Why Fleet Tracking Can Save on Service Charges
Very similar to the GPS navigation technology that can lead you to any place in the world – GPS tracking can be used to track your fleet of trucks, vans, or other vehicles around the world. This piece of amazing technology can be extremely beneficial for your business because it allows you to increase the productivity of your entire fleet, cut down on various costs, increase the safety of your drivers and reduce the workload of your fleet managers lowering the risk of a mistake happening because of fatigue.
What Is Fleet Tracking?
Fleet Tracking is an online service that allows you to view your fleet’s location anytime and anywhere. It’s a cloud-based software accessible all the time on any device with an internet connection. The fleet tracking software constantly collects data on your entire fleet, which can be viewed in real-time or stored and reviewed later on for your business purposes such as increasing efficiency, improve routing, making better decisions, which lead to cutting down on costs and saving money.
How Does Fleet GPS Tracking Work?
How it works is quite simple. You install a GPS device on your vehicles. This device will gather information and send it to the cloud that you can access online using the software. The information this device gathers includes mileage, time of day, speed, location, hard braking, and sudden acceleration.
How Can a Fleet Tracking Service Save You Money On Service Charges?
Managing your fleet proves to require a lot of expenditures. It is possible that the use of fleet management software could reduce the amount that you pay on service charges. How is this possible?
Reduce Fuel and Maintenance Costs
Using a tracking service for your fleet can decrease the cost of fuel and help you save money. Vehicles usually spend around $1.5 per mile. Using fleet tracking software will allow you to improve your routing and fuel consumption. It may decrease your mileage up to 25 miles per week, which means you’ll save about $37.5 per vehicle. Because the system is equipped with amazing features that allow you to track many things, you won’t have to bring in your vehicles for routine inspections when it’s not necessary. You can easily track all of the information you need and see when a vehicle is behaving in an unusual way, which might indicate that it needs maintenance.
Decrease Employee Overtime
If your employees constantly work overtime, you are paying them much more for those hours. It is usually around $30 per hour when your drivers work overtime. You can cut back on this cost as well by getting GPS tracking software. It can save you at least 1 hour of overtime per week, estimated to be around $30.
By implementing a fleet tracking service in your vehicles, you can gather the information you can afterward use to improve your drivers’ productivity. You should be able to perform one more job, delivery, or an extra stop per week, which means you will earn more money.
Monitor the Speed
Because the device is transmitting the vehicles’ speed, you can also cut down on costs like fuel consumption. You can instruct your drivers to drive at the optimal speed for the best fuel consumption, reducing the chance of getting in an accident. An accident would make a huge dent in your service charges because you will have to take the vehicle to be repaired. Whenever the vehicle is not on the road completing jobs, it is not making any money. The speed monitor also decreases the chances of the driver being reckless and going above the speed limit. When the employees know their speed is being tracked, they ought to be more careful not to go too fast, which saves fuel and improves the driver’s safety and responsibility.
Instead of printing everything on paper and keeping a paper trail that requires toner, paper, and expensive printers, you have a digital log that is kept up to 120 days and can be reviewed at any time using the software. This also helps your company if there are any fraudulent claims. Using the digital logs, you can easily prove that your vehicle was where it should have been at the scheduled time.
Lowers Operational Costs
Operational costs are some of the biggest ones for a company that owns a fleet. Fleet tracking service can help reduce these as well. When a vehicle is idle, it’s not productive and causes harm to the company’s profit. Usually, an hour of an idle vehicle is equal to about 80-120 minutes of driving. When this is added up, it costs your company up to 800 gallons of fuel annually if your fleet consists of trucks. With software like this, your fleet managers will be able to monitor the idle times of your vehicles, their speed, and the routes they are taking. Once they know all this information, they can improve everything and cut down on the idle time of the vehicle. They can also use this information to decrease the tires’ wear by making sure the drivers aren’t going over 70mph where the wearing of the tires is nearly double the normal amount. Fuel consumption also increases by about 1.5% when you are driving over 50mph.
Because the software constantly monitors the routes and stops, your managers can spot stops that aren’t on the schedule and address them accordingly to increase efficiency and decrease service charges.
Better Insurance Rates
There are a lot of insurance companies that encourage the use of fleet tracking GPS software. They often have discounts for the companies with a GPS tracking device installed in their vehicles. Sometimes, those discounts go up to 35%.
Other Business Related Benefits of GPS Tracking Service
GPS Tracking discourages drivers from taking unauthorized side jobs. Because the data is backed up on the system and remains there for 120 days, your managers can analyze the data and spot if a vehicle took a turn and made an unauthorized stop. The software can also tell you for how long it stopped, and you can deduce if the driver took a side job using a company vehicle or not. Just by having this system in place, most drivers will not take the chance of being caught doing a side job and risk being disciplined, which will cut down on your costs.
Improve Customer Experience
The tracking system on your vehicles can also help you improve your customer experience. Customers like when a company is accurate and efficient because it makes them confident they will receive the services on time.
You Need Fleet Tracking to Save on Service Charges
Keeping track of your fleet has huge benefits for your company, and saving your service charges is just one of them. Although it might seem like you are not saving too much when you add everything up, it turns out to be a hefty sum that any business owner would much rather spend on something else rather than fuel costs, maintenance, overtime hours, or new tires. It’s an amazing software that is easy to install, and keeping track of the data it collects is even easier.