Dial Analysis

Call me back in half an hour. That was the code for, "we don’t have a load for you yet, but don’t stray too far from the phone in case something comes up."

That was back in the days before cell phones were as common as dirt, and satellite tracking was something only NASA did. If I had a dollar for every half-hour that turned into a morning, then an afternoon, and often into a tomorrow, I’d be driving a nicer car than I do now.

Paradoxically, satellite and cell-based data transmission are today doing to cell phones what mobile technology did to pay phones a decade ago. Callbacks are relics of the past, replaced by the ubiquitous, strangely-spelled macros and codes that fleets use to minimize transmission costs. It’s all about efficiency and accuracy, and achieving higher productivity at lower cost — and the technology is no longer the exclusive domain of the mega fleets. Companies running as few as five trucks can profit from a mobile communications technology investment.

Guelph-Ont.-based Wayfreight Services began using satellite tracking before its customers starting asking for it. Owner and president Rick Way says he wanted to simplify the flow of information from the customer, through dispatch, and out to the truck.

"Have you ever tried engaging a dispatcher in a discussion on a busy day? With incoming and outgoing calls, and all the other things to monitor, there’s a lot going on even in a small office like ours," he says. "Our satellite system created order in the office, and improved accuracy. We can pin down problems more quickly, and that provides some level of assurance to the customers that we’re on top of things." 

Texting on the go is a no-go these days. Driver alerts
can now be delivered via text-to speech applications.

Optics aside, inaccurate information can create some real and tangible problems; like redundant miles. It costs a buck fifty to move a truck a mile down the road, points out Mike Ham of Shaw Tracking, so you don’t want to waste money driving around in circles.

"If I overshoot my destination by 10 miles getting off the highway at the wrong exit, or take a wrong turn and have to go six blocks to get back to the customer, that’s money out of my pocket," he says.

"Today, you can’t afford to throw 10 or 20 bucks away because of routing errors or an incorrect address. And don’t forget the cost of lost driving time in hours of service. Waste 30 minutes repositioning the truck, and you’ve lost 30 minutes of revenue producing time — and so has your driver."

Of, course if you’re not running into uncharted territory, or if the need for accurate communication with a paper trail is not paramount, cell phones still have their place. Prairie International is a small drayage fleet serving the Winnipeg area. Manager Dan Simcock says cell phones work just fine.

"There is still a personal aspect to the communications," he says. "Our drivers are happy with cell phones, and they know their way around the city. I don’t think we’d see the full value of some of those all-inclusive systems."

PeopleNet’s Jamie Williams says plans are generally less expensive than many cell-phone plans, plus there’s additional functionality you can’t get with a cell phone.

"For less than the cost of a typical cell phone bill, you can get text communication plus GPS or satellite tracking, web-based interfaces matched to GPS or satellite tracking, which can be combined with dispatch software, engine diagnostics, vehicle performance monitoring, and more" he says. "Even the barriers previously imposed by capital costs are gone. Most small fleets can just roll it all into a monthly lease."

So, how much more does all the functionality cost? It’s not about cost; it’s about savings, says Shaw’s Ham.

"I’m not going to convince you to buy something that’s going to add expense to your bottom line if I can’t drive out some cost," he says. "Improving communications is all about eliminating costs and increasing revenue — or preferably both."

It was better data that tipped the scales for Rick Way.

"The drivers need accurate information, and the customers seem to value knowing what’s going on with their freight," says Way. "We’re not time-sensitive, but we’ve found real value in the 30-minute updates, and we’ve found it extremely useful in tracking and documenting delay time. There’s recovery there, for sure."

And with the U.S. Customs ACE environment up and running now, Way says data transfer is seamless, often resulting in an instantaneous release. Instant or otherwise, the driver gets the message directly, so he or she knows the status of the entry as soon as dispatch does. And nobody ever picks up a phone.

If you haven’t looked at a mobile communications system in a while, you may be surprised at how the business model has evolved. Both providers are now placing much greater emphasis on ROI rather than selling features.

"We’ve put together packages that eliminate the a la carte pricing," Williams says. "We look at the application and give the customer what they need. Longhaul, local, or LTL, we have something to suit, and it’s all one price."

Improving the efficiency and accuracy of communication is the name of the game, says Ham. "It’s like the difference between on-board document scanning and waiting in line at a truckstop to send a fax. There’s just no comparison."

Everything that adds complexity to the truck drivers’ work — border crossings, paper work, HOS, hands-free regulations — can potentially drive up costs. Mobile communications technology will increase efficiency, and with added functionality, the ROI is getting better all the time.

"We provide data, and data is knowledge. Knowledge allows you to make good business decisions," Ham points out. "In this business, the one who makes the fewest number of mistakes wins."