Synovia Solutions Blog

CUTTING COSTS WITH GPS

Posted by Christina Dieckmeyer on Wed, Mar 29, 2017 @ 09:00 AM
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GPS-tracking-solution-pays-for-themselves.pngOne of the most common worries with fleet management software is the cost. What is it going to cost to install GPS on all your buses and vehicles? What will it cost to maintain? After all, there’s only so much budget to go around. 

The better question to ask, though, is can you really afford not to have a GPS tracking system? Ultimately most GPS tracking solutions end up paying for themselves. How? They track things like bus idling and speeding. This data allows you to increase fuel efficiencies and reduce cost. Additionally, you can monitor driver behavior and provide training and guidance where it’s most needed. In the end, this can lead to better drivers, fewer incidents, and decreased insurance costs.

Another cost saving option is to track driver time and attendance. Systems can be used to log in and log out and provide a web-based timecard system. This allows school systems to view planned versus actual reporting, and even to integrate with payroll to eliminate time-consuming and expensive manual entry.

CALCULATE YOUR FUEL SAVINGS

Too often schools overspend on fuel as prices continue to rise. GPS can help by allowing for reduced fuel usage through less idling and better driver behavior. 

Let’s walk through an example of how you can save money on fuel with GPS. Say your district has 100 buses, and the average cost of fuel is $2.00/gallon. Using data from the GPS system, schools can save about ½ gallon of fuel per day per bus through idle reduction and improved driver behavior. If the school year is 180 days, this is approximately $180 in savings per bus per year, or a  fleet-wide savings of $18,000 annually. 

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MILEAGE SAVINGS POTENTIAL

Route efficiency is important to school districts. Running inefficient routes leads to excess mileage and potential service issues. With a fleet management software solution, schools have route data integration functionality. They can compare planned versus actual route information and review all stops made. Essentially, they are better able to manage their routes and contain the cost of routing.

School districts with fleet management solutions installed can expect a mileage savings of about 1% per
day per bus, based on fuel and maintenance costs. When you consider your average maintenance cost per mile, the savings begin to really add up.

HOW MUCH CAN YOU SAVE IN PAYROLL?

Inaccurate timekeeping and reporting can be expensive for school districts. With a time and attendance solution in place, drivers can clock in and out from their vehicles. This eliminates paying for non-driving time. On average, it saves 15 minutes per driver per vehicle per day.

payroll-savings-with-gps-tracking.pngDepending on your hourly rate and number of drivers, the savings can multiply quickly. For example, imagine your drivers earn $15/hour, and you have 100 drivers. Increasing your payroll accuracy by 15 minutes would equate to a savings of $375 per day, or an impressive $67,500 in annual savings.

 

THE VALUE OF FLEET MANAGEMENT

A fleet management solution allows you to stay connected with your fleet and save money in the process. It is never easy to manage a complex budget. But tools such as GPS can help. The instant visibility allows you to better manage your buses and drivers.

With GPS, reports can be built to help increase efficiency and ultimately save money. Track variables like idling time and costs, speeding, and driver performance. Then use the data to significantly reduce your fuel consumption and overall cost.

Or consider allowing your drivers to log in directly from their vehicles. The system can connect directly to your payroll, reducing man-hours and eliminating mistakes, and thereby decreasing unnecessary labor expenses. In the end, whether from fuel, mileage, or payroll savings, GPS ends up paying for itself over time.

Want to learn more? Download our new magazine, Ridealong with Synovia Solutions, to read about the many benefits of GPS tracking. 

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Tags: k-12, fuel efficiency, school bus