Making the decision to invest in quality fleet management software is not necessarily an easy choice that many operations managers take lightly. However, it represents an investment in the health and future of your fleet operations.
But when is a good time to fit a fleet management system into your annual budget? How can you handle what someone could consider an additional cost? The truth of the matter is that effective fleet management software is easier to fit into your annual budget than you may initially believe.
Fleet management software, when used in conjunction with many modern global positioning system (GPS) tracking devices, can help you to reduce any number of costs, which would eliminate or offset the cost of the software and devices themselves. Furthermore, some insurance companies will offer a discount to companies that use a GPS tracking solution to track their valuable assets.
If you’re considering a fleet management solution for your business but aren’t sure how to make it work within the constraints of your budget, we are here to help. Read on to learn more about how you can fit fleet management software or a tracking system into your annual budget.
CapEx vs. OpEx
If you’re planning your budget for the next year, you can include the purchase in your capital expenditures (CapEx) budget. However, if you’re like most companies and have recently started a new budget year, you can always consider using discretionary funds from your operational expenditure (OpEx) budget instead.
Decrease Overhead, Increase Efficiency
An intelligent and reliable tracking system can help your business reduce costs by increasing fleet efficiency. As an operations manager, you can use the telematics through Rastrac’s software to monitor a number of attributes that can begin helping to save your company almost immediately. In addition to tracking location, some additional functions you can monitor include:
- Fuel consumption
- Whether assets are in use
- Driver habits, such as rapid acceleration and deceleration
- Condition of vehicles for maintenance and repairs
- Vehicle routes, using mapping and route optimization to cut down on idling and traffic congestion
The telematics that are achievable from your fleet management software can provide you with more accurate and actionable data. This means that you’ll have more precise information for decision-making purposes and can avoid issues of human error and fraudulent reporting.
The money you will save on your overhead with fleet management software can help to more than pay for the initial costs of investing in an effective fleet management system and will provide a nice return on investment (ROI).
Save on Insurance Costs
A number of insurance providers offer discounts to fleet management companies that install anti-theft technologies on their vehicles or other large equipment assets. This will help you to reduce your insurance bill and save your company money in the short-term and long-term.
Deter Theft, Save on Vehicle Replacement Costs
What better way to save on the cost of replacing a vehicle than to not have to do so? One of the most obvious benefits of having GPS tracking devices and software is that you use it to help deter the theft of your valuable assets.
Using GPS tracking software and devices, you can monitor the location of your vehicles that are in the field anytime from the comfort of your home or office. Additionally, you can set up small or large geofences around virtually any areas you designate so you can receive automatic notifications if your assets leave those specific areas.
Tracking Solutions That Fit Your Budget
Not all GPS tracking solutions are the same. When it comes to fleet management software solutions, you can use tracking devices in all price ranges that only “ping” to update their location once a day to every few hours, or offer more continuous updates, enabling them to serve as a live tracking solution.
The variety and customization of Rastrac’s software and devices enable you to choose either solution depending on whatever will best fit your needs. Additionally, our software is agile and can even connect with third-party tracking devices, unlike some companies’ devices that are proprietary and only work with their limited software.
The bottom line is that there is a tracking solution to fit almost any budget. Our varying GPS tracking software solutions provide you with flexibility regarding costs based on the complexity of the software and what add-ons you purchase. So no matter where you are in the budget process, Rastrac has a fleet management solution that can meet your needs.