The document details a truck mileage savings program aimed at transforming employee performance to enhance profitability through effective management of safety, absenteeism, turnover, and performance. It emphasizes the importance of driver behavior on fuel efficiency and proposes incentive programs with merchandise awards to motivate drivers towards better performance and fuel savings. Additionally, it addresses tax implications regarding incentive awards and provides guidance on budgeting for the program to ensure it successfully reduces costs while encouraging participant engagement.

1. Truck Mileage Savings ProgramTruck Mileage Savings Program
Derek Miller
ProPrinters
609 807 8856

2. What is your Strategy for Solving your
Employee Issues?
Your Strategy needsYour Strategy needs
to turn yourto turn your
Problem MakersProblem Makers
into yourinto your
Problem SolversProblem Solvers
to help reduce costs
and increase your
profitability.

3. There are key areas of a
businesses cost of operation,
which a business needs to
have within reasonable
control, these are:
•Safety IssuesSafety Issues
•AbsenteeismAbsenteeism
•TurnoverTurnover
•PerformancePerformance
Bring these areas into control and you will experience Increased Productivity,
Reduced Cost of Production, Improved Morale, Lowered Turnover, Less
Accidents, Lowered Insurance Premiums, Lowered Absenteeism Rates and an
Increase In Profit Dollars.
Turn Problem Areas into Profit Centers

4. The Solution Pays for Itself
• Rising fuel costs continue to have a major
impact on trucking companies as well as
corporations with large fleets. According to
the Energy Administration, The price of
diesel fuel has increased by $1.69 during
the past year.
•In trucking, according to XATA, there are
two variables that affect any motor carrier’s
ability to achieve reduced fuel costs and
other Key Performance Indicator goals:
drivers and trucks.
•Progressive companies have taken steps
to improve the performance of its fleet.
Sound Good?

5. Drivers Make A Difference
.
• Caterpillar® research found, “the one most significant fuel
economy variable is the driver. It is the driver who controls the
vehicle speed, trailer gap setting, acceleration rate, brake
usage, idle time, tire inflation pressure, shifting technique and
more. It is not uncommon for fleets with identically spec’ ed
trucks to see as much as a 25% (5.0 vs. 6.7 mpg) in fuel
consumption variance between the worst and best drivers.”
• The manufacturer of Kenworth® and Peterbilt® trucks (Paccar)
agrees. “The driver remains the most important factor for fuel
economy.” Paccar cites studies that demonstrate how an
experienced driver, utilizing the proper techniques, can be up
to 35% more fuel efficient than an untrained driver. “While
training programs can assist drivers with progressive shifting,
braking and acceleration, basic fuel consumption awareness is
usually the first significant step to realizing cost savings.”

6. “What’s In It For Me?”
When asked to change their way of working
or making positive strides in their job
performance, people will ask,
“What’s In It“What’s In It For Me?”For Me?” to make this
change.
An effective incentive programeffective incentive program
offers the solution to that question.
You want and need MotivatingMotivating &
Positive ReinforcementPositive Reinforcement
We offer your participants the merchandise
awards they want and do not have.
Merchandise AwardsMerchandise Awards turn into “trophies”
and a symbol for a job well done.
Most selected awards are considered a
LuxuryLuxury by the recipient, and become
highly valuedhighly valued in their minds.

7. What Motivates the Group
Some drivers achieve considerably better mileage than others who are
using the same equipment and driving similar routes. The key is to
motivate all drivers to maximize fuel economy. Each 1/10 of a mile per
gallon improvement is significant given the cost of today’s diesel fuel
and anticipated future price increases.
We ask nothing that is difficult, we just ask that the employees WorkWork
Smarter, Be Present, and Want to Remain a Part of theSmarter, Be Present, and Want to Remain a Part of the
CompanyCompany..
When this happens, Points are AwardedPoints are Awarded on a frequency, which is
based upon the severity of the problems that are being addressed.
Points are Earned and SavedPoints are Earned and Saved and become purchasing power for
these Desired and Wanted items in people’s hearts and minds.
Employees will begin to “Positively Change”“Positively Change” to get these awards
and they will cause their co-workers to also change.

8. The Awards Collection of What People Want!
Over 1,300 different Name Brand
merchandise award items.
Arranged in 12 Collections or Groups
of 5,000 to 600,000 Points.
Most levels average over 100 award
items from which to choose.
Every item comes with delivery to anywhere
in the continental USA.
Every Items is fully warranted and
guaranteed to please.

9. Our Awards Programs are based upon Dr.
B.F. Skinner’s “Model of Tokens and Awards”
Positive Performance =Positive Performance =
Positive RewardsPositive Rewards
Individual and Peer Group Performance Awards
Peer Group (Team Awards) creates a concern for
co-workers and their behaviors and builds
an atmosphere of conscious workers.
Points are awarded on each reward period to those
who have accomplished their goals
One of the basic principles of psychology is:
Motivation (X) Ability = ProductivityMotivation (X) Ability = Productivity
Skinner is known as
the father of
Modern Psychology
Making it Happen with Your Employees

10. The Revised Tax Code, Section 274,The Revised Tax Code, Section 274,
Sub-paragraph “J” Shows the following:Sub-paragraph “J” Shows the following:
There are Two (2) types incentive awards that
are Not Taxable as income to employees.
•One is Safety AwardsSafety Awards and the other
is for a Years of ServiceYears of Service..
•Qualified ProgramsQualified Programs; to be a qualified program,
it has to be a program that is in writing and
it is done annually.
•Average EarningsAverage Earnings of $400 per person and/or a
maximum of $1600 to any one person, as long as the
average earned awards are $400 or less per person.
•Tangible Merchandise is the only qualifying award
that allows for no tax status. Cash, travel, dinners,
theatre tickets, sporting events are
all taxable as income.
Know the rules in
order to save at every
step.
Making it Happen with Your Employees

11. Setting a Budget for your Program.Setting a Budget for your Program.
Please know that you will only use 70-80%
of your awards budget and that is based
upon a good successful program.
Most Programs will budget from 30% to 50%
of the savings per year
If you budget the above amounts, remember
that your expenditure will be 75% to 80%
Maximum on awards.
You want your program participants to be able
to earn something of value to them, too low of a
program budget will not motivate people.
Programs Achieve Cost
Reduction and a ROI
Making it Happen with Your Employees

12. Great Award Selections like: Bose, Citizen,
DeWalt, Apple, Sony, Trek, Poulan, Garmin,
Bushnell, Audiovox, Proctor Silex, Black & Decker,
Titan, Buck, Igloo, Hamilton Beach, Casio, Seiko,
Howard Miller, Coleman, G.E.,Canon, Hoover and
many, many other fine brand names. We have
something they will want.
Over 1250 selections
Making it Happen with Your Employees