3 Problems GPS Vehicle Tracking Solves

There are three little letters that carry a very big meaning: ROI. It’s short for “return on investment,” and it’s something every business is – or should be – interested in. When a fleet is the backbone of a business, plenty of expenses go with it. In addition to normal costs like payroll, insurance, benefits and overhead, businesses with fleets also need to purchase, maintain, fuel and insure vehicles.

The expected ROI of these costs, of course, is that the business runs as it should, smoothly and efficiently – but there are pitfalls on the road to ROI that can mean a business isn’t getting its investment back, or not getting as much as it should.

Solutions exist with the purpose of ensuring business owners do achieve that ROI, however, including GPS vehicle tracking technology.

While the software comes with an iRelated imagenitial investment of its own, GPS vehicle tracking can pave the road to ROI by solving four problems – and quickly recover its own cost as well.

 

PROBLEM #1: IT’S UNCLEAR WHERE THE BUSINESS IS SPENDING MONEY

It’s no secret that a business needs to spend money to make money – even a lemonade stand requires initial outlay to buy lemonade and cups – but it’s important to know exactly where the money is being spent. For example, labor costs include overtime pay – but sometimes OT hours are inflated, meaning the business spends more than it should on labor.

With GPS vehicle tracking, however, hours worked equals hours paid. It logs driving hours, and provides complete visibility, including what time a tech got in the vehicle, where the tech went and how much time was spent at each job. This creates a digital timecard, helping to reduce labor costs by ensuring that all hours on a timesheet reflect actual work done, and providing data on how much a business is spending on labor and OT.

 

PROBLEM #2: COSTS ARE TOO HIGH

A business might be bleeding money without even realizing it because of legitimate expenses that are higher than they should be. For example, vehicle maintenance is an absolute must; without the vehicles, jobs don’t get done. But keeping track of maintenance for an entire fleet isn’t easy.

GPS vehicle tracking lets a business better manage vehicle maintenance. Managers can set alerts for every time a vehicle is driven a certain distance or a certain amount of hours, or when a predetermined date arrives. They also get automatic alerts when the vehicle is due for service. This eliminates unnecessary proactive maintenance and greatly reduces the odds that a vehicle breaks down.

Fuel costs can be another money pit. Drivers might be speeding, driving aggressively, or idling too long – all of which waste fuel – or even filling up personal vehicles on the company dime.

 

PROBLEM #3: THE BUSINESS NEEDS TO GROW REVENUE

All this efficiency and speed translates into better, faster customer service, which makes customers happier and more likely to bring their business back, refer the company or post a positive review. It also means more job orders filled on a daily basis, because drivers get more stops in during work hours – and both of these equate more revenue.

The road to ROI isn’t paved with inefficiencies and lost opportunities – it’s timely, accurate, effective service that gets a company to ROI and brings in business.

GPS fleet tracking software not only recoups its own costs, but it also creates a return on investment in every other part of the business, too, from vehicles to personnel – and that’s a road every company wants to be on.

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