How IoT is revolutionizing fleet management?
How IoT is revolutionizing fleet management?
IoT is a breakthrough that led to a remarkable technological evolution in the recent past, with its radical advancement in every possible industry. It is the present and future for ground-breaking business transformations.
This advancement encouraged nearly every business to re-evaluate their strategies and streamline their operations. Fleet Management is no exception. Every business is tailored in its unique way to its personalized goals.
Fleet management is facing challenges like never before due to external pressures: safety concerns, time, productivity, timeliness, or efficiency. IoT solutions in fleet management are offering valuable insights based on real-time data analytics. Leveraging the data derived from the vehicle can dramatically impact the business, from alleviating risks to generating higher revenue.
IoT in fleet management and its necessity
Almost every organization depends on commercial transport for various reasons starting from procuring resources to delivering services. The goal is to reduce the costs and risks of investing in vehicles to ensure smooth sailing.
Commercial vehicles are rendered to ensure the reliability of numerous business functions. From courier services to health care, almost every organization has fleets that require extensive coordination and maintenance, which is not a mediocre task.
Times are changing. The days of following standardized procedures are no longer practically viable. We’re very well aware of how the increased demand for quick supply and transportation is skyrocketing.
Imagine having access to every possible information at the tip of your fingers. Systematic fleet management dynamically aids in meeting the clients’ needs, reduces labour costs and streamlines operations. It also saves a great deal of time for the fleet managers.
How does a fleet management system work?
A comprehensive fleet management system is crucial to maintain and manage your assets to reduce potential risks associated with costs, transport, and compliance guidelines. It boosts uptime and improves the overall efficiency to drive customer satisfaction.
Effective fleet management leads to successful fleet operations, which increases your client’s reliability and reduces unnecessary expenditure associated with asset damage, fines, and litigation, all while following the company safety and environmental guidelines. Fleet management is vital to mitigate risks of any form, be it commercial or personnel related.
Is IoT the future of automation?
To stay neck and neck with the contemporaries while standing out in the market, fleet operating companies require a huge deal of data to keep track of the events bound to the vehicle tasks to monitor the overall productivity. Leveraging IoT in fleet management systems have dramatically boosted performance and sustainability.
The IoT in Fleet Management market’s global value exceeded over 7 billion USD with a growth rate of over 20% from 2016 to the present. There are over 250 million connected vehicles on the road and popular automotive companies such as Tata Motors and Ashok Leyland are already driving change by manufacturing intelligent vehicles equipped with advanced connectivity features.
Data is the new hero. Leveraging technologies such as big data analytics, observing the patterns by virtually tracking the data and establishing remote coordination has become a gamechanger for many fleet operating companies. Gaining insights to monitor and consistently provide high-quality services transforms your business. IoT assists in digital transformation with the help of broad-spectrum telematic systems and ultimately achieves optimal fleet management.
A fleet management software system uses a holistic approach to automate many manual processes and saves much paperwork. It enhances the vehicle’s timely availability and ensures optimal utilization to drive revenue growth. It also reduces the maintenance costs by providing cost-effective connectivity.
Use cases of IoT in fleet management:
- Rapid data acquisition using sensors– Sensors are equipped to track every possible aspect of the vehicle, such as fuel, temperature, tire pressure, speed, etc. It is crucial to monitor them closely and periodically. This data can alleviate potential problems and aid in instant decision-making by directly connecting to the on-duty personnel and warning them well in advance.
- Global Positioning System (GPS) – The GPS devices enable remote monitoring and tracking. Transmission of real-time data helps fleet operators monitor the vehicle status and driver activities to ensure safety and prompt service.
- Automation– Automated warnings and notifications help drivers avoid any traffic or weather-related disruptions and provide crucial information such as the nearest gas stations or instructions for diagnostics.
- On-Board Diagnostics (OBD II) – Compatible with the latest cellular networks, OBD reports the meaningful compilation of the critical data. A customized dashboard can be created to assess this data, which provides a report to the fleet managers. It can significantly cut down the audit time.
- Radio Frequency Identification (RFID) in IoT– RFID tags have proven extremely useful as they capture the required information subject to the unique IDs (UID) using the attached microchip. When integrated with IoT features, RFID can help quick transmission of the data, which assists in product traceability and inventory management. RFID also provides a wide range of applications related to security, stock tracking, etc., and increases the overall accuracy by eliminating the possibility of human errors.
To read more: How IoT Is Improving Transportation and Logistics
Advantages of IoT in fleet management
Here are some of the advantages offered by IoT in fleet management:
- Personnel safety by driver tracking – Monitor driver actions, on-road fares, and security by potential risk mitigation to prevent conflicts, accidents, and vehicle downtime.
- Cost reduction – Cut down unnecessary pit stops and reduce engine idle time to avoid fuel wastage.
- Preventive maintenance – Prevents and reduces downtime by predicting the risks and issues timely warnings to perform an inspection. This increases the asset’s life and consequently reduces maintenance costs.
- Improve engine performance – Active monitoring using sensors can help predict a potential engine failure and duly implement engine diagnostics.
- Compliance with environmental guidelines – Some systems like OBDs can also perform smoke testing to reduce carbon emissions and protect the environment while abiding by safety regulations.
- Fuel efficiency – Optimized routes reduce fuel refills and ensure that the vehicle doesn’t run out of fuel abruptly. It also helps reduce idle time and save energy.
- Remote tracking = increased security.
In trying times like these, where a global pandemic is taking over the world, it’s almost impossible to monitor and enable timely delivery and tracking of essentials while abiding by the lockdown protocols. It is high time you eliminate this uncertainty by investing in an effective fleet management solution.
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