Do you know about the cost-saving potential of electronic logging devices for trucking companies? ELDs eliminate the need for drivers to submit a paper log to their dispatchers for review. This means that inspections don’t take as long as they would with paper logs and allows companies to save on paperwork costs.
Cost-Saving Potential of Electronic Logging Devices for Trucking Companies
Fuel Efficiency
Keeping costs low and efficiency high is a primary goal for trucking organizations. Many smaller carriers struggle to stay afloat in an industry awash with fuel shortages, driver shortages, and regulatory compliance. According to the Council of Supply Chain Management Professionals, these challenges can make or break a freight company. Fleet management software is computer software that helps to complete the tasks.
ELD devices are a critical tool to help reduce expenses for freight companies by enabling them to monitor and manage driving behavior such as speed patterns, sudden maneuvers, hard braking, and excessive idling. These types of behaviors can greatly impact fleet fuel efficiency. Additionally, electronic logging devices are designed to automatically record hours of service (HOS) and eliminate the need for drivers to keep track of their HOS on paper logs manually. These features help drivers stay within their HOS rules, avoid violations, and save money on fines and repair fees. ELDs can also provide a wealth of other data to increase fleet efficiency and cost savings, such as fuel optimization by monitoring engine idling, route planning, digital maintenance scheduling, and more.
Safety
When paired with a truck-mounted GPS, ELDs provide a full view of a vehicle’s location and movements. Fleet managers can use this information to track fuel efficiency, vehicle maintenance, and driver safety. ELDs allow truck drivers to instantly send digital records of their driving time to their carrier from their in-cab device. This reduces the need for paper logs that must be manually faxed. Trucking companies could save significant money by eliminating this unnecessary paperwork. Additionally, the data logged by an ELD can help trucking companies automate International Fuel Tax Agreement (IFTA) reports. This can save considerable time and effort during the quarterly filing process, which typically involves heavy paperwork.
Time
ELDs save drivers, dispatchers, and fleet managers time by eliminating the need to record hours-of-service data and reduce errors and violations manually. In addition, using an FMCSA-approved device can help trucking companies automate their IFTA fuel tax reporting and reduce paperwork and overall operational costs. Some ELD vendors require proprietary in-cab hardware, which can increase cost. Some vendors charge extra for add-on software features like alerts, preventative maintenance schedules, and eDVIRs.
Compliance
Many businesses that operate a fleet of trucks and other vehicles must have ELD devices in their fleets. These devices help drivers meet compliance requirements and stay safe on the road.
ELDs eliminate the need to keep paper logs and simplify HOS management. They provide accurate, tamper-proof data to reduce errors and violations. They also allow drivers to manage their time and fuel efficiency more effectively while reducing driver fatigue. Dispatchers can access real-time driver locations and ETAs, cutting down on phone calls to dispatchers and allowing them to offer customers more accurate delivery estimates. This provides a competitive advantage and can distinguish between winning and losing a customer contract.
The best way to maximize the benefits of ELDs is by using a vendor that allows drivers to bring their own devices (BYOD). This option is usually less expensive than purchasing proprietary accessories from your ELD provider and can help you reduce overall costs.
