Risk is everywhere in the construction industry, so consider equipping construction vehicles and equipment with vehicle tracking to help lessen risks associated with construction fleets. The benefits are tangible and can help improve the bottom line.
Lower Risk of Theft
Equipment theft is a very real problem in the construction industry, particularly because of the need for equipment to be available to authorized users at all times. Setting up fencing and other security measures can make the entire site less accessible, but eliminating these security measures leaves the equipment open for theft. The National Insurance Crime Bureau reports that $300 million to $1 billion in construction equipment is stolen every year; as many as 200 pieces a week. Those are staggering numbers, but what’s even more shocking is that only 20 percent of those pieces were recovered.
Vehicle tracking systems can help. By being able to deliver the last known whereabouts of a piece of equipment to law enforcement officials, construction companies have a better chance of recovering lost assets.
Increase Employee Productivity
When employees have a piece of equipment on the job, are they actually working? Increase employee productivity and reduce the risk of wanted labor costs by tracking how the vehicles are being used on the job. When employees know that their actions will be tracked, they will be motivated to stay productive.
Lower Insurance Costs
Insurance costs are another risk that is hard to manage. Insurance companies may lower rates if a fleet represents a lower risk. Fleet tracking with GPS can lower the risk of theft and increase the chances of recovery. For vehicles that are driven on roads, fleet tracking can also reduce poor driving behaviors. For this reason, insurance carriers offer discounts for fleets that use GPS fleet tracking. Automotive Digest indicates these discounts can be as much as 15 percent, which adds up significantly when insuring an entire fleet of construction vehicles and equipment.
Eliminate Misuse of Vehicles
Even construction vehicles can be misused by workers, but the use of GPS fleet tracking limits the likelihood. By knowing where vehicles are at all times, the company can ensure vehicles are where they belong, doing what they’re supposed to be doing.
The likelihood that drivers will take construction equipment on personal trips is lower than with other types of fleets (although still possible with certain vehicles) but misuse can still occur, and it can be costly. For example, if an employee takes a vehicle into a restricted area, the entire job can be compromised. GPS fleet tracking can ensure compliance with work hours, protecting the company and its workers from spending too much time on any given day on the job.
Extend the Life of Vehicles and Other Assets
Is the company utilizing vehicles and assets to their full advantage? A system that tracks the usage and mileage of vehicles will show which ones are overworked, which ones are underutilized, and which ones may be due for replacement. These systems also have the option to set up maintenance schedules and reminders. Properly maintained vehicles and equipment will stay on the job longer.
Improve Driver Behavior
Poor driver behavior can increase the risk to the company and its liability. Drivers who speed while traveling from one job to the next not only increase safety risks, but also the risk of a costly traffic ticket and higher insurance premiums. Excess idle time boosts fuel costs and adds wear and tear on vehicles. Fleet tracking allows monitoring of driver behaviors by identifying problems and eliminating them.
Fleet tracking does represent a cost for the business, but with these benefits, the cost is well worth it to improve the bottom line and lower risk.