The problem with both approaches for Hardee is that they have no form of activity-
based costing or any other methodology that will allow them to really get a handle on
where their costs are hidden. Jim knows what Hardee pays its drivers, knows the costs
of equipment and fuel, and knows the overall costs of dispatch and dock operations.
Hardee’s average length of haul is 950 miles and its loaded mile metric is 67 percent.