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Technology, Firm Size, and Safety: Theory and Empirical Evidence from the US Motor‐carrier Industry

Author

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  • David E. Cantor
  • Thomas M. Corsi
  • Curtis M. Grimm
  • Prabhjot Singh

Abstract

The purpose of this paper is to examine the relationship between motor‐carrier firm size and safety outcomes. Leveraging insights from the resource‐based view of the firm, we develop hypotheses regarding this important relationship. To test our hypotheses, we constructed an original commercial motor‐carrier safety database, drawing on data from the Motor Carrier Management Information System and the Safety Measurement System. The results demonstrate that there is a significant and positive relationship between firm size and safety performance as measured through a carrier's number of crashes, unsafe driving violations, hours‐of‐service compliance, and vehicle maintenance violations. The impact of firm size on safety performance varies according to industry segment. This study has important academic and public policy implications.

Suggested Citation

  • David E. Cantor & Thomas M. Corsi & Curtis M. Grimm & Prabhjot Singh, 2016. "Technology, Firm Size, and Safety: Theory and Empirical Evidence from the US Motor‐carrier Industry," Transportation Journal, John Wiley & Sons, vol. 55(2), pages 149-167, April.
    • Handle: RePEc:wly:transj:v:55:y:2016:i:2:p:149-167
    DOI: 10.5325/transportationj.55.2.0149
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    References listed on IDEAS

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    1. Fariborz Damanpour, 1996. "Organizational Complexity and Innovation: Developing and Testing Multiple Contingency Models," Management Science, INFORMS, vol. 42(5), pages 693-716, May.
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    Cited by:

    1. Laharish Guntuka & Thomas M. Corsi & Curtis M. Grimm & David E. Cantor, 2019. "US Motor‐Carrier Exit: Prevalence and Determinants," Transportation Journal, John Wiley & Sons, vol. 58(2), pages 79-100, April.
    2. Matthew A. Douglas, 2021. "Motor‐Carrier Safety: A Review and Research Recommendations for 2020 and Beyond," Transportation Journal, John Wiley & Sons, vol. 60(2), pages 93-140, March.
    3. Jason Miller, 2020. "Why Are Larger Motor Carriers More Compliant with Safety Regulations?," Transportation Journal, John Wiley & Sons, vol. 59(1), pages 28-72, January.
    4. Simone T. Peinkofer & Matthew A. Schwieterman & Jason W. Miller, 2020. "Last‐Mile Delivery in the Motor‐Carrier Industry: A Panel Data Investigation Using Discrete Time Event History Analysis," Transportation Journal, John Wiley & Sons, vol. 59(2), pages 129-164, April.
    5. Yao‐Te Tsai & Stephen M. Swartz & Fadel M. Megahed, 2018. "Estimating the Relative Efficiency of Highway Safety Investments on Commercial Transportation," Transportation Journal, John Wiley & Sons, vol. 57(2), pages 193-218, April.
    6. Jason Miller & John P. Saldanha & Manus Rungtusanatham & A. Michael Knemeyer & Thomas J. Goldsby, 2018. "How Does Electronic Monitoring Affect Hours‐of‐Service Compliance?," Transportation Journal, John Wiley & Sons, vol. 57(4), pages 329-364, November.
    7. Jason Miller & John P. Saldanha, 2018. "An Exploratory Investigation of New Entrant Motor Carriers' Longitudinal Safety Performance," Transportation Journal, John Wiley & Sons, vol. 57(2), pages 163-192, April.
    8. Jason Miller, 2017. "Discrete Time Hazard Modeling of Large Motor Carriers' Longitudinal Safety Performance," Transportation Journal, John Wiley & Sons, vol. 56(2), pages 107-139, April.

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