What’s next for fleet management in Australia?

Fleet management technology has become an indispensable tool for companies that operate vehicles, and its popularity is growing rapidly. According to research, “the installed base of fleet management systems in Australia and New Zealand will reach more than 2.4 million by 2027”.(1)

Additionally, this research highlights that “the number of active fleet management systems deployed in commercial vehicle fleets in Australia and New Zealand was 1.4 million at the end of 2022”,a growth of 100% in this technology for the forecast released. (2)

This technology is invaluable for companies that would benefit greatly from reduced fuel consumption, increased safety, more productive equipment, improved efficiency and sustainability, as well as many other factors. The company’s full potential could be realised more easily if improvements were to be made in these areas.

In addition, this new solution can help companies prepare themselves for tougher competition,achieving their goals, which is especially useful for companies that want to stand out and work more efficiently.

Let’s see how fleet management technology helps companies stay ahead of the curve.

Implementing an efficient fleet electrification strategy

Electric vehicles (EVs) are the future of mobility. They’re a key piece of the puzzle when it comes to improving environmental sustainability, and we’re therefore seeing the shift towards EVs and new technologies gain momentum. This applies to commercial vehicles, such as LCV and HGV fleets, and will shape the future of transportation.

Once electric vehicle prices become more affordable, the network infrastructure of vehicle charging points will expand, as will the range of vehicles. This may lead to more businesses and individuals adopting electric vehicles.

Advanced fleet management technology can help ensure a smooth transition to electric vehicles. This is because it clearly identifies your fleet’s needs and promotes to: 

• Understand EV opportunities: Identify the most suitable electric vehicles for operation using historical data. 
• Plan grid and infrastructure design: Data insights which promote the planning and implementation of charging frameworks and the energy requirements for electric vehicle adoption.
• Optimise tariffs: Identify and select the most cost-effective electricity plans for charging electric vehicles.
• Plan transitions: Strategically plan and manage the shift from traditional vehicles to EVs, getting it right the first time.

Promoting sustainability at the core of your business 

Becoming more sustainable is a key focus for many organisations. The targets approved by governments to reduce atmospheric emissions means that there will be new regulations for companies operating vehicles.

Improving a company’s carbon footprint, reducing all fleet vehicles emissions, and making the transition to more sustainable mobility by replacing conventional vehicles with EVs is at the forefront of conversation.

Among all of the measures taken by the Australian government, we can highlight that they are “committing to reduce greenhouse gas emissions to 43% below 2005 levels by 2030. The revised 2030 commitment is both a single-year target to reduce emissions to 43% below 2005 levels by 2030 and a multi-year emissions budget from 2021-2030”. (3)

Implementing advanced fleet management technology can help a company comply with established regulations. This is because it allows the company to meet the goals set by the government and the ones that the company has set for itself, too.

Here are the key areas to address in order to improve the sustainability of your business: 

Be aware of your business’ carbon footprint: Understand the carbon footprint of all your fleet vehicles.

Reduce vehicle emissions: Technology can monitor the CO2 emissions that each vehicle and the overall fleet releases into the atmosphere.

Reduce fuel consumption: Get your company focused on reducing fuel consumption to improve sustainability and fuel economy.

Promote vehicle electrification: Determine which vehicles are suitable for transitioning to electric fleet vehicles or identify those that need replacing.

Fleet management technology can support the above areas,proving to be very beneficial for improving sustainability.

In fact, according to the latest Fleet Technology Trends Report, 31% of businesses in Australia have improved their sustainability since implementing a GPS fleet management solution. 

Cost savings as a long-term fleet strategy

Larger fleets often find it challenging to reduce their daily operational costs. Managers in charge of these fleets understand the importance of saving every dollar.

This is why it is necessary for fleet managers to establish a cost savings strategy and work out in which areas improvements can be made such as fuel economy, safety,daily operating costs and other areas that can positively influence the overall result.

With the help of technology and by observing patterns over time, fleet managers can set realistic targets that can help decrease costs. This results in greater profitability 

According to research, “a 10% reduction in fuel consumption can result in a 31% increase in profit” (4) 

With that in mind, consider a larger fleet that has the potential to reduce their fuel consumption by 10% (or more) and the substantial impact this could have on profitability.

Discover all the cost savings achieved by Australian businesses after implementing fleet management technologies in our latest Fleet Technology Trends Report Australia 2024

AI video technology to protect your team and business 

AI-backed video telematics with driver-facing and road-facing cameras is reshaping safety and efficiency for fleets. More businesses are relying on this technology to prioritise the safety of their teams and business. 

According to global research “the Video Telematics Market size is expected to grow from 6.19 million units in 2023 to 13.35 million units by 2028, at a CAGR of 16.60% during the forecast period (2023-2028)”.(5)

And, this technology has seen remarkable growth in Australia. According to the latest Fleet Technology Trends Report in Australia 2024, video telematics has grown by 6% from 2022 to 2023.

Furthermore, the report showed that 76% of dashcam users improved safety, 69% reduced false claims, 54% reduced accident costs, 40% reduced insurance costs and 55% improved managing daily operations.

Also, 81% of survey respondents across all industries consider in-cab video “extremely” or “very beneficial” in all the industries to manage their fleets 

Download the Fleet Technology Trends Report Australia 2024 to discover more benefits that video telematics users achieved with this smart technology.

Compliance made easier

The National Heavy Vehicle Regulator, in collaboration with the police works to maintain the safety of heavy vehicle drivers. They explained “that heavy vehicle driver fatigue is one of the three biggest killers on our roads and the NHVR is reminding drivers to ensure they are well rested before setting out on their journey”. (6)

In detail, “In the past year there have been 167 fatal crashes involving heavy vehicles in Australia and 190 lives lost,” (7) NHVR CEO stated.

In this sense, the NHVR establishes that “drivers and other responsible parties in the supply chain are required by law to count work and rest times in a specific way. Understand the rules for counting work and rest times for fatigue-regulated heavy vehicle drivers”(8)

And, technology like fleet management in combination with Electronic Work Diary (EWD) can help businesses minimise infringements for exceeding driving times and avoid doing the necessary rest periods for drivers. Fines are common, costly and can have a huge negative impact on your business -technology can make a big difference for compliance.

In fact, 54% of GPS fleet management users in Australia improved EWD/regulatory compliance this last year.

Empower your fleet and business with an advanced fleet management solution 

Companies that rely on vehicles face many challenges, but by having the most advanced technology available, they can achieve their goals and drive their business to the next level of efficiency, sustainability, productivity and excellence.

Download the Fleet Technology Trends Report in Australia 2024 to discover more insights and trends that can help you and your business. 

Additionally, if you want to see this innovative technology in action, simply request your free demo here. 

Sources: 

•  (1-2): Source: https://www.berginsight.com/fleet-management-in-australia-and-new-zealand

• (3):https://www.dcceew.gov.au/climate-change/publications/australias-emissions-projections-2022#:~:text=In%20June%202022%20Australia%20updated,emissions%20budget%20from%202021%2D2030.

• (4)IDAE

•  (5): https://www.mordorintelligence.com/industry-reports/global-video-telematics-market

• (6)https://www.nhvr.gov.au/safety-accreditation-compliance/fatigue-management

•  (7-8)https://www.nhvr.gov.au/news/2023/11/20/nhvr-leads-national-fatigue-operation-ahead-of-holiday-season