Premium
Electronic Logging Device Compliance of Small and Medium Size Motor Carriers Prior to the December 18, 2017, Mandate
Author(s) -
Miller Jason W.,
Bolumole Yemisi,
Schwieterman Matthew A.
Publication year - 2020
Publication title -
journal of business logistics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 2.611
H-Index - 79
eISSN - 2158-1592
pISSN - 0735-3766
DOI - 10.1111/jbl.12207
Subject(s) - mandate , compliance (psychology) , enforcement , business , agency (philosophy) , political science , psychology , law , sociology , social psychology , social science
With few exceptions, motor carriers operating in the United States were required to install electronic logging devices (ELDs) as of December 18, 2017. Noncompliance exposed carriers to risk of fines from enforcement agencies. This research examines compliance behaviors of small and medium size carriers in the four months leading up to the ELD mandate, focusing on the effects of carriers’ size and geographic range of operation (e.g., regional vs. national). Drawing on sociological agency theory, new institutional theory, and theory regarding regulatory compliance, we explain why (1) carriers’ size displays a nonlinear relationship with ELD compliance, (2) the positive effect of carrier size on ELD compliance diminishes as the enforcement deadline approached, (3) carriers with operations covering wider geographic areas have higher rates of compliance, and (4) the effect of wider geographic range of operations on compliance will become more pronounced as the enforcement deadline approached. We test our theory using ELD compliance data collected by an industry data vendor, CarrierLists, from September 2017 through December 2017 from 3,910 motor carriers. Results from a series of discrete choice logistic regression models corroborate our predictions. These results have important implications for carriers, shippers, and regulators.