If you simply refer to the broader definition, Telematics refers to the communications and data that a vehicle sends to the central management system in an automated manner. Basically, telematics refers to the technology that is used for the management of a number of vehicles or a single vehicle based on the driving data of that particular group of vehicles or group of vehicles.
While Telematics was originally used to track the location of a vehicle, today, this technology is used to tell a lot more than just the location. For instance, a complete telematics solution of fleet management may record and send/receive the state of the vehicle (stationary or in motion) the speed, the performance of the engine, the malfunctions of the engine, and the actions along with the driving habits of the driver.
Now if you use this technology for your business, you may be able to reap certain benefits off it. These include the following:
Improvement in service
When you know the exact location of each of your vehicles in a fleet, this allows your dispatcher to make adjustments in the routes in order to avoid problems with weather and traffic on the way. As a result of the better routine, the delivery times may be significantly improved. Moreover, it may also keep the client aware of a good approximate time of the delivery.
Low costs for maintenance and fuel
As a result of the better routine, the number of miles that a vehicle has to travel gets reduced significantly. Since the fuel costs happen to be major expenses in every fleet operation, cutting the costs down can result in a lot of saving. Moreover, a reduced consumption of fuel also results in a lack of emission in the greenhouse gases hence reducing the carbon footprint of a company.
Moreover, when a lesser number of miles are traveled due to efficient routing, the maintenance costs can also be avoided. This is because the vehicle is likely to run into a lesser amount of troubles or maintenance requirements due to lesser miles covered.
Reduction in the administrative costs
In case a telematics solution makes use of electronic logging devices, it removes the need for the practice of signing daily service hours in logbooks. As a result of this, the entire wage system could become automated rather than having to hire an administrator to manage the wages.
Improvement in safety
When the driving habits of every driver are logged, the drivers are more likely to adopt more safe driving practices. This is because the drivers will be aware that their driving habits are being logged and monitored at random intervals. As a result of this, the safety factor of a fleet will increase significantly.
It is becoming very common
The telematics technology is being adopted on an industry-wide level nowadays. It is likely that all types of vehicle fleets will make use of this technology in a couple of years, hence making it important for every trucking operation. As a result of this, the entire industry may change. So in order to remain in the competition, you must also follow the trend.