All You Need to Know Guide to ELD for Proper Fleet Management

Technology revolutionizes the world in ways previously unimagined. It radically alters established norms and pushes us to adapt to a new way of life - whether you like it or not.

Arthur C. Clarke, the British sci-fi writer, had this to say -

Any sufficiently advanced technology is equivalent to magic.

With exciting new technology come brand new challenges such as:

• How do we channel technology to serve the collective needs of humanity?

• How do we prevent technology from being misused?

• How do I learn to use this technology?

• How to maximize the benefits of such a technology?

These and many other questions abound.

Technology has altered the functioning of most, if not all, industries. But one place where technology has left an indelible imprint is that of fleet management.

Now for the uninitiated:

Fleet management is a series of diverse tasks for companies that rely on transportation. It involves reducing turnaround times, saving costs, and simply moving things as required.

Fleet management has been impacted by various technologies, but here we shall speak of just one, and that is ELD.

What is ELD, you ask? Here goes -

ELD, also known as Electronic Logging Device, is a type of electronic hardware that is attached to a commercial motor vehicle engine to record driving hours.

Pretty simple, isn't it? Yet the kind of utility this technology has is immense. ELD is a fairly new form of technology that has the potential to help you grow your fleet management business to new heights.

Now, this can only be done if you know how to best make use of this technology.

Read on to find out all you need to know about ELD for optimal fleet management.

1. ELD can help you reduce fuel usage

Fuel makes up a considerable share of your operational costs. This means that optimizing fuel use could be among the best things you should do to reduce costs.

There are plenty of ways in which ELD can help you reduce fuel usage, but the one where ELD has the most impact is on idle time tracking. ELDs are able to track how long a driver spends idling and accordingly calculate the total amount of fuel used up.

So now that ELD has provided you with this data, what can you do?

• Build incentives around minimizing idle time

• Involve the drivers in coming up with a solution

• Learn the actual reason behind idling and stay sensitive to every driver's situation

2. You can prevent vehicle breakdowns.

Vehicle breakdowns can be terrible for a variety of reasons:

• It can lead to delay in deliveries thus upsetting your valued clients

• Breakdowns can cause grave danger to the life of the driver and that of others

• It is an additional cost to you

So how can ELDs help?

Most ELDs can monitor your fleet and communicate fault codes to you. You can even set up real-time alerts on your fleet tracking app so that you are prepared well in advance.

• You can arm your maintenance staff with this data so they can take the required actions

• You can make accruals for future maintenance costs with this data

• You may take preventive measures to ensure the situation does not get out of hand

3. Utilize your assets better

Ultimately every business boils down to lowering costs and increasing profit. This can be achieved if one keeps the minimal required assets but learns to utilize it so as to achieve maximum profits.

Granted, utilizing assets in the most optimal manner possible in a business as complex as fleet management can be quite daunting. This is where ELD comes into the picture. ELDs help by providing utilization rates for your vehicles.

You can even build groups that will allow you to utilize data across multiple characteristics, such as:

• Terminals

• Vehicle type

• Trailer type

This data can help you take back control of asset management that may have been lost owing to incorrect or insufficient data. You can analyze ELD data and put underutilized assets to better use and plan deliveries more efficiently.

4. Present data in a standardized format

Fleet management is subject to a lot of external factors such as:

• The political scenario

• Economic situation

• Laws of the land

• Socio-cultural realities

In such a dynamic environment, it is crucial that you are able to defend yourself, especially in front of law enforcement agencies. This is where the standardized data provided by ELDs come in handy. They not only store data that is important to defend your case but also present them in a neat format that can easily be understood by an outsider.

5. Ensure greater collaboration

The organization is only as strong as its team. This means that collaborating on key decisions is key to business success.

How ELDs can help:

• You can share the data electronically, so everyone is on the same page

• Brainstorming on ideas becomes a lot simpler

• You can present the data via a presentation and note down key ideas

The main advantage of ELDs is the fact that the data it gathers is easy to share as well as easy to read. This allows operations to work smoothly while ensuring there is no gap in information flow. Extremely helpful in giving you an edge over your competitors.

In conclusion

Every new piece of technology comes with its own benefits and its own drawbacks. It is up to you and what you make out of it. ELD is a revolutionary new piece of technology that has a lot of potential. It has shown very promising results across the fleet management industry and has helped improve output, streamline operations, and also hold drivers accountable while also improving their safety.

However, you need to make the best use out of it. Any new addition, especially technology-based improvements, need a system to go with them, the organization's culture should reflect these improvements and should help make life easier for every stakeholder.

You need to plan to achieve your business goals. Then persevere to ensure that you stick to the plan. This is not an easy task - but this is what separates the good from the great.