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Fleet Management:  Top 5 Myths About GPS Tracking

9/14/2016

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Over the years of working in the Fleet industry I have to come to realize that many business owners are misinformed about the benefits a GPS Tracking System can provide to their business. So today I’m going to deflate some of the common myths about GPS Tracking Systems.

1.    “We Trust Our people, So We Don’t Need GPS Tracking”

Many fleet owners and fleet managers believe that GPS Tracking is all about BIG BROTHER watching over them. THIS IS NOT THE CASE!!! This is a tool to not only reduce your costs but to help your fleet run more efficiently. If your fleet is running more efficiently then you’re getting more jobs done and making more money to grow your business.

2.    “If We Put GPS Tracking in our Vehicles our Drivers Will Quit”

Just like you, many drivers may be misinformed about GPS Tracking and think “They just want to micromanage me” “What am I doing wrong?” THIS IS NOT THE CASE. It’s all about presentation. When your planning on rolling out a new GPS Tracking System, have a meeting, talk to your drivers. Explain to them it’s not about micromanaging them. Tell them all the benefits the system will provide to them and the company. Tell them how it will provide better dispatching & routing for them, helping to make their days a little easier. Explain how it will help keep better track of the maintenance on the vehicles or even provide diagnostic codes so they can spend less down time in the shop. Go into how it will provide an extra layer of safety. For example, if they break down on the side of the road you will know where they are and be able to send help. Let them know their security and safety is important to you.

I’m going to tell you a little story. A client of mine had bought GPS Tracking for their fleet and some of the drivers weren’t happy about it. That is until one day when the GPS Tracking systems helped to save one of the drivers job. It was a cold day in February and we were in the middle of a blizzard. My client was from a municipality and a lot of their fleet was made up of snowplows. Their drivers would go out on the road to plow our streets to keep us safe. Well 24 inches of snow had fallen & it was very wet and heavy making it a little more difficult to plow. This one particular driver was up for the task and plowed a busy residential road. Well, because that snow was so wet and heavy it knocked down numerous fences on that block. The residents were outraged accusing the driver of speeding down the road and causing this damage. They wanted the town to pay for damage to their property. Now this poor driver was being accused of damaging property and was facing the possibility of losing his job. I received a call from his supervisor and he explained what had happened and didn’t know what to do. I logged into their system and checked on a speeding report for that driver. The report showed he wasn’t going over the posted speed limit. He did nothing wrong. This report helped that driver keep his job. There are numerous times when having a GPS Tracking device has backed up a driver, explain this to your drivers so they understand you want to protect them.

3.    “It’s too expensive. I don’t have the money for that”

This is a very common misconception. The truth is having a GPS Tracking System installed in your vehicles provides a sizable Return On Investment (ROI). Let’s break it down like this:

 ·      Fuel Savings 
Let’s say you have 20 vehicles and the GPS Tracking System will help you save 3 miles a day per vehicle and reduce idle time by 8 minutes a day per vehicle. Sounds Reasonable Right! Your average vehicles mpg is 14 and the average cost of gas is $2.25 per gallon. This alone gives you a $438 a month fuel savings. That’s Huge

·      Productivity Savings
Let’s say the GPS Tracking System will help you gain 10 minutes per vehicle per day. You still have the same 20 vehicles in your fleet. You charge customers an hourly rate. Say its $100 an hour. Now you’re getting an extra $7,167 billed out per month. Because you are saving all that extra time, now your able to get more jobs done which means more money coming in Right!!  

·      Your Return on Investment
Say you have to pay $30 per month per vehicle for the GPS Tracking system, you have 20 vehicles. So your monthly cost for the system is $600. Your Monthly savings total by using a GPS Tracking Systems is $7,605. Subtract your monthly service cost of $600 from your Monthly Savings total of $7,605 and your R.O.I is $7,005 per month. That’s an extra $84,060.00 your bringing in a year. DON’T BELIEVE IT! Still not convinced that the system not only pays for itself but will bring in more money, Ask for a trial of the GPS Tracking System from the provider. I promise you within 30 days you will not only see a Return on Investment but you will wonder why you didn’t do it sooner.

4.    
“All GPS Tracking Systems Are the Same”

THIS IS NOT TRUE!!! Yes, in general GPS Tracking systems use the same basic GPS Technology. However not all GPS Tracking systems offer the same features and benefits. You want to choose a vendor like BLACKRIDGE Solutions that will be committed to you after the sale. A vendor that shows interest in learning how your business operates and the goals you want to accomplish for your business. You don’t want a cookie cutter GPS Tracking system. WHY YOU ASK? Because your business is unique and you want a system to adapt to your needs, not the other way around. Ask about customization's, different types of reports, software upgrades and things you need. Remember you want to have a system that will be able to grow with your business.

5.    “It’s Hard to Install and Use”

Over the year’s technology has gotten better and better, making it easier to install various GPS Tracking Devices into your vehicles. There are several different types of GPS Tracking Devices for your vehicles. OBD II units are plug in units that simply plug in the OBD port of the vehicle (like the Geotab GO7). J-Bus units are very similar to OBD II units just for larger vehicles such as trucks. Then of course there’s Hardwired units. These devices have three wires attached for installation. Its usually installed behind the dashboard and hidden from view. Then you just connect the wires accordingly 12 volts, ignition & finally ground. Your system is up and running. SEEMS PRETTY SIMPLE, RIGHT? Well the reality is that most companies will provide you with installation of the equipment if you want it. Also many companies with Fleets have their own mechanics and they should have no problem installing the units. As far it being hard to use, well that all comes down to choosing the right provider. A good GPS Tracking provider like BLACKRIDGE Solutions will walk you through the implementation process. They will help with training, interpret system data and apply it to improve your operational functions and help your business run more efficiently.
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OK. There you have it. 5 Myths about GPS Tracking proven to be wrong. Hope it helps!

BLACKRIDGE Solutions:  Leading supplier of fleet management solutions to organizations throughout North America. Contact them at:  (778) 686-5799 or [email protected]
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GEOTAB GO7:  Top selling fleet mangement solution in North America for 2013, 2014 & 2015

Vancouver fleet management
Vancouver fleet management
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