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What types of vehicles need management?

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Last Updated: 28. June 2018

Fleet Services

Vehicle tracking, as the name suggests, does not only include the management of ships, but also the management of cars, vehicles, trucks helicopters and other planes. Fleet management focuses on improving efficiency, reducing risks and costs of management of vehicles, ships and aircrafts. Many companies offer fleet services and these are advantages of using these services.

Advantages of Using Fleet Services

  • Reduced administration
  • Costs savings
  • Detailed reportings
  • Time savings
  • Accident services
  • Maintenance management
  • Management of performance

By outsourcing the fleet management or hiring a company offering fleet services, administration tasks on your site will be reduced and taken care of by a hired company. This will lead to more effective time spending in your company.

Companies offering fleet services will provide detailed reportings needed in order for businesses to be more effective. Thorough analysis of these reportings can lead to improved efficiency and productivity, as well as costs savings.

In case of any accident, fleet services companies offer the help of managing consequences, costs of accidents as well as repairs. Besides accident services, these companies will also take care of maintenance of vehicles. Analysis of performance and its management will be also taken care of.

The services offered by fleet services companies differ from company to company, therefore a prior thorough research is required. The needs of your business are needed also to be able to decide, which fleet company suits the most, since there are different functionalities available. The cost of theses services depend on the company chosen, as well as on the needs of the company hiring and the desired functionalities.

The functionalities being offered by fleet services include vehicle tracking system, mechanical diagnostics, fleet safety, monitoring of driver behavior, lifecycle management and fleet management software among others.

Vehicle Tracking System

With a vehicle tracking system it is possible to track the location of any given vehicle. Using vehicle tracking system will improve efficiency, reduce delays and improve management of fuel. However, prior research to buying is required as there are many types of vehicle tracing system. Different types of systems have different possibilities and have also different costs. As some of the companies offer vehicle tracking system with only up front costs, there are also systems which require monthly fees.

Vehicle tracking systems can be divided into passive and active. When using a passive tracking system, the information (route, location, speed and other information) collected will be saved and later retrieved. Active tracking systems send the information in real-time or almost real-time, which provides a better conditions for the management of fleet.

Tracing systems can also be divided into cellular, wireless or satellite depending on what system is used when sending information. However, companies nowadays offer a combination of these types. Depending on the company needs, different combinations can be used. Many vehicle tracking systems also include auto-theft systems, which is an popular addition.

Mechanical Diagnostics

Vehicle tracking systems offer also the possibility to monitor any mechanical part of the fleet management - that includes engine information, information about tires, emissions, mileage, fuel consumptions and other. With this information it is possible to further improve the efficiency of the fleet management and precisely the lifecycle management.

Fleet Safety

Management of fleet can offer possibilities to increase security of vehicles that are being tracked, which leads to more effective services.

The possibilities include:

  • the tracking of unsafe driver behavior or speeding
  • identifying false claims by drivers
  • GPS tracking of vehicles for managers or other authorized personnel
  • notifications about any problems that occur with the given vehicle
  • theft prevention of vehicles that includes identification of unauthorized use and remote disabling, which is often included in the vehicle tracking system.
  • Driver Behaviour

Fleet services offer also monitoring of driver behaviour. This allows to eliminate unwanted and unsafe behavior of any driver, such as speeding, dangerous driving style and unwanted breaks. Besides the logical effect of managers controlling and checking on drivers, drivers who are aware of being monitored are more likely to drive more safely and deliver better performances.

Thanks to driver behavior monitoring managers and other personnel can evaluate the effectiveness of driver trainings, suggest alterations to trainings if necessary and focus on drivers who do not follow the given trainings or company policy.

Driver behavior tracking can also lead to company savings. The knowledge of driver behaviour - speed, taking breaks, idleness, routes taken, can help with improving effectiveness of the company as well as with cutting unnecessary costs.

Lifecycle Management

Lifecycle Management of fleet involves the whole process from buying the vehicles, insurance, fuel, maintenance until its retirement. The main focus of lifecycle management is the question of retiring the given vehicle and replacing it.

To be hesitant of replacing and retiring a vehicle can result in extra costs such as maintenance costs, downtime, fuel cost as well as the safety of vehicle and driver might be endangered.

The question whether to retire a vehicle can be assessed in several ways. Analysis of economic costs and predictions of future costs can be considered as one of the ways of how to assess the right time of vehicle retirement. This process typically requires a lot of data.

Another way of assessing the correct time to retire and replace a vehicle is to focus on the mileage of the given vehicle. A vehicle that exceeds the threshold of agreed mileage or age can be considered for possible retirement.


If a company spends more resources on maintenance and repairment of the given vehicle than the actual value of the vehicle, this vehicle can be considered as a candidate for replacement.

It is also possible that downtime, maintenance and repairs of a vehicle exceed the limit given by the company. If this limit is exceeded, companies should consider the replacement and retirement of the given vehicle.

Companies should agree on the lifecycle strategy in order to avoid extensive costs, to improve the effectiveness of business and to ensure the safety. Missing the right time to replace and retire a vehicle can have bigger impact on the company as it may seem. Mechanical diagnostics can provide useful insights for lifecycle management.

Fleet Management Software

Vehicle tracking, mechanical diagnostics, ensuring of fleet safety, monitoring driver behavior and lifecycle management would not be possible without fleet management software. Software collects, stores and reports the information.

Some of the features that are offered in fleet management software are: maintenance scheduling and tracking, reports, alerts, optimization of fleet processes, mobile applications, dispatch management, driver management routing, tire management, tool tracking, accident tracking, inventory management, mileage tracking, fuel management and other.

Not all software offer the same features, therefore it is required to consider and be clear on the company needs and the financial possibilities of company. Not all features are needed for every company, therefore it is important to know what features will be needed.

Interested in Fleet Services?

Are you interested in fleet services? In order to find the best match for your company needs, prior research is needed. If you are not sure which services you need and which will best suit your needs, fill out our quote request form free of charge and we will contact you with quote from companies offering fleet services.