The Insight Source Blog
Your preferred Telematics information resource
Author: Lance Holt
Content Marketing Specialist
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Are OEM Telematics Solutions a Better Alternative for Vehicle and Equipment Tracking?
The question if Original Equipment Manufacturer (OEM) telematics solutions are a better alternative for tracking vehicles and equipment is a hot one right now since a handful of vehicle manufacturers are offering pre-installed telematics solutions.
On the surface, it may seem simpler to use an OEM solution. However, there are key differences between OEM and aftermarket telematics solutions that make OEM products the right fit for some fleets but not for others. Continue reading to find out which is the right fit for your fleet.
Mixed Fleets, Mixed Feelings
Do you only have new vehicles and one make and model across your entire fleet? Chances are you have a plethora of different vehicle types and maybe even some assets like trailers you would like to track. No matter the industry, fleets tend to be comprised of diverse vehicles, equipment, and assets.
If you have a mixed fleet with different makes, models, and years, you would be forced to use multiple OEM solutions if you want to track your whole fleet.
With an OEM solution, you may have to invest in replacing every vehicle and asset, which will be costly.
Aftermarket telematics solutions will allow you to track all vehicle makes and several types of equipment through one solution. You won’t have to replace any of your vehicles or equipment to make a Telematics solution work for you. In some cases, you will even have the option to choose what type of device you want to install into the vehicle that works best for your situation. If you want the power to decide and keep the vehicles and equipment that works for you right now, then an aftermarket telematics solution may be the right fit for you.
One Size Fits One
This problem is much like the mixed fleet issue above. OEM solutions typically offer a one-size-fits-all product that won’t have the ability to be tailored to your specific needs. This is problematic because your business faces different challenges based on your business model, industry, fleet size, and more. To overcome these challenges, you need a telematics solution that can be tailored to your use cases.
If this is not something that is on the top of your list of requirements in a telematics solution, then OEM might be the way to go. However, if you want the power to decide what custom alerts, reports, and unique dashboards are set up, then an aftermarket telematics solution will be your answer. For a lot of fleets, it’s crucial to have the capability of filtering information to employees and/or departments relevant to their responsibilities within the company.
Integration with other software is another factor to consider. If your company uses other software platforms like Enterprise Resource Planning (ERP), dispatch, or payroll, then having an aftermarket telematics solution will be able to speak with these back-end systems (depending on the telematics provider). It’s beneficial to integrate these software platforms together to help achieve a complete view of your operations and adding to your bottom line.
Fork in the Road
Choosing between an OEM solution and a telematics solution is a big decision. It’s important to consider what your long-term goals are with your fleet operations. Do you want a telematics solution that will help reduce costs, reduce risk, and increase revenue along with productivity and efficiency? If the answer is yes, then an advanced telematics solution is the answer. If not, and you simply want to track your brand-new vehicles locations, then OEM is something to consider.