Descartes Systems Group Inc. · TSX:DSG
Descartes Systems — Investor Presentation (October 2017)
40 slides from Descartes Systems's investor presentation, October 2017
Slide 1: Earned Recognition Pilot
Earned Recognition Pilot 0 Helping you stay safe on Britain’s roads
Slide 2: Compliance Vision
Compliance Vision To introduce more efficient & effective interventions without compromising standards or outcomes Exemplar Mostly Non- Serially non- Earned Compliant Satisfactory compliant compliant Recognition Remote Inspections Remote Continued compliance Compliance & visits disruptive targeting
Slide 3: Earned Recognition Aim
Earned Recognition Aim Reduce the burden of enforcement for the proven compliant DVSA publicly recognise operators ER ‘exemplar operator’ status Drive up industry standards, support innovation and best practice Enable DVSA front-line resources to focus on high risk traffic 2 Helping you stay safe on
Slide 4: DVSA Earned Recognition - Approach
DVSA Earned Recognition - Approach ER Business Manager 3 Helping you stay safe on Britain’s roads
Slide 5: Application Criteria
Application Criteria • All operator licences controlled by the legal entity must be included in the application • Legal entity must have held an operator licence for a minimum of 2 years • Legal entity has no Traffic Commissioner regulatory action history within the last 2 years 4 Helping you stay s
Slide 6: Application Criteria
Application Criteria • Operator IT systems are capable of monitoring KPIs • KPI standards are being met • Operator agrees to the Terms and Conditions 5 Helping you stay safe on Britain’s roads
Slide 7: Audit
Audit 6 Helping you stay safe on Britain’s roads
Slide 8: Operator Audit
Operator Audit Operator earned recognition accreditation process: • Initial and periodic audits • Audits carried out by approved audit providers not DVSA staff 7 Helping you stay safe on Britain’s roads
Slide 9: Audit Standards
Audit Standards • Audits will be delivered by DVSA approved audit providers • HGV & PSV standards have 8 generic sections but there are different performance criteria for HGV & PSV audits HGV Audit Sections PSV Audit Sections 1. Operator Licence 1. Operator Licence 2. Transport Manager 2. Transport
Slide 10: Audit Sampling
Audit Sampling Fleet Size(in possession) Vehicle/Trailer Drivers Records Records 1-5 All All 6-100 2 checks per operator 2 checks per licence (minimum 5 operator licence checks in total) (minimum 5 checks in total) 101+ 5 checks per operator 5 checks per licence (minimum 10 operator licence checks i
Slide 11: Audit Preparation
Audit Preparation • Read the guidance document and audit standards documents • Written policies and processes • Prepare in advance 10 Helping you stay safe on Britain’s roads
Slide 12: Approved Audit Providers
Approved Audit Providers • Approval can be granted to any organisation or individual that meets the auditor criteria • Audit providers will need to meet the earned recognition standards for auditing • Auditors must adhere to the DVSA code of practice 11 Helping you stay safe on Britain’s roads
Slide 13: What will it cost me?
What will it cost me? • DVSA will not charge for being in Earned Recognition • There will be an audit cost • You may need to invest in updating your systems 12 Helping you stay safe on Britain’s roads
Slide 14: Key Performance Indicators and Monitoring Systems
Key Performance Indicators and Monitoring Systems 13 Helping you stay safe on Britain’s roads
Slide 15: Electronic systems
Electronic systems • Operators must have electronic transport management systems • Capable of monitoring both tachograph analysis and maintenance documentation • Operators will be measured against Key Performance Indicators (KPIs) • Exceptions will be reported to DVSA via an automated email 14 Helpi
Slide 16: Monitoring KPIs
Monitoring KPIs Driver Operator Activities System Driver KPI System Vehicle Maintenance In-house DVSA Earned Recognition Vehicle Operator Maintenance Vehicle KPI Third Party System Vehicle Maintenance Dealer 15 Helping you stay safe on Britain’s roads
Slide 17: Breaking the Myths
Breaking the Myths We are not big brother We do not need access to your systems or data It is up to you to manage your systems We only require your system to report exceptions You will always know before we do 16 Helping you stay safe on Britain’s roads
Slide 18: Key performance indicators
Key performance indicators • Measured using the ISO calendar • Rolling periods • 4 weekly reporting period • 4 weeks in arrears • 13 reporting periods per year 17 Helping you stay safe on Britain’s roads
Slide 19: Infringement Scoring
Infringement Scoring • Each Key Performance Indicator (KPI) will be measured individually • KPIs are set at a high but achievable level • Two separate sets of KPI Driver related activity Maintenance activity 18 Helping you stay safe on Britain’s roads
Slide 20: Continuous Monitoring Driver Related Activities
Continuous Monitoring Driver Related Activities 19 Helping you stay safe on Britain’s roads
Slide 21: Driver related activity KPIs
Driver related activity KPIs • Overall Infringement rate • Four Fixed Penalty Bands (current legislation) • Working Time Directive • Domestic Drivers Hours KPIs are under development 20 Helping you stay safe on Britain’s roads
Slide 22: KPIs
KPIs The KPIs are based on number of tachograph days Band Percentage Band 1 1.30% Band 2 1.20% Band 3 0.80% Band 4 0.70% Overall 4.00% W/T 4.00% 21 Helping you stay safe on Britain’s roads
Slide 23: Operator Performance Report
Operator Performance Report In addition to the KPIs the system will also measure and report to the operator – • Unaccounted Mileage • Repeat Offenders • Most Serious Infringements (MSI) 22 Helping you stay safe on Britain’s roads
Slide 24: Breaking the Myths
Breaking the Myths We want to work with you to address any issues rather than take enforcement action 23 Helping you stay safe on Britain’s roads
Slide 25: Continuous Monitoring Maintenance Activities
Continuous Monitoring Maintenance Activities 24 Helping you stay safe on Britain’s roads
Slide 26: Maintenance KPIs
Maintenance KPIs • Complete set of safety inspection records • Safety Inspection records are completed correctly including all relevant sections and signed off as being roadworthy • Safety Inspections are completed within the stated frequency • Driver defect reports where road safety related items h
Slide 27: KPIs
KPIs Maintenance KPIs Band Percentage Complete set of safety records 100% Safety Inspection records completed 100% correctly & signed off Safety Inspections are completed 100% within the stated frequency Driver defect reports where road 100% safety related items have been reported are appropriately
Slide 28: Reporting Triggers
Reporting Triggers 27 Helping you stay safe on Britain’s roads
Slide 29: How Trigger Points Work
How Trigger Points Work • KPI monitoring has built in rules to trigger exception reports to DVSA • Tolerance of up to 2% • Failure to meet one or more of the KPIs may result in an action plan 28 Helping you stay safe on Britain’s roads
Slide 30: KPI Triggers
KPI Triggers Yellow Alert Minor KPI breach between 0.1% and 0.9% Amber Alert Moderate KPI breach between 1% and 1.9% Red Trigger Major KPI breach 2% or more 29 Helping you stay safe on Britain’s roads
Slide 31: KPI Triggers
KPI Triggers In 3 consecutive rolling periods Yellow Yellow Yellow + + Alert Alert Alert or Amber Amber = KPI Alert + Alert Red Trigger or Yellow Yellow Amber Alert + Alert + Alert 30 Helping you stay safe on Britain’s roads
Slide 32: KPI Triggers
KPI Triggers In 13 periods Yellow or KPI 5x Amber = Red Trigger Alert 31 Helping you stay safe on Britain’s roads
Slide 33: KPI Trigger
KPI Trigger KPI Dashboard Yellow Alert Action Yellow Alert DVSA Amber KPI Earned Improve Red Alert Alert Recognition Amber Alert Resolve Amber Alert 32 Helping you stay safe on Britain’s roads
Slide 34: What do we mean by further action?
What do we mean by further action? • A mutually agreed action • A mutually agreed time period 33 Helping you stay safe on Britain’s roads
Slide 35: Pilot Phase
Pilot Phase 34 Helping you stay safe on Britain’s roads
Slide 36: Earned Recognition – Pilot
Earned Recognition – Pilot April 2017 Spring 2018 Go Live Use of DVSA ER Pilot Phase marque OCRS status updated Approval Approve Validate IT Test KPI of full DVSA publish ER lists Audit systems monitoring business Providers providers systems DVSA enforcement case processes updated Pilot Accredited O
Slide 37: ER Pilot Advantages
ER Pilot Advantages We’ll publish a list of all the operators who successfully complete the pilot Automatic entry on the DVSA Earned Recognition scheme More support to help you through the process during the pilot You’ll be helping with the development of the DVSA Earned Recognition scheme 36 Helpin
Slide 38: Pilot application form
Pilot application form • We need you to fill in a pilot application form. • The pilot guide can be used to assist you in completing the form • Any problems speak to one of the team 37 Helping you stay safe on Britain’s roads
Slide 39: Any Questions?
Any Questions? 38 Helping you stay safe on Britain’s roads
Slide 40: DVSAER@dvsa.gsi.gov.uk
DVSAER@dvsa.gsi.gov.uk 39 Helping you stay safe on Britain’s roads
Descartes Systems Group — Investor Presentation (October 2017) on 6ix