Out here in the fields
I fight for my meals
I get my back into my living
I don't need to fight
To prove I'm right
I don't need to be forgiven…
They're all WASTED!
-The Who

Paperless logs are quickly moving into the sphere of the new normal. Most mid-size to large carriers have either implemented EOBRs (Electronic On Board Recorders) or are in the process of doing so. FMCSA auditors can now spread their resources farther through CSA 2010 to target carriers who violate Hours of Service regulations. These auditors are now armed with information that allows them to target for audit those drivers who routinely have log book problems at roadside inspections. They now audit logs to satellite positioning reports. Result… they're busted. FMCSA now routinely forces carriers with log problems to use EOBRs. Rules mandating broader use of EOBRs are moving though the FMCSA and will be published soon. Additionally, Congress has legislation pending which would require universal use of EOBRs.

One of the most interesting aspects of EOBRs is what is called a "driver efficiency report". These reports document what percentage of a driver's daily 11 hours of available drive time is actually spent driving (and producing revenue). Most carriers have reported that, in reality, drivers are only using 60% to 65% of their legal drive time. This means that 35% to 40% of their available drive time is wasted. As Bill Gates once said, "The first rule of any technology used in a business is that automation applied to an efficient operation will magnify the efficiency. The second is that automation applied to an inefficient operation will magnify the inefficiency." Thus, the inefficiency and waste is now being exposed, and it is appalling. No shipper would tolerate its equipment and job crew sitting idle 35% to 40% of the time.

Where exactly does all that wasted time go? Identifying and eliminating waste, or charging for it, is the only prudent course of action for a trucking business. I strongly suspect that the majority of this waste stems from practices by shippers. It is easy, especially when there is overcapacity, for a shipper to trim its costs by reducing warehouse hours, laying off loading personnel, sticking an extra pallet or two on a trailer causing it to be overweight, allowing yard dogs to beat up trailers and canceling loads after the driver is already en route. If a shipper really wants the lowest rate possible, they need to help their carriers reduce their cost structure by measuring, targeting and eliminating waste. There has been much discussion about under capacity as CSA and EOBR regulations take hold. The FMCSA is expected to shortly issue a new Hours of Service regulation that will reduce drive time. If a shipper is concerned about under capacity, they need to tap into that wasted capacity represented in those driver efficiency reports. The best way to target waste is to measure it. If you can't measure it, you can't fix it. Shippers that institute measurements within their own operations to target and eliminate waste will quickly position themselves as a shipper of choice.

As trucking becomes more regulated and time more precious, price will not be the only factor determining how capacity is allocated. Carriers should develop methods to track what's causing their wasted time and then use it as leverage during contract negotiations.

So you can get on with your search, baby, and I can
Get on with mine
And maybe someday we will find, that it wasn't really
Wasted time
-The Eagles