RP 1113 - Guidelines For Driver Incentive Programs: Introduction

In its study of various industry driver incentive programs, TMC has learned that program success or failure can largely be attributed to a few basic factors. This Recommended Practice offers fleet management industry-proven suggestions on establishing a successful driver incentive program.

TMC has learned there are generally six basic reasons why driver incentive programs fail:

• Management did not support the program.
• No funds were available for the payout of bonuses.
• Programs were too complex and difficult to administer effectively.
• Payouts and progress postings were not done regularly.
• Payouts and progress postings might be regular, but performed at more than one month intervals.
• Bonuses were not attainable by all drivers.

Based on this information, TMC has complied a list of elements that are essential to a successful driver incentive program. This list is not all-inclusive, but it should point management in the right direction when establishing such a program.

This document offers guidance in the following key areas:

• Program Goal Identification
• Basic Program Requirements
• Driver Qualifications
• Specific Company Capabilities
• Idle Time Considerations
• Safety Bonus Criteria
• Performance Bonus Criteria
• Speed Bonus Criteria