The Economic Advantages of Fleet Management

A recent article in Integrated Solutions pointed out the economic advantages of fleet management which can save hundreds of thousands (and sometimes millions) a year in fuel costs for your average mid-size distribution company. In addition to fluctuating fuel costs, excessive idle-time, out-of-the-way routes, and unsafe driving are all expensive issues that plague your average distributor. And although the price of fuel can’t be controlled (although it can often be locked in for a limited time), fleet efficiency can be increased with technology that decreases idle time, optimizes routes, and eliminates unnecessary trips.

The article presents a case study of Namasco Corp. which is saving more than $500,000 per year in fuel costs thanks to a GPS-based fleet-management solution that optimizes loads and routes, minimizes idle-time, and gives Namasco real-time visibility into where its trucks are at any given time. In addition, when this software is paired with DOT logging software, the savings that result from efficiency improvements start to add up rapidly. Considering that a recent study by Motorola found that vehicles equipped with a GPS solution have 53% less travel downtime and a 26% improvement in employee accountability, can you afford not to do it?