Six Clear Business Benefits of GPS Vehicle Tracking Systems

In a growing number of businesses, GPS vehicle tracking systems are fast becoming a commodity tool, with a vehicle tracking system being fitted as a matter of course to each new vehicle as it is purchased. Significantly, nearly all businesses that run a large vehicle fleet have either already adopted GPS vehicle tracking systems, or are seriously evaluating them as a way to improve their efficiency and bottom line profitability.

A GPS vehicle tracking system will generally be comprised of a tracking device located inside a vehicle that communicates with a central server and software that enables the company to track the fleet from their office environment. The location information is calculated from signals transmitted by geostationary positioning satellites and can provide any fleet vehicle’s speed, position as well as their direction of travel. The device inside the vehicle transmits its position via the mobile network at regular intervals so that the tracking system has up-to-date information at any given time. The intervals between sending updated information can be adjusted according to how important it is to have an exact location to within a few seconds if necessary, but this needs to be offset against the potentially increased cost of transmitting large amounts of data. In general a vehicle tracking supplier will be able to provide a data contract that includes sufficient capacity for the client’s particular needs.

But what do companies actually gain from adopting a vehicle tracking system? Six of the most common benefits are listed below.

1. Reduce vehicle running costs: GPS vehicle tracking systems can help to reduce running costs by specifically targeting and monitoring those employees who habitually speed and waste fuel. As soon as these drivers are aware that their driving style is being monitored, then companies see a dramatic reduction on fuel and maintenance bills.

2. More efficient service scheduling: By using a system’s automatic mileage reminder it is possible to ensure that maintenance servicing is carried out only when needed, but also that essential serving intervals are not missed, which in turn can help to ensure that when vehicles are sold they hold their value as a result of having being serviced within the manufacturer’s guidelines. Moreover, it will be possible to forecast when servicing is likely to be needed, giving time and opportunity to plan around this.

3. Lower insurance bills: Some insurance companies already reward businesses that have GPS vehicle tracking device in place with a significant cost reduction. In fact discounts of up to thirty percent are not unheard of. This is in part because it encourages safer driving, but also in recognition that should a theft occur, the tracking system can provide valuable information to aid with recovery.

4. Increased staff productivity: Productivity of workers can be increased by being able to keep track of their working patterns, whilst the employee is only too aware that any unauthorised stops and breaks will be readily identified. With detailed knowledge of the whereabouts of each vehicle at any time, it becomes feasible to stay aware of employee activities. Conversely managers can also identify positive behaviour and reward it appropriately with schemes to encourage positive behaviour and generally raise productivity across the entire team. GPS systems can also help to reduce the amount of paperwork that drivers must fill out, which will be perceived as a positive benefit to the employees, as well as increasing the accuracy and reliability of your records.

5. Improved customer service: The knowledge gained from a vehicle tracking system can help businesses to deliver greater customer service. For example, customers can be proactively notified in advance if an employee is likely to be late for a scheduled visit, which is far preferable to them waiting in expectation and gaining a negative perception of your business.

6. Improved business operational efficiency: By having detailed information on the whereabouts of all employees, business owners are far more in touch with their business operations. With the opportunity for greater levels of control over their company. Vehicle tracking systems can, for example, reduce phone bills as it is no longer a necessity to constantly call employees to find their location.

These six examples are just some generic benefits that vehicle tracking solutions can deliver, but in practice all businesses are different and the actual benefits may come from predominantly one or two of these factors, or perhaps something not mentioned at all.

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