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The current tough economic climate means that many businesses are having to tighten their belts to keep up their competitive edge and survive. This means that managers are constantly looking for new and creative methods of reducing their overheads. Vehicle tracking is something that is worth seriously considering for any company with a fleet of vehicles to manage.

A fleet tracking system will enable the management team to carefully watch their fleet logistics. For example, the tracking system software will report back on whether drivers are adhering to the most time and fuel-efficient routes. It will also check and test driving techniques to make sure that driving speeds are safe, legal and contribute to reduced fuel costs. A tracking system will also detect any periods of engine idling. By monitoring driver behaviour over time, managers can develop and implement a strategy that will lead to a significant reduction in wasted fuel and time costs. This immediately translates into reduced overheads for the company.

Vehicle tracking software monitors employee driving in real-time and provides a range of management information. The management team can evaluate this data at regular intervals and quickly establish where there are any problem areas. Equally, data analysis can highlight the good drivers who exemplify good driving practice. This helpful management tool can be implemented in such a way that it allows companies to reward employees. Incentives can be offered to those drivers who exhibit good or excellent driving techniques. By providing behaviour targets, companies can modify driver behaviour and motivate employees to drive more carefully, more safely and less expensively.

Where there are difficult issues and employees are repeatedly breaking the rules, or failing to follow the company driving policy, the software records can be used to support disciplining. However, this need not be presented as a negative implication for employees. Quite often, drivers can fall into bad habits without necessarily realising that they are doing so. Vehicle tracking reports can help drivers to understand where they have gone wrong and can provide a valuable opportunity for them to improve their performance. In those cases where drivers are unable or unwilling to amend their behaviour, the tracking software provides sufficient evidence to invoke disciplinary action. Ultimately, by rewarding good employees and improving or disciplining bad employees, the vehicle tracking software should contribute to improved employee performance. In turn, this contributes to the company’s bottom line.

As well as improving employee performance and reducing financial overheads, vehicle tracking software can make a major contribution to meeting environmental targets. Not only does the government expect companies to toe the line environmentally, but consumers are often very interested in a company’s impact on the environment. By implementing a vehicle tracking system, businesses can monitor and reduce their carbon consumption. This will allow them to prove that a reduction has been made and that policies are in place to reduce carbon usage further. As well as reducing the company’s overall carbon footprint, vehicle tracking can contribute to an enhanced reputation. This can translate into increased profits for the company because many consumers and businesses prefer to do business with environmentally ethical companies.

Long established companies may worry about how to implement vehicle tracking and whether it will cost more money than it saves, or whether it will create industrial unrest with workers. Many companies, large and small, have found that vehicle tracking has saved them significant amounts of money within the first year, so the system will quickly pay for itself. While some employees typically resist change of any sort, a vehicle tracking system is reasonably straightforward to implement. The vast majority of employees understand the need for businesses to save money to survive. Since drivers depend on the company for their livelihood, they are likely to embrace any measures that help the company to succeed.

One final benefit of implementing a vehicle tracking system is that it enables more accurate information to be given to customers. Because the software works in real-time, the monitoring system can easily track where vehicles are at any given time and when they’re likely to arrive. This can be communicated to customers and prevents frustration about missing or delayed deliveries. In turn, this leads to satisfied customers and repeat custom.

So, any company that is trying to meet challenging financial or environmental targets would do well to consider using vehicle tracking as a management tool. It will reduce overheads, increase productivity and keep customers happy.

 

About the author: Daniel N

 

Daniel N is a UK blogger who writes mainly about finance, business and auto-mobiles. He is currently working on behalf of RAM tracking

 

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