So many business owners we talk to have serious concerns about how their teams would react to installing gps devices. After all, for many small businesses, their field teams are like their families. But fleet management isn’t just about being big brother…
GPS devices help you find the small adjustments that can make a big impact on your bottom line and the health of your business.
More often than not, our customers are shocked by how much they didn’t know about where the “leaks” were in their businesses and have been thrilled by improvements in efficiency, profitability, and–most importantly–their ability to take better care of their field “families”.
Here are 6 key reasons to reconsider installing gps devices on your vehicles and equipment that have nothing to do with not trusting your team:
1. More Competitive Wages and Compensation
You’re paying your drivers for 8 hours a day each day regardless of how many stops they have. When you use telematics tracking to get an extra stop or two out of each of your drivers every day, you grow your profit margins…which means you can afford to pay your employees more than before you started optimizing their routes.
2. Improved Company Culture
When you use your GPS device data to give ‘atta boys to employees with good driver behavior, stand up for them when customers question proof of service, and protect them against fraudulent accident charges, your best employees feel more committed to you than ever.
3. Better Risk Management
Your safety record does a lot more than improve your insurance premiums. A strong safety record was the third most important way to reduce employee churn in EC&M’s September report. Driving behavior reports and vehicle maintenance reports ensure that your drivers feel as safe as possible on the road.
4. Fleet and Asset Utilization
The latest research from Frost & Sullivan found that, on average, businesses that implement GPS device tracking enjoy 15% greater fleet utilization, with an increase of +13% in the number of stops per vehicle. Just think, if your average driver makes 7 stops a day, that means one extra job squeezed in per service tech.
Plus, better asset utilization means more engine hours being racked up on jobsites versus your expensive 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.
5. Fuel Cost Savings
Fuel is estimated to represent about 60% of a fleet’s total operating costs. GPS 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.
6. 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, but those reductions weren’t just from the drivers. Virtual timecards streamline payroll and reduce accounting staff time.
See how other ClearPathGPS customers in your industry have found both greater business success and better employee relations through our GPS tracking system.