If you’re in the business of transport like logistics, or if you run a hospitality business or any business that needs an effective fleet to support your daily operations, you already know that fleet management is a pivotal part of your business.

For many business owners, fleet management is key because it helps them remove or minimize the risks associated with vehicle investment. Effective fleet management helps improve efficiency, productivity, and it reduces the company’s overall transportation and staff costs, providing 100% compliance with government legislation and many more.

Fleet management can be done in-house or it can be outsourced. Either way, it should possess the important functions of a modern fleet management service for you to enjoy the maximum benefits.

Which functions are these? Keep reading. 

Vehicle tracking

This is the most basic component in a fleet management system. Vehicle tracking is usually GPS-based but in some cases, it relies on GLONASS or a cellular triangulation platform. This component is responsible for determining vehicle location, direction, and speed. It then sends these data to a fleet management software application and becomes accessible to the end-user. The user can now see the actual location of their fleet on a map and they can use this data to quickly respond in case of an incident in the field.

Mechanical diagnostics

One of the important roles of a fleet management system is diagnostics. Is your fuel consumption accurate? What is your vehicle’s mileage? An advanced fleet management system is able to connect to the vehicle’s onboard computer and is able to gather data like fuel consumption and mileage for you.

Driver behavior

Driver behavior is another piece of information that is important for fleet managers. A good fleet management system has the capacity to collect a full range of data in real-time. Aside from vehicle tracking, it’s also possible to create a profile for any given driver based on speed, the frequency of detours, breaks, the severity of maneuvers, choice of gears, and other behavioral metrics. This data helps fleet managers identify drivers with dangerous habits and inefficiencies that can be corrected with remedial training.

Fleet management software

The software is the brain of the system. It enables the fleet manager to accomplish a number of specific tasks to be able to manage all aspects relating to the company’s vehicles. These tasks involve all operations from vehicle acquisition to disposal. The basic functions include recording driver and vehicle details, the tracking of procurement costs, scheduling of maintenance and servicing tasks, import of fuel transactions, and measuring of fleet performance via reports and charts.

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Fleet security and control

Security is one of the key features of a fleet management system. Recent developments in fleet management technology allow for the addition of over-the-air (OTA) security and control. This important feature includes the ability to safely disable a vehicle while in operation. This enables the fleet manager to recover stolen or rogue vehicles while minimizing the chance of lost or stolen cargo. Disabling can also be done remotely, depending on how advanced your chosen system is.

Fleet replacement and lifecycle management

The timely replacement of vehicles and equipment should also be considered when choosing your fleet management system. It helps managers predict asset lifecycle based on cost information, utilisation, and asset age. One of the strategies used by companies is to use a new fleet as a strategy for cost reduction where the used fleet is sold so that a new fleet is maintained.