For logistics companies, complying with the electronic logging device (ELD) mandate is an obligation that leads to invaluable opportunities. By connecting the cab to the back office and to customers, fleets can enhance their performance and gain a substantial competitive advantage.
The ELD mandate has changed the face of in-cab technology and led many fleet operators to equip vehicles with powerful, versatile mobile devices. These ruggedized smartphones and tablets are connecting drivers, managers, customers and on-board systems with end-to-end applications that improve communications, reduce data entry and add efficiency to all kinds of business processes.
Mobile devices make it easy to meet the Federal Motor Carrier Safety Administration (FMCSA) regulations to record hours of service (HOS) duty status electronically. The mandate went into effect December 18, 2017, but the FMCSA delayed out-of-service orders for non-compliance until April 2018. There are exemptions to the rules that give fleets with older automatic onboard recording devices (AOBRDs) an extra two years to update to ELDs.
The FMCSA is quick to point out that the hours of service regulations have not changed; only the method of recording, storing and retrieving the information has been updated for the digital age.
The FMCSA has estimated some 500,000 U.S. trucking firms will have to comply with the mandate,1 affecting more than 3 million truck drivers in the U.S.2 It appears most fleets have achieved compliance, because the Administration reported in May 2018 that less than one percent of driver inspections resulted in a citation for operating without an ELD or a grandfathered AOBRD.3 However, a recent industry survey shows that one-third of U.S. truck drivers are still using paper logs to track hours of service, despite the ELD mandate.
Organizations and drivers who have switched over to electronic logging have realized some real gains, though. Overall, 72 percent of ELD users said they are already recognizing some benefits of the systems, including 26 percent who reported fewer accidents and 43 percent who reported some savings on fuel.4
If your fleet has already outfitted all vehicles with ELDs, congratulations. Now you have the capability to look beyond the mandate and add more functionality for your drivers and dispatchers. In addition to recording duty status, most ELD options include navigation and mapping, Driver Vehicle Inspection Reports (DVIR), International Fuel Tax Agreement (IFTA) administration and driver and vehicle performance monitoring. Add-on capabilities include electronic proof of delivery and other applications where data capture from typing or a stylus is desired. Fleets can leverage these capabilities to operate more efficiently while improving customer service.
Trucks that have an automatic onboard recording device (AOBRD) are grandfathered in until December 16, 2019. AOBRDs are designed to record engine use, miles driven, dates and times, but they typically are not software-driven, multifunctional mobile devices.5
The FMCSA grandfather clause is intended to give AOBRD users extra time to make the device compliant with the ELD mandate or to replace it altogether. Depending on the age and technology of an AOBRD, it may be upgraded to meet the ELD standards, but fleet managers should be aware that limited device capabilities may hinder them competitively. If the AOBRD cannot be upgraded, switching to ELD will make it easier to address future regulations or required upgrades, since companies will be using more flexible devices.
In recognition of the financial investment required, the FMCSA regulations permit smartphones and tablets that are certified by their manufacturer as meeting the requirements to be used as ELDs.
These include basic options for operators that desire to do the bare minimum for compliance. By using certified, widely available mobile devices, fleets can offer drivers an easy-to-use platform that supports a wide range of functionality and will support ongoing technological developments.
Leveraging the power of mobile devices gives fleet managers the tools to tackle complex operations with variables in many areas, such as management, point of delivery and maintenance and repair. The competitive advantage goes to fleets that leverage the powerful endpoint technology to drive improvements across all processes. Operators that settle for minimal compliance, meanwhile, will miss out on the long-term benefits of preparing their fleet for the future.
Status: Congratulations! You are compliant. Taking advantage of your ELD solutions’ add-on capabilities can further increase your fleet’s productivity and revenues
Next Steps: Evaluate the service you are receiving from your ELD solution provider.Most ELD solutions include additional functionality that supports smarter navigation and mapping, digital proof of delivery, driver visual inspection records and IFTA reporting. Scaling to leverage these features will allow your fleet to do more and make deliveries as accurate as possible.
Status: You have until December 16, 2019 to either upgrade or replace your devices to achieve ELD compliance. Finalize your implementation sooner rather than later to ensure a smooth transition for your fleet.
Next Steps: Consider implementing a mobile ELD system that provides the benefits of enhanced communication, record keeping and efficiency. Switching to a fully digital system now will make it easy to address future regulations or required upgrades.
Status: As of April 2018, you are at risk of drivers and vehicles being ordered out of service for non-compliance. On top of the resulting impact on revenues, fines for ELD violations could range from $1,000 to over $10,000 and negatively impact your CSA scores.
Next Steps: Do not keep your fleet at risk. Now is the time to look into affordable mobile solutions that ensure compliance, are easy to install and can provide additional productivity benefits.