Big Data Results in Big Savings, but only if You Know how to Dissect it
One thing is certain, fleet management companies know how to collect data. The utilization of big data has become a necessity for almost all industries, but the potential benefits within the fleet industry are immense. Fleet management companies collect endless data points that can be used to identify and remedy inefficiencies. But collecting data is the easy part; interpreting that data into actionable items is the challenge.
Results Before Action
The practice of projecting results based on historical trends and market forecasts has always been a practice in the business world. To make business decisions without doing so would be ill-advised. However, the amount of data available to companies making these decisions is much more substantial than it’s ever been.
Whether determining total cost of ownership (TCO), ideal depreciation rates, or even just route optimizations, there is an incredible amount of historical data to paint a picture of results before they’re actually realized.
In line with this analytics-craze, more and more fleets are also enrolling in telematics and driver monitoring programs. These tracking services that were once reserved for commercial truck fleets are being increasingly used by fleets comprised of passenger vehicles and light duty trucks.
A major aspect of this is the increased accessibility of these programs due to a reduction in the costs associated with them. Now that the technology is easier to implement, with programs like EMKAY SafeRoads only requiring a cell phone, it’s much more practical for companies to utilize these programs. The amount data these programs collect is staggering. Everything from idle time, driving habits like speeding and distracted phone use, and even maintenance data can be collected and used to increase your fleet efficiency.
There are countless examples of how big data analysis has resulted in increased efficiencies for our customers. A simple yet effective one is demonstrated through the analysis of potential fuel savings new engine technologies can offer.
Three years can change a lot, especially in the automotive world, and this is evident when looking at the data. A sterling example is the Buick Lacrosse, which over a three year period had its fuel efficiency increased by 31%. For a driver that accumulates 25k miles a year, there’s an annual savings potential of over $1,900 by utilizing the new model year.
It’s important to compare your fleet to other fleets of similar size that are also comprised of similar vehicles. Doing so will help you to get an idea of where your program is falling short, and also where it’s performing as it should be, or even better than it should be. This approach of customized benchmarking gives you the best possible picture of your fleet and can be used to examine any aspect of your operation.
Whether you’re a data-aficionado or have an irrational fear of numbers, the most important thing you can do is to start somewhere. Look at your fleet with an analytical mindset to find where you can improve, but to also see where it’s performing well. It’s not all about improving, maintaining and promoting a well-oiled aspect of your fleet is also important.
If you don’t know where that starting point is, EMKAY can help. Our in-house analytics department has the experience and tools to get your fleet on the right track. Contact us today to learn how we can help make big data less intimidating.