The supply chain has grown more complex, assets have grown more mobile, and the workforce is as often distributed across cities, states, and regions as it is congregated on a factory floor. Whether a business is moving goods, deploying machinery, or sending a service team to the operator of a remote installation, one requirement remains constant: they have to know where their assets are and how they are being used.
Costs are up, margins are down, and customer demands are higher than ever. A single company asset that slips under the radar can create inefficiencies, underutilization, and missed opportunities. Over the last few years, visibility into vehicles, equipment, and processes has gone under the radar as the silent engine drives efficiency. Without it, efficiency, accuracy, and reliability all suffer, as do productivity and profitability.
Nowhere is this more true than in industries that require physical assets. If you are managing a fleet of vehicles, running a construction company, working in utilities or logistics, or have a service-based business, then you are likely to have vehicles or equipment on the move at all times. Making sure everything is running smoothly and on time isn’t as simple as an employee checking in.
Knowing the Cost of Lost Assets
Moving things is expensive when a company can’t be sure where they are. An idle piece of equipment, a vehicle that’s underutilized, the need to divert a vehicle due to planned or unplanned maintenance, or excessive vehicle routing can make companies less profitable. Lost equipment is the bane of the construction industry, where one out of every five jobs is held up due to a missing piece of equipment. A trailer on the loose can grind a merchant’s supply chain to a halt, meaning that for even the most sedentary of assets — unless a company knows exactly where they are and when they’ll be used — being idle is a major cost.
Many companies are turning to solutions that seamlessly integrate asset monitoring, such as an asset tracking system, that shows the exact movement of equipment and vehicles during the workflow, identifies areas of improvement, and minimizes preventable losses. With asset location data and more, managers make informed decisions by learning how assets are being used, when they need maintenance, and even how they can improve manpower.
From Reactive Management to Proactive Operations
Visibility allows you to operate your business more proactively and less reactively. In the past, operations could only respond to problems as they occurred. Whether you first hear about a late delivery (from an annoyed customer), a vehicle isn’t working, or tools were lost, it always happens well after costs (and tempers) have run high.
If your assets are visible, you can prevent problems and manage maintenance before, rather than after the fact, change routing before too much gas has been used, shift workers or equipment elsewhere before someone runs out. For logistics, this means a less stressful and more reliable setup. For the business, this means known costs and stronger customer relationships. For the team (drivers, crew in the field), this means fewer last-minute changes.
Telematics and Connected Data
Telematics adds location data from GPS, vehicle data from on-board diagnostics, and usage data, so managers know not just where vehicles are, but where they’re going.
This technology is becoming part of the mix for small and mid-sized US businesses, not just large fleets. The data it generates helps managers who use it thoughtfully and ethically cut fuel costs, improve driving safety, and cut down on breakdowns. When linked to asset tracking systems, telematic data can provide company decision-makers even more fodder for making routing decisions and predicting when equipment will be out of service. All of which can be good for the bottom line.
Drivers also benefit from a sense of order and predictability in both their workday and equipment conditions. Fewer last-minute changes to plans and clear direction can help people who already live with a great deal of uncertainty, because of the crushing demands placed upon the US healthcare and emergency response systems, feel less frazzled.
Building Resilience Through Visibility
In an increasingly competitive market, strength is just as important as expansiveness. Companies with the versatility to pivot quickly, rein in costs, and keep assets up and running are better poised to handle market shifts and fluctuations. Any glimpse into the health or deployment of your assets and your business will give you the information you need to stop the bleeding, pivot, and make strategic plans looking forward.
For business owners, fleet managers, and drivers, the desired outcome is visibility. Understanding where your assets are and how they are being deployed is no longer a luxury, but a strategic edge to keep your business competitive, compliant, and well-equipped for the market’s future.