Telematics for improvement
The logistics industry, till date marred due to complex transportation problems, is slowly embracing the concept of telematics that would improve profitability and operational efficiency.
The transport logistics sector in India has seen a huge wave of disruptive investments over the course of the past year. Road transportation contributes a massive $150 billion to the Indian GDP annually, but is also one of the most disorganised sectors in the Indian economy. Several players are trying to organise the sector through technology – some are doing it to capture new market opportunities while others are struggling to find enough differentiation to even survive.
Fleet telematics promises to play a key role in this effort for organisation of the sector. India currently has an estimated VTS (Vehicle Tracking Systems) adoption of less than one per cent as compared to nearly 100 per cent adoption in developed economies. However, there are several solid reasons for fleet owners to adopt VTS and fleet telematics to improve profitability and operational efficiency.
At its basic level, VTS systems are able to track four essential data points, viz., speed, time, location and direction. More complex systems are also able to remotely provide such data as engine behaviour, mileage, safety measures, tyre conditions. Telematics is the key tool to solve large complex transportation driving profession. The entire driver community is labeled as dishonest, treated with mistrust and not given respect they deserve for their hard work. Telematics has the potential to change this entire landscape. With telematics, it is even possible to measure driver behaviour in deeper and much more meaningful ways. At the most basic level, one is able to braking’ and ‘night and unsafe driving’, thereby enabling to create a strong incentive to actually perform better. Such mon- itoring and measuring also helps you track and improve fleet performance by making the right interventions. It makes it easier to run large fleet at different locations with a centralised tracking and monitoring team. It is estimated that cost of