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Telematics and Route Optimization Software: Friends or Foes?

October 1, 2020

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Fleet managers use telematics to track, monitor, and record information about their vehicles through a combination of telecommunication devices, GPS receivers, and specialized software. This system offers full visibility into key aspects, such as vehicle location and speed, driver behavior, seat belt use, mileage, accurate travel times, and other similar details.

What Is Telematics?

In a nutshell, telematics offers you the data you need to keep your fleet in check in terms of efficiency. It can improve your decision-making process and lead to cost and time savings. Yet, according to Software Advice, only 30% of field service firms use telematics software.

These numbers are surprisingly low, considering that businesses could improve their bottom line dramatically by knowing everything about their employees’ daily whereabouts and vehicle performance through the use of this technology. Telematics is a vital part of efficient fleet management and the very backbone of vehicle tracking systems.

Telematics Data and Route Optimization Software

To enhance the efficiency of your vehicle telematics solution, you can implement a capable Route Optimization Software tool. The two complement each other, and both aim to help you:

  • Leverage the necessary operational capabilities to cut down on expenses considerably;
  • Lower fuel consumption by finding the shortest and fastest routes while also taking into consideration unpredictable factors that your drivers might come across;
  • Improve customer satisfaction and loyalty by reducing the number of late deliveries;
  • Reduce unnecessary overtime and improve your drivers’ in-traffic behavior through geofence alerts;
  • Offer performance-based bonuses and boost employee productivity;
  • Reduce insurance premiums and keep a close eye on the Cost of Ignoring (COI).

Although it was invented in the ‘60s, telematics is still relevant today and has the power to revolutionize fleet management as we know it. The data it provides can help field service managers reduce the risk of accidents, enhance driver safety, optimize the driving experience, and avoid costly mishaps.

Together with telematics, Route Optimization Software helps fleets around the world to become greener, faster, and more profitable.

What Is Route Optimization Software?

Lately, sustainability has become a competitive advantage within the trucking industry, and fleet managers are driving efforts to reduce their emissions and environmental impact by using technologies such as route optimization.

Although converting more customers by becoming more eco-friendly is a strong-enough selling point for a route optimization solution, there are a lot more benefits you can harness by implementing it, including:

  • Cost and time savings
  • Complete visibility into your drivers’ real-time location and driving practices
  • Increased business value
  • Faster and more efficient route planning

Route planning has never been easier! Route Optimization Software can help you find the most cost-efficient routes in less than 60 seconds.

According to a recent survey conducted by Food on Demand, up to 30% of customers wouldn’t mind paying more for faster delivery. Imagine you could capitalize on that and deliver orders faster with less fuel consumption while also keeping an eye on your drivers.

How Does Route Optimization Software Work?

Also known as a multi-stop route planner, this type of software solution combines technologies such as location intelligence, GPS tracking, and geographical information systems.

By using all these tools, Route Optimization Software is able to plan your routes in a couple of minutes. While doing so, it takes into consideration unexpected contingencies such as left turns, speed limit, weather, one-ways, physical truck dimensions, traffic hazards, and other circumstances that might put a toll on your planned ETAs.

Moreover, the GPS tracking feature offers you in-depth insights into your drivers’ unplanned stops, real-time location, in-traffic behavior (aggressive breaks, speeding, tailgating, etc.), and more.

This data allows you to incentivize the most productive members of your team and also encourage the other drivers to comply and adjust their practices.

Are you intrigued?

Then you’ll be happy to find out that hopping on this trend doesn’t require you to invest in expensive pieces of hardware. You can deploy the most widely used Route Optimization Software for as little as $99 per month.