Telematics: How Can It Benefit the Transport Industry?

The world today is driven by technology and we witnessed a rapid acceleration in the adoption of disruptive technology since the pandemic happened last year. Telematics is one such tech that has huge significance in the transport business. According to Gartner, Telematics refers to the use of wireless devices and “black box” technologies to transmit data in real-time back to an organization. According to Research and Markets, the Global Telematics market is expected to register a CAGR of 20.7% over the forecast period of 2021-2026. 

The availability of sensors and GPS trackers on board will enable the real-time monitoring of vehicles and streamlining of route schedules and delivery operations. Let us look at some of the benefits offered by Telematics to the transport and vehicle industry. 

• Reduced Fuel Costs

As discussed, telematics enables real-time tracking of vehicles, thus identifying fuel wastage or leakage at the right time. This will help the fleet managers to take prompt actions, which in turn enhances fuel efficiency and reduce unnecessary fuel spending. Fuel prices are never stable and keep fluctuating according to the position of the economy. Fleet managers can use equipment provided by telematics to source data and share vital inputs to the fleet. Scheduling routes to gain fuel optimization will lead to cost-efficiency and maximum productivity. 

• Enhanced Safet Strategy

Security is one of the most important concerns in the current business ecosystem. Telematics ensures that there is a safe strategy for the vehicles by providing real-time tracking and monitoring abilities. In an emergency, vehicles can get aid faster with the help of location tracking and real-time data obtained from the sensors. Another benefit is getting continuous feedback on the vehicle and the driver. This helps fleet managers to decide whether they require any training and curb dangerous driving habits. 

• Sensor-Aided Vehicle Monitoring

Sensors have a significant role to play in today’s businesses, be it precision farming or healthcare. Telematics leverages the capability of sensors to receive intelligent and useful insights in real-time. Sensors can even record the slightest movement inside the vehicle and instantly provide data to the connected device or software. MEMS is an example of vehicle monitoring sensors, which are low-cost and high-accuracy sensors. These sensors are very compact and easily fit into the components of devices or machines. 

• Acceleration of Productivity

As telematics increases the efficiency of vehicles, it gradually improves productivity. With real-time data flow and continuous communication between the drivers and the managers, it becomes easier to improve the relationship. Enhanced coordination with the drivers will enable smooth scheduling and precise planning. The data extracted from the GPS aids in avoiding any traffic delays and identifying any possible weather changes. 

• Compliance and Administration

Telematics simplifies compliance by organizing and adding the process of adhering to industry regulations, rules, and standards. For example with a telematics system, it becomes easier to comply with emission standards, speed limits, etc. Automated mileage expense reports are another benefit that will boil down the complexities of administration and standards like the International Fuel Tax Agreement. 

With telematics, you can know the vehicle better and manage it easily without wasting time and running around. It is widely used in truck fleet management and is also leveraged by popular brands like BMW. It enhances safety, productivity, and revenue. Data is its blood and soul that enables the system to identify and reflect problems and give real-time information at every instant. Telematics works efficiently when it is integrated with other technologies like sensors, GPS trackers, data analytics, etc. Well, who would not want better fleet visibility right? Hence, telematics is a fine choice for running a smooth business in the transport sector.