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Impact of IoT in Fleet Management
Impact of IoT in Fleet Management

August 12, 2022

IOT

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If you’re a fleet operator or a CEO of a company that specializes in logistics, this blog is for you.

Let’s start with a few simple questions:

  • How often do you monitor your vehicle's performance?

  • How optimal is your fleet’s fuel consumption?

  • How well do you measure the performance of your drivers?

  • Are you taking the best route possible to travel from Point A to Point B?

These questions may not bother an individual user. However, they can have a lasting effect on the overall maintenance cost for fleet operators with hundreds of vehicles on their watch.

To ensure optimal fleet management, fleet operators like you are working towards reducing the total cost of ownership through appropriate route management, fuel consumption optimization, improved safety, driver behavior management, and optimal vehicle maintenance.

The IoT is a network of interrelated objects embedded with sensors, software, and other technologies accessed through the internet using real-time applications.

Listed below are some technologies that enable IoT app enablement:

  • RFID

  • Bluetooth low energy

  • Low energy wireless IP networks

  • ZigBee

  • Z-Wave

  • LTE advance

  • Wi-Fi Direct

With vehicle tracking being one of the biggest challenges in the logistics landscape, an IoT-enabled Vehicle Tracking System (VTS) is the ideal way forward.

By leveraging technologies such as RFID, GPS, and On-board Diagnostics (OBD), IoT allows vehicle tracking solutions to be a lot more efficient, economical, and automated.

A report suggests the IoT-driven fleet management market is set to reach a market cap of $15500 million by the end of 2024.

4 Ways IoT Has Transformed Fleet Management

Environment-friendly operations

Driving trucks, forklifts, or any heavy-motor vehicles over the speed limit or keeping the engine on for long periods can have a significant impact on the environment. Because of the excessive carbon dioxide emission in the air, also adds to additional fuel costs. IoT will help you track drivers’ behavior and receive real-time automated notifications, resulting in optimal fuel consumption.

IoT-powered applications facilitate driving by capturing the surroundings to give real-time alerts on when to apply brakes and turn off engines.

Better engine performance

Vehicle performance is one of the key factors in determining the annual maintenance costs in fleet management. IoT assists in remote monitoring and analysis of the engine’s key parameters. The integrated VTS solution also deals with field engineer optimization and spare parts management, resulting in increased fuel efficiency.

Predictive Maintenance

IoT-enabled vehicles receive alerts and automated notifications when any part of the car needs maintenance or is at a vulnerable stage. IoT’s predictive automotive maintenance prevents from sudden breakdown of the vehicle. Alerts for low battery, periodic engine maintenance, and other functions help improve the lifetime of vehicles.

Automated connected cars

IoT gives the luxury of automating trip planning and various other processes. During an unexpected scenario of a vehicle breaking down, IoT sends automated alerts to tow trucks and the nearest service stations. Alerts related to weather warnings and reroute recommendations allow drivers to plan accordingly.

End-to-end Workflow of IoT-Enabled Fleet Management System


IoT devices collect heaps of data. Based on specific business requirements, GPS and OBD II provide data relevant to fleet management that includes:

  • Driver behavior
  • Vehicle speed and idle time along with the location
  • Fuel, load, and temperature monitoring data

By leveraging communication methods including Wi-Fi, Bluetooth, RFID, and NFC, the captured data is transmitted to the cloud for storage and other devices to perform further actions.

The data is analyzed to gain actionable insights into the above-mentioned parameters that can help in quick decisions for instant improvements.

Here’s a step-by-step workflow of an ideal end-to-end IoT-enabled fleet management system.

  • Data is collected from the location by on-vehicle sensors, including GPS, and OBD II sensors.

  • The collated data is sent to the local gateway through the internet as the vehicle moves.

  • The gateway sends information to the network server to track speed, location, direction, and other parameters.

  • The data is sent to a secure application server in the cloud.

  • The application server sends alerts and notifications on movement and vehicle safety to the driver’s or fleet manager’s mobile.

Use Cases of IoT in Fleet Management
 

  • Driver Management
  • Fleet Maintenance
  • Vehicle Monitoring
  • Passenger Information
  • Asset and Cargo Management

Benefits of IoT in Fleet Management
 

  • IoT offers several features including an in-vehicle streaming camera, and driver mobile apps to make swift communications.

  • Better scheduling, freight management, chauffeur and truck tracking, and effective routing.

  • IoT supports third-party APIs for real-time traffic reporting, average speed etc.

  • Collective real-time data to glean actionable insights to improve the efficiency of your fleet.

  • Reduces total cost of ownership (TCO) by optimum utilization of resources.

Conclusion

By leveraging IoT-enabled solutions, fleet managers and other stakeholders can improve efficiency and reduce annual maintenance costs moving forward.

According to a report by Markets and Markets, the IoT fleet management market stands at $8.28 billion in 2022.

At InspiriSYS, we provide you with valuable insights to scale and maximize your business and make it future-proof.

Experience endless possibilities with InspiriSYS’ IoT solutions.

We have helped global customers with:

  • Bike Tracking Mobile App

  • Fleet Management – Roadside Assistance

  • Ambulance Asset Management System

 


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Inspirisys has been achieving excellence in empowering enterprises toward digital transformation with the help of contemporary technologies for more than 25 years. The company is part of CAC Holdings Corporation—a Japanese company with a proven track record in providing top-quality solutions and services across several industries, including BFSI, telecom, and government/PSUs. Inspirisys' portfolio of services and solutions includes infrastructure management, enterprise security & risk services, cloud, IoT, and product engineering & development.

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