SMEs can reap productivity gains through a Fleet Management system
Although not known to many, installing a fleet management system can definitely boost the productivity of your SME. This system will help you to lower your operating costs and manage your drivers conveniently, allowing you to put your manpower to better use.
Reduced fuel costs
With a large fleet, excess fuel costs can be a huge money leakage. One of the main reasons why companies have very high fuel expenditure is because their drivers take longer routes to their destination. Some companies have reported that drivers opt for more scenic routes instead of taking the shortest route to the job site.
Without a fleet management system, it will be considerably difficult to cut down on fuel costs. Fleet managers will not be able to know the exact locations of each driver, what they have been doing or even the routes they have taken.
Many companies also opt to handle their drivers the tedious way, ie by calling them frequently to locate their whereabouts. This is extremely inefficient as drivers often either have their phones switched off or are experiencing poor reception. Additionally, it will be difficult to call each driver up frequently if you are managing a large fleet.
With a fleet management system, fleet managers can track the whereabouts of each vehicle, which allows them to know what each driver is doing at all times. They will also be aware if the engine of the vehicle has remained idle for a long duration.
Contrary to popular belief, it is actually more fuel-efficient to switch off an engine and then restart it, instead of leaving it idle. Many companies have reported that the long idling times of their vehicles is one of the main reasons for fuel leakage.
Easier management of drivers
In companies that are operating a large fleet, driver management can be a huge problem without a proper fleet management system.
Some companies even hire staff to manually check the status of each vehicle. This is sometimes done through calling the drivers when necessary and churning out a report of every vehicle in the fleet at the start and end of the day.
However, this could lead to the recording of inaccurate information, as the data provided is often an estimate and even second-guessed if the staff are unable to verify the details.
It is also impossible to track important vehicle information such as location, speed, ignition status and mileage manually.
This impedes the competitiveness of companies, as these are actually the key details that are needed to manage a fleet effectively.
There have also been instances where customers have lodged complaints that drivers did not deliver their items, but drivers claimed otherwise, leading to conflict.
With a fleet management system, the live tracking feature allows fleet managers to have access to critical fleet information. Their vehicles can also be monitored through a PC, mobile phone or tablet.
Additionally, when drivers are performing unauthorised acts such as speeding or aggressive driving, fleet managers will be notified. A buzzer is also installed in the vehicle to alert drivers when they are performing unauthorised driving.
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