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What is a fleet management system? Definition and application

Published: 29. November 2022
By Trackunit

Fleet management is the term for the various actions and processes required to run a fleet of five or more vehicles on time, within budget and at maximum efficiency. This system is used by a diverse range of both private and public industries, and millions of commercial vehicles worldwide are managed with software that streamlines fleet operations and reduces operational costs. You can see the definition of fleet management here.

Why should companies use a fleet management system?

When deciding to purchase or lease a vehicle, you must consider the additional ownership costs, such as storage, insurance, gas prices, registration, title and vehicle maintenance. Imagine managing all these components for an entire fleet of vehicles as a fleet manager. Fleet management solutions provide companies with data on all these expenses in one app, making managing a fleet of vehicles easier while increasing fleet performance.

What are the features of fleet management software?

Fleet management systems offer many options for tracking vehicle metrics and managing all aspects of a fleet, from routine maintenance to new vehicle purchases and driver management. Some of the more common features found in fleet management systems include the following:

  • GPS fleet tracking: Fleet managers can use GPS to track each vehicle, monitor performance, and identify any potential maintenance issues. In addition to GPS, some companies also use video footage to record their fleet vehicles.
  • Driving behavior: The vehicle tracking system typically comprises a driving behavior component. Fleet drivers are given scores based on driver behavior, which helps to ensure they are using the vehicles safely.
  • Fuel management: Fleet management technology can offer insight into both fuel consumption and vehicle trends. This feature is also linked to driver analysis, as it looks at behaviors that affect fuel costs, such as frequent braking or idling.
  • Route planning and monitoring: Fleet managers can plan more efficient routes by monitoring vehicle movement and schedules. Mobile apps are increasingly being used to maximize operations and provide real-time vehicle updates.

Explore the applications of fleet management systems

A fleet management system is designed to help businesses keep track of their vehicles and drivers. By tracking location, mileage, and other data, these apps can help companies to improve their fleet management and save money. There are a variety of fleet management apps on the market, so companies should choose one that fits their needs.
Construction fleet management is the process of planning, directing, overseeing, and reporting on construction fleet vehicle and operator activities using various tools and applications. In other words, construction fleet management applies to:

  • Route planning
  • Fleet vehicle monitoring
  • Operator direction and supervision
  • Data collection and reporting

These duties are carried out offline and online through various forms of data collection and record-keeping. And they differ from company to company; however, more construction companies are moving to a digital and paperless approach due to new regulations.

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