6 Ways to Reduce Mixed Fleet Costs with IoT

Managing a mixed fleet can present a host of challenges but can also yield significant cost savings if the right tools are in place. Manual management is time consuming and often results in inefficiencies and higher operational costs. Conversely, a technology solution connected to the Internet of Things (IoT), such as BSM’s GPS Fleet and Asset Management software, will simplify the job of optimizing your fleet.

For proper fleet management, it is essential to create a complete profile of each of your vehicles and other fixed and mobile assets and then group them into segments. These segments, such as asset type, class, manufacturer, age, will allow you to assess your fleet’s health and make informed operational decisions to reduce the costs of your mixed fleet.

1. Right-Size Your Fleet

Rarely used vehicles and assets represent an unnecessary cost. IoT connected solutions enable fleet companies to determine if their fleet size is aligned with their current and future needs.

Right-sizing can also mean determining if a mixed fleet’s makeup is optimized to operations. For vehicles, this can be achieved by changing the size of vehicles in the fleet to lighter-duty trucks, spec’ing engines, adding hybrids to the mix, or eliminating marginal, low-mileage vehicles. For assets, changing to lighter-weight trailer models or changing tire and asset specs can improve fuel economy.

2. Optimize Routing

Matching vehicles and assets to job type can yield significant savings in both fuel costs and costs associated with vehicle wear-and-tear. A good IoT-connected solution will enable you to analyze routes and properly assign the tasks to the truck or assets that will yield the lowest cost. This is done by ensuring longer routes are assigned to vehicles that attain the most miles per gallon (mpg) and trailers that are lighter duty or aerodynamic, minimizing wind resistance. Routes with tough terrain can be assigned to ruggedized vehicles and assets, ensuring wear-and-tear is minimized.

3. Lower Total Cost of Ownership

Preventative maintenance schedules can dramatically lower total cost of ownership (TCO). To ensure your entire mixed fleet has the optimal maintenance schedule, it is important to base the schedules around the vehicle/asset’s age, utilization history, and incorporate any issues associated with the model. Detailed profiles and individualized service schedules will ensure that the right maintenance checks and activities are conducted. This will maximize the vehicle and asset’s life and ensure that TCO isn’t increased through unnecessary maintenance and time out-of-service.

4. Extend Vehicle & Asset Life

Overall, proper and efficient management of fleet vehicles can extend vehicle life. With customized preventive maintenance and efficient routing practices, your mixed fleet will be on the road longer. This can represent significant savings over time.

5. Retire Reliably

Create cost-efficient retirement schedules for each vehicle and asset. Based on precise data, fleet managers can remove older or worn-out vehicles from their lineup while accommodating sudden rises in demand or unexpected repair needs. This keeps the most reliable vehicles in rotation and eliminates storage and non-preventative maintenance costs for older vehicles.

6. Purchase with Confidence

The data provided by an IoT connected solution is very useful when making a purchasing decision. It will provide mixed fleets with the information required to determine which vehicle or asset type is needed to fill the gap in their fleet. Access to mpg, maintenance issues, etc. will aid in determining the true total cost of ownership.

The right IoT solution can have many benefits for a mixed fleet, particularly for a fleet composed of different makes and models. The most tangible advantage is being able to reduce the costs of fleet management by optimizing the vehicle and asset use and maintenance schedule. BSM Technologies’ IoT enabled GPS fleet and asset management solution gives you a holistic view of your entire mixed fleet, from one platform. BSM’s has a suite of devices for any asset and vehicle including standard, rugged, plug-and-play, solar powered, and more. Our sensor integrations allow you to record information from specialized vehicles and assets. And our software is more than just tracking, it includes a powerful analytics platform that provides actionable insights into your entire mixed fleet.

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BSM Technologies – A leading player in the M2M industry for 20 years, BSM continues to grow and has proven its sustainability in the GPS asset tracking and telematics industry. Our location-smart platform is ideal for managing the health and compliance of assets vital to your organization. Covering a wide range of industries from construction and rail to tanks and even HOS, BSM is your committed partner in assisting with all your fleet management solutions.

Today, our solutions are used to optimize and manage over 70,000 assets across 40 countries by some of the largest rail, construction, and commercial fleet organizations in the world. Experience our enterprise-focused solutions, robust capabilities, and customer-oriented culture.