Lower costs with GPS dispatching

June 9, 2015

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Keeping vehicles on the road for as long as possible while minimizing maintenance costs and maximizing mileage, is crucial for companies that use vehicles to deliver their products or service, and even more so for small- and medium-sized businesses. Done correctly, companies can see a significant overall savings that translates into larger profits. GPS technology for fleet management and dispatch can assist with this in three distinct ways: routing more efficiently, limiting unauthorized vehicle usage and improving driver behavior.

GPS helps route drivers efficiently

One of the simplest ways GPS can increase the mileage and lifespan of company vehicles is by using the software to send drivers on the most efficient routes. The most efficient route is not necessarily the most obvious one, especially when the driver must deal with traffic jams and construction. GPS technology designed for commercial fleets delivers live traffic data which allows drivers to route around traffic issues, avoiding unwanted idling time that raises fuel costs and increases engine wear and tear that limits the lifetime mileage of the car.

This benefit is particularly important when dealing with drivers who handle routes with multiple stops. GPS systems can take drivers on the most efficient route to minimize mileage driven while ensuring that all deliveries or service stops are covered. Mapping an efficient route without GPS technology can be inefficient and time consuming.

As a side benefit, GPS technology can help protect companies from the dangers of drivers who are late to their appointments. Since two-thirds of customers will not rehire a company if the driver is an hour or more late and a quarter of all customers will be angry with just a 16-minute to 30-minute late arrival, according to a survey published on Software Advice, an online group that compares field service software, improving route efficiency using dispatch software with GPS improves customer satisfaction as well as mileage. 

GPS tracking helps with limiting unwanted driving time

Drivers who use company vehicles are often tempted to use vehicles for personal or off-the-clock trips. Stopping by the store on the way from one job to the other to pick up personal items may seem harmless, but these types of activities boost mileage and can increase vehicle damage. GPS fleet tracking technology provides a measure of accountability that allows companies to monitor for these problems.

On average it costs a company $1.50 per mile to operate a vehicle. Using fleet tracking software can help them reduce their mileage by at least 25 miles a week for each vehicle, according to an article on Universal Tracking Solutions.

GPS with fleet tracking improves driver behavior

With the right GPS system, fleet managers and company owners get an insider's look at driver behavior. This can help limit gas-guzzling activities like unnecessary idling time or excessive speeding. When driver problems are identified, the management team can take measures to educate drivers and encourage better driving behavior.

Edmunds.com indicates that driver behavior has a tremendous impact on the overall lifespan and mileage of company vehicles. According to Edmunds.com recommendations, driving calmly, avoiding fast starts, sudden stops and excessive speeding, all help improve the lifespan mileage of vehicles.

In fact, specific tests performed by Edmunds.com showed that calm driving improved fuel economy by as much as 33 percent. GPS fleet tracking can tell company owners and managers of fleets what their drivers are doing, enabling them to make necessary changes as needed.

For most fleets, the obvious benefit of GPS is route planning, and that alone can extend the life of their vehicles. However, GPS systems designed for fleets can help maximize the mileage of fleet vehicles in other ways as well. With the right system, today's businesses can extend the lifespan of their vehicles, saving themselves replacement costs and limiting their repair costs, for a significant financial gain.


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