Fleet operators face serious challenges in 2023, with inflation, high fuel costs and supply chain disruptions placing unique pressures on the industry. Yet there are not just warning signs on the road ahead – but opportunities. The data generated by all individual vehicles can now be harnessed and analysed to provide an unprecedented holistic view of the entire fleet. The capabilities of data-gathering tech are growing quickly, giving leaders access to more actionable information than ever before. Fleets that choose to create a strong data foundation will enjoy smoother travelling during the current economic climate – and race ahead once conditions improve.
Why should fleet operators upgrade their data infrastructure?
With the rise of connected cars, fleet managers now have an opportunity to collect more information than ever before. The information available includes telematics data from GPS and navigation systems as well as data from Internet of Things (IoT) sensors, which are small, connected sensors that collect and transmit data. These tiny sensors can form large constellations delivering large volumes of accurate, real-time data about the fleet as a whole. However, there is a real risk that fleet operators will be overwhelmed with the flood of information being generated.
To use the data available to gain valuable insights that fuel innovation in service models and rental experiences, fleets need to be prepared and rethink the way they consume and distribute data with a robust data management platform. Increasingly data from connected cars needs to be collected and collated with data from external events or operations. With the right data foundations in place, powerful technologies like artificial intelligence (AI) can then be applied to allow fleet managers to start building more complex assessments with trusted information.
How can connected vehicles improve the efficiency of a fleet?
Connected vehicles generate valuable data that drives positive business outcomes. In the past, fleet management companies may have had to retrofit vehicles with sensors to provide this information. Today, many original manufacturers include sophisticated data-collection and transmission into their vehicles. The data these increasingly common sensors can pick up include aspects of a vehicle’s performance such as fuel levels and mileage values. They can also detect damage and indicate when maintenance is necessary.
In the future, telematic data from thousands of sensors placed on the outside of an electric vehicle will be able to accurately predict its battery range by analysing temperature and wind speed to give drivers an up-to-date, intelligent view of battery life. External sensors will collect information on weather patterns across the country, giving managers the ability to understand conditions in real-time. This aggregated information could even be shared with third parties. Every fleet operator could become an automated weather forecaster, with sensors transmitting information without the need for human intervention.
Technology can also increase safety by sending alerts if the data suggests a driver is fatigued. It can cut emissions and save costs by collecting data about speed, steering, and braking to inform fuel-efficient driving or suggest alternative routes which reduce the time spent waiting in traffic and cut the distance involved in a journey. Diagnostic data can continuously assess the health of a vehicle and notify drivers when a service is needed using in-car voice communication. When understood holistically, this information provides powerful real-time visibility of an entire fleet.
Why is it important for leaders to gain a single view of a fleet?
The information gathered from each connected vehicle becomes very valuable if fed into a single view of the fleet. When each vehicle produces high-quality data, leaders are empowered to make decisions based on a true picture of the fleet at a given moment in time. These insights will become even deeper as technology evolves, meaning that fleet operators that carry out transformation today will be in a strong position to unlock further advantages tomorrow.
For example, currently, a well-used delivery truck or rental vehicle requires physical inspection and many other manual processes before it is allowed to leave the depot. Its fuel usage is measured to drive mileage optimisation so that an organisation can make the best decision about which vehicle to give to a customer or professional driver. While, analysing route planning versus fuel consumption enables fleets to understand valuable operational insights like which routes are faster, lower risk, more fuel efficient or environmentally friendly. Predictive maintenance is also important so that vehicles at risk of mechanical or electrical problems can be identified and repaired quickly. These processes can now be optimised using data and analytics so that maintenance happens at exactly the right time.
Finally, having a single view of the performance of vehicles in a fleet can inform strategic business decisions. It means that if a fleet has multiple vehicle suppliers with multiple models, it’s possible to compare performance and understand which ones deliver the best value. This insight can then be used to better manage which suppliers or vehicles a fleet operator focuses its investment on.
How can data enable personalisation?
Data gives fleet operators the ability to better understand their vehicles, drivers and customers. A rental car company that understands the behaviour of people who hire its cars could offer regular customers a vehicle in which the radio is set to their favourite station, for instance. Alternatively, the car may automatically set mirrors to the right angle, ensure the seat is reclined to a driver’s preferred incline or the temperature is set to the drivers preferred level. These small, automated means of personalisation enhance the customer experience, improving rental companies’ ability to drive loyalty and build long-term relationships.
Can you provide an example of a successful technological transformation?
Avis Budget Group provides an excellent example of the benefits of digital transformation. It created a connected fleet of roughly 150,000 cars. Using a wide range of data and analytics, Avis deployed predictive maintenance, maximised fleet utilisation and improved the vehicle rental experience for customers by offering them infotainment and virtual local guides.
Data and connected vehicles are enablers of these abilities and many more – providing transformative benefits, offering significant differentiation and competitive advantage to businesses that make the correct investments. Transformation is an important journey that every fleet company should embark upon. But fleets need to be prepared by ensuring they have the infrastructure and technology in place to make sense of large volumes of data at rapid pace and in real-time to drive change.
Author: Greg Hanson, VP of EMEA & LATAM, Informatica
