Optimizing fleet operations through GPS tracking

Global Positioning Systems (GPS) were originally developed by the US Armed Forces to help with naval and land navigation. GPS uses a constellation of satellites to transmit encoded time signatures to receivers on the surface. By tracking the delay between when the time code says the signal was sent and when it actually arrived, GPS uses Einstein’s theory of relativity and four signals (three if the altitude is known) to provide accurate tracking up to about two meters. GPS technology has moved into the commercial sphere from the military arena since the 1990s.

GPS fleet tracking systems are used in public transportation, most notably school buses in Kansas City and New York. These systems allow school districts to know exactly where each bus is, thus improving the safety of their passengers. On flexible routes, GPS gives drivers some wiggle room to adjust their course to avoid traffic congestion. The secondary benefit is that it allows the concerned school districts to better assess idle times, better routing algorithms and fuel efficiency. School officials and parents have peace of mind knowing that school buses are constantly monitored.

In April 2007, a private taxi company launched a fleet of 150 GPS-enabled metered taxis (or Meru taxis) in Mumbai, India. Customers will be able to call a taxi to pick them up at a preferred location and book in advance by phone or online. If a customer accidentally left a personal item in a taxi, this GPS technology can quickly and easily track the specific taxi. All Meru taxi fares collected are transmitted back to the control center and monitored to ensure customers pay properly. The company plans to increase the fleet to 1,000 taxis by the end of the year.

In the commercial sector, GPS is used to track delivery trucks and trucks used by contractors going to job sites. This allows for real-time monitoring of which trucks are on the way and better tracking of actual mileage used (compared to what is billed). This also increases fuel economy across the fleet and allows employers to check actual hours driven by drivers in a day for mileage bonuses and “drive time” pay. HA Sun Heating and Cooling Inc. of Bloomfield, Mich. is an example of a company that installed a GPS fleet tracking system on each of their trucks. The company can access real-time information that leads to labor cost savings (by people who claim they were on an 8-hour shift, when GPS showed they had only driven for seven and a half hours), reduced fuel costs and increased productivity and efficient truck routing. For this company, the GPS paid for itself in 30 days.

GPS fleet tracking has been shown to increase efficiency and productivity in all types of businesses that own a fleet of vehicles. In addition to cost and time savings, customer satisfaction is significantly improved through better responsiveness.