Shippers want access to a network of reliable, safe carriers, and yet obtaining the data, tools, and resources necessary to assess carrier safety has been a traditional problem for brokers, asset-based carriers who broker loads, and freight networks. This problem is only becoming more urgent, as rising insurance premiums and compensatory payments from accidents increase shippers’ financial exposure. 

The most widely used carrier safety information comes from the Federal Motor Carrier Safety Administration’s (FMCSA) Carrier Safety and Accountability (CSA) program, which was never designed for private sector use in the carrier selection process, and is not predictive; rather, it was solely intended for reactive intervention by enforcement authorities. The CSA generates overall ratings of Unsatisfactory, Conditional, or Satisfactory; however, 95% of carriers nationally are unrated. Having this many carriers without ratings severely limits visibility into the vast majority of safety records. In addition, the underlying methodology of how these ratings are assigned produces misleading results. For example, to obtain a Satisfactory rating, carriers must go through a full review. The challenge is that only carriers with a considerable number of safety violations qualify for a full review. This means that some carriers with Satisfactory ratings are actually lower-performing and riskier than carriers who are unable to get a full review and thus are not rated. Shippers using CSA ratings to identify safe carriers are relying on a blunt tool at best, and in many cases, are being steered in the opposite direction of safety.

By contrast, we’re solving this problem by using big data, machine learning, and automation, which are hallmarks of a digital freight network. We start by gathering extensive carrier safety and compliance data, and then apply machine learning to predict which carriers are likely to get into accidents. Our algorithm processes thousands of inputs—such as carrier crash history, vehicle maintenance, and speeding and traffic violations—across millions of records spanning the past 10 years, ultimately producing individual scores for the tens of thousands of carriers in our network. We then use automation to analyze compliance with those scores within seconds, every day, with every load to either qualify or disqualify carriers to haul loads. Our model gets smarter over time, driving continuous improvements as more data is generated, providing shippers with increasingly high levels of safe and reliable carriers.

Since our founding in 2015, Convoy has developed machine learning models to automate otherwise manual processes. Last November, we announced raising $400 million to accelerate the development of first-to-market products and technologies focused on improving efficiency in trucking. Today’s announcement is the latest example of progress in this effort, and how a digital freight network can use technology like machine learning and automation to not only efficiently match shippers to carriers, but also to make sure we’re moving full truckload freight in the safest way.

To learn more about our rigorous safety standards, visit Convoy’s quality and compliance page. 

If you’re a shipper who is interested in starting to work with Convoy, please contact us, and we’ll be in touch soon.

The post Paving the Way to Safer Roads with a Digital Freight Network appeared first on Convoy.

Shippers can expect a new tech-enabled compliance and safety standard when entrusting their loads to Convoy, as evidenced by the following data points:

First, Convoy’s analysis shows our network of carriers is 15% safer than the industry as a whole and is safer than the majority of the nation’s leading asset carriers. This new standard in safety helps shippers improve service quality and mitigate legal, financial and service related risk, all while giving them the flexible capacity and access to equipment they need to most efficiently manage the movement of goods in their supply chain.

Next, Convoy is involved in far fewer cargo claims than the industry average.  In domestic full truckload movements, on average a load is subject to a cargo claim about 1 in every 100 loads. With Convoy, the ratio is less than 1 in every 2,200 loads.  In short, Convoy’s claims incident ratio is less than 1/20th of the industry average. 

As always, Convoy’s carriers must meet all of our rigorous compliance standards for safety, operating authority, insurance, and documentation, prior to being assigned to a load.

Why It Matters – Shipper Benefits

Access to a safer network of trucks. Convoy outperforms the industry and the majority of the top 25 national asset carriers in average network safety, as measured by estimated crash rates based on FMCSA predictive methodology. This is also true in backward looking analysis of actual crashes as compared to the top national asset carriers.

Assurance. To provide peace of mind to shippers, Convoy systematically vets carriers against our rigorous compliance standards, in real time prior to every load assignment. 

Improved automation – lower error rate. By relying on systems to automate the process human error is removed from the equation. A motor carrier’s ability to get loads with us is not predicated on how well they know a specific person at Convoy, but how good their service and safety record is.

Fewer cargo claims.  With an incident ratio less than 1/20th of the industry average, Convoy creates a great customer and carrier experience and materially reduces supply chain costs for shippers. 

Mitigate Risk. Legal, financial, service, and reputational risk is inherent in transportation. Shippers who rely on our safer network of trucks are more likely to reduce risk in these categories.

How Convoy Is Different

At Convoy, we are passionate about providing our shippers with access to safe, compliant, high performing network of trucking companies. Helping our customers manage risks and service levels in transportation, and in turn driving down the total cost of transportation, is foundational to what we do.

We set higher standards for our carriers than the nation’s most prominent brokers and asset carriers typically maintain.  By using a data-driven process (enabled by our technology platform) to manage adherence to our rigorous standards, we create a strong foundation that helps build trust with our customers and our carriers.

Convoy algorithmically evaluates and determines which carriers are eligible to haul loads, in real time, before every load assignment. By automating the assessment of a carrier’s service quality and compliance characteristics, we remove human error and bias, and the gaps that come with static checks, which in the traditional process can sometimes let unqualified carriers back on the road. Convoy’s review process takes place in real time, at multiple steps of the carrier and shipment lifecycle.

Wrap Up

There are many real and material risks to substandard carrier vetting and performance management. Convoy set out to address these problems and the results of our quality and compliance services are proof of the efficacy of our approach. 

For shippers, the benefits of introducing real time data and technology into your risk management are also real, and can lead to significant competitive advantage through lower supply chain costs and higher levels of service. The good news – this service is deployed across Convoy’s nationwide network and is available today to all Convoy customers.

Whether you’re ensuring carrier quality and compliance or finding your next freight partner, consult our guide to developing a freight transportation strategy. 

The information provided by Convoy, Inc. is for general informational purposes only. The author does not in any way guarantee or warrant the accuracy, completeness, validity, or reliability of any information and will not be held responsible for the information provided herein.  The information presented is not intended to convey or constitute legal advice. THE USE OR RELIANCE OF ANY INFORMATION CONTAINED ON THIS PAGE IS SOLELY AT YOUR OWN RISK.

The post Asset like performance and safety – in a digital freight network appeared first on Convoy.

Yet, at the end of the day, no matter how incredible our tech is, we are providing trucking as a service. When shippers hire us, they trust that the driver showing up at their facility is going to be timely, professional, safe and compliant.

In an industry where approaches to risk management vary widely, we pride ourselves on the performance, quality and compliance of our network of tens of thousands of carriers that we give our shipping customers access to.

We differentiate ourselves from the nation’s most prominent brokers and asset carriers by setting higher standards for our carriers, and by using a data-driven process (enabled by our technology platform) to manage adherence to our rigorous standards. By automating the process, we take out human biases and errors, which can sometimes – even with the best intentions – let unqualified carriers back on the road.

But don’t take my word for it, the proof is in the pudding:

• Our network of carriers significantly outperforms the industry average AND the average of the top 25 national asset based carriers in both predictive crash ratings (using FMCSA methodology) and a backward looking comparison of actual crashes.
• 100% carrier compliance at the time of assignment.
• 96% of carriers who go through Convoy’s performance management process improve their on-the-job performance through expectation setting and education programs, and transparent carrier scorecards.
• Our claims incidence rate is more than an order of magnitude lower than reported industry averages.
• On shipper scorecards, Convoy consistently ranks in the top 10% of our shipper’s transportation providers, including among asset carriers.

How do we achieve these results?

Convoy differentiates itself in the transportation industry by setting higher safety standards than most and by using technology and a data driven process to manage compliance in real time.

Let’s dive into some of the details of two important categories to give you a look under the hood.

Safety

Convoy uses the most up-to-date carrier safety data through integrations with multiple carrier monitoring services. Our safety requirements and proprietary systems are designed to select carriers who prioritize safety, and to automatically block access to Convoy’s platform for those who don’t.

For instance, through our integration with Saferwatch Convoy validates that safety (and authority) requirements are met before allowing a carrier to haul loads. An example of some of these requirements are:

• Convoy does not work with carriers who have a “Conditional” or “Unsatisfactory” rating.
• Convoy prohibits carriers with two or more equivalent BASIC violations in the categories of Vehicle Maintenance, Unsafe Driving or Hours of Service from hauling Convoy loads.

Ongoing Compliance Monitoring

Convoy uses a fully automated and proactive compliance service. Through integration with industry-leading carrier monitoring services like Saferwatch, RMIS, and TIA’s Watchdog service, among others, Convoy collects data to provide real time compliance assessments based on our compliance standards. This allows us to do things such as:

• Differentiate between carriers who are compliant for interstate or Intrastate and offer jobs accordingly
• Identify carriers instantly who are non-compliant with any of our safety, operating authority, or insurance requirements.
• Automate the pre-offer check, which prevents Convoy from offering loads to carriers who don’t meet our safety requirements.
• Show the carrier compliance status to Convoy operations teams in the Convoy internal dashboard
• Automatically block a carrier from doing loads whose insurance is expired or will expire prior to receiving an updated certificate of insurance.

In addition to the requirements above, we also built redundancies into the system.

Qualitative proof

While data is the foundation of our system, we also measure the strength of our carrier network through qualitative customer feedback. We’ve seen this come to life in two ways:

Audits and evaluations

Many of Convoy’s customers are safety obsessed. These shippers stand out for not only building a strong safety culture of their own, but for mandating the same level of diligence from their transportation providers. And as anyone who has worked with one of these companies knows, they have comprehensive audit and evaluation processes.

My favorite example is when one of the largest oil and gas producers in the world conducted a full onsite audit of Convoy’s risk management programs and policies. At its conclusion, we received the highest possible score for a broker. The auditor stated “Convoy is head and shoulders above any broker I have ever assessed.” We intend to keep our reputation and will continue to innovate in this space.

Sharing our best practices and expertise

Convoy is recognized as an expert in managing carrier compliance and quality, and we receive requests for guidance from customers on how they can improve their own programs.

Recently one of the largest national retailers ascertained that Convoy’s process for vetting carriers and managing ongoing compliance was significantly more advanced than their own, and requested a consultation and guidance about how they could improve their carrier vetting process.

We believe the entire transportation industry should have access equally high, data-driven standards and the highest quality carriers. That is our intent by sharing our methodology here.

This article is the latest in Convoy’s Compliance Matters series on transportation risk in the supply chain. In part one we identified compliance risks and discussed why shippers should care about them. In part two we covered the most important compliance and safety questions to assess your freight broker and 3PL partners.

The information provided by Convoy, Inc. is for general informational purposes only. The author does not in any way guarantee or warrant the accuracy, completeness, validity, or reliability of any information and will not be held responsible for the information provided herein.  The information presented is not intended to convey or constitute legal advice. THE USE OR RELIANCE OF ANY INFORMATION CONTAINED ON THIS PAGE IS SOLELY AT YOUR OWN RISK.

The post Best Practices in Carrier Compliance Management appeared first on Convoy.

During the third quarter of 2018 (the most recent data available), there were 328 incidents involving stolen vehicles or cargo, missing drivers, and other events, according to CargoNet. Of those, nearly 60% were cargo thefts. The average per-theft cost was $143,949, totaling a whopping $13.9 million for that 3-month period.

Multiply $13.9 million by 4, and you come up with some good reasons to pay attention to how your freight brokers operate and manage risk.

Assess your freight suppliers

Not only do you need to make sure your broker meets basic obligations (more on that below), but, more importantly, you also need to verify that your service providers set rigorous compliance standards for carriers, use industry-leading practices to mitigate risk, and ensure adherence to those standards throughout the carrier relationship.

How can you find out about your brokerage and 3PL partners’ compliance standards? Begin with a supplier assessment.

Start with these seven questions to assess your transportation partners’ compliance practices.

1. Are your basic qualifications covered?

If you are new to the industry or looking to hire a broker for the first time, you’ll want to start with the following basic qualifications:

• Ensure your broker or asset carrier has a valid authority. That means the company is registered to operate as a brokerage under federal regulations. All freight brokers are required to register and hold a license with the Department of Transportation (DOT) and the Federal Motor Carrier Safety Administration (FMCSA), which allows shippers to search their database for freight brokers and their respective licenses online.
• Make sure they are bonded. All freight brokers are mandated to hold a freight broker bond in order to operate legally.

2. What are your record-keeping practices?

Understand your broker’s record keeping in case an issue comes up. They should keep detailed records of all transactions for three years. These records should preferably be digital and include names, addresses, motor carrier, the bill of lading, and the amount of money received.

3. How are carriers vetted during onboarding?

When a broker onboards a carrier into their network, they are giving that carrier access to haul your freight.

Brokers need to set high standards for the carriers they allow into their network. That includes having a strict, data-driven, and automated process to make sure carriers who are allowed in meet those standards.

Do your due diligence and make sure your brokers and 3PL partners verify the carriers entering their network. Carriers should:

• Possess the appropriate authority to operate in intrastate or interstate commerce. Authority is granted at the state level, and at the federal level by the DOT and FMCSA.
• Have verified their identity and that the person signing up is authorized to make decisions on behalf of the carrier.
• Provide a current certificate of insurance evidencing required levels and types of insurance and effective dates, and that the carrier’s insurance is on file with the FMCSA.
• Have a safety rating and/or CSA safety scores that meet or exceed your standards.
• Have signed a service contract.
• Don’t have outstanding reports against them in one of several carrier reporting services. (If your brokers leverage these useful services, the type and severity of incident that would cause a carrier to be flagged for removal from a broker’s network will vary.)

4. How is carrier safety assessed?

According to the FMCSA’s Large Truck and Bus Crash Facts 2016 (most recent report available), 2016 had 4,440 large trucks and buses that were involved in fatal crashes, a 2% increase from the year before — and a 28% increase from 2009 and 2016.

Accidents are an unfortunate reality in this industry, so you need to take proactive steps to mitigate risk by requiring transportation partners to set safety standards that are acceptable for your business. However, there is no federally mandated national hiring standard, so brokers have their own.

Ask for a list of what their safety standards are. You should be provided with a speedy and thorough reply that amounts to more than “We don’t use unsatisfactory rated carriers.”

Make sure you know:

• If your brokers work with conditional rated carriers.
• If they factor CSA safety scores into their carrier assessment criteria.
• How they find out about and respond to carriers in their network who receive “Out of Service” orders.

Think twice if they don’t have standards, skirt around the subject, or provide a response lacking details. Every shipper determines their own threshold of standards, but answers to these questions will be telling.

5. What types of insurance does the asset carrier or broker have, and what do they require of their underlying carriers?

The majority of motor carriers in the U.S. have the following types and amounts of insurance:

• $100,000 Primary Cargo (alternatively called Inland Marine)
• $1,000,000 Auto Liability
• Statutory levels of Workers Compensation

However, many shippers require more insurance than this — for good reason.

In some cases, the cargo value is more than $100,000. And, in most cases, financial exposure due to an accident on the road can exceed $1,000,000.

Yet shippers still need access to the nation’s large base of small carriers. This is where a broker with a comprehensive and thoughtfully designed suite of insurance policies will be a better partner in managing risk. It’s a critical second layer of protection for shippers.

What should you look for?

Needs vary widely between industries, commodities, and individual companies, but you’ll sleep easier at night by verifying that your broker has the following core types of coverage or suitable equivalents:

• Broker Liability. This coverage can vary but is typically inclusive of insurance such as general and logistics liability, products and completed operations, errors and omissions, contingent motor truck liability bodily injury and property damage, and fines and duties, to name a few.
• Excess Liability. Depending on how much coverage you need, a good excess or umbrella policy that sits over a broker liability policy can provide the right amount of insurance.
• Contingent cargo (may be included in Broker Liability). This serves as a backstop to the primary cargo insurance of the underlying motor carrier.
• Additional transportation cargo.Commonly referred to as “Shippers Interest,” but also going by other names, these programs can provide shippers with additional cargo insurance above $100K when necessary. These can be structured on a per shipment or ongoing basis.
• Workers Compensation and Employer Liability
• Crime
• Mandatory broker bond

6. How are carriers screened after onboarding? How often do these audits take place?

It’s not enough to check for compliance requirements at the time of onboarding. Even regularly scheduled static checks (e.g. once a quarter or, gasp, once a year) of carriers is insufficient. Why?

The various statuses of motor carriers will change over time. And, those changes aren’t going to conveniently align with your broker’s scheduled static check of their carrier network.

Ongoing monitoring of the following categories is a foundational and essential part of a good compliance program. Here is a glimpse at how often these categories typically change:

• FMCSA rating – typically monthly, but in some instances safety ratings can be updated more frequently
• CSA Safety Scores (commonly calculated and reported as equivalent BASICS by third party carrier monitoring services) – monthly
• Status of DOT – daily
• Status of MC – daily
• Out of Service designations – daily
• Insurance registered with FMCSA – daily
• Data for newly registered carriers – daily if interstate; monthly if intrastate
• Carrier monitoring Service reports – daily

Knowing that the carriers who are moving freight for you are in compliance within these categories is critical. We recommend working with partners who can audit their carriers automatically and in real time — at least daily if not more frequently.

7. How is fraud identified and addressed?

Those who have been in the industry for awhile have experienced their share of “nightmare” loads. Theft. Fraud. Chameleon carriers. Double Brokering. Back solicitation. A load “held hostage.” It’s enough to give you chills.

In this industry, data is a powerful tool that everyone should use to prevent these unfortunate incidents. Ask your partners what they do to prevent fraud.

Transportation providers should have a process to identify fraudulent sign-ups onto their platform. This can be done through:

• Automated methods to identify and stop duplicate profiles.
• Checks to ensure the carrier “is who they say they are” and are authorized to make decisions or sign a contract on the carrier’s behalf.
• Dual factor authentication.

Additionally, there are some excellent carrier reporting services that allow brokers and shippers to submit reports of bad behavior. These reports are visible to members of the reporting service and can serve as warnings to other users. If used wisely, these reports can serve as an important layer in the carrier vetting process. Ask your broker or asset carrier if they have incorporated the use of these reports into their compliance monitoring process. And again, a process to monitor reports in real time vs. static checks is a far superior approach.

There are thousands of licensed freight brokers and 3PLs operating in the U.S. — with more entering the market every year. Make sure you cover the basics, and ask the advanced questions to ensure you, your goods, and your business is protected.

To learn more about shipping with Convoy, visit the shipper hub or contact us at (206) 971-1237.

This article is the latest in Convoy’s “Compliance Matters“ series on transportation risk in the supply chain. In part one, we identified compliance risks and discussed why shippers should care about them. Stay tuned for the next installment, where we’ll look at how Convoy measures up to the assessment categories discussed in this article, how it compares to the industry, and the benefits of our differentiated service.

The information provided by Convoy, Inc. is for general informational purposes only. The author does not in any way guarantee or warrant the accuracy, completeness, validity, or reliability of any information and will not be held responsible for the information provided herein. The information presented is not intended to convey or constitute legal advice. THE USE OR RELIANCE OF ANY INFORMATION CONTAINED ON THIS PAGE IS SOLELY AT YOUR OWN RISK.

The post 7 Compliance and Safety Questions to Ask Your Freight Broker and 3PL Partners appeared first on Convoy.

When shippers award segments of their routing guide volume to asset carriers, they often believe they’re able to exert more control over service levels and risk. So, it may come as a surprise that a 2016 study by LaneAxis found that asset carriers broker their loads to other carriers 42% of the time.

With that much brokering going on, it’s imperative shippers understand and have confidence in their service providers’ compliance standards — and they must understand how their asset carriers and brokers adhere to those standards. If you don’t, you could introduce significant legal, financial, service, and reputational risks into the supply chain.

1. Substandard Carrier Vetting Amplifies Risk Exposure

Over the last decade, we’ve seen brokers, asset carriers, and shippers get pulled into lawsuits with high-dollar verdicts because of truck drivers involved in serious motor vehicle accidents.

How does this happen?  

Sometimes vicarious liability comes into play. That means that even though the driver of the truck would likely be primarily liable for the collision and injuries, others could be found to be secondarily liable for the accident. Another area of risk can occur when carriers are not appropriately vetted.

One way to prevent these risks is to have a service provider committed to appropriate standards for vetting carriers — and for them to apply these standards consistently.

In the absence of a national hiring standard, the burden of responsibility can fall to brokers, asset carriers, and shippers to establish a set of requirements for the carriers that they work with, along with a robust process to manage compliance with those requirements.

2. High Standards for Carrier Safety Mean Reduced Risk to the Bottom Line

A more common financial risk — and one everyone is familiar with — is cargo claims.

These are often caused by theft or damage during transit. In any claim, the customer is exposed to risks and costs that are not part of the direct value of the goods. Things like the operational cost/burden of remanufacturing, crating and packaging costs, lost time, lost sales, downtime on a line for a critical part, or an angry customer who didn’t get their order.

When motor carriers seek insurance, they’re assessed by underwriters who use an actuarial model to measure risk. It stands to reason that carriers who have poor safety records — and who are therefore rated as risky by insurers — also run their businesses in a manner more likely to result in claims.

Accidents and unexpected events are an unfortunate part of this industry. In order to decrease the likelihood of incidents happening, it’s important the underlying motor carriers assigned to haul loads have passed a comprehensive compliance assessment conducted by the broker or shipper.

3. Carrier Safety Practices Impact Performance

Safety and performance are related. When reviewing on-the-job performance of carriers who were previously active in our network and subsequently removed due to non-compliance, we found that carriers who fell below our safety thresholds were also, on average, worse performing than carriers with higher safety scores. By setting higher standards for carrier safety, we also raised the bar for performance in our carrier network.

Carriers who proactively foster a culture focused on safety reduce risk for themselves and for others they work with. These carriers also typically run a tight ship. They tend to:

• • Follow through on their commitments when they accept a tender.

• • Show up on time.

• • Act professionally.

• Follow shipping instructions.

And those carriers that don’t, well…don’t expect the same results. If carriers who are not as safe don’t perform as well, what’s the risk?

The first is fall off, which means when a carrier does not pick up a load, especially close to an appointment. This means the broker or shipper is scrambling to recover the load. They are also typically paying more to get the next carrier on the load because of a short lead time, and the pickup might be delayed.

The second is late arrivals. There are a cascade of results stemming from late arrivals that have serious impacts to business.

Late arrivals cause an inefficient allocation of resources. Facilities plan for freight by considering available dock doors, labor, capacity of material handling equipment, and space in the warehouse, among other considerations. Failure to show up when expected can throw the best-laid plans out the window. Some customers charge shippers for missed appointments. These charges can quickly add up.

They also subject a shipper’s supply chain to variability — the enemy of a well-run supply chain.

Fall offs, late shipments, and a lack of visibility all increase variability, which causes shippers to take often costly steps to mitigate. This includes steps such as increasing safety stock. That requires more space and locks up money in inventory. Shippers may also add a buffer into transit times, which increases transportation costs and lengthens fulfillment times.

Finally, when carriers underperform, it affects a shipper’s reputation. Safety incidents, unprofessional behavior, a high incidence rate of cargo claims, and service failures hurt everyone. Ultimately, a consignee looks to their vendor when service issues arise, so poor transportation service can tarnish the reputation of shippers and hurt prospects for future business.

A failure to understand and adhere to established  hiring and safety standards can put shippers at legal, financial, and reputational risk. Stay tuned for our next installment about compliance to learn more about how shippers can address these risks.

Transportation and logistics managers make decisions that balance service, cost, and operational efficiencies. An often overlooked dimension to these decisions is transportation risk and the critical impact it has on cost and service, among other considerations. In an effort to shed light on this important topic, Convoy is launching a new series about compliance that will explore these risks and how to better mitigate transportation-related risk in the supply chain.

The post 3 Compliance Risks for Shippers and Why They Matter appeared first on Convoy.

That all changed recently when the FMCSA issued guidance about the personal conveyance rule. Not only did they clarify when and how the rule should be used, they also offered drivers more flexibility in its application. With the ELD mandate in full effect, this comes as welcome news to carriers and drivers, who may be better able to manage, and more efficiently use, their available hours of service.

Motor carriers may, but are not required to, authorize drivers to use a CMV while off-duty for personal conveyance. The FMCSA recommends that carriers have a policy in place on what they do or do not allow regarding personal conveyance, including any limits. And of course, the use of personal conveyance must be documented in a driver’s logs, whether electronic or on paper.

Following are some key highlights of the new personal conveyance guidance:

Personal conveyance can’t be used to advance “operational readiness”

What does that mean? It means that using personal conveyance is for personal reasons – for example finding a safe place to rest or eat. Moving your truck under personal conveyance cannot advance the load. Let’s look at an example:

A driver runs out of hours in an unsafe location to park their truck. The drivers goes off-duty at that point and moves under personal conveyance to the NEAREST safe parking spot where they would remain off-duty. That would be a valid use of personal conveyance.

If on the other hand the driver passed several safe and suitable locations (the FMCSA does not define this, so it’s up to the driver’s best judgement) to park in order to end up closer to the next pickup or dropoff, that would be considered advancing the load and would not count as personal conveyance.

There are no mileage or time-of-day limits

Here is where some of the flexibility comes in with the new guidance. Carriers can drive as far as they need, at any hour of the day, to get to a “safe and reasonable” place to park and to continue their off-duty time.

The vehicle can be laden (loaded with freight in the trailer) or unladen

This is a huge improvement to the rule, which formerly forbid movement for personal conveyance while laden! A common scenario, that used to play out all over the country every day, was drivers getting stuck at a facility because they were out of hours, but couldn’t move their truck because it was laden. If a shipper forced the carrier to leave the premises, the carrier had to violate their HOS to get to a safe place to rest, and hopefully be able to explain that to a law enforcement official to avoid a citation! No more. Laden or unladen a driver can move under personal conveyance.

Personal conveyance is off-duty time

This goes without saying, but when using personal conveyance, a driver is in an off duty status. This means that the driver must be relieved from work and from responsibility by the employer. On the positive side, it also means that driving under personal conveyance does not eat into a drivers on-duty time. Hopefully in the long term, this means that driver’s can spend more of their precious time completing loads and getting paid and less time using valuable on-duty time looking for parking.

Personal conveyance can be used to move the vehicle while parked

As long as a driver is not advancing the load, he or she can move the truck to grab a bite to eat, get some exercise, find a bathroom, or move the truck at the request of a law enforcement official. In these scenarios, a driver would remain off duty and move under personal conveyance.

Personal conveyance can be used to commute to and from home

If the carrier allows it, drivers can commute from home to their terminal and from their terminal to home in their CMV under personal conveyance, as long as that move is not on-duty and does not advance the load. Keep in mind that leaving home to drive directly to the pickup location would typically be considered “advancing the load” and would be done while on-duty, and not under personal conveyance. Similarly, after dropping off a load the driver would typically still be on-duty while returning to their terminal, and again not under personal conveyance.

We are happy that the FMCSA provided this guidance. It’s great news for drivers and may help ease some of the added pressure from the ELD mandate.

If you’re a driver, talk with your employer to learn about any new personal conveyance policies that you can take advantage of for your next haul.

More information on this subject can be found at can be found at www.fmcsa.dot.gov/personal-conveyance-guidance

Carriers: Keep your trucks full on lanes you like to run. Sign up with Convoy.

Shippers: Learn how to choose the best freight partner and ensure you work with quality carriers. Read Convoy’s guide to freight shipping.

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To help you keep your trucks active and avoid safety infractions, Convoy wants to share some ELD best practices.

Tips to stay ELD compliant:

• • Ensure ELD’s are installed in all of your trucks and that the ELD is on the FMCSA’s list of registered ELDs. Each use must have their own account

• • Drivers and administrative staff should be trained to use the ELD and know how to:
    • • Respond to unassigned driving hours in the ELD records
    • • Record duty status changes
    • • Edit, certify, and add notes to records
    • • Access RODS data from the ELD
    • • Review and understand the ELD printout/display information
    • Identify and correct or report data diagnostic issues and report ELD malfunctions

• • Remind drivers to log in or log out of their system to avoid unassigned driving events.

• • During an inspection drivers will need to know how to display and transfer data by email or bluetooth to safety officials when requested

• Keep the following documents in the cab of the truck:
  • • ELD User Manual
  • • Instruction sheet for transferring HOS records to safety officials
  • • Instruction sheet on reporting ELD malfunctions & recordkeeping procedures during ELD malfunctions
  • A supply of paper tracking forms (grid graphs) for at least 8 days, in case of ELD malfunction

ELD Solutions with Motive (formerly KeepTruckin):

To ensure you have the best solutions possible – Convoy’s ELD partner Motive has launched their Switching Gears program, which is designed to help carriers unhappy with their current provider switch to the #1 rated ELD solution. Motive will provide you with a buyout credit to help cover the cost of switching mid-contract. 

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