Executive Summary
Strategic Findings & Recommendations
Platters that Matter · FY 2025 Supply Chain Analysis · Prepared for Senior Leadership
Annual Revenue
$14.2M
Net Margin
32.4%
Driver Turnover
36.3%
Turnover Cost
$654K
Potential Savings
$65K
Key Findings
Strong Revenue Growth with Healthy Margins
The company generated $14.2M in FY 2025 with a net margin of 32.4% after labor and fuel costs. Washington leads all regions with a 35.7% margin, while labor efficiency averages 1.86x across the fleet.
Critical Attrition in the First 90 Days
Cohort analysis reveals that average retention drops to 73% by Month 3. This means nearly 27% of new hires leave before becoming fully productive, representing a significant loss on the $6,000 recruitment investment per driver.
Regional Performance Disparity
There is a 3.8 percentage point gap in net margin between the top-performing region (Washington at 35.7%) and the lowest (Colorado at 31.9%). Washington, California, Oregon, Colorado show turnover rates above 40%.
Retention Improvement = Direct Profit Increase
A 10% improvement in driver retention would save approximately $65K in annual hiring costs alone, plus additional revenue from extended driver tenure. This is the single highest-ROI initiative available.
Recommended Action Plan
0-30 Days
Implement Structured 90-Day Onboarding Program
Design a mentorship-based onboarding program targeting the Month 1-3 attrition window. Pair new drivers with experienced mentors in their region. Track weekly check-ins and satisfaction scores.
30-90 Days
Deploy Regional Best Practice Transfer
Analyze what Washington (35.7% margin, 41.2% turnover) does differently and replicate those practices in underperforming regions like Colorado.
90-180 Days
Build Predictive Turnover Dashboard
Using the cohort analysis framework demonstrated here, build a live Power BI dashboard connected to Paycom and your logistics system. Add predictive flags for drivers at risk of leaving based on tenure, region, and performance patterns.
6-12 Months
Optimize Fleet Economics by Vehicle Type
Conduct a deeper analysis of profitability by vehicle type and route density. Consider reallocating fleet resources from lower-margin vehicle categories to higher-performing ones, and negotiate fuel contracts based on regional volume data.
Methodology & Data Sources
This analysis was constructed using a cohort-based retention framework applied to supply chain workforce data. All metrics are derived from FY 2025 operational records across 10 U.S. regions. The methodology follows industry-standard approaches used in SaaS customer retention analysis, adapted for workforce analytics.
Paycom HRIS
Employee roster data including hire dates, termination dates, hourly rates, and regional assignments. Used to construct hiring cohorts and calculate tenure.
DCI / Logistics TMS
Monthly route performance data including deliveries completed, miles driven, route revenue, and fuel costs. Used to calculate per-driver profitability.
Industry Benchmarks
Cost-per-hire estimate of $6,000 based on SHRM and ATA industry reports for commercial driver recruitment in food & beverage distribution.
Assumptions: Turnover cost includes recruitment, onboarding, and lost productivity during the ramp-up period. Net margin is calculated as (Route Revenue − Labor Cost − Fuel Cost) / Route Revenue. Retention percentages are based on headcount at end of each month relative to cohort start size. All financial figures are annualized based on monthly run rates.
Bottom Line
Driver retention is the single highest-leverage financial opportunity.
By reducing turnover by just 10%, Platters that Matter can save $65K in direct hiring costs while capturing additional revenue from longer driver tenure. The data shows that the first 90 days are the critical intervention window.
Prepared By
Raj Ravi
Business Analyst · Supply Chain & Financial Analytics
© 2025 Raj Ravi · All data is simulated for demonstration purposes