How Much Money Could GPS Trackers Save Your Business?
How much is fuel costing your business? Are your drivers as productive as they could be? If youre anything like the thousands of other small business owners in the UK, these are questions that are likely to pop into your head on a daily basis. When youre on a tight budget and cashflow is always a concern, trimming expenses down to size is a top priority. There are many different ways you can shrink overheads and claw back cash, but one you may have overlooked is the humble GPS tracker. With a device fitted to each of your company vehicles, whether staff cars, fleet vans or delivery vehicles, you can take control of your business mileage and save a considerable amount each year. Its not just fuel either, as GPS trackers can save you money in other ways, as well as boosting efficiency and
productivity. Trimming mileage down to size
Using GPS trackers, you can cut mileage and therefore extend the life of your vehicles. The biggest immediate saving, however, is fuel. Here are just some of the ways tracking technology can reduce mileage and fuel consumption:
- Choosing the fastest and shortest routes. Your driver may think they are taking the best possible route, perhaps using a satellite navigation device, but a fleet manager watching in real-time thanks to the information transmitted by a GPS tracker may think otherwise. Mapping out all drivers routes and monitoring them in real-time can identify slow spots, caused by traffic or congestion, as well as cutting out on dead ends and choosing the speediest possible routes.
- Optimising stops and deliveries. GPS trackers can help to make your fleet vehicles work more efficiently together. A fleet manager can look at the number of scheduled stops or delivery points and plan an efficient route, so that one vehicle can dramatically improve its productivity and use less fuel to do more.
- Improving driver behaviour. A GPS tracking device will provide you with all kinds of useful information, including the speed of the vehicle. If a particular driver is driving in a way that unnecessarily hikes up mileage figures, or perhaps claims for non-work related mileage, youll be able to see it thanks to the tracker and take the required action. You may want to train and educate your driver, or perhaps something more drastic if youve spotted misconduct that is costing the company a lot of money.
Vehicle value Vehicles with more miles on the clock are likely to decrease in value quicker and require more maintenance over the years. High mileage can also force you to have to replace vehicles more frequently. By using GPS trackers in the ways outlined above, you can add extra years to your vehicles operating life and keep their value steady.
GPS trackers can also help you when a vehicle is lost or stolen. Rather than having your insurance premiums go through the roof by making a claim, you can use the technology to locate a stolen vehicle and provide exact location data to the authorities. A vehicle thief will probably have no idea that the car is being tracked, so you could catch the culprit and recover your vehicle all without losing any money or having to claim on your insurance.
As well as reducing mileage, planning and optimising for better routes and better driving can help you to get more done each day. If each driver can fit in just one more delivery or one more stop every day due to improved efficiency on the roads, this can make a big difference to your companys turnover and productivity. They may even be able to do more than this, which will make your GPS tracker seem like a very sound investment indeed. You can also use GPS trackers to uncover bad and unproductive employee behaviour, such as overly long lunch breaks or driving on personal errands in work time. For example, a driver may report a certain number of hours spent on business-related tasks in their vehicle, but your tracking information may prove otherwise. It may say that the driver spent 90 minutes stationary at a motorway service station, or popping to a local shopping centre before their designated work hours were up. All of this behaviour costs you money, and you may never discover it without a GPS tracking device.
Other cost-saving benefits
Your GPS trackers may also offer other savings and benefits, including:
- Reducing the number of speeding and other fines your drivers receive
- Cut overtime pay due to improved efficiency in route planning
- Lower your insurance premiums some insurers offer discounts for vehicles and fleets which use GPS tracking technology, and you may also be able to avoid claiming on your insurance by recovering stolen vehicles using GPS trackers
- Improving customer service, as your drivers can visit more properties a day and also arrive exactly when they say they will. This could result in a boost for business, as well as your company image.
For a relatively small investment, youll find that GPS tracking devices pay for themselves before very long. Remember that the pennies they could save you on each journey made by one of your company vehicles each day will all add up to a significant saving as the weeks, months and years go by. At the end of the year, youll be amazed at how much youll have saved, plus youll have the satisfaction of knowing that your operation is as efficient as it possibly could be. For a small business struggling to make ends meet, this saving could be the difference between having the cash to expand and grow, and going under due to the burden of hefty bills for expenses. Its a fine line that SME and start-up owners have to walk in order to get their businesses off the ground, but harnessing technology could be the way give yourself more of an advantage over your competitors.