• FOLLOW ACFO
  • Twitter
  • LinkdIn

Telematics is ‘key solution’ for fleets to manage costs and expenses

Telematics is ‘key solution’ for fleets to manage costs and expenses

New research from fleet and payment service provider Radius Payment Solutions has revealed that managing costs and expenses is the top priority for fleet managers in 2017, with telematics highlighted as a key enabler to achieve these goals.  

The Crewe-based company investigated the top concerns businesses face when managing a fleet through a comprehensive, nationwide survey of fleet managers.  

Radius’ survey also highlighted that 25% of fleets had investigated an issue with driver behaviour, which is a key reason for the introduction of telematics in promoting driver efficiency and reducing fuel consumption.  

Tom Pickles, director for telematics at Radius Payment Solutions, said: “Fleets can sometimes be hesitant to introduce telematics purely due to up-front costs - in fact one in three said that was the reason for not using the tool. However, telematics can be accessible and affordable for fleets of just two or more vehicles.”  

Despite telematics helping insurers to set premiums based on driver habits and the calculated risk of individuals behind the wheel, many drivers might be hesitant towards the technology, feeling that it introduced a lack of trust between them and their employer despite the monitoring of driver behaviour falling under duty of care for many employers, said Radius.  

However, Radius’ survey revealed that just 5% of drivers reacted negatively to the introduction of telematics.

Mr Pickles added: “What was perhaps viewed as ‘Big Brother watching you’ in the past is now being accepted as standard amongst fleets, with telematics becoming part and parcel of everyday driving.   

“Although there needs to be transparency between driver and employer, more fleets are now aware of the benefits telematics brings to drivers, not only in terms of improving fuel efficiency and making driving safer, but also helping drivers through use of features such as route planning and traffic reports.”       

Radius Payment Solutions offers Kinesis, a telematics, cloud-based fleet management solution. Its telematics enables fleet managers to monitor the location, fuel consumption, activity and behaviour of their vehicles with greater ease and in real time, regardless of location or number of vehicles.