Fleet Management News & Business Info | Commercial Carrier Journal
Issue link: http://read.dmtmag.com/i/725427
48 COMMERCIAL CARRIER JOURNAL | SEPTEMBER 2016 Southern Refrigerated and Star — is because team and solo driver opera- tions do not work well in a single fl eet, Hogan says. The freight network, pay and mileage for team drivers at Covenant are different than for solo drivers at the other companies. "Most people want to run by them- selves," he says. "There is a differential in pay when someone is willing to team up and run with someone else." Covenant's team drivers are paid more than 50 cents per mile and aver- age 5,000 miles per week. They pull up to two loads per day, mostly drop-and- hook, Hogan says. Solo driver jobs at Southern Refrigerat- ed and Star give team drivers at Covenant an option to trade higher pay for more home time to run dedicated lanes, he says. CTG executives say the technology that has been developed for drivers and teams is reducing delays, increasing safety and optimizing routes and schedules to maximize driver income. As the electronic logging device man- date takes effect, CTG will be a preferred workplace for team drivers, says Doug Schrier, vice president of continuous improvement. Its freight network and optimization solutions will provide driv- ers with the miles and income they were getting before running ELDs elsewhere, he says. Advancing technology CTG executives say the company has been able to improve its business using ad- vanced analytics and technology to solve problems relating to routing and driver management. Recent projects include: Weather routing system: In 2003, after signifi cant increases in insurance de- ductibles and a rash of winter accidents, CTG launched an application that gets information to drivers — especially those with less experience — at the right time to avoid dangerous road conditions. The application displays location- specifi c weather status updates from drivers on a digital map. Red markers indicate where drivers are shut down due to weather; green indicates where drivers report safe road conditions. Risk management monitors the map to make decisions for what trucks to shut down or reroute. Since the application was launched, accidents have decreased 50 percent, and accident costs are down 88 percent, says Rick Reinoehl, senior vice president of safety and risk management. Last year, developers created a unifi ed web-based system that gathers informa- tion from multiple sources, including the National Weather Service. Algorithms then predict road conditions up to seven days in advance for every driver's route. Strategic routing: In 2014, CTG launched an initiative to provide drivers with optimized trip plans and turn-by- turn navigation. The strategic routing so- lution presents options to drivers through their in-cab workfl ow for where to purchase fuel and take breaks. Proprietary algorithms consider cost, safety, parking availability and other variables. All customer locations — more than 35,000 total — are geofenced in the system. When a driver approaches a location, the navigation app provides him with specifi c instructions for entry points and procedures. Driver relationship manager: CTG developed this application to gather criti- cal safety events from multiple systems and display key metrics in a single ap- plication for a holistic view of driver risk. Workfl ow tools give driver managers the information they need to have positive coaching conversations with drivers. The software monitors speeding com- pared to posted speed limits, hard brak- ing, hours-of-service status and more. For more severe infractions, the workfl ow has an escalation process for safety managers. The application also gives a real-time view of driver status to improve com- munication and relationships. Fleet managers can be notifi ed when a driver calls payroll to report an issue or contacts maintenance about a problem. Predictive modeling: Using advanced analytics and software, CTG is able to identify data patterns to predict drivers more likely to have an accident or quit. Its turnover model routinely identifi es the 20 percent of drivers who account for 40 percent of turnover, says Chris Orban, vice president of advanced analytics. Fleet managers are able to use the information to consult with at-risk driv- ers. The company also uses predictive analytics in other areas such as preventive maintenance and equipment trade cycles. Since developing its strategic plan and making continuous improvements with technology and processes, Covenant's rev- enues have increased from $653 million in 2011 to $724 million in 2015, while its operating ratio has decreased from 0.98 to 0.90. "It's been a neat journey," Hogan says. "The next fi ve years are going to be among the most exciting and rewarding times for the organization." CC J I N N O VATO R S pro les carriers and eets that have found innovative ways to overcome trucking's challenges. If you know a carrier that has displayed innovation, contact Je Crissey at jcrissey@ccjmagazine.com or 800-633-5953. Covenant Transportation Group has 1,000 team driver trucks in its eet of 2,600.