employee cell phone use while driving: understanding and managing corporate liability
DESCRIPTION
Slides from ZoomSafer CEO Matt Howard's presentation on preventing work-related distracted driving, delivered to the Gulf Region Intelligent Transportation Society (GRITS) Annual Meeting on November 3, 2011TRANSCRIPT
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Employee Use of Phones While DrivingUnderstanding and Managing Corporate Liability
Presentation to GRITS Annual Meeting – November 2011Matt Howard, Co-founder and CEO
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Proprietary & Confidential
FIVE KEY POINTS
Employee use of phones while driving is risky business
Growing problem for fleet operators / self-insured companies
Increases crashes / employer liability / insurance costs
Affordable enforcement solutions exist
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FMCSA regulations apply / CSA implications rising
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DISCUSSION TOPICS
The behavioral problemThe business problemThe market segmentsThe solution optionsThe case studyThe future
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BEHAVIORAL PROBLEM
Adults (employees) have an insatiable appetite for mobile web…even when driving.
Survey says???
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BEHAVIORAL PROBLEM
47% of American adults1 who text and 50% of employees who use smartphones2 – admit to doing so while driving.
1 Pew Internet & American Life Project, 20102 CareerBuilder, 2009
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BEHAVIORAL PROBLEM
Multitasking is an oxymoron. Humans can’t do two things at once without impairment to one or both tasks.
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Modern multi-taskers (your employees) are “suckers for irrelevancy,” have “less self-control,” and are “distracted by everything”.
3 Nass, Ophir, Wagner – Stanford University, Aug 2009 -- Proceeding in the National Academy of Sciences
Experiment AInability to Ignore Irrelevancy
Experiment BInferior Memory
A B C A D E
Experiment BInferior Task Switching
A E U2, 12, 30
D R S9, 17, 35
BEHAVIORAL PROBLEM
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ILLUSTRATION EXERCISE
Exercise 1•Open text or email
•Type ‘Multitask”
•After each letter add a number: M1 U2 L3 T4 I5 T6 A7 S8 K9
Exercise 2•Now do the task individually
•Type the word – Multitask
•Then when finished type the numbers 1 – 9.
Multitasking takes longer = more mistakes4 The Myth of Multitasking: How Doing It All Gets Nothing Done – Dave Crenshaw.
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THE BUSINESS PROBLEM
1 – 47% of texting adults admit to sending or reading messages while driving2 – Multitasking is oxymoron. TWD = 23X more likely to crash.3 – 32% of employers know/suspect crashes. 7.6% have been sued. Insurers reacting.4 – Policies are easy. Compliance is hard. (62% / 53% / 61% / 0%)
0% Enforcement
More likely to crash23xAdmit to sending or reading text messages while driving
47% Have paper policies62%Have known crashes32%
Have been sued8%
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THE MARKET: PHONES + VEHICLES
Com
pany
-ow
ned
Vehi
cles
Per
sona
lly-o
wne
d Ve
hicl
esCompany-liable Smartphones
All Other Phones 108m smart phones 43m company liable phones 6m with keys to company vehicle Blackberry / Android dominant
37,000,000Company phones in Personal vehicles
12,000,0004.2m company-liable feature phones
7.8m personally-liable phones
6,000,000Company-liable smartphones
360⁰Scope
ofRisk
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THE MARKET: VEHICLES
18,000,000 Employees driving company vehicles
9m admit to texting, emailing, or browsing while driving
Regulation, Legislation, Crashes, Claims, Liability, Premiums
Sedan4m vehicles / 1.5m company-liable smartphones / 0% TEV
Local11m vehicles / 3.7m company-liable smartphones / 26% TEV
Trucking
3m vehicles / 20% company-liable phones / 60% TEV
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THE SOLUTIONS
Passively measure employee use of phones while driving.
Passive Controls on Any Phone$2.50 per phone / per month
Actively promote safe and legal use of phones while driving.
Active Controls on Smartphones$2.50 per phone / per month
Phone-dependentActive Behavior ManagementWorks with/without Telematics Ideal for Local / Sedan Fleets
Phone-agnosticPassive Behavior ManagementRequires Telematics and TEMs data Ideal for Local Service / Trucking Fleets
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For more information on preventing distracted driving, please visit http://zoomsafer.com