While the impact of ELDs implementation on trucking productivity and capacity has been felt since last fall, the mandate’s effect is proving to be of greater significance than the industry anticipated.
Equipment utilization, efficiencies of communication and ease/term of payments are contributing factors for carriers managing rising operational costs. Trucks are not being pulled off the road, but, the 500-750 mile former one-day, lanes are now mandated to two-day lanes. Drivers and carriers also need to address their parking situation as units are reaching the end of their allotted time cycle (this impact felt strongest in traffic-congested, major metropolitan areas). These changes are increasing costs and amplifying the industry’s driver shortage. The estimated 10% capacity reduction as a result of ELD’s coupled with low unemployment increasing competition for labor from other industries ensures tightness in the trucking market won’t ease anytime soon.
Palmer LS is committed to managing our cost structure and strengthening our operations post ELD mandate by working with our customers to:
- Strengthen partnerships – understanding our capacity and customers’ needs and our fit within their network ensures alignment. We remain focused on being an innovative, high quality, creative partner.
- Leverage technology – Utilizing the industry’s leading transportation management system, we bring transparency of strength, capacity potential and metric performance excellence.
- Effective communication – Procedural enhancements ensure timely and accurate communication with our customers and their supply chain regarding driver hours and dock time restraints.
- Quality recruitment – Palmer LS’s commitment to quality driver recruitment continues. Providing transportation solutions for over 100 years, Palmer understands that drivers are our most important asset; fostering a customer service-based culture to managing our fleet is key to our success.
Over time, the industry will adapt. Carriers will be more efficient as data available from the ELDs is incorporated into operations for better utilization of drivers and equipment. Palmer strives to be a leader throughout the industry’s many changes.