Fleet Tracking Improves Company Performance and Here’s the Proof
Thanks to fleet tracking…
… businesses from construction and industrial firms to local delivery and paratransit fleets are able to monitor their drivers’ routes, routines, and performances. However, business owners often waver when they believe their team might question their loss of privacy, job competence, or job fairness. Change may be resisted but the latest research from Berg Insight, Frost & Sullivan, and the Bureau of Labor Statistics shows beyond the shadow of a doubt that the business benefits tip the scale in favor of fleet tracking for growth, success, and longevity.
After all, the two biggest investments you’ve made in your business are (1) your field staff and (2) your vehicles, which spend the vast majority of each business day away from your yard. Fleet tracking helps you find the small adjustments that can make a big impact on your bottom line and the health of your business.
1. Fleet and Asset Utilization
The latest research from Frost & Sullivan found that, on average, businesses that implement a fleet tracking solution enjoy 15% greater fleet utilization, with an increase of +13% in the number of stops and +24% more miles driven per vehicle.
Just think, if your average driver makes 7 stops a day, that 13% means one extra job squeezed in per service tech.
Further, for construction companies, better asset utilization means more engine hours being racked up on jobsites rather than their heavy equipment gathering dust. And better scheduling of fleet maintenance means that your vehicles and equipment will spend more time making you money than sitting in the shop.
2. Fuel Cost Savings
Fuel is estimated to represent about 60% of a fleet’s total operating costs. Fleet tracking systems have been shown, on average, to save:
- $11 per vehicle per month, thanks to reduced vehicle idling times;
- $34 per vehicle per month, thanks to more efficient routing.
Additional driver behavioral changes save on the order of $165 per vehicle month, bringing the average annual fuel cost savings to a whopping $2520 per vehicle.
You could add another Transit Connect van to your fleet with this annual fuel cost savings alone on a 10 vehicle fleet.
3. Payroll Cost Savings
The Bureau of Labor Statistics found an average annual payroll cost savings of $14,962 per vehicle for those that used IoT solutions like fleet tracking to reduce payroll hours. Plus, fleet tracking software that automates timesheets like our Virtual Timecard can streamline payroll and reduce accounting staff time.
Our no contract fleet tracking plan means you can try vehicle tracking on your fleet and experience the benefits for yourself with minimal investment risk. If the research is right, your investment could pay for itself within the first few months.