Transcript Major

Using EOBR Technology to Positively
Impact Your Bottom Line
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Our Background – 70 Years Serving in Transportation
Launches
Hazmat
Routing
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Confidential and Proprietary. Copyright© Rand McNally 2012.
Our Business Today
A Leading Provider of Transportation Technology
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200,000+ IntelliRoute® TND™ navigation devices in use
20,000 mobile communications systems on air
94% of top 100 transportation firms use IntelliRoute®
91% of top 100 transportation shippers use MileMaker®
80+ industry integration partners
More than 1 million Motor Carriers’ Road Atlases in circulation
Over 100 customers in Moving and Storage industry
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Confidential and Proprietary. Copyright© Rand McNally 2012.
Our Products
Mileage & Routing
Enterprise Software
The Industry Standard for over 70 Years
In-Vehicle
Navigation
Trucker Tested. Trucker Approved.
Mobile
Communications &
EOBR
Results for Fleets. Trusted by Drivers.
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Confidential and Proprietary. Copyright© Rand McNally 2012.
Major New Product Announcement :
New device transforms tablets, smart phones or Rand McNally's
GPS navigation devices into a compliant EOBR systems
 Installation in 10 minutes or less
 Compact size - just 3 ½ inches by 5 inches
 Rand McNally’s HOS, Vehicle Inspection Report (VIR), Two-Way Messaging
and Driver Performance features available through an app that runs on the
display device
 Same back-end portal with the same functionality as other Rand McNally incab products
 Commercial availability in April 2013
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Confidential and Proprietary. Copyright© Rand McNally 2012.
Major Industry Trends & Issues
A Brief Review
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Confidential and Proprietary. Copyright© Rand McNally 2012.
Electronic On-Board Recorders (EOBR)
 An EOBR, is an electronic device which allows drivers to remain compliant
with Hours of Service (HOS) requirements for drive time restrictions.
 The proposed regulation §395.16, would require all commercial motor
vehicles to operate with an EOBR installed.
 The EOBR regulation is included in the Highway Bill that was recently
passed by Congress and has been signed by the President.
 The bill calls for EOBRs to be implemented within the next 3 years.
 The law states:
 The device shall accurately record driver hours of service, record the location of the
vehicle, be tamper resistant, be synchronized to the operation of the vehicle, and allow
law enforcement access to the data contained in the device. The device shall not be
used to harass the vehicle operator.
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Confidential and Proprietary. Copyright© Rand McNally 2012.
Compliance Safety Accountability (CSA)
 CSA is an automated system that quantifies motor carrier on-road
safety performance based on Behavioral Analysis and Safety
Improvement Categories (BASICs).
 Continued poor CSA performance can result in the shutdown of
trucking operation.
 This is a new regulation that started in 2010.
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Confidential and Proprietary. Copyright© Rand McNally 2012.
Fluctuating Fuel Prices
 Unexpected rises can have an immediate profit impact to an already
margin-tight business.
 Fuel prices projected to stay above $4.00/gallon
2010
Diesel Fuel $2.99
2011
$3.84
2012
$4.15
2013
$4.11
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Confidential and Proprietary. Copyright© Rand McNally 2012.
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Source: U.S. Crude Oil and Liquid Fuels, U.S. Energy Information Administration. 2012
Driver Shortage
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Stricter safety rules combined with an
insufficient number of new drivers entering
the workforce has created a driver
shortage
More than 90 percent of truck drivers leave
in their first year, either to go to a
competitor, start another career, or are
fired*
Costs of recruiting new drivers are
increasing – some fleets are spending over
$5000/driver in recruitment and
advertising costs*
Increasingly, fleets are often forced to hire
less experienced drivers
Shortage potentially 250,000 drivers by
end of 2014*
Drivers are now like “Free Agents”
*ATA, Transport Fundamentals, Cost of
Truckload Driver Turnover
Confidential and Proprietary. Copyright© Rand McNally 2012.
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Demystifying EOBR Technology
What is it? How it can help your operation?
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EOBR Technology Breakdown
 At a core level, EOBR’s utilize 5 critical pieces of technology
 These include:
 On-board Computing – The device must be able to run
software applications
 Display Device – An EOBR system must provides a user
interface for the driver so they can record duty status
information and certify their daily logs
 GPS – Detects vehicle position by listening to global positioning
satellites
 Vehicle Diagnostics- Detects engine activity and odometer via
a connection to the trucks diagnostic system (J1708/1939)
 Wireless Communications – Transmits information to a backend system to store and retain data
EOBR Technology = Mobile Communications Technology
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Confidential and Proprietary. Copyright© Rand McNally 2012.
Invest In a Platform – Not a Product
Due to EOBR regulations, the critical question facing carriers is no longer:
“Do I adopt the technology?”
It’s now
“How do I maximize the value (ROI) I derive from it?”
The key lesson to keep in mind is this:
With a compliant EOBR system, you will
effectively have a full mobile communications
platform
Make sure you get the most out it!
Confidential and Proprietary. Copyright© Rand McNally 2012.
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Automatic Vehicle Location & Geofencing
Location visibility
improves asset utilization
and minimizes deadhead
miles
Know when assets arrive
at their destination and
how long they remain on
site
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Out of Route Driving Detection
10% of miles driven
are out of route
(OOR)
Be aware of when
off route driving
occurs and take
immediate action
Confidential and Proprietary. Copyright© Rand McNally 2012.
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Electronic Hours of Service
Simultaneously improve
CSA scores while also
dispatching more
efficiently.
Eliminate costs of paper log
books (~$3/mo) and gain
back up 30 minutes per day
of productivity from the
driver
Confidential and Proprietary. Copyright© Rand McNally 2012.
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Truck Navigation
Reduce the stress of driving in
unfamiliar areas
Navigation has become a create
comfort for many drivers and has
proven to be an effective
retention tool
Avoid costly fines from
driving on roads where
commercial trucks are
not permitted
Confidential and Proprietary. Copyright© Rand McNally 2012.
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2-Way Email Communication
Improve command and
control by streamlining the
flow of communications
between driver, dispatchers
and customers
Maximize the ratio of
drivers to dispatchers by
automating basic tasks
and looking at issues on
an exception basis
Confidential and Proprietary. Copyright© Rand McNally 2012.
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Accident / Critical Event Detection & Alerting
Proactively monitor emergency
events as they happen to
ensure
Confidential and Proprietary. Copyright© Rand McNally 2012.
Identify driving behaviors such
as following too close behind
other vehicles
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Driver & Vehicle Performance Monitoring
Understand where your fuel is
being used. How much does
idling, speeding, improper
shifting cost in gallons?
Provide a fair standard for
measuring driver performance.
Let drivers see their own
performance in real time. Try
the carrot first, then use the
stick with respect to
performance incentives.
Confidential and Proprietary. Copyright© Rand McNally 2012.
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Remote Diagnostics / Vehicle Fault Code Detection
Detect mechanical issues
remotely through fault code
alerts. Schedule maintenance
proactively.
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Roadside breakdowns typically
cost more than $500 per
incident. That does not factor in
the opportunity cost of the
asset or customer issues
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Implementing EOBR/Mobile Comm Technology Strategically
 The ROI of the system is in the hands of the managers who set company
policy
 Fleets that aggressively deploy the technology typically pay back the initial
investment within 6 months
 Getting the maximum ROI is usually not an overnight process – set realistic
but escalating goals throughout the first year of deploying the system
 Simply knowing your metrics is a great place to start. Is there a problem? If
so where is at and what is driving it?
 Target the low hanging fruit first – Idling, Speeding, Hours of Service, off
route driving are easy to track and identify.
 As the organization becomes more experienced with the system, begin to
mine the mountains of data that is available
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Confidential and Proprietary. Copyright© Rand McNally 2012.
Other Benefits of EOBR Technology
 Automate manual processes like Fuel Tax
 Turn administration into analysis - less time
on the phone or manually tracking data
 Maximize the drivers time by reducing
paperwork related to VIR and HOS
 Free up dispatcher time providing
routes/directions
 Provide better customer service by having
immediate access to information such as
vehicle location and ETA.
Confidential and Proprietary. Copyright© Rand McNally 2012.
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Questions & Answers
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Confidential and Proprietary. Copyright© Rand McNally 2012.