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, 2011
Employee Cell Phone Use While Driving: Understanding and Managing Corporate Liability
Employee Use of Phones While DrivingUnderstanding and Managing Corporate Liability Presentation to GRITS Annual Meeting – November 2011 Matt Howard, Co-founder and CEO
FIVE KEY POINTS 1 Employee use of phones while driving is risky business 2 Increases crashes / employer liability / insurance costs 3 Growing problem for fleet operators / self-insured companies 4 FMCSA regulations apply / CSA implications rising 5 Affordable enforcement solutions exist Proprietary & Confidential
DISCUSSION TOPICS The behavioral problem The business problem The market segments The solution options The case study The future
BEHAVIORAL PROBLEM Adults (employees) have an insatiable appetite for mobile web…even when driving. Survey says???
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
BEHAVIORAL PROBLEMMultitasking is anoxymoron.Humans can‟t dotwo things at oncewithout impairmentto one or bothtasks.
BEHAVIORAL PROBLEM Modern multi-taskers (your employees) are “suckers for irrelevancy,” have “less self- control,” and are “distracted by everything”. Experiment A Experiment B Experiment B Inability to Ignore Irrelevancy Inferior Memory Inferior Task Switching AEU ABCADE 2, 12, 30 DRS 9, 17, 353 Nass, Ophir, Wagner – Stanford University, Aug 2009 -- Proceeding in the National Academy of Sciences
ILLUSTRATION EXERCISE Exercise 1 Exercise 2 • Open text or email • Now do the task individually • Type „Multitask” • Type the word – Multitask • After each letter add a number: • Then when finished type the M1 U2 L3 T4 I5 T6 A7 S8 K9 numbers 1 – 9. Multitasking takes longer = more mistakes4 The Myth of Multitasking: How Doing It All Gets Nothing Done – Dave Crenshaw.
THE BUSINESS PROBLEM47% Admit to sending 23x More likely to crash 32% Have known crashes 62% Have paper policies or reading text messages while driving 8% Have been sued 0% Enforcement1 – 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%)
THE MARKET: PHONES + VEHICLES Company-liable Smartphones 37,000,000 6,000,000 Company-owned Vehicles Personally-owned Vehicles Company phones in Personal vehicles Company-liable smartphones 360⁰ Scope of Risk 12,000,000 4.2m company-liable feature phones 7.8m personally-liable phones 108m smart phones 43m company liable phones All Other Phones 6m with keys to company vehicle Blackberry / Android dominant
THE MARKET: VEHICLES Regulation, Legislation, Crashes, Claims, Liability, Premiums Trucking Local Sedan3m vehicles / 20% company-liable 11m vehicles / 3.7m company-liable 4m vehicles / 1.5m company-liablephones / 60% TEV smartphones / 26% TEV smartphones / 0% TEV 9m admit to texting, emailing, or browsing while driving 18,000,000 Employees driving company vehicles
THE SOLUTIONS Active Controls on Smartphones Passive Controls on Any Phone $2.50 per phone / per month $2.50 per phone / per month Actively promote safe and legal Passively measure employee use of phones while driving. use of phones while driving. Phone-dependent Phone-agnostic Active Behavior Management Passive Behavior Management Works with/without Telematics Requires Telematics and TEMs data Ideal for Local / Sedan Fleets Ideal for Local Service / Trucking Fleets
For more information on preventing distracted driving, please visit http://zoomsafer.com