{"id":7287,"date":"2020-08-30T17:51:49","date_gmt":"2020-08-30T15:51:49","guid":{"rendered":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/?p=7287"},"modified":"2020-08-30T17:51:49","modified_gmt":"2020-08-30T15:51:49","slug":"telematics-in-the-fleet-world","status":"publish","type":"post","link":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/2020\/08\/30\/telematics-in-the-fleet-world\/","title":{"rendered":"Future-Proofing Telematics in the Fleet World"},"content":{"rendered":"

Alphabet\u2019s report, What moves Britain?<\/em> finds that 73% of British workers believe their vehicles are essential for their daily commuting.<\/span><\/p>\n

Cars often freedom of choice of where to go, and they don\u2019t wish to lose this benefit. However, within corporate circles, there is much interest in mobility solutions. Pressure will also be put on the use of cars within urban environments as new policies are emerging to encourage alternative modes of transport.<\/span><\/p>\n

There is a push for better air quality, reduced traffic congestion and improved safety. While decision-makers and employees are interested in mobility solutions, they are seen as being either supplementary or as a partial alternative to the traditional fleet. This is because employees value the benefits that a fleet vehicle brings them. In some cases, it\u2019s also because cars are the only practical option.<\/span><\/p>\n

Time to prepare<\/strong><\/span><\/h4>\n

Even so, the general view in the industry is that fleet managers should be preparing to adopt new, cleaner technologies \u2013 designing their driver policies with eligibility criteria that consider charging infrastructure for electric vehicles and employee responsibilities. Fleet telematics will in some circumstance that they\u2019ll inevitability need to consider, not just for delivery vans and lorries because telematics is a fundamental cornerstone of usage-based insurance (UBI).<\/span><\/p>\n

Ptolemus Consulting\u2019s December 2019 email newsletter says fleet insurance telematics premiums will reach $22Bn globally, by 2030.\u00a0 It reports that it has seen \u201crapid growth of connected fleet solutions in commercial vehicles and company cars: from 37 million in 2016 to 64.1 million<\/strong> in 2019\u201d. It also finds that connected fleet UBI policies will reach 10.95M in 2030, with the US retaining its lead, followed by China and Japan.<\/span><\/p>\n

Meanwhile, in the US logistics sector, there is also a need to look at future-proofing \u2013 not just telematics but fleets themselves.\u00a0 Samantha Thompson, fleet telematics and customer manager at Penske reminds us why telematics is so important. She asks: \u201cWhere is my fleet, and what is it doing?\u201d Even for car and van fleets this information can often be crucial, and so for fleet managers generally it is essential to have it at hand.<\/span><\/p>\n

Connectivity is crucial<\/strong><\/span><\/h4>\n

Connectivity across fleets, therefore, plays a role \u2013 particularly where there is an unprecedented amount of data to be collected. This data can be used to improve productivity and efficiency. Thompson adds: \u201cIt\u2019s more about the outliers versus the status, the part of my fleet that I need to manage. It can point out the areas I need to focus on. There are also safety programs, validating that drivers are conforming with their training. It can also ensure that they are compliant with regulations.\u201d<\/span><\/p>\n

Over the last few years, truck fleets have adoption electronic logging devices (ELDs) to comply with regulations. Nowadays ELDs are supplemented with dashboard cameras or back-up cameras. \u201cIt\u2019s less about Big Brother and more about protecting their fleet,\u201d she says. In essence, they offer fleet companies cover against losses and she finds that some insurance companies are either suggesting or requiring them before giving discounts on insurance premiums \u2013 much like they offer whenever UBI is used in cars.<\/span><\/p>\n

\u00a0<\/strong>Investing in telematics<\/strong><\/span><\/h4>\n

This still leaves the question of whether investing in the future-proofing of fleet telematics is worth it from a return-on-investment standpoint. Thompson says this is a complex question but the answer is that investing in fleet telematics is worth it. ELDs and cameras will inevitably have an impact \u2013 particularly if they are used to their full extent. Yet people will often buy things and then not use them.<\/span><\/p>\n

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She therefore explains: \u201cMany software technology providers have that struggle, so they need to help them to use it to manage their fleet better. This will hopefully help them to justify the cost.\u201d She subsequently advises that it\u2019s vital to have a good on-boarding and customer success program to ensure \u201cthe solution does was the customer is expecting it to do. We try to be a full-service provider here at Penske.\u201d<\/span><\/p>\n

Understanding pain-points<\/strong><\/span><\/h4>\n

To future-proof fleets and telematics, there is also a prerequisite to consider the potential future pain-points that may affect them. Data security is one of them but there is also the issue created by shifts in hardware, which is leading carmakers to jump into the telematics space.<\/span><\/p>\n

Thompson adds: \u201cMany of our customers have adopted third party technologies. It\u2019s becoming more about the platform, software and data. The hardware is becoming a gateway to it. We are seeing trends where the device is becoming moot, and the installation of third-party black boxes that can pull off the data from the vehicles.\u201d<\/span><\/p>\n

She reveals that some fleets have put their own boxes in the trucks. This is creating more competition between telematics service providers (TSPs) automakers. However, she explains that there is also reason for them to work together: \u201cIf I am a fleet operator and I use the same OEM across the fleet, that won\u2019t be much of a problem \u2013 unless several different OEMs are used across the fleet, which would make it more complex.\u201d<\/span><\/p>\n

ELD uses<\/strong><\/span><\/h4>\n

However, ELDs can be used for \u201ca ton of stuff\u201d besides tracking hours of service (HOS). They can provide fault code monitoring and GPS. So, in essence ELDs are not just for recording HOS, and Penske is seeing more consolidation in the marketplace. \u201cFive years ago, TSPs needed to integrate with several other providers to provide add-on services, and even in the driver\u2019s truck they would have different devices\u201d, says Thompson.<\/span><\/p>\n

This consolidation isn\u2019t so much about one company buying another. It\u2019s about providing more services from one provider, rather than from several providers. This consolidation can reduce complexity and make it easier for fleets to use the same solutions. Yet, besides cyber-security and driver objections, there are still some obstacles and technical issues that need to be overcome as a result of the ELD Mandate.<\/span><\/p>\n

Thompson explains what they are: \u201cNot all vehicles are capable of providing the data that the US government needed and many drivers often work for many firms, which means they may use several different ELDs. It, therefore, behooves the industry to make the different systems to be able to work together.\u201d<\/span><\/p>\n

Offer interoperability<\/strong><\/span><\/h4>\n

There needs to be a core set of data to offer interoperability. \u201cIn one fleet they could have one or two ELDs or telematics systems: A fleet may be owned by the same company but they operate using different systems in different locations,\u201d she says.\u00a0 As part of the ELD Mandate there is a need for each driver to have their previous seven days of hours of service data. So, in terms of future-proofing telematics and fleets, the industry isn\u2019t there yet.<\/span><\/p>\n

Thompson concludes that it\u2019s about device stability, regulatory compliance and cyber-security is also something that concerns fleet customers. Cyber-security is increasingly being seen as a crucial aspect of regulatory compliance, and the penalties for data breaches can be severe \u2013 much depending on which jurisdiction the data resides. Nevertheless, Shell\u2019s Future of Fleet Report<\/em> suggests that there is an exciting road ahead. It\u2019s a future where telematics will play a key role for fleet cars, trucks and vans.<\/span><\/p>\n

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By Graham Jarvis<\/p>\n

Source: https:\/\/www.tu-auto.com<\/a><\/span><\/p>\n

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Alphabet\u2019s report, What moves Britain? finds that 73% of British workers believe their vehicles are essential for their daily commuting. Cars often freedom of choice of where to go, and they don\u2019t wish to lose this benefit. However, within corporate circles, there is much interest in mobility solutions. Pressure will also be put on the…<\/p>\n","protected":false},"author":3,"featured_media":7288,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[18],"tags":[41],"_links":{"self":[{"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/posts\/7287"}],"collection":[{"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/comments?post=7287"}],"version-history":[{"count":1,"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/posts\/7287\/revisions"}],"predecessor-version":[{"id":7289,"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/posts\/7287\/revisions\/7289"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/media\/7288"}],"wp:attachment":[{"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/media?parent=7287"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/categories?post=7287"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/advancedfleetmanagementconsulting.com\/eng\/wp-json\/wp\/v2\/tags?post=7287"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}