Save Money
Using global positioning systems we can monitor the speed of your trucks by calculating the distance between two coordinates and the time it takes to get from point A to point B. If transport trucks reduce their speed from 110 km/hr to 90 km/hr they reduce their fuel consumption by 25%.
As an example, if you take a round trip between Edmonton, Alberta to Grande Prairie, Alberta, it is 900 km. A standard day for many drivers. By increasing fuel efficiency from 2.55 km/l to 3.40 km/l, drivers save 87 litres when driving at 90 km/hr. The typical cost of fuel in Edmonton at the time of publishing was $1.50, that's $130.5/truck. If a company has 50 trucks on the road, it's a $6,525 savings every day!
In the U.S., EPA data states that gas mileage usually decreases rapidly at speeds above 60 mph, and that as a rule of thumb, you can assume that each 5 mph you drive over 60 mph is like paying an additional $0.26 per gallon for gas.
Additionally, according to the DOT, an average a truck burns .9 gallons of fuel per hour idling. So a typical owner with 5 vehicles idling for about 1 hour a day is wasting 4.5 gallons of fuel each day. At an average fuel cost of $5.67 US per gallon, that's $25.54 US a day, $127.72 a week and $6,641.44 US a year. Basically the same for Canada based on the current exchange rate.
Using partnered Insurance Companies save 15% on insurance premiums. An average truck insurance for large trucks is $3,000/yr for a fleet of 100 trucks that’s saving of $45,000/yr.
Two-way text messaging for communication in the satellite solution saves money rather than using a satellite phone which costs $1.00/minute. At an average of 30 minutes/day using 10 phones dispersed among 50 drivers results in a cost of $300/day or $72,000 year. Plus the hardware cost of $1500/phone, $15,000.
Our gateway to the truck solution using a Telus/Bell approved CDMA modem reduces the need for customers wanting in-cab computing to have an air card for the laptop and airtime plan for a cell phone and a fleet management solution. Now customers can consolidate to one airtime plan for communication, fleet management and onboard computing (Internet). A $75/month all you can eat plan vs a $40/month cell phone plan (plus long distance) + $60 /mth 1 GIG plan for an aircard + $25/mth 4 MB plan for fleet management – Total savings $50/mth/truck X 100 trucks is $5,000/mth or $60,000/yr.
Dispatch & Route Optimization
When you know the location of your assets, you have the power to choose the closest vehicle to the job. Optimizing dispatch will reduce costs and improve productivity – often by a factor of 20% or greater.
Dispatch can also mark-up the GEOTrac map and print off driving directions to remote sites. Next to speeding, drivers getting lost is the largest issue faced in remote areas of the oil patch.
Better route planning will equate to reduced KM’s, fuel consumption and vehicle wear & tear.
Better driving habits will equate to better driving records for your field personnel.
GEOTrac also provides Map Markers to provide specific site information or road conditions in the area. These markers are maintained permanently on the map, meaning that the same job in the same location two months later is easily dispatched.
A Geo-Fence can be applied to any Map Marker so that an automated e-mail or txt message can report when a truck arrives or departs from specific locations. LSD’s can also be Geo-Fenced for the same reason.
Maintenance:
By monitoring IDLE TIME and OPERATION TIME, you have the ability to address unnecessary wear & tear on your assets – a cost savings of 25% or greater per vehicle per year.
Monitoring Idle Time will reduce fuel costs and lengthen engine life both in the event of excessive idling and lack of Idling in cold weather.
Changing engine oil & performing other scheduled maintenance on time will have a huge effect on the life of your assets as well as break down costs and non-billable downtime.
Telecommunication cost reduction:
Assumption: a dispatcher makes 3 calls per day to a driver to find out their location, estimated time of arrival or other information. Each call averages 3 minutes in length at an average price of $0.15 per minute (long distance factored). Each driver works an average of 21 days per month.
Savings: by simply knowing the location and status of each vehicle, you can reduce your yearly communication costs by $340.20 ($28.25 per month) per driver – 9 minutes per day saved @ $0.15 per minute * 21 days per month (2,268 minutes per year).
Increased dispatcher productivity:
Assumption: by providing your dispatchers with real-time asset visibility in the field, you can reduce their overall workload, giving them more time to address the business needs that make you money.
Savings: by making a dispatcher more productive every day (one additional hour per day), you stand to gain $7,560 per year per dispatcher – 60 minutes per day saved @ estimated $60,000 per year salary.
Competitive Advantage for Companies
Producers are beginning to mandate GPS systems for work on their lease sites and facilities. Installing a GPS system with ensure bid compliance for new work and help extend existing work contracts.
Companies without GPS are often left scrambling for new work that requires a tracking system.
The GPS system will assist in proving Rate Compliance to producers – and explain why an 8-hour job did, in fact, take 10 hours (due to road conditions, weather and other supply companies).
A reduction in speeding is important; however, using GPS data will allow you to prove when you worked on a specific lease site. One company was left with a $1M environmental bill for a spill that occurred on their site. They could not prove who worked on location that day.
Geo-Fence automated notification (e-mail and txt) provides workers with a safety net in a 24/7 setting.
Theft Prevention & Recovery
Thieves in the oil patch are begging to get caught. GPS tracking systems look the same as cellular and 2-way radio communication equipment. Vehicles can also be installed covertly.
GEOTrac-enabled companies have recovered more than a dozen vehicles over the past year. In each case, the vehicle had been used to steal quads, ATV’s, boats, generators, light stands and other types of equipment.