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7 Reasons Why Your Company Does NOT need a Fleet GPS Tracking System

Posted on September 16, 2015 · Posted in fleet tracking software, GPS Tracking, Telematics

“GPS system? We don’t need no stinking GPS system”

Sean Kimbrough September 16, 2015

 

  1. You don’t care where your trucks/trailers are

The number 1 reason not to have a tracking system in place! Why do you need to know where your fleet is at any given moment? If all the fleet returns home at the end of the day, that’s OK, right? Wrong! Companies that derive majority of revenue from their fleet need to know where ALL assets are at any given moment. Not only did the company spend a lot of money purchasing the assets, if customers are calling asking when their scheduled delivery is going to arrive and your customer service rep replies “I don’t know, it will get there when it gets there”. Here’s a tip: it doesn’t make your customer want to continue using your service.

  1. You own a fuel company and want your trucks continually idling using as much fuel as possible

More than likely, you and/or your company do not own a fuel depot. As the one in charge of fleet expenses, tracking every penny spent on fuel and how to decrease fuel consumption is priority ONE. By cutting down on idle time, fleet managers are able to significantly reduce fuel expenses. Reports indicate companies that implement a telematics system reduce fuel consumption up to 20%! That just paid for the system plus money to your bottom line.

  1. Aside from 1 hour lunch, you allow drivers 3 hours of daily personal time

You treat employees well, offer medical benefits, paid time off, retirement plans, and all the free time they need during normal working hours to use the company truck to run personal errands. Yeah, right. Fleet GPS  Tracking Systems not only have live tracking abilities, but also use “big data” to help analyze driver behavior like speeding, braking, accelerating, stopping times to bring attention to inefficient driving habits. Embraced by your company as driver improvement rather than “big brother”, this data can significantly reduce cost to fleet maintenance, improved CSA scores, and accident reduction.

  1. You own an insurance agency and encourage reckless driving to increase premiums

Your insurance agency discourages use of GPS Fleet Tracking Systems because the more accidents and claims filed, drives premiums up, which increases commissions/profits to the agency and agency producers. Everyone is happy! The only thing is, it’s not reality. Reality is, the more claims filed, whether paid or not, significantly drive up insurance premiums.  Progressive Insurance has spent a lot of money promoting their tracking device to individual’s in order to gather, analyze driving behavior to more accurately price premiums. It applies to fleets, as well, the better your fleet operates, the lower your insurance premiums.

  1. Routes, what routes?

Refer to reasons 1 and 3. Why plan out delivery routes? Don’t most of your drivers have smart phones with Google maps? Just let them plan out their daily routes.  If it takes 1.5 hours between customers 8 miles apart, what’s wrong with that? Telematics systems allow administrators to design efficient delivery routes based on time of day, traffic conditions and designated truck routes. Also, based on hardware configuration, administrators can send 2-way communication to drivers alerting them to real time route changes and vice versa. Example, if a customer calls to cancel/reschedule a delivery, the driver can be instantly rerouted to the next destination. How about them apples?

  1. You support small repair shops by allowing them to diagnose engine problems at $250/hr.

You feel obligated to support your local economy by using the corner diesel repair shop down the street. Since you are his only commercial fleet customer, he charges $250 per hour to diagnose “Check Engine” light issues. You trust he informs you of all the appropriate issues and will promptly get all issues repaired and your trucks back on the road with more problems guaranteed. Seriously? If the mechanic is not a company employee, do really trust him? GPS Fleet Tracking Systems have an option to plug into the truck’s ECM allowing real time engine diagnostics.  No more taking a mechanic’s word for what is wrong with your trucks. You know as much as the mechanic. Now you can properly schedule repairs based on actual urgency instead of trusting someone else’s evaluation. How does that feel?

  1. It’s too expensive for all this new technology

Why should you spend money on something you don’t need? You trust your drivers that have been with you for 13 years. Your insurance agent is your golf buddy; he’s always looked out for your best interest. You have been using the same mechanic for years, you trust him. And I have a 28’ box truck full of gold bars I’ll sell you for $1,000. With all the competition in the GPS Tracking industry, a little shopping around will open up how affordable today’s systems are. Several providers offer equipment in the monthly subscription pricing. Others have you buy the hardware upfront but offer lower monthly subscriptions. It depends on your budget and options needed in order to fulfill your GPS Tracking needs.

For companies operating commercial fleets, there is a huge initial investment in purchasing the fleet along with maintaining the fleet to keep revenues coming in the door and drivers happy. A little more investment into the fleet can help increase the company bottom line by reducing some of the above mentioned expenses while maintaining driver satisfaction. As a company owner, your fleet manager, who tackles these issues daily, should be your first resource in researching what your fleet needs to become its most efficient.  With research in hand, enjoy shopping!