The short answer is: If vehicle use is part of your daily operations, yes.
For a more detailed answer on why that is it is important to understand the aspects of a small business fleet budget and just where cost is coming from.
For starters, it is estimated that fuel alone is 30% of a business owner’s vehicle budget. When adding in additional factors such as the low MPG of most work vehicles, mileage put on the vehicles from day to day, and maintenance costs from “hard” driving and extensive use, it is easy to see why money can get eaten up quick by maintaining a fleet of vehicles even if it’s only 2 or 3 vehicles.
Besides money, time is also a big expense. Dispatching alone takes up many hours of productivity each day for most small businesses. Between route management and closest vehicle response, a small business owner is falling into a potential time trap with poor routing.
So with that, 2 important questions should be asked:
How much money is being spent maintaining the vehicle pool?
How much time is being spent dispatching?
Any answer given is money and time that can be saved by utilizing GPS based telematics to properly manage a pool of vehicles that any given business relies on.
With telematics, a business is able to pinpoint the problem areas of his or her vehicle pool by monitoring routes and diagnostics. With the regularly updated information that telematics provides a business is mainly assuming everything is fine as long as they are in the black each month. For a business, customer growth is only half the battle; Proper budgeting is the other.
How else get the kind of information required to make the necessary adjustments when it comes to fleet management. Telematics gets this information and without it a business is leaving money on the table year after year.
