ELECTRONIC LOGGING DEVICES: A BOON OR BANE TO TRUCKING?

June 27 2016

Come December 2017, the days of drivers and carriers using paper logging or logging software will be outlawed. As dramatic as this sounds, it is no breaking news to the transportation industry. All carriers will install Electronic Logging Devices (ELD) into their vehicles, by government mandate. Transportation brokers aren’t sure whether to welcome ELDs with open arms or dread their inevitable presence.

Many 3PL brokers fear the unknown complications the ELD installation may bring, such as–potential capacity issues and impacted freight availability and rates. By contrast, other brokers support ELDs, seeing them as a way to ensure drivers are held accountable and a system to help weed out unsafe drivers.

At Kingsgate, we recognize the difficulties ELD implementation will bring for 3PL brokers, but have prepared ourselves for the new laws and regulations. Our biggest concern is the potential impact on capacity, which may happen if smaller carriers decide to leave the market due to the cost of implementing ELDs on all vehicles. We’re always wary of any reduction in capacity, especially with the smaller carriers who serve niche lanes cost-effectively for our customers.

We will continue to push regulatory compliance to all our carriers and ensure we are not asserting any contradictory influence. As we have in the past, we will observe how both our carriers and the transportation industry reacts to these changes and make any needed adjustments in our contract or strategy to protect and promote the interests of our company and our clients.

Regardless of any changes the industry may go through we will always adjust to ensure the safety of our carriers and the satisfaction of our clients.

All the Best,

Jeff Beckham

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