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How telematics and the IoT work together to improve fleet management

By Verizon Connect June 29, 2021

For many organizations, the Internet of Things (IoT) is at the forefront when it comes to merging connectivity and digital capabilities. In the U.S. today, over 16 million GPS and wireless devices monitor fleet vehicles, drivers, field service workers and assets in the field, which has doubled from eight million units in 2015.1 The IoT is a network that can act as the main point of connection for all of these various tracking devices, as well as all of the data that they generate each day.1  The ongoing adoption of 5G will also further the benefits of the IoT across a number of industries and help drive additional automation.

Why is IoT technology more important than ever?

Experts predict that IoT-generated data will reach nearly 80 zettabytes by 2025.2 This will have a massive impact on fleet operations as businesses look to derive actionable insights from the data already generated by their fleet management solution — insights that can help transform operations and improve the bottom line. Let’s take a closer look at how IoT solutions work in tandem with fleet management technology and discuss the benefits of this integration.

How does the IoT work with your fleet management solution?

Today, we certainly see business value in connecting vehicles and devices as well as gathering data. But the IoT makes data actionable by adding context, such as where mobile vehicles and workers are located and what work is being performed. Many industries have evolved to the point where any tool or asset can be inexpensively connected via IoT devices, allowing data to be captured, interpreted and acted upon.

IoT connectivity enables the collection of this streamlined data across entire fleets. IoT sensors can seamlessly integrate within a fleet management platform to more quickly and efficiently mine and sort relevant data. This provides near real-time visibility into key metrics, including fuel usage, engine status, vehicle location, driver behaviors, vehicle maintenance history and more.

By integrating connections into existing fleet management software, organizations can:

  • Amplify data analysis to aggregate trends
  • Identify areas of concern
  • Streamline the connection between vehicle data and the company’s overall data network
  • Get an accurate operational picture for more informed decision-making

What are some use cases and benefits of the IoT in fleet management?

Pairing the IoT with fleet management technology helps service providers and fleet operators embrace predictive analytics. This provides the necessary context to achieve proactive management and a competitive advantage in a number of key operational areas.

  • Streamlined service calls: IoT sensors placed in service-oriented appliances, such as air conditioners, can signal a service call only when one is needed versus at routine intervals. This type of condition-based monitoring helps reduce service costs while improving accuracy and customer service.
  • Improved maintenance: Integrated IoT sensors quickly and precisely help relay diagnostics data related to vehicle health and function to fleet managers. This means fleet managers can quickly identify if a vehicle has a mechanical issue or is due for routine preventative maintenance. This helps extend vehicle life, reduce vehicle downtime, improve vehicle safety and cut down on costly last-minute repairs.
  • Increased fuel efficiency: Fuel costs are one of the biggest expenses for any fleet. Integrating IoT sensors into an existing telematics solution gives fleet managers a near real-time window into vehicle fuel consumption and expenditures. This helps them track unauthorized operational costs as well as driving patterns, like idling, which can waste fuel — enabling managers to clearly see who needs to be coached on efficient driving behaviors.
  • Better routing and vehicle tracking: Knowing the vehicle location at all times helps improve efficiency. Fleet managers can send the nearest truck to a last-minute delivery or service call, keep tabs on vehicle delays and route drivers around traffic congestion. IoT data helps provide a comprehensive view and near real-time visibility of fleet activity that can lead to better planning, fast and safe routing, and reduced costs.
  • Improved driver performance: Safety is a top priority for all fleets. Equipped with an accurate snapshot of instances of speeding, harsh braking and aggressive driving, fleet managers can address unwanted driving behaviors with driver coaching and safety education.

What should I consider when integrating the IoT and GPS fleet tracking?

When it comes to getting the greatest benefits from IoT applications, organizations must ensure they have the right fleet management technology in place. That means they need a modern fleet management platform that allows for seamless connectivity across all vehicles and with all existing systems.

Look for fleet management technology that includes both Wi-Fi and cellular capabilities. The right solution should be intuitive to use, providing a central near real-time dashboard that aggregates all fleet-related data. The key is to find a solution that can support the demand for data-derived insights and automated data collection as efficiently as possible.

To find out more about how fleet management can bolster fleet success, download our eBook, “8 Important Signs that You're Ready for Fleet Vehicle Tracking” here.



2IDC Press Release, The Growth in Connected IoT Devices Is Expected to Generate 79.4ZB of Data in 2025, According to a New IDC Forecast, June 18, 2019.

Verizon Connect

Verizon Connect Staff represents a team of professionals passionate about everything telematics. Get to hear about the latest trends, product features and industry best practices from the desk of Verizon Connect Staff.

Tags: Data & Analytics, Vehicle & asset security

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