Well, the answer to that varies from industry to industry and how much does accuracy of tracking and ability to have 24×7 communications with drivers on road matters. For that, Fleet Managers need to choose tracking systems based on the industry and use cases.
● The sector or industry in which the company operates.
TIme-bound or emergency logistics like medical supplies, food items, etc crucially require the most accurate tracking systems due to the nature of goods. They cannot afford delayed deliveries or vehicles getting lost on roads hence they can benefit greatly from advanced GPS-based vehicle tracking systems.
● Use case scenarios for Fleet Managers
The average trip length or vehicle use-case play an important role when it comes to choosing a tracking system. For example, intra-city fleet management like food delivery, packers n movers require highly accurate real-time position tracking. Whereas pan-country or global services like e-commerce requires periodic updating but high record keeping.
● The scale of the entire Operation
The cost of acquiring vehicle tracking for each vehicle goes up with the scale of operations. Hence the type of commercial system and functions required from the tracking system will depend on the number of vehicles.
● Number of Active and Standby Vehicles in Fleet
The number of vehicles in a fleet will decide the cost incurred in tracking all of them. Hence fleet managers can divide their fleet into smaller fleets with different tracking technology based on their use to cut costs.
● Geographical factors like area, connectivity, etc
The technology used in Vehicle Tracking Systems, Cold Chain Logistics varies based on geographical areas. Remote areas usually have weak GPS signals which lead to lost connection and inaccurate position. Thus, companies can benefit from third-party
● Operational Expenses
This is by far the most important factor when implementing vehicle tracking. Fleet Management incurs a significant cost to companies. Benefits of implementing technology yields fruitful in the longer run. Thus, fleet managers need to consider short-term and long-term operational expense goals before implementing such technology.
● Owned Vehicles or third-party vehicles
GPS tracking or SIM-based tracking are easily implemented when the company or fleet service owns the vehicles. In the case of third party vehicles or drivers, privacy could be a major issue when implementing fleet management. In such cases, easy access to switching tracking on or off could be beneficial with the driver’s consent to track, especially in SIM-based tracking.
The Affordable and Efficient SIM-based Transport Management System
SIM-based Vehicle Tracking Systems are comparatively cheaper and easier to implement
Since conventional GPS tracking systems are expensive, the tracking technology to implement in your fleet depends on your clients and use cases. For smaller businesses with third-party vehicles, a Sim-Based Tracking System can be a viable alternative to expensive GPS based tracking systems.
How SIM-based Tracking Works?
It is more suitable for Hired or Market Aggregate Fleet and can be used by Fleet Managers to keep in-tact on-time delivery. Due to how SIM-based tracking works, it can utilize smartphones or even feature phones for companies that do not want to purchase a full-fledged vehicle tracking system. It uses SIM cards installed in the phones of drivers to track the status and location of the vehicle thus helps in route planning.
Cost of SIM-based Tracking
The cost can be as low as Rs 30 per vehicle for such a system. Making it one of the most affordable systems to implement which can make your entire logistics operation much more efficient and cost-friendly. A SIM-based Vehicle Tracking System requires the consent of the SIM owner to enable tracking which can be done within a couple of hours. Thus, making the SIM-based tracking system perfect for the transition into automation for fleet managers.