Decision Making and Truck Operating Costs on Haulage Business in Lagos, Nigeria

Main Article Content

Christopher Adesola Wojuade
Jubril Oladosu


Aim: To evaluates how managers take decisions on variable components of freight operation and its effects on truck operating costs in haulage business in Lagos, Nigeria.

Study Design: The structure of this paper is a descriptive design. It identified a gap in knowledge and employed a structured questionnaire to obtain useful information that gives a clearer understanding of the subject in a new environment. The data collected was analysed using descriptive statistics.

Place and Duration of Study: Haulage companies operating in Lagos, Nigeria between June and August 2019.

Methodology: The population study is 2154 staff drawn from the eight purposively selected registered haulage companies in Lagos, Nigeria. A structured questionnaire was randomly administered on 337 personnel involved in freight operations. The questionnaire survey was conducted to obtain information on company’s expenses and policy decisions on truck operating components.

Result: The decision to use new truck reduces fuel consumption and maintenance cost of haulage business. Furthermore, remunerating drivers in salary is cost effective, regular training of drivers improves their performance while high empty return trips leads to revenue loss. Business owners take decisions on huge financial investment while managers handled those that are directly related to daily fleet operations.

Conclusion: The study concluded that decisions on components of freight operation increases truck operating cost of the haulage companies in the study area. The study therefore recommends policy actions that will enhance productivity of haulage companies through effective decisions.

Truck operating cost, decision-making, freight operation, Haulage company

Article Details

How to Cite
Wojuade, C. A., & Oladosu, J. (2020). Decision Making and Truck Operating Costs on Haulage Business in Lagos, Nigeria. Asian Research Journal of Arts & Social Sciences, 11(4), 28-37.
Original Research Article


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