Top Benefits of Telematics for Businesses
Telematics is a technology used by various businesses and vehicle owners. The benefits of telematics are plenty as it tracks the drivers ensuring their safety. This can reduce road accidents. This technology is an efficient way to save fuel, and time and optimize routes. Not just that, telematics also provides information about how the vehicle is doing, and if they need any maintenance. This allows fewer unexpected breakdowns. Vehicles are therefore able to run and last much longer. Telematics allows accurate delivery time and better communication. This leads to better customer service and building a loyal customer base for the future.
What is Telematics
Firstly, Telematics is a combination of monitoring systems and telecommunications technology that helps track and collect vehicle information. It uses GPS to keep track of the route that is being followed and the place of the vehicle on it. The technology will let you know if the vehicle is going to need gas soon. This helps businesses run their vehicles smoothly and keep their drivers safe and on time. It can be used in both, personal as well commercial vehicles:
- Cars
- Trucks
- Buses (public transport and school buses)
- Motorcycle
- Vans
- Excavators
- Bulldozers
- Other construction equipments
- Tractors and harvesters i.e. agricultural equipment
- Company Cars
- Trailers
- Shipping containers
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Top Benefits of Telematics
The following are the 14 benefits of telematics:
- Enhanced Safety: It improves the safety of both drivers and vehicles by monitoring their driving habits. This identifies and reduces rash behaviors like breaking the traffic rules, speeding etc. Safe driving leads to less people getting hurt or injured aka less road accidents.
- Fuel Efficiency: The technology can detect and suggest routes with shorter distances and less traffic. This in turn leads to minimum usage of fuel and energy. This is good for the environment and also reduces expenses for the company.
- Time-Saving: It suggests smoother routes so the drivers can reach their destinations as quickly as possible. These faster routes make sure that deliveries are made on time to the customers and reduce the frustration of the employees i.e. drivers.
- Maintenance Alerts: Telematics has a feature of monitoring the condition of the vehicle and sending alerts whenever necessary. Alerts are made for oil changes, tire checks, etc. This helps avoid unnecessary and unpredictable breakdowns and expensive maintenance and repair.
- Saves Insurance Cost: Insurance Companies offer discounts for vehicles when they are well equipped with telematics. Insurers appreciate telematics as it reduces the risk of any accidents happening which in turn benefits the insurance company. Therefore, they charge lower premiums to businesses that use telematics for their vehicles.
- Helps in Building and Maintaining a Loyal Customer Base: Since the routes are smoother and use real-time traffic data, customers receive their orders on time. They also let customers track their delivery information, eliminating the element of ambiguity and frustration.
- Reduces chances of theft and losses: Even if someone steals the vehicle, the system uses GPS providing real-time location data. This helps the system in charge find the item and bring it back with minimal damage. Therefore it reduces the chances of losses to the business.
- Contributes to Driver Training: Telematics provide enough information about the driver’s habits. This way, companies can offer required training in order to improve the skills and safety of the drivers. This helps the company maintain its reputation and keep it safe.
- Eco-Friendly: The said technology has environmental benefits. It reduces carbon emissions as it can provide you with faster routes to reach the destination quicker without having to stop a lot in between due to traffic, which saves fuel. The company’s image is lifted as someone who is working towards building a green future.
- Reduces Operational Costs: Telematics helps reduce overall operational expenses of the business with the help of fuel efficiency and fewer heavy maintenance and repair needs. It might start small but the company will save a significant amount over time.
- Fleet Optimization: Fleet Optimization is basically using data analysis to improve the cost-effectiveness and efficiency of vehicles over time. It helps in planning future vehicle purchases as required.
- Emergency Assistance: It has features like automatic crash notifications. The system has emergency services and speeding up responses in case of a car accident. This can save precious lives.
- Better Compliance of Laws: Industries with a lot of regulations can easily keep up with them with the help of telematics. It can ensure that the drivers do not exceed the legal driving limits by tracking their service hours. This will help the company avoid fines and dodge other bullets.
- Work-Life Balance for the Drivers: Drivers’ jobs are easier and more efficient with telematics. It saves their time and energy hence improving their quality of life. This might help in maintaining a work-life balance as they can get more time to spend at home and a little less on the road.
Popular Companies That Use Telematics
- UPS: United Parcel Service
- FedEx
- Coca Cola
- Lyft
- Uber
- Walmart
- John Deere
- AT&T
- Verizon
- Teletrac Navman
- Geotab
- TomTom
- Siemens
- Ryder
- Bumble Bee Foods
