Fleet management system benefits for Australian businesses

Keeping a business competitive is becoming increasingly challenging. Fleet managers, in addition to overseeing day-to-day operations, are also responsible for ensuring that the business runs as efficiently as possible, as this is key to gaining a competitive advantage.

Competitiveness is directly related to efficiency, which is when you achieve the best performance from the resources available in order to put your company at an advantage.

Technology is indispensable when you want your business to be as efficient and competitive as possible. It enables businesses to address essential aspects such as operating costs, fuel consumption and route optimisation, among others. 

According to the latest Fleet Technology Trends Report in Australia, those using GPS fleet management technologies benefitted in areas that are crucial for their business and its competitiveness. Let’s dive into the top 5 of the top 14 improvements achieved after implementing GPS fleet tracking:

• 55% Improved customer service
• 54% EWD/ regulatory compliance
• 51% Decrease in fuel consumption
• 50% Improved routing
• 49% Improved productivity 

Download the Fleet Technology Trends Report Australia 2024 and discover all the benefits for fleet management technologies that can help boost your business.

Smart daily fleet operations for smart business

Large fleets understand that it takes some time for fleet operations to be successful. Every day has a major impact on the bottom line.

Achieving efficiency in daily operational activity therefore isn’t something that happens overnight, but should be achieved through the company’s way of working and its culture.

To achieve this goal, one of the best allies is innovative and advanced management technology. It should be intuitive and easy to implement. It is also important for it to be completely integrated on a single platform and the data should be able to be effectively analysed and interpreted (kilometres travelled, routes, vehicle status, etc.). The resulting information can then be used to make comprehensive and cross-cutting improvements.

One benefit of fleet management software is that it can help manage daily fleet operations better. 30% of survey respondents in Australia said that GPS tracking solutions helped with managing their daily operations and 31% stated that they improved efficiency. 

Download the Fleet Technology Trends Report in Australia 2024 and discover the goals achieved by Australian businesses after implementing a GPS fleet tracking solution. 

Advanced fuel management to help boost your business’ fuel economy 

Correctly managing fuel consumption is a priority for any company, and even more so for companies with many fleet vehicles. This is because fuel consumption is one of the most important operating costs for large fleets.

Reducing fuel consumption (even minimally) for each vehicle in a large fleet can have a major impact on the company’s profitability. To achieve this, the fleet management solution must provide accurate information in areas such as:

• Driver behaviour: This is directly related to fuel consumption, so it is crucial that the whole team drives efficiently and safely. According to the Accident Research Centre: “Eco-aware drivers use 10 to 15 percent less fuel than drivers without eco-driving skills and behaviour. Eco-driving can also contribute significantly to reduced fuel consumption and costs for the individual and their organization.” (1)

• Route optimisation: Route optimisation is essential to make every kilometre count. By avoiding travelling unnecessary kilometres, you decrease fuel consumption.

• Speeding: Speeding is a safety risk for the whole team as according to the Transport Association Commission “Over the last five years, around 236 people were killed on the road each year, with excessive or inappropriate speed a contributory factor in many crashes.” (2) In addition, increased speed leads to more fuel being consumed, which then increases costs for the business.

• Fleet vehicle maintenance: Keeping fleet vehicles optimally maintained reduces increased fuel consumption, which can be caused by low tyre pressure or low engine oil levels. In addition, making sure that vehicles are properly maintained keeps vehicle wear and tear to a minimum.

• Idling time: Idling for a long time increases fuel consumption and vehicle tear and wear. According to research, “the estimated fuel consumption of an idling engine is 0.6 litres / hr per litre of engine displacement. This means that an idling 3.5 litre engine consumes more than 2 litres of fuel per hour.” (3) 

• Vehicle use (authorised and unauthorised use): Monitoring vehicle use provides insight into how the vehicle is being utilised. This way, you can see if a vehicle is being used outside of working hours. This enables the necessary measures to be taken to protect the vehicle and reduce higher fuel consumption.

By having this information to hand, fleet managers have access to insights based on the actual activity of each vehicle and piece of equipment and can make informed decisions that help improve the company’s fleet efficiency. 

Businesses that implemented GPS tracking solutions reduced fuel consumption across their entire fleet. Almost half of respondents in Australia (49%) said GPS tracking solutions reduced fuel consumption by 15% on average. (4) 

According to an IDAE study: “a 10% reduction in fuel consumption can result in a 31% increase in profit.” (5)

Based on this research, reducing fuel consumption by 15% for fleets in Australia can result in a potential profit of 47% for the business.

Cost savings make a lot of difference for large fleets 

Reducing a company’s overall spending in areas that directly impact its bottom line is a difficult task. There are numerous ways to cut costs and these are in areas such as fuel consumption, labour costs, vehicle maintenance or insurance costs. Cutting costs can not only help a company face its daily challenges but also help to improve its profitability and competitiveness. 

Challenges such as constantly-changing fuel prices, inflation, supply chain problems or higher fleet costs, make each cost reduction achieved in all fleet vehicles a milestone when it comes to the bottom line. This can lead to greater profitability for the business, as well as increased competitiveness.

When it comes to cost savings across all industries in Australia, GPS tracking users decreased fuel costs by an average of 15%. Users also saw an average decrease of 16% in accident costs and a 16% decrease in overall labour costs.

Download the Fleet Technology Trends Report in Australia 2024 and find out about further cost savings achieved by Australian companies after implementing a fleet management solution.

Choose an innovative advanced fleet management solution for your business

Business excellence is something we strive for with the best team, the best tools and the best resources. The goal is to be efficient and maintain the business’ competitiveness.  

All fleet solutions may seem similar. However, advanced fleet technologies can be distinguished by their competitive advantages. These systems have greater innovation, usability and are clearer when presenting results.

The insights from your business operations are displayed in a detailed overview, which helps to facilitate decision making. The technology can be a potential game changer for your company because it generates tangible results, which help you save costs, reduce fuel consumption, and improve productivity among others.

Discover fleet management technology for yourself. Request your free demo and see our advanced fleet management systems in action and find out which benefits they bring to you and your business. 

Sources:

• Source (1): “https://www.nrspp.org.au/resources/eco-driving-strategy-2015-2017/

• Source (2): https://www.tac.vic.gov.au/road-safety/statistics/summaries/speed-statistics 

• Source (3): https://ecomobile.gouv.qc.ca/en/ecomobilite/tips/idling_engine.php#:~:text=The%20estimated%20fuel%20consumption%20of,without%20ever%20moving%20a%20kilometre!

• Source (4) Fleet Technology Trends report (country) 2024

• Source (5): https://www.idae.es/uploads/documentos/documentos_10232_Guia_gestion_combustible_flotas_carretera_06_32bad0b7.pdf