The cost of managing and operating a fleet of vehicles has dramatically increased over the past 5 years. Increased fuel, maintenance and insurance cost bear much of the blame. Probably the biggest variable in fleet management is the human element. Once the vehicle operator leaves the dock you have little control or feedback on their performance. Most of your people are probably good employees that perform reasonably well. However it only takes one or two poor performers to cut into your slim profit margin. New technology in the form of GPS auto or vehicle tracking has the ability to manage your vehicle fleet and save you money and time.
Basically there are two types of GPS tracking systems that are used to monitor and mange vehicles. The passive system consists of a GPS receiver that is placed in a vehicle and at the end of a specified period of time is retrieved and downloaded into a computer data base. This system is great for gathering historical data on the vehicle to include speed, location, direction, time at rest, time at a specific location, travel route and customer service verification. Through the use of a fleet management software program you will be able to determine what management decisions are needed to make your fleet most efficient.
Active or real time GPS tracking systems are designed to work with cell phone fleet management purchasing technology so that a vehicles GPS data is reported in real time. Data is uploaded to your computer on a timed frequency. Most real time systems complete an upload every 2 to 5 minutes. Again just as with GPS tracking information is provided to you in order to make fleet management decisions. Real time tracking is best used for dispatching, customer care or when vehicles are located over a larger area. The system allows the dispatcher to observe where the vehicles are allowing them to be rerouted to new calls or pickups. All of which saves considerable money in terms of fuel, time and overtime costs.
GPS tracking system benefits include:
- Start and stop time management
- Vehicle speed control
- Verify work/wages paid
- Lower Fuel Cost
- Lower Maintenance Cost
- Lower Insurance costs
- Correct billing information
- Accident reduction
- Customer service verification
- Customer interface timing
- Efficient vehicle staging
- May allow employee to take vehicle to their residence.
The use of systems has become an absolute necessity for managing your fleet. Without it there is little chance you will be able to compete in the market place. It is estimated that it costs about $500.00 a day to put a box truck on the road. It is also estimated that you can maximize your fleet’s efficiency by using a $3.00 GPS tracking fleet management tool that will shortly more than pay for its self. The use of a fleet may be the fast way to increase your bottom line.