How telematics is revolutionizing the Fleet Management industry

Telematics is a combination of two words; Telecommunication and informatics. In broad sense, Telematics is the integrated use of telecommunications with information and communication technology. The technology involves long distance transmission of information relating to remote objects like vehicles via telecommunication devices.

Normally, the term telematics is used to refer to vehicle telematics where information such as location, speed, vehicle and driver activity is sent from a vehicle to a remote computer.  With increased infrastructure, the need for this technology is also increasing and the market is exploding in connectivity and growth.

In fact, the global Strategic Business Report on Fleet Management Systems projects that the market will reach cumulative installed base of 47.4 million units by 2022. This is being driven by the strong adoption of new technologies, move towards reducing carbon footprints and paper trail, focus on achieving cost-containment, and higher logistical efficiencies.

Telematics play a key role in reducing resource expenditure and increasing cost savings, while ensuring entire fleet complies with prevailing norms and standards. Therefore, these solutions are gradually becoming an integral part of a company’s fleet operations.

Local companies primarily focus on reducing downtime of their drivers as well as fleets. This has led to a surge in demand for comprehensive and effective telematics solutions across industry verticals such as construction, emergency services, healthcare, transportation and logistics to name a few.

Safetrac Limited’s partnership with Turkish based company Arvento Mobile System is sparking innovation in these sectors in the country by maximizing on the product development talents and resource at both companies.  Arvento Mobile Systems is a technology company specializing in designing, developing and manufacturing fleet telematics solutions. The company is one of the leading fleet telematics companies in the world offering a wide range of technology products and solutions. Arvento has been ranked as the 5th biggest company in the world in the list of fleet telematics companies. Today, Arvento has more than 55.000 clients and its technology and products are being utilized in 700,000 vehicles in 3 continents.

With the logistics sector accounting for about 8-9% of the country’s GDP, telematics technology are key to the future of this sector to improve this advanced technology and innovation.

Technologically advanced fleet telematics solutions help facilitate data transmission in real-time basis, thereby enabling companies to control as well as optimize their incumbent fleet operations. The transmission of this data has also been made possible by the advancement in communications networks and devices which have become more reliable over the past few years. This advancement has also made more technically feasible and financially viable for companies to capture and transmit data in real-time making their assets more visible and connected.

‘’With telematics technology users access location, movement and status information and metrics of vehicles via special web-based software applications or through existing in-house vehicle tracking enabled business applications. ‘’ Ruth Kang’ong’oi, General Manager, Safetrac Limited says.

‘’In essence, GPS telematics systems become platforms where users collect and transport valuable mobile resource field information and activities. ‘’

Bound by the increasing stringent legislations and regulations for drivers and vehicle safety, the fleet management industry also has to find pertinent solutions that ensure higher degree of effectiveness and compliance with norms and mandates.

According to an article published on Financial Times, telematics is now a vital part of the fleet management.  The article adds that despite the take-up of telematics still being patchy among small companies, there is a growing consensus among industry leaders that in five to seven years’ time, the technology will be an integral part of all vehicle fleets as costs fall when manufactures achieve economies of scale.

Benefits that come with telematics include cost saving, improved safety, minimize operating expenses, manage maintenance as well as help companies earn the trust of their customers. Others include the ability to analyze how routes and even the timing of journeys.