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The Internet of Things (IoT) is a system composed of interconnected computing devices, machinery and digital machines, objects, animals, or people. These systems have unique identifiers and can transmit data over the network without the need for people or computers Interaction.

One of the biggest problems facing the logistics industry is tracking the fleet. The Internet of Things essentially makes vehicle tracking solutions more efficient, economical and automated. There may be n use cases for the Internet of Things, and the most relevant case is the fleet management system. IoT-based devices can capture many parameters, such as driver behaviour, idling speed and stopping time. The current vehicle tracking system can be used for fuel monitoring, load monitoring, temperature monitoring and RFID/biometric integration, etc. Here’s how an IoT Based Fleet Tracking System can work:

  • Location data is collected on vehicle sensors (including GPS and OBD II sensors).
  • When the vehicle is moving, data from all sensors will be periodically sent to the local gateway via the mobile data connection.
  • The gateway sends the information to a web server, collects speed, location, direction, and other variables on the web server, and sends it to a secure application server in the cloud.
  • The application server then sends reports and warnings about vehicle driving and safety to the mobile phone of the driver or supervisor.

The Internet of Things technology has expanded the potential of fleet management to a certain extent, and we can even call it the curator of other technologies that support smart fleet management solutions. With the help of the Internet of Things, the idea of connected vehicles has become a reality. This technology promotes machine-to-machine (M2M) communication and combines telecommunications and informatics to transmit and disseminate valuable information to stakeholders in real-time. This is the main reason why smart fleet management solutions must provide all benefits. The following are a few ways in which IoT is transforming the fleet management industry to help them gain competitive advantages.

Remote Monitoring of Assets and Fleet Tracking

Smart fleet management solutions make full use of telematics (i.e. telecommunications and informatics), which is an IoT application for vehicles. It enables fleet operators to effectively monitor the location of vehicles and the movement of assets by connecting sensors and GPS (Global Positioning System) devices to vehicles. Telematics supports two-way communication, designed to record and transmit data in real-time. Therefore, it can greatly help fleet operators monitor the safety of vehicles and drivers and ensure timely delivery of goods.

Gain Better visibility

Does your driver make unnecessary stops on the route? Are they driving all the way? Are they wasting fuel by running the engine? In the past, it was difficult or impossible to determine all these things using traditional fleet management providers and technologies. However, with automated fleet management solutions to connect vehicles and monitor driver activities, managers can gain unprecedented insight into fleet performance and driver behaviour. This enables them to know the location of the vehicle and the driver at any time, identify potential problems more quickly, and mitigate risks before they become major issues that can endanger customer satisfaction, affect driver safety, or increase costs.

Cost Optimization and Higher Bottom Line

The Internet of Things technology helps freight and transportation companies circumvent traditional operating methods, which are not only time-consuming and expensive but also create communication gaps between stakeholders. In addition, it enables fleet operators to seamlessly connect with non-management personnel, not only to communicate with them in real-time but also to provide feedback and training when needed. Another way that smart fleet management solutions can help optimize costs is by acquiring sensors and other communication devices at relatively economical prices.

Effective Predictive Maintenance of Vehicles

Smart trucks are known for their smart reporting capabilities. The reason is that they consist of advanced systems such as on-board diagnostics (OBD) that work in coordination with IoT technology. The OBD system is integrated with connected devices that support IoT, allowing fleet operators to remotely obtain key information about vehicle diagnosis. Initially, when the OBD system was developed in the 1980s, it was mainly for checking engine performance, but on the latest version of OBD-II, the system was also upgraded to issue early failure warnings. Therefore, with this advanced system, smart fleet management solutions can significantly support the predictive maintenance of vehicles, where fleet operators can perform repairs and maintenance tasks before damage occurs.

Cleaner, Greener Operations

Excessive idling time and speeding will not only waste fuel costs and unnecessary losses but also waste money. They can also be harmful to the environment. Studies have shown that idling vehicles consume more than 1 billion gallons of diesel and emit more than 10 million tons of carbon dioxide into the air. By using IoT technology to track the behaviour of drivers, such instances can be easily discovered through automatic alerts, so that managers can take the necessary measures to minimize these behaviours.

IoT is not something which is going to happen in the future; it is happening right now. It has already become the norm. With the help of IoT, it becomes easier to implement a fleet tracking system as well as make a profit-making decision. Businesses have tremendous opportunities to benefit from such a hyper-connected world and IoT, undoubtedly, has set to become the backbone of the fleet management industry. The environmental benefit is another perspective to look upon. Reports suggest that the IoT-based connected ecosystem helps fleet operators reduce the vehicle-to-site time by approximately 68%. It ultimately results in less consumption of fuel, and therefore, in less emission and reduced carbon footprints. Smart fleet management can be said to be one of the most key IoT use cases, which churns out true potentials of the technology.

To know more use cases on IoT, or to harness the potential of IoT in your organization, please contact us today!

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Nitin Tappe

After successful stint in a corporate role, Nitin is back to what he enjoys most – conceptualizing new software solutions to solve business problems. Nitin is a postgraduate from IIT, Mumbai, India and in his 24 years of career, has played key roles in building a desktop as well as enterprise solutions right from idealization to launch which are adopted by many Fortune 500 companies. As a Founder member of Pratiti Technologies, he is committed to applying his management learning as well as the passion for building new solutions to realize your innovation with certainty.

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