Tracking a large fleet of vehicles manually is akin to keeping an eye on fifty children on a school field trip. Without efficient tracking solutions, fleet management can give you severe headaches. That’s why you need GPS fleet tracking systems — a combination of data analytics and satellite technology to monitor vehicular movement and driver behavior and streamline scheduling, routing and dispatching processes.

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Article Roadmap

• What Is GPS Fleet Tracking?
• Components
• Key Capabilities
• Primary Benefits
• Types
• FAQs
• Next Steps

What Is GPS Fleet Tracking?

GPS fleet tracking is a fusion of GPS, satellite systems and data analytics that monitors fleet vehicle movements and driver behavior. It’s also known as vehicle tracking or automatic vehicle locator (AVL). Fleet tracking systems use this technology to offer actionable insights to fleet management about vehicles, drivers and equipment.

It leverages telematics to allow long-distance transmission of vehicle and driver data. Efficient fleet tracking not only helps you stay on top of fleet movements but also enhances operational efficiency and optimizes resource allocation.

With 96% of fleet businesses experiencing its benefits, various sectors are increasingly acknowledging the advantage of implementing GPS fleet tracking to enhance their operations.

Top industries that use GPS fleet tracking technology are:

• Trucking
• Transportation
• Construction
• Retail
• Manufacturing
• NGOs
• Government institutions
• Logistics
• Ecommerce

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Components

It primarily consists of four key components: GPS devices, satellite communication, data transmission, and software and analytics.

GPS Devices

All fleet tracking devices come equipped with an on-board unit (OBU), a compact device that can fit on or under the dashboard. Installation involves connecting the OBU to the main power source, the vehicle’s battery. This ensures both a secure power supply and proper placement.

Satellite Communications

GPS devices interact with satellites orbiting the Earth to pinpoint the vehicle’s location. They exchange signals with these satellites to calculate the exact time taken for the signal to travel. By analyzing timing intervals and sending signals to multiple satellites, the device triangulates the vehicle’s accurate position.

Data Transmission

Now that the device has information about the vehicle’s location, it needs to send the data to fleet managers in the office. It transmits the collected location data to a central server and employs IoT sensors for the process.

The transmission can occur through different means, such as wireless or satellite communication or cellular networks. However, the usage of cellular networks is more popular due to their reliability.

Software and Analytics

Then, the central server installed by the software vendor stores this data. Fleet management solutions enable managers to access and analyze the information on any connected device. They can make better policy decisions with actionable reports and comprehensive analysis.

Key Capabilities

Staying in the dark about your vehicle and driver performance can interfere with your ability to run fleet management operations effectively. GPS fleet tracking can fill this gap by offering actionable insights on important metrics with capabilities like:

Real-Time Tracking

It can deliver real-time updates on vehicle movements and locations to fleet managers. You can monitor every vehicle on digital maps to make instant routing, scheduling and dispatching decisions.

Routing

With GPS fleet tracking systems, you can monitor traffic conditions and optimize routing. Some solutions even analyze historical and real-time traffic data to suggest better routes for your fleet. It helps you save time, streamline operations and improve fuel efficiency.

Geofencing

This feature ensures that each vehicle arrives at its designated place through the optimal route. You can achieve this by creating a virtual boundary on digital maps. The system generates alerts whenever any vehicle crosses this boundary or deviates from the predefined route.

Asset Tracking

Track different powered and non-powered equipment for better asset utilization and allocation. You can also mitigate risk of asset theft or misuse by constantly monitoring them.

Driver Behavior Monitoring

You can monitor and track drivers’ performance, including factors like speed, acceleration, braking patterns and even vehicle idling. It helps you identify aggressive or unsafe driving practices and assess whether additional training is required. This approach promotes both safety and fuel efficiency, minimizing accidents and damage-associated costs.

Maintenance Alerting

Apart from vehicles’ physical locations, GPS fleet tracking also monitors the health status of equipment. It can trigger maintenance alerts by analyzing metrics like engine hours, mileage and past maintenance schedules.

ELD and HOS Compliance

You can simplify your reporting procedure to comply with electronic logging devices (ELD) and hours of service (HOS) regulations. Modern systems automatically handle the compliance process to ease the fleet manager’s workload.

Analytics and Reporting

GPS fleet tracking devices analyze fleet data and generate actionable reports accessible through interactive dashboards. You can customize these reports based on your requirements. They also provide predictive analytics for driving trends, aiding in strategic planning and anticipating maintenance needs.

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Primary Benefits

This technology has been around in different forms since the 1980s. However, modern and upgraded GPS fleet tracking solutions have superior data collection and analytical capabilities that help:

Improve Operational Efficiency

Streamline your fleet management operations by getting real-time visibility into your fleet, equipment and drivers, resulting in better resource utilization. Fleet tracking also helps optimize routes and improve dispatching, scheduling and delivery times.

Minimize Long-Term Costs

With average hourly marginal operational costs increasing by approximately $8 last year, you need to minimize additional expenditures and optimize asset utilization to stay competitive. Though implementing a fleet tracking solution requires an upfront investment and monthly subscription fees, it can prevent misuse of resources and save more money.

Ensure Employee Accountability

Create performance-based rewards and additional training programs for employees. You can get detailed reports on key performance metrics to identify individuals who deserve recognition and awards. Acknowledgment and participation foster a sense of ownership among employees toward their responsibilities.

Boost Safety

Safety is one of the critical modules of any fleet business. Even in terms of revenue, a lack of safety measures can be disastrous for your company. It leads to accidents that are not only incredibly costly but can also damage your reputation and brand value. You can get in-depth visibility into driving behaviors and speed patterns to improve safety measures.

Make Data-Driven Decisions

GPS fleet tracking systems can analyze the collected data to offer actionable reports and analytics. You can use this data to comprehensively understand areas that need improvement and create better policies for efficient management and asset utilization.

Types

We can broadly categorize fleet tracking software into three categories based on their installation type:

• Managed-install devices are particularly invaluable for businesses that need comprehensive fleet data for compliance reporting and sophisticated business operations. You can hardwire these devices into your vehicles, and they are tamper resistant. These also have enhanced connectivity with other sensors and devices, allowing them to generate more in-depth reports and provide greater security.
• Self-install devices are plug-in devices that are comparatively simpler to install, and you can easily transfer them to other vehicles in a fleet. If you use a large number of rental vehicles or have a huge vehicle turnover, this option is appropriate for you. However, you can’t use them for compliance purposes.
• Phone-based tracking solutions are basically online apps that use your phone’s capabilities to turn into GPS fleet tracking devices. They offer limited vehicle connectivity and sensors. You can use them to track or communicate with drivers away from their vehicles and for workflow management purposes.

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FAQs

How much does a GPS fleet tracking system cost?

Each GPS fleet tracking system costs approximately $45 per month. However, installation along with additional features might end up costing extra.

How can I track my fleet?

You can get accurate, real-time vehicle location updates with GPS devices, satellite communications and mapping software.

How does GPS fleet tracking improve fleet management?

GPS fleet tracking offers data on fleet location, driver behavior, maintenance, traffic conditions and other key metrics of fleet management. You can analyze this data and make informed decisions regarding scheduling, dispatching and routing to streamline your daily procedures.

Is fleet tracking legal?

In the U.S. and the majority of other countries, it’s legally permissible to install GPS trackers in vehicles that you own. This applies regardless of whether you’re driving or not.

How much does a GPS device cost?

A GPS tracking device may cost around $8 to $40 monthly, depending on the functionalities it offers. Some options also come with an initial upfront cost.

Is there any difference between a car GPS and a truck GPS?

Though the basic functionality is the same, car GPS and truck GPS systems differ in sophistication levels. A truck GPS offers much more precise location information and incorporates features like identifying the best route based on the truck’s weight and size, finding suitable parking and resting areas, offering real-time updates on weather conditions and more.

What are the limitations of GPS tracking systems?

GPS tracking devices provide accurate location data at all times, but they can’t function only when physical barriers like walls block their signals.

Can I track my vehicles from mobile?

Yes, modern solutions offer mobile apps that allow you to track your fleet of vehicles on your smartphones.

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Next Steps

Embracing GPS fleet tracking technology can be a game changer in streamlining your fleet management operations and giving you an edge over competitors. Make sure that you invest in the right kind of system per your business requirements.

If you need help selecting the best platform, check out our free comparison report that lets you compare leading vendors. We offer customized scorecards based on top features and benefits to help you analyze suitable solutions and find the ideal fit for your business.

What advantages of GPS fleet tracking have you experienced? Are there any challenges that you’ve encountered? Do let us know in the comments below!