Fleet management has become one of the most popular digital trends for companies of all sizes. Starting from small and mid-sized retailers with a couple of vans to big freight forwarding companies with thousands of trucks making national and international deliveries, the use of fleet management systems has become imperative when it comes to maximizing the efficiency of vehicles.
The challenges brought about by the pandemic along with the stiff competition from the multinationals have prompted traditional players in the road freight sector to update their operations by embracing technologies that are key to the digital transformation of the supply chain industry. The application of technology in the trucking industry is allowing it to survive in the face of competition and prepare itself better for any future disruption.
The road freight industry which is having to contend with a massive rise in fuel prices along with a shortage of drivers is taking every measure to boost productivity while reducing expenses at the same time. Making use of fleet management software is helping trucking companies achieve their objectives right from their office regardless of the location of their trucks.
What are fleet management systems?
Fleet Management systems are used to monitor a fleet of vehicles with a special focus on maintenance, budgeting, and safety. Managing a vast fleet of trucks can be a challenging and tedious task and therefore streamlining this job with the help of automation has become a very popular option for road freight companies. Trucking companies of all sizes are utilizing fleet management systems for more effective management of their nationwide delivery services while reducing their expenses. Simply put, the purpose of these software is to control the complete lifecycle of the trucks so as to minimize risks and enhance productivity and profitability.
Fleet Management Systems helps to improve driver safety by including a video recording feature. Simply put, it monitors the habits of the drivers to prevent accidents and enhance safety. Additionally, its in-built GPS tracking tools allow logistics managers to track every truck in real-time and even redirect them when needed. They also provide fleet managers with all the data required to create a preventive maintenance schedule for the fleet. It includes data such as miles travelled, fuel usage, engine hours, etc that can be used to manage the maintenance cost of the fleet. Among other things, it also greatly helps to increase customer satisfaction by providing them with enhanced ETA accuracy via GPS tracking information.
Advantages of fleet management system for the road freight industry
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Enhanced operational visibility
Fleet management systems offer the logistics manager plenty of historical and real-time data. This information enables the fleet managers to get a clear insight into the operations of the vehicles as well as real-time updates. The GPS sensors in the trucks allow the managers to keep tabs on the movement of the vehicle at all times. It gives a clear idea of the travel time, detours taken, and the rest time of the trucks. Logistics managers no longer need to interrupt the drivers for any necessary information since the software constantly sends updated reports.
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Cost reduction
Fleet management systems when used correctly can be a useful tool for cost-cutting. The valuable insights it provides can give a clear picture of the precise costs of each vehicle for the company. This allows the management to take action and amend operations as required. Drivers, vehicles, and fuel are getting more expensive by the day. They can add to the expenses of the trucking companies when left un-monitored. The task of fleet management software is to streamline the operation of the vehicles and even determine the cost of fuel consumption per vehicle in the fleet. The report provided by these systems can be used to save a lot of expenses in the long run.
Additionally, fleet management also greatly reduces the maintenance cost of vehicles which can often become burdensome for trucking companies. By keeping track of the distance travelled, the engine hours, fuel consumed, and other relevant factors, these systems can help to address several truck-related issues even before they occur. They allow the logistics companies to plan preventive maintenance on time.
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Enhanced safety of the drivers
Better safety of vehicles automatically results in safer drivers since their behaviour is being monitored. These software allows fleet managers to use vehicle trackers and engine diagnostics to find out when the drivers are rash driving, braking, or accelerating. In other words, the use of fleet management software can help to reduce instances of speeding. Moreover, the video recording feature in some of the fleet management software helps in monitoring the habits and behaviour of the drivers which helps to avoid accidents and enhance safety. Lastly, these platforms can even enhance the day-to-day experience of the drivers by automating several manual tasks.
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Optimized productivity
Fleet management systems help to address the problems of delays, and idling which in turn results in increased driver productivity and reduced operational costs. It allows the logistics managers to monitor idle time, driving pattern and driver behaviour and take appropriate action. Moreover, they can also help to achieve sustainability by lowering vehicle emissions. Finally, the use of GPS allows managers to chalk out efficient and effective routes. They make available data regarding fuel usage, mapping, and other factors thus maximizing fleet productivity.
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More customer satisfaction
Fleet management systems allow the players in the road freight industry to focus on the core aspects of their businesses without worrying too much about vehicle management. The real-time updates, cost efficiency and on-time deliveries also make way for better client servicing that go a long way towards building a brand.
The use of fleet management software in trucking operations implies an enhancement of the staff of the trucking companies in terms of management. Adoption of digitization encourages the team to become more involved in the entire shipping process the natural outcome of which is improved customer experience. Furthermore, the emphasis placed on cost-cutting and safety awareness automatically results in greater productivity thereby leaving provisions for international growth of the trucking companies and enhanced workplace morale.