employment at his family’s businesses, Lowe Bros. & Dad and LB&D Truck Lines (Moorman Livestock Feed).
He has also worked for Stanford LP Gas in Michigan and consulted with many more companies in Ohio, Pennsylvania, Wisconsin, and Texas, to name a few. Lowe has employed many of the same development philosophies whether evaluating and training baseball players or delivery drivers. Just as he has worked with professional, college, and youth baseball and softball players, he has sat in the cab with many drivers of all ages, trained them on everything, written employee reviews, and developed metrics to evaluate each driver.
“Whether drivers or ballplayers, there is a difference between treating people equally versus treating them fairly,” Lowe pointed out. “Treating people equally means they receive the same reward regardless of their performance. Treating them fairly means their reward will be determined by the metrics and goals they achieve.” This strategy has worked well for Lowe throughout his career. “If people are motivated to reach some agreed-to goals and know the reward, they will work hard to achieve the goals.”
With propane delivery, he emphasizes that efficiency is critical to the equation. “We shouldn’t be rewarding miles driven or number of deliveries since anyone can drive a lot of miles or make numerous deliveries. Companies usually are much more successful and make more money when drivers drive fewer miles and deliver more gallons per stop. It is almost always more cost-effective and less work to make deliveries of 300 gallons per stop versus 200 gallons per stop. There should be a larger reward for the driver and the company for delivering the gallons more cost-effectively.” Ultimately compensation must tie to improving gross margin.
Lowe added he also feels that treating drivers fairly means paying fairly. “Sometimes we see companies where owners have boats, fancy cars, take a lot of trips, interact very little with employees, try to pay employees the bare minimum, and then are challenged with recruiting and retaining quality drivers. Winning drivers can quickly detect a poor work situation very easily. Companies that fail to pay competitive wages, lack an incentive compensation, and cannot keep a driver on the payroll through the summer will risk losing those drivers before the next winter to a better opportunity.” Lowe said he feels such operations require a company culture and mindset overhaul if they want to recruit and retain drivers.
Another factor companies should consider when trying to attract drivers is to appeal to various age groups and provide for their needs. “Millennials have different wants and needs than baby boomers,” Lowe noted. “Every individual is different, but there are certainly trends in terms of what age groups value in employment situations.” Regardless, communication, building a relationship with drivers, and a strong understanding of expectations and rewards are critical components of retaining quality drivers for the long-term.
David Lowe has long-term experience with managing and retaining quality drivers over the years. He shared his expertise during his breakout session at NPGA’s 2018 Southeastern Convention in Atlanta. His presentation was titled “Strategies and Impact: Driver Recruitment, Training, and Retention.” —Pat Thornton