ROI tracking, some say, is the tricky part in GPS Tracking! First, no one remembers the slick ROI calculator that was emailed to you when the product was first sold. Now, when you are investing in Electronic Driver Logs (ELD), it’s time to think once again about ROI.
Sure, there’s a Fed mandate on ELD and you just need to get this done, but these are expensive deployments, especially if you want a tamper proof, rugged tablet, vehicle mounted ELD solution.
Will it prove to be worth it to fork out a few more dollars each month to go in for an integrated Fleet Management platform that does more: GPS Fleet Tracking, Asset Tracking and Electronic Logs?
This blog examines the question of choosing wisely: The value from a one-stop combination of having a GPS Tracking, Asset Tracking and ELD solution.
You need eLogs, so why a Fleet Management Platform?
There are some who think that only very savvy executives in larger fleets can really put the advanced features to proper use. Fact is, competition is a major factor across the fleet transportation industry. To lag behind also means to shrink the opportunity for your fleet. The right ELD provider can train your team to master the procedures of effectively using an integrated Fleet Management platform so that your business makes higher profits. More recent Cloud based solutions are easier to use and deploy compared to the clunkers of the past where you needed a Ph.D. just to navigate the web portal.
A full-fledged fleet and asset tracking solution (beyond ELD) will achieve better deliveries for your clients because of route optimization, it will reroute your vehicle based on traffic updates, it will monitor risky driver behaviors, and create vehicle diagnostic reports.
Savings + Compliance = ROI
The first thing in Fleet Management is safety—of the driver, the vehicle and its cargo and of course, that of other road users and their vehicles. HOS compliance is a big step in that direction and the FMCSA mandate is mainly a cautionary step. You are going to be installing an Electronic Logging Device (ELD) on board all your commercial vehicles if you haven’t already.
When you keep a tight check on negative driving behaviors such as harsh cornering, abrupt braking, and hard acceleration, you lower your maintenance costs. The US Dept. Of Energy has reported that hard acceleration and harsh braking cause fuel economy to dip by as much as 33% on a highway.
Speeding too makes a big dent into mileage. Research shows that there is a drop of about 10% in miles per gallon for every 5 miles you add to speed when you are doing 50 miles an hour.
Not only that, such driving behaviors also increase wear and tear which shows up as tire wear out, reduced brake life and additional maintenance including repair. Such costs can be lowered by up to 14% by deploying Telematics, as per the OECD’s report.
A number of minor inefficiencies that have come to be accepted as an inevitable part of your day-to-day operations will start to come under control, and the savings begin to add up significantly.
Besides Fleet Tracking, what can your ELD Provider do for you?
If your business doesn’t invest in raising its operating efficiency, it starts to lose control over its costs. When you install a Telematics solution, make sure that you have an introductory phase, a coaching program and throw in driver incentives, and then watch efficiency go up and fuel costs go down.
Finally, a robust integrated solution will also have the ability to ‘talk’ to your dispatching applications using APIs (Application Programming Interfaces). APIs alone are not enough. You need to find a vendor who can enthusiastically get behind a discussion with your dispatching vendor and tie the two systems together. Too often, the discussions get stalemated in the ‘I have APIs, you have APIs, who’s going to write the software code that ties them together’.
A fleet tracking solution for logging profits
To sum up, an integrated fleet tracking solution (including ELD devices) for your fleet operations will accomplish the following:
- Simplify all compliance such as HOS, DVIR and IFTA reporting.
- Avoid penalties on account of the above.
- Optimize the routes taken and reduce the miles to the destination. In turn, this saves hours and fuel.
- Report vehicle diagnostics
- Reduce administrative functions for fleet managers
- Streamline vehicle maintenance with better scheduling.
- Avoidance of opportunity loss due to sudden breakdowns, due to the above.
- Track your assets even those that only move occasionally.
- Save the environment and fuel waste by a reduction in idling.
- Avoid problem escalation by coaching drivers in time to reduce risky behaviors.
- Total up the advantages in dollar terms for higher profitability. Check if your solution includes GPS Tracking, Asset Tracking, Integration with Dispatch and ELD.
At Azuga, we guide every client, regardless of their fleet size or ELD implementation, towards better profitability through an integrated Fleet Management solution so you can decide to invest for a smarter fleet operation instead of only basic compliance.
Azuga is a pioneer in Driver Rewards Programs and has helped its clients to incentivize their drivers. It also gives away prizes to drivers employed with its clients across fleet companies every quarter, which has become a noted event in the industry. Azuga is focused on customer success through its emphasis on building engagement with your drivers – through its leaderboard and score updates. We believe “When drivers compete, everyone wins!”.
