Telematics for Fleet Management? Here’s What you Need to Know

Telematics for Fleet Management

Over the years, telematics has managed to transform several industries and accelerate numerous spheres like construction and transport. Telematics has managed to cement its place and importance in fleet management, given the significant expansion of fleeting companies.

Considering how the introduction of telematics has proven to be critical in effective fleet management, it is essential to get a good grip on what it is.

What is Telematics?

In a nutshell, telematics is about the transmission of information over long distances. In fleet management, however, it is typically used for the remote control and management of vehicles and assets.

Vehicle Telematics

Fleet telematics assembles a significant amount of data using Global Positioning System (GPS) technology and sensors to supply fleet managers and operators with vital information to run their fleets.

GPS enables live visibility of the vehicle in question. It also assesses the speed and movement along fixed areas and points via geofencing. Sensors can allow you to record data on driver activity, which includes parameters like sudden brakes, reckless cornering, aggressive and unnecessarily fast driving, and so forth. Engine diagnostics extract data from the diagnostics systems in the vehicle. This data is mainly used to retrieve fuel vehicle odometer and fuel efficiency readings.

The Working of Telematics

A telematics system consists of a vehicle tracking device that facilitates the transmission and storage of data. It connects through the onboard diagnostics of the vehicle using a sim card. An onboard modem enables wireless communication. This device collects the Global Positioning System (GPS) data along with a multitude of information about the vehicle and sends them through General Packet Radio Service (GPRS).

The captured telematics data generally includes parameters such as speed, fuel consumption, location, sudden braking, and so forth. Fleet operators and managers can analyze these parameters to gain deeper insights about their fleets.

How your Fleet can utilize Telematics Systems

Here are some exciting features of telematics:

Tracking Your Vehicles

You can track your vehicles through the combined use of GPRS networks, GPS satellites, receivers, and cloud computing. A receiver extracts data from GPS satellites and then subsequently processes this information. This data is then used for a variety of applications like navigation systems for drivers. Additionally, it also sends this data to web servers through GPRS. Office-based staff use this data on web servers to assign a new job to the nearest driver.

Asset Tracking

Attaching GPS trackers to assets can significantly simplify the process of GPS fleet monitoring. You can make sure your trailers and other assets do not go missing by attaching GPS trackers to them. When drivers unhitch a trailer, they can tag their location in their respective GPS units and pass on those coordinates. Also, you can set up this system such that you receive instant updates if assets are moved without permission.


Fleet managers generally use telematics to keep track of their vehicles’ location and speed, among other parameters like the use of seat belts, harsh driving, and so forth. Telematics helps fleet managers understand where they can improve in setting up more effective accident prevention steps and safety standards.

Effective Maintenance

Telematics allows fleet managers to keep track of hours-of-use, warranty, service records, engine hours, and a bunch of other aspects of maintenance. This helps fleet managers stay on the top of their game and drastically reduce their expenses and simultaneously keep their vehicles operational and running consistently.

Effective maintenance includes taking care of battery voltage, the temperature of the coolant, engine diagnostics, and so on.

Assessment of Insurance Risk

Telematics plays a vital role in monitoring driver behavior. Insurance companies are known to employ telematics to keep track of the behavior of drivers, thereby determining risk factors more accurately and adjusting their insurance premiums accordingly.

Benefits of Telematics

Telematics is used by a variety of industries and sectors, including towing companies, trucking and logistics, food and beverages, utilities, waste management, oil and gas, mining, construction, and many more.

Drastic Reduction in Fuel costs

Using telematics, you will be able to point out areas of waste. Examples of these are fuel slippage and vehicle idling. Fleet managers should have no problem taking care of these problems and hence, boost fuel efficiency.

Telematics can also assist the management in planning the optimal route for every driver to ensure the reduction of unnecessary mileage.

Boost in Productivity

GPS system data allows drivers to avoid traffic, and cautiously plan their tasks in view of the weather. Also, managers should have no problem giving site visits and other tasks to the nearest vehicles along with the best route to use for the same.

Improvement in Safety

Telematics can provide regular feedback on driving and on-road behavior, thereby allowing fleet managers to coach and monitor their drivers to avoid potentially dangerous problems like sudden brakes and speeding. This improvement can be made through data-based reports that show the driver’s performance on the road.

Simplified Management of Wages

Telematics can allow you to track the exact time a vehicle starts to the time the driver switches it off. This allows fleet managers to have an accurate record of the employee’s working hours.

Also, employees can verify that they are fairly compensated for their work. It is a streamlined process for both parties as there is no time unnecessarily spent on matching job tickets to timesheets.

About the Author: Zack Walker

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