Thursday, July 10, 2014

Fuel efficiency through telematics - Where do you stand?

Years back, prior to GPS being standard in fleet circles, Fleet Managers were forced to budget against historical consumption. You knew there was waste, some operators more abusive than others, but really in spite of whatever policies you could dream up you couldn’t control an operator’s behavior after he or she pulled out of the lot in the morning. So you ran with the prior numbers and didn’t look back.

In my own experience comparison of the historical data and GPS deployed data was dramatic. My company light truck gas mileage had been in the 7-8 MPG range/ class 7 trucks in the 3-4 MPG range. These trucks made amazing strides in efficiency between 2006 and 2007, many 25% or better. No doubt a small part of this savings was attributable to induction of newer equipment, but not much. Routine annual inventory replacement amounted to about 10-12% gross inventory and had for several years, so increases from these changes would have been evolutionary. What made the most change was deployment of diagnostic-capable vehicle GPS across our work-truck inventory in late 2006.

Even prior to developing policy based on required usage patterns, the general knowledge that we could see what the truck was doing at any time reduced idle-time, eliminated erroneous trips, allowed superior safety monitoring and efficient dispatching due to location reporting. The proverbial win-win. Workforce acceptance of the program was, as you would expect, rocky for the first couple of years. Resentment about “big brother keeping dibs on me” was voiced by a small percentage of the workforce. This soon died off. As we told some of the protesters at that time, if you have nothing to hide, you have nothing to fear. Eventually monitored automotive GPS became accepted.

And today many organizations are putting their fleet operations on the half-shell, scouring for additional operating efficiencies wherever they can be gleaned. Steered by shareholder interests, operational safety and maintenance management issues, telematics in company vehicles seem to be here to stay. And so I wonder; what are some thoughts out there on telematics in business deployment?

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