How Can GPS Tracking Help in Fleet Expenditure Management?

How Can GPS Tracking Help in Fleet Expenditure Management?

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  • Post last modified:January 19, 2021
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According to a study, GPS vehicle management systems can increase your fleet’s productivity by 15% and vehicle utilization by 20% and mitigate fuel consumption by 20-25%, idle time by 20-30%, miles covered by 5-10%, and overtime by 10-15%.

Moreover, these systems can do much more to reduce cost, improve vehicle performance, and manage fleet expenditures.

Take a look

  • Advanced vehicle telematics

Telematics technology uses integrated navigation, safety, security, and communications and plays a vital role in making your fleet operations seamless and safe. There is a significant evolution in-vehicle telematics with the passing years, including battery backup, sensors, and GPS, enabling fleet managers to track real-time location, monitor vehicle movements, and check their halts. 

  • Scalability support

Different industries have distinct fleet sizes depending on their usage. Whether it’s a small fleet of 10 vehicles, or a larger one having 1000 vehicles, including trucks, containers, and cars, a GPS tracking system gives equal and productive results to manage them. It offers a more productive outcome while significantly controlling your costs.

  • Smart system

The GPS tracking software not only tracks the vehicles’ location but also confirms maximum road safety. It also lets you keep a check on drivers’ behavior by monitoring and checking various driving patterns that can increase the risk of accidents. For instance, GPS tracking software checks on hard braking, over-speeding, aggressive acceleration, etc. Other than safety, it also improves vehicle life, as well as its performance.

  • Real-time notifications and tracking

Keeping track of your fleet and receiving real-time notifications and alerts is another prolific benefit of your business’s GPS tracking software. It helps managers in taking the required actions instantly. If any vehicle drivers violate the authorized speed limit or change their path, the system can immediately track it and inform you through notifications and alerts. That makes it easier for fleet managers to move accordingly and take appropriate actions.

  • Geo-fencing and Routing

Routing is one of the helpful features of a GPS. It helps fleet managers define the shortest and safest route to reach the destination. Besides, the system recommends an alternate route and also provides real-time traffic updates. 

Moreover, the geofencing feature can help limit company vehicles’ use for personal tasks through the geo-fencing feature. It allows them to encircle the area and bar the movement of vehicles outside that area.

  • Asset tracking

Just like tracking the fleet location, asset tracking is equally essential. Businesses dealing with the movement of goods from one place to the other are specifically keen to track the assets on the road in addition to the fleet. Such businesses often use GPS tracking systems along with IoT devices and mobile sensors to meet the requirements, as combining these technologies makes real-time asset tracking possible.

  • Big Data 

There can be enormous data collected from your fleet. With its efficient and robust reporting capabilities, GPS tracking software can analyze the data and generate comprehensive, accurate, and exportable reports of your fleet usage, performance, trips, condition, etc. 

Problems resolved by GPS tracking system. 

A GPS tracking system can resolve various issues related to fleet management. Let’s take a look at them.

Cost Reduction

A fleet GPS tracker reduces the total cost of your fleet in multiple ways. It lowers fuel consumption and administrative time globally. It can also track the real-time position of drivers to eliminate the need to make a phone call.

This system also minimizes costs by staying informed on wear & tear, aggressive driving behavior, and skipped maintenance.

Less Paperwork

GPS tracking makes the digitization of fleet documentation and reporting possible. This digital evolution enables you to go entirely paperless. It can also save you from long and inconvenient administrative work.

Vehicle Usage Monitoring

The GPS-based fleet management system monitors vehicle usage to verify if there is any unauthorized activity happening. It will make sure that only authorized drivers are using the vehicles.

Improved Work Efficiency 

A fleet tracking system can keep track of total working hours and take care of the job assignments. Besides, with this software, you can plan the most efficient routes having less traffic.

Conclusion

According to a study, a daily fleet’s operations depend on fuel and salaries for more than half of the expenses. In contrast, the other half includes repairs, maintenance, cover, emissions inspections, and extra operational costs.

The fleet expenditures tend to add substantially. If telematics furnished with IoT, GPS, and OBD units reduces fuel consumption and overtime by 10-15%, fleet productivity and utilization will be at the next level.

As a result, fleet management businesses can make more with a fleet of the same size. Also, their drivers will be observant and satisfied. The companies have to spend less on repairs and predictive maintenance, plus pay lower premiums.

That’s is how GPS tracking software helps numerous fleets to achieve the best results every day.

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