Tuesday, March 20, 2018

Fleet Advantage: Carriers not using onboard data to make most of cost savings

Thursday, October 27, 2016
by The Trucker News Services

FORT LAUDERDALE, Fla. — Fleet Advantage, a company specializing in truck fleet business analytics, equipment financing and lifecycle cost management, Thursday unveiled the results of its latest industry survey which shows that many fleet professionals aren't leveraging onboard computer (OBC) data to pinpoint operational cost-savings potential.

The online survey was presented to more than 2,000 fleet industry and transportation professionals.

One hundred percent of survey respondents said that their OBC data assists with managing overall fleet operating performance to lower costs.

However, the specifics of what they’re monitoring show that they’re widely missing an opportunity to identify key areas of cost reduction, according to Brian Holland, president and CFO.

While 70 percent of industry professionals regularly monitor OBC data for driver logs and dispatching, only 6 percent utilize it to gain insight on fuel consumption (roughly 70 percent of a fleet's annual operating costs).

“In an age where computers drive every aspect of our business operations, it's surprising to learn that many fleets are under-utilizing the data that impacts their company's bottom line,” Holland said. “In today’s highly competitive environment where margins continue to be compressed, a deliberate focus on analysis of key OBC data can save fleets millions and provide fleet operators with a competitive advantage. With the considerable amount of OBC data available, and the time constraints of fleet executives to consider, it can be overwhelming to organize and analyze the data in order to make informed decisions for their fleet operations.”

The survey also revealed that 33 percent of respondents cannot quantify operational savings using OBC reporting.

Of the remaining respondents, 10 percent report annual savings of $4,000 per vehicle or greater, 10 percent reported savings of $2,000-$3,000, 44 percent reported savings of $500-$2,000 and 3 percent reported savings of $500 or less.

Other fleet findings include:

  • Hours of Service driver logs are the most OBC generated report followed by driver performance, vehicle performance, routing and dispatching.
  • 33 percent report that the electronic logging device mandate is driving their decision to equip their fleet with OBC devices and services, and 3 percent reported that their current OBC is not compliant with the ELD mandate.
  • 80 percent said they monitor OBC data daily; 20 percent said they monitor OBC data weekly.

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