Consider the potential impact of neglecting to install GPS fleet management, should one of your drivers cause an accident. It’s your employee and your vehicle, which means your company could be liable for damages. While most businesses have insurance riders that cover this eventuality, there are numerous hidden costs associated with accidents that go far beyond the insurance claim.
In fact, the true cost of an accident can be as much as 10 times greater than the direct cost of the accident due to out-of-work drivers, damaged vehicles, worker’s compensation claims and more. And let’s not overlook insurance premiums that often increase as a result of an accident.
In highly regulated industries, a company’s safety rating can dictate their insurance rates, as well as their ability to sell their services. By reducing the number of accidents and claims, a company can also realize better safety ratings, which often translate to reduced premiums, more satisfied customers and a greater competitive edge.
Consider the example of a Pennsylvania-based high-volume supply transportation and waste disposal company for the oil drilling industry. Safety records are a primary buying criterion for oil drilling companies and whether or not a company has a good rating with the DOT can mean the difference between winning and losing a bid. When the company won a bid from a major oil company they knew it was based largely on their industry-leading safety rating, an achievement they earned with the help of their GPS fleet monitoring solution.
Improve and Prove Compliance with Ease
Trucking businesses are no stranger to federal and state regulations, and are accustomed to jumping through the proverbial hoop to provide accurate reporting of their compliance. The Federal Motor Carrier Safety Administration has recently strengthened driver safety regulations when updating the Compliance, Safety and Accountability Program.
Established and regulated by the Federal Motor Carrier Safety Administration (FMCSA), the program consists of enforcement and compliance procedures that allow FMCSA and state partners to systematically review the safety practices of business fleets, and issue penalties including Hours of Service (HOS) and Operations Out-of-Service Orders (OOS), which requires continually non-compliant carriers to cease all motor vehicle operations due to poor safety. GPS fleet management software can help your operation eliminate driver violations, and easily manage and accurately report HOS and OOS compliance requirements, including:
- 14-Hours Rule Violation & 10-Hour Rule Violation – Many fleet management solutions automatically and remotely track when a vehicle is started, how far it travels and how long it travels. This data allows you to easily rectify violations and helps you comply with reporting requirements.
- Driver Failing to Retain Previous 7 Days Logs – Good GPS tracking solutions provide archival systems that allow you to automatically retain log information for as many six months.
- Eliminate form and matter violations – Reliable GPS data can be reported easily through an automated service or other electronic means.
Tracking and reporting Hours of Service, particularly regulation 395.15, is a challenge for most businesses. By leveraging GPS fleet management tools specifically designed to track and report on HOS, trucking businesses can gain immediate visibility into daily status across the team while putting real-time HOS status tools in drivers’ hands.
