Posted by PLS Logistics on November 9, 2017 at 7:48 AM

The Electronic Logging Device (ELD) Mandate is happening whether your company likes it or not. There are critics, and there are supporters – no matter the side you’re on, your company needs to prepare for the inevitable. To help, we’ve laid out 4 tips for you to prepare for the ELD Mandate.  

ELDs are a hot topic in the transportation industry. What’s the impact on capacity? Do I need to be ELD compliant? Why are we switching?

While there’s no clear consensus on the impact on capacity, it’s important to remember one thing: the hours of service (HOS) each driver has in a day/week is not changing. The mandate is not changing HOS for drivers, rather ELD will change the method of recording the hours.

Previously, we’ve covered what the ELD Mandate means for you. Now it’s time to lay out a few steps you can take to prepare for the mandate.

Truck Driver Holding TabletPlan Ahead

You’ve heard this a thousand times: “Add lead time” -  that’s only because we truly mean it!

Short lead times can mean higher carrier rejection rates. In an ideal world, 48 hours lead time is needed for every shipment. Longer lead times increase carrier commitment and better chances of securing the capacity you need.

Be Proactive with Carriers

If you do business with a third-party logistics company (3PL), the 3PL should assess which of its contracted carriers utilize ELDs or have a game plan to begin utilizing.

If you do not use a 3PL – make sure you’re talking with your carrier(s) to get a better understanding of their timeline for implementation and what it means for you.

 Realistic Transit Time Expectations

Once the mandate is in place, shippers are likely to see an increase in the time it takes a shipment from the time it’s picked up to the time of delivery.

 The reasoning? The HOS restrictions will be more successfully enforced. Drivers may be stuck with a full load pending a reset to their HOS if they don’t plan accordingly.

 Expect Price Hikes

The ELD mandate is predicted to severely shrink freight capacity due to the number of carriers who can’t (or will not) comply. When capacity shrinks, prices increase.

The percentage of increase has yet to be determined, but be prepared come December 18, 2017 for a surge in prices.

 

Ultimately, the decision on how to prepare, act, and recover from the ELD mandate is up to you and your business. As we approach the implementation date (December 18, 2017), PLS Logistics will continue to monitor for updates or changes to the ELD mandate.

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Topics: Shippers, Carriers, News, ELD

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