Explore the Concepts and Benefits of Vehicle Telematics

Step into the world of modern fleet management and get unique insights into your fleet vehicles and drivers through telematics solutions. The telematics industry strives to benefit and make changes to every business it touches, and its efforts are evident. Telematics has grown immensely in recent years, encouraging businesses to implement telematics solutions to improve safety, increase efficiency, and most importantly, reduce costs.

This has seen the demand for innovative technology, prompting more businesses to grow curious about what telematics can be used for and how it can benefit them. This blog will answer all your questions and give you the information you need to make an informed decision about telematics.

What is Telematics?

Telematics or also known as fleet telematics or vehicle telematics is a system used to collect GPS fleet tracking data along with a range of vehicle-specific information and store it in a database. It integrates both wireless telecommunications and information technology (informatics) to process, deliver actionable data and efficiently convey information over vast networks.

Telematics is often associated with fleet management and vehicle GPS tracking devices. With these fleet systems in mind, telematics can be defined as an onboard communication system where all fleet software can interact with one another and share vital information. Telematics can also be seen as a new method of integrating all types of data, from vehicle equipment to driver behavior.

How Do Telematics Systems Work?

For a telematics system to work, it needs a few items:

• A communication device (mobile phone, computer, laptop and/or tablet)
• Fleet communication software
• GPS tracking device
• Engine interface
• Input/output interface
• SIM card
• Accelerometer
• Alert/notification

Telematics systems function by connecting a GPS fleet tracking device, or other data logging tool, to an asset. The tool collects critical performance data about the asset, like real-time engine diagnostics, vehicle location, and vehicle activity. After being collected, the device transmits the data to a data centre where it can be analysed, interpreted, and compiled. Fleet managers can access the uploaded data via the software of the telematics system once it has been uploaded. 

After installing telematics units, the device collects GPS fleet tracking data and a range of vehicle-specific information where fleet managers can implement smart solutions to achieve, automate and improve the following:

• Manage route optimisation
• Ensure the safety and compliance of the drivers
• Help identify and improve bad driving habits
• Receive notifications for preventative maintenance
• Reduce idling, fuel and maintenance costs
• Manage assets’ utilisation
• Help drivers comply with policies and regulations
• Reduces carbon footprint 

Telematics and Vehicle Tracking Systems

Vehicle tracking is the most common use of telematics in most industries, especially in trucking and transportation. This technology is preferred in vehicles because of the notable benefits it offers. The ability to map the exact location of the vehicle, its speed, and its maintenance status, all through the use of GPS systems, combined with onboard diagnostics.

Here’s a list of additional information gained through telematics:

• Location
• Fuel Usage
• Maintenance issues
• Fuel Consumption
• Idle time
• Instances of harsh driving (e.g., hard braking or cornering)
• Speed and rapid acceleration

To make good use of this information, the telematics system analyzes the data for certain events and patterns and creates reports on specific drivers and fleet vehicles, specifically for the convenience of fleet managers.

Telematics Integration with Vehicles

Typically, trucks, trailers and other fleet vehicles are sold without tracking systems installed and are fitted with GPS tracking devices soon after they have been sold. If the vehicles don't come pre-equipped with this technology, many aftermarkets offer GPS and telematics unit installation.

Some car dealerships also partner with telematics providers or vehicle tracking companies, such as Cartrack, to provide a seamless end-user experience and sell vehicles already fitted with Cartrack's tracking units.

How to Positively Use Telematics Technology in Your Fleet

You have now gathered a basic understanding of telematics software and decided to implement it into your business, great! To properly use this technological game-changer, here are a few key areas where telematics can boost your business.

1. Safety Tracking

   Fleet telematics allows you to track vehicle location, speed, seatbelt use, as well as driving behaviour. You receive a digital record of every aspect of your fleet vehicles' operations, which can provide insight into where and what improvements can be made to prevent accidents and improve driver safety.
    

2. Better Payroll Management

   A telematics solution can help you reduce instances of overtime and timesheet fraud by monitoring your fleet's electronic time logs and allocating resources based on real-time information. You can optimize your drivers' routes so that no driving time is wasted. You'll also know exactly how long and how far a vehicle has driven, making payroll calculations easier.
    

3. Trailer and Asset Tracking

   Telematics can be used for more than just monitoring vehicles. You can attach a GPS tracking unit to trailers, expensive equipment, and non-motorized assets to prevent them from becoming lost and help find them faster if they are stolen. 
   You can also create alerts to be sent to you if a trailer or other non-motorized asset is moved without your permission.
    

4. Insurance Risk Assessment

   With the permission of the owners, telematics can be used by insurance companies to monitor driver behavior, allowing them to better determine risk factors and adjust insurance premiums accordingly. 

Read also article: 6 Cara untuk Memperbaiki Kebiasaan Pengemudi dan Keterampilan Mengemudi Dengan Software Telematika Armada

How is the Application of the Use of Telematics in Everyday Life?

The telematics solutions market is projected to reach $62.6 billion by 2025, up from an estimated $29.9 billion in 2020. With this amount of money on the table, it's safe to assume not just the transportation and freight industries reap the benefits of this system. Almost every industry has space in their regime to integrate telematics into their business and some of them use this technology a little bit differently than the rest.

Here’s a look at the industries making the most of telematics today:

• Heavy Machinery: Maintains heavy equipment and prevents theft with the use of telematics and asset tracking safety features.
• Public Security: Monitors the location and driving speed of emergency vehicles to improve officer safety and increase response times.
• Fleets: Trucks and various fleet vehicles are monitored to ensure shipments arrive at their destination safely and on schedule.
• Construction: Performance diagnostics, fuel usage, and maintenance schedules are all reported on through the use of telematics.
• Oil & Gas: Oil, gas extraction and transportation activities are monitored to improve efficiency and worker safety.
• Refrigeration: The temperature of cold or heat-sensitive products is monitored to reduce spoilage and ensure safe consumption.
• Executive Fleets: Improve luxury vehicles' maintenance to reduce breakdowns, unscheduled repairs, and part replacements.
• Landscaping and Lawn Care: Monitors the performance of employees and equipment to improve productivity and customer service rates.
• Generators: Generator conditions such as fuel level, battery voltage, and coolant temperature are monitored to ensure it is in healthy conditions and can run for longer.

Make Your Business Profitable with Cartrack

Be part of our customers who have succeeded in increasing the safety and work efficiency of drivers, fleets & business assets, as well as reducing unnecessary costs with Cartrack vehicle telematics. Manage your business fleet or office operational vehicles from your phone or computer. Call 021 3973 0230 to try the live demo.