Introducing GPS Tracking Technology to Employees

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1 Introducing GPS Tracking Technology to Employees Contents Overview... 2 The following five steps have proven to be highly effective in helping employees embrace change Points for Introducing Our System to Your Employees... 3 Introduction... 3 System Explanation... 3 System Benefits... 3 Questions and Answers... 3 Sample Text For Introducing GPS Fleet Tracking to Your Employees:... 4 Do's and Don'ts... 5 DO:... 5 DON'T:... 5 Tough Questions & Answers... 6 Q: Don't you trust us to do our jobs?... 6 Q: Is this legal? (consult your legal counsel)... 6 Q: Exactly what will this system monitor?... 6 Q: What happens if we get caught speeding by the "GPS Fleet Management" system?... 6 Q: What if we have to make personal stops?... 6 Q: How do I explain something that happens and may not appear to be company... 7 Q: What if I need to go out of my way to avoid a traffic jam?... 7 Q: What if the system malfunctions and provides bad information, will I get blamed?... 7 Q: Will I get to see a copy of my truck's report... 7 Employee Benefits... 7 Higher Customer Retention... 7 Service Time Tracking... 7 Vehicle "Take Home" Policies... 8 Increased Company Profits... 8 New Incentives... 8 Increased Driver Safety... 8 Improved Driver Morale... 8

2 Overview As a result of working with companies who have installed a GPS Fleet Management System and are now reaping the rewards, we have developed this guide to help you introduce the system to your employees and answer most of their questions up-front. You can make the transition much smoother by communicating with them directly, outlining not only how the company will benefit, but also how they will benefit. First, be honest and forthright from the beginning and you will gain employee trust. Experience has shown that "good" employees have no problem with "accountability" and, in fact, welcome it as it sets them apart from less productive co-workers. Any employee that resists fleet monitoring is more than likely an employee that could use improvement somewhere. Some employees might also have a tendency to distrust, or at least be skeptical of change. Their resistance is rooted in unrealistic attitudes towards change. Change is continuous and is a requirement for business to remain competitive and successful. It happens everywhere. It's accelerating as technology expands. And in truth, all changes aren't always bad. A good relationship with your drivers will help your fleet run more smoothly and efficiently. The more you can get your drivers to embrace the change instead of resisting it, the better off you'll be. There are also many positives for the driver. For example if a driver that had been accused of causing an accident erroneously, he could be cleared when the system proved that the vehicle had never even been in the vicinity of the alleged accident. The driver could be cleared of this wrong doing and the company could avoid an insurance scam. It is as a win-win for everyone. A good relationship with your drivers will help your fleet run more smoothly and efficiently. Therefore, the more you can get your drivers to collaborate (partner) with the change instead of resisting (fighting) it, the better off the company will be. The following five steps have proven to be highly effective in helping employees embrace change. 1. Make it easy for drivers to clearly identify and understand the change. 2. Help them realize that their first reaction could be rooted in assumptions, not facts. 3. Clarify the company and your drivers' interests when considering new policies. 4. Brainstorm ways to satisfy both your and their interests. 5. Seek mutually acceptable solutions. Some of our clients have found that when incentives are created, drivers are allowed to retain a fraction of the savings, and in turn they become more conscious of costs. If you choose this route, be sure to have a plan on how these savings will be distributed ahead of time.

3 Points for Introducing Our System to Your Employees It's no secret why you purchased "This New GPS System": increased driver efficiency, improved route management, increased time savings, potential overtime reductions, reduced fuel consumption, and the ability to account for your fleet's progress. But, how do you communicate those things to your employees? How do you get them to see that your new system will also benefit them? We've put together the following topics to help you introduce the system to your employees. We suggest breaking down your presentation into four main points: 1. Introduction 2. System Explanation 3. System Benefits 4. Question & Answers: Introduction Inform your employees that your company, in keeping up with current technologies, will be instituting a new fleet management system. This technology will allow the company to maintain a competitive edge in today's faster business environment, resulting in increased efficiency, and having a positive impact on the company's bottom line. System Explanation Explain how the system actually works. Describe the units in the vehicles, the computer interface, and the activities that the system will record (speed, mileage, distance, stop time, stop duration, vehicle route, etc.). Show a report generated on a day they drove a particular vehicle. System Benefits Provide an overview of the benefits the system will provide -from decreased insurance premiums to increased route management -but also discuss in detail the direct benefits to employees. (See Employee Benefits). Questions and Answers Open the floor to questions. If someone asks a question that you aren't able to answer right away, tell him or her you'll find the answer and get back to him or her -and do just that.

4 Sample Text For Introducing GPS Fleet Tracking to Your Employees: As an example, this might be a way a company would introduce the system to its employees: (Get your butts in here and sit down) No! Maybe a little softer (Thank you all for joining me today. I know we all have a lot on our plates right now and that time is in short supply around here, but I think you'll find this meeting a productive one). I wanted to talk to you today about the new fleet management system we've installed the last few days. In order to remain competitive and to prosper in today's hi-tech world, it is essential to be aware of trends and to stay abreast with current technologies. Electronic fleet management is revolutionizing the way fleets are managed in North America today. We made an investment in this system because it will ultimately help us be more efficient and hopefully have a positive impact on our bottom line. Here's how the system works: A GPS unit like this one (show vehicle unit) will be installed on each vehicle. It will record the vehicle location, the exact route the vehicle has driven, time spent at each stop and the speed the vehicle was traveling. The information will then be sorted and analyzed to determine what changes or accommodations can be made by the driver to increase efficiency. Now, you may be asking why the company needs to know this information. Well, there are lots of reasons. One, we will be able to see if there are any changes we need to make to your routes to save you time during the day. We also want to make sure everyone is pulling equal weight. If one driver always has to scramble to make all his stops and another driver has extra time, this management system will help us pinpoint specific issues and allow us to fix them. We want to establish daily routes that are achievable, not impossible to safely accomplish. Also, it tells us how fast the trucks are going and gives us all an incentive to stay within the speed limit. This ultimately keeps everyone safer on the road. It proves we have a safe fleet of drivers, which may lower our insurance premiums due to fewer accidents. The other side of all this is that it helps all of us. If a customer claims you never showed up, didn't spend enough time there, or were too early or too late, we have proof to agree or refute the claim. They can't argue with the system. This type of proof already led to lower customer turnover rates for many GPS Fleet Customers, which benefits both all of us. Bottom line: "Our New GPS System" will help us all become better at our jobs. The better we get, the more money we're going to make! And the healthier the company, the better off we'll all be. * Savings can translate to bonus programs, fewer customer call-backs, cancellation and complaints, less paperwork for timecards, etc. We're not sure of all the benefits of the system until we use it for a while. We do know it will make us a better company with the benefits we already realize and understand. Now that you know some of the benefits, may I answer any questions for you?

5 Do's and Don'ts There is no "magic formula" for introducing "Your New GPS System" to your employees. However, our experience has identified a number of "Do's and Don'ts" to follow: DO: Try to introduce the system in a group meeting or other personal communication. By calling a personal meeting (or a series of small group meetings, depending on the size of your organization), you'll give employees the opportunity to learn about the system first-hand rather than through the grapevine. It also allows them to have all their questions answered from top management. Keep the meetings and correspondence upbeat and positive. You may be installing the system because work isn't up to par, but communicating this to your drivers will automatically put the system in a negative light. Talk about things you feel the company will be able to improve on because of the new system, and be sure to include the positive benefits for employees (See Talking Points). Establish a way for employees to provide feedback and have their questions answered once the system is in place. Encourage s or memos or create a comment box through which employees' concerns and suggestions can be heard. Recognize all positive changes and improvements you see once the system is up and running. Whether it's a gift certificate or cash bonus or simple a letter from the company president, be sure to recognize and reward desired behavior. This will clearly demonstrate to employees that the system provides benefits to both the company and the individual drivers. DON'T: Don't: Install the system before informing your employees. You may be tempted to install the units without employee knowledge simply to track work or establish a benchmark by which to determine the system's success. However, the headaches and potential employee backlash usually aren't worth it. If employees know about and understand the system from the start, efficiency starts rising from day one. Moreover, being open and honest builds trust with even the most critical employees. Don't Hide information about the system or evade tough questions. It's important that employees understand the system and what it's monitoring in order to get the results you're seeking. Don't expect all employees to immediately embrace the system. It s human nature to react to workplace changes with some uneasiness and distrust, and you may never win everyone over. But once employees understand what the system is designed to do and start to see increased efficiency and timesaving throughout the fleet, most will accept it and work to

6 improve their performance. It's been our experience that good workers, the ones you want to keep long-term, welcome the system, as it recognizes their strengths and reinforces their contributions to the company. Tough Questions & Answers Having helped many companies implement "New GPS Systems", we know there will likely be some tough questions you'll have to face. A list of the most frequently asked "tough" questions are below. While many of the answers will be based on your individual company's policies, we've given some guidelines for communication. Q: Don't you trust us to do our jobs? A: Absolutely. We trust you. Driving a vehicle and selling, servicing, and delivering our products are huge responsibilities and that's why you're part of our team. We're installing this system to help us better manage the entire fleet, not just a single truck. It will give us an overall picture of how the fleet is operating and will point out areas that we could improve on as a company. We see it as a very positive change and we think you will too. Q: Is this legal? (consult your legal counsel) A: Yes. The system is simply tracking the vehicle's progress throughout the day and providing the same information that we'd get if we were to ride around with you on your calls or asked you to write detailed route reports with delivery times and mileage. Q: Exactly what will this system monitor? A: The system will track when the vehicle starts in the morning, where and when it stops, how long it stays at each location, the speed it's traveling between points, how long it idles during the day, total number of miles driven, and when the equipment is turned on and off (or lift gate or other custom event). Q: What happens if we get caught speeding by the "GPS Fleet Management" system? Q: What if we have to make personal stops?

7 Q: How do I explain something that happens and may not appear to be company related? Q: What if I need to go out of my way to avoid a traffic jam? Q: What if the system malfunctions and provides bad information, will I get blamed? Q: Will I get to see a copy of my truck's report Employee Benefits The strongest method for easing the introduction of the "Your New GPS System" is to outline for your employees the primary benefits the system provides them Following are some of the employee benefits that have already been reported by our clients: Higher Customer Retention For service drivers, retaining current customers is a high priority. In several cases, the detailed reports "Our System" provided led to higher customer retention numbers. Simply put, customers like to see proof that service was completed on time, and by providing that proof, you keep your customers and your commission. Protection Against False Claims "Your New GPS System" provides irrefutable data showing when and where each vehicle has traveled, providing protection against false accident claims and reports of late arrivals at scheduled appointments. Service Time Tracking "Your New GPS System" provides electronic verification of service time, providing drivers with "back up" in case of customer challenges. Hands-free Mileage Log "Your New GPs System" provides an accurate, hands-free mileage log, saving valuable time.

8 Vehicle "Take Home" Policies Because evening and weekend use can be monitored, some companies are now able to allow employees to use fleet vehicles after-hours. This saves many employees, and the company valuable, time and fuel. Management may opt to charge the employee a small monthly fee for this privilege. It can be optional or mandatory. It can allow your employee to sell one vehicle and save about $300 per month. Increased Company Profits Increased savings and company profits translate to better 401(k) results, better maintenance programs to minimize on-the-road problems, replacement of aging equipment, etc. New Incentives Because "Your New GPS System" allows you to measure performance efficiently, you can create new incentives based solely on productivity. It is amazing to see the changes in performance once drivers take the competitive spirit to heart. Before you know it, they will be helping you find new ways of bringing in revenue. Increased Driver Safety Financial gain isn't the most important benefit for drivers. The incidence and severity of crashes and driver fatalities increase disproportionately with speed. Because maximum speed is automatically recorded, driver safety can be easily monitored. Improved Driver Morale Because with "Your New GPS System" driver accountability isn't an issue any longer, you don't run the risk of getting caught up in "Gotcha" Management. On the contrary, you now have a tool to "catch your drivers doing something good" so you can enhance their performance and self-esteem. Good drivers are usually reluctant to report their inefficient counterparts. In many cases, good employees wind up carrying the burden of the "slackers". This has an adverse impact on morale. You now have the tool to deal with unproductive drivers.

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