Fuel is cheaper, so why are costs up?

Despite some recent increases, fuel costs are at their lowest level in two years. So why are costs per dispatch rising? Single truck roll costs are actually up almost 30 percent in the same period. Where is the money going and more importantly, how can you get it back?

Areas for savings

Of course, reducing fuel expenses through a variety of means is a big help, but it’s always been an inexact science unless, of course, your drivers are tracked using GPS Insight. That opens avenues for oversight and results in savings that were never before possible. There are two ways to make that happen.

Accountability

By using GPS Insight, drivers know their actions are monitored. Just by implementing GPS Insight Fleet Tracking, behaviors like unauthorized detours, personal stops and other means of padding the log book tend to evaporate. Often, the fleet manager doesn’t have to do anything other than point out the system’s capabilities to drivers for them to act responsibly. If they don’t, they’re easily called out in a report that can confirm that a driver was where he says he was, and when. When presented in a positive context, it’s an empowering feeling for drivers to be able to take control of their own job
security through contributions to the bottom line.

Productivity

The flip side of the accountability coin is the productivity gains that tracking using GPS Insight encourages. Dispatching can be pinpointed and refined, with the twin benefits of minimizing over-the-road miles, and precise scheduling of customer deliveries. Location planning ensures routes are maximally efficient, and that enables a fleet to extract maximum productivity from a minimum number of drivers. And don’t forget the safety benefits of GPS Insight Fleet Tracking: When injury time is cut down, margins go up.

When drivers are working as efficiently as possible, the entire workforce can be streamlined with no loss in capability or productivity, and labor costs finally reflect the work being done.

PDF:
GPSI_Reducing_Labor_Costs_with_GPS_Fleet_Tracking.pdf