How GPS Vehicle Tracking Reduces Company Vehicle Costs
Are you confused by seemingly excessive vehicle costs? Are you having difficulty explaining why it costs 40% more to operate a specific company car than it costs to operate your own personal vehicle? It might be time to take control of this significant portion of your company’s operating expense. The way to take charge is with GPS vehicle tracking.
Do you recall the news reports a few years ago when UPS decided to have all of their drivers plan their routes and make their deliveries without making left turns? They did some analysis and found that left turns were burning fuel, time and money. How did they perform the analysis? They used GPS vehicle tracking to reduce costs.
GPS vehicle tracking allowed the company to monitor where the trucks were at any given time. They were able to extract reports showing the average wait time to make right turns and to make left turns. They were also able to analyze the amount of extra fuel required to make left turns (due to waiting for traffic to clear or for lights to change). They were also able to convert their findings to dollars lost. They determined that making left turns was simply too expensive.
In September of 2009, the mayor of Dyersburg, Tennessee reported on initial findings about city employee productivity and responsiveness to resident requests for services. Using new GPS vehicle tracking the city discovered several ways to improve productivity, reduce operating costs, eliminate waste, and improve customer satisfaction.
GPS vehicle tracking provides a wealth of information to management, including:
- driving speed (fuel efficiency is lost when speed exceeds 60 mph).
- unsafe or inefficient driving habits.
- use of less efficient travel routes.
- excessive idle time.
- ability to identify and re-route the closest person when there is an urgent need.
- time spent at each location.
All of this information then becomes the basis for helping drivers exercise better driving habits, identify consistent habits that reduce efficiency, and even document reasons for some customer complaints. The ability to activate warning systems, for example, for bad driving habits and to communicate more efficient alternate routes is just the beginning of the value to a company of GPS vehicle tracking to a business of any size.
GPS vehicle tracking systems enable companies to know where their vehicles are, how they are being driven, where they are and for how long. When analyzed over a period of time, bad driving habits, bad routing, and many kinds of costly waste can be identified and addressed with individual drivers, resulting in increased productivity, less waste of time, fuel and money, and improved responsiveness to customers. These and other benefits derived from the data provided by the GPS vehicle tracking system reduce operating costs and increase profits and efficiencies.
With GPS vehicle tracking your company can streamline operations, increase customer satisfaction, reduce costs, and increase profits by facilitating the kinds of savings that directly and proportionately improve your bottom line. Because GPS vehicle tracking is inexpensive, you will probably see instant benefits when the devices are installed in your company vehicles.
