There are three principal reasons for this:
First, the public sector operates in a monopolistic environment, while the private sector functions in a competitive environment. In other words, a company like Stock has competition; a school board has no one to compete with but itself. Private company managers are constantly faced with the challenge of providing quality service at a competitive price. We must compete for your business not only within our own industry, but also with you.
Second, Stock Transportation’s general managers—the people responsible for operating the day-to-day transportation program —are backed by a corporate staff of individuals with expertise in each area of the operations, i.e., safety, training, maintenance, operations and cost control. When a Stock manager is confronted with a new or unique issue, they are not in it alone or in the position of having to “reinvent the wheel” to find a solution. Stock’s years of experience provide a wealth of information. This allows our corporate staff to provide the local manager with solutions and support that will be safe and cost effective.
Third, capital costs (buses and equipment) are spread over the entire useful life of the equipment. The school board pays only a proportional share of these costs on an annual basis, rather than the total cost for replacement. This leveling of equipment costs, plus accelerated tax deductions available to the private sector, creates lower costs for the customer.
In summary, there are multiple ways our managers work every day to ensure the safest, most cost-effective operating transportation program. It’s all of the big and little efficiencies combined that result in a highly efficient, low-cost operation that can improve safety, quality, and service to your school board.