THE DEFINITIVE TRUCKING SITE

October 2008

Driver incentives

Are they effective?

YES, they are if properly planned, implemented and administered. At the recent FleetWatch Training & Development Academy convened in Johannesburg during August, two delegates spoke on the success they are having with simple incentive programmes. One, the operator of a large fleet of abnormal load vehicles with a sizeable monthly fuel bill, introduced a monthly cash prize of R10 000 for the best fuel saving achievement. The prize is paid monthly and the winner takes all. The reduction in fuel costs is more than R100 000 a month and an even greater return on the cost reduction they now enjoy in respect of tyre casing life. 

The second operator, with a fleet that contains among others, three MAN TGA truck-tractors, found that two of these units recorded an excellent – almost identical – fuel consumption. The third vehicle was lagging quite badly. The driver of the third unit was taken aside, mentored, encouraged and given extra training. Within in a month, the driver of the third TGA achieved the same benchmark as the other two units. The improvement of this one vehicle resulted in a R22 000 a month saving for the  operator. 

Ingredients for Success 

• Clear objectives – what is to be achieved? Fuel saving, lower tyre and maintenance expense, safety aspects including accidents, incidents, traffic violations, customer service in respect of ontime delivery, sticking to routes, customer satisfaction.

• Commitment – ability and resources to sustain total commitment to the incentive programme including ongoing visible management support. 

• Consistent performance – on the part of the company in respect of timely payment of awards, communication of achievements, regular progress reports and participation to be available to all employed drivers and retraining of drivers that fail to achieve awards and/or bonuses. 

• Realistic targets – fuel saving targets must be realistic and sustainable within the capability of vehicles and drivers. Specific targets need to be considered for old and new technology vehicles, electronic and mechanical engine management systems, regional and route differences and retrofitted equipment such as airmanagement kits and related items.

• Incentives must be attractive to drivers – praise, reward, reprimand, rivalry, spirit of competition, participation and recognition arouse emotional feelings and sustain effort. They provide the incentive to motivate drivers to become better drivers and achieve the rewards.