Know Why GPS Tracking is Important for Fleet Owners | LogiPe

Why is GPS Tracking Important for Fleet Owners?

Published By: LogiPe on August 2, 2022

GPS tracking is a very useful feature for truck fleet management. It helps fleet managers keep track of their fleet in real-time. The ability to keep track of the whole fleet is of significant importance for any logistics firm. It can lead to long-term benefits, such as increasing company profits, strengthening brand value, and leading to growth.


Caption: Using GPS tracking can streamline logistics operations and keep trucks safe from theft.

[Source: Delivery map vector created by pch.vector]

How does GPS tracking work?

GPS, Global Positioning System in full, uses a network of satellites in orbit around the Earth to provide accurate positional information to the user. GPS can provide the precise location of any item equipped with a tracker.

GPS works by combining 24 satellites and many ground stations on the Earth. Any GPS tracking device sends its positional data as signals to these satellites. The data includes timestamped position values of the tracker. The satellites then transmit the data to the ground stations, which convert it into real-time position and velocity values. The final results are shared with the end-user. Often, a GPS app presents the data in a more visually simple format. The fleet owners can also download the data separately for future reference and analysis.

What are the benefits of GPS tracking?

Vehicle GPS tracking has many benefits, which we shall examine here.

Better vehicle utilisation

Vehicles equipped with GPS devices are easy to keep track of. The fleet manager knows when each truck is on the road and in the facility. Thus, the manager is in a position to maximise productivity by suitably assigning vehicles on dispatch duty. As a result, the firm can minimise the unproductive downtime of vehicles. Further, theft or unauthorised usage is relatively low, as the software sends warnings when trucks move out of position.

Insurance savings

Vehicle GPS tracking ensures their positions are known at all times. It helps avoid unnecessary risks on the road. In case of an unforeseen eventuality, the fleet manager can take prompt action and inform the insurance provider if necessary. Drivers are also likelier to drive more cautiously when their behaviour is monitored. In addition, insurance companies often provide premiums discounts to logistics firms that use GPS trackers in their fleet.

Automate paperwork

Geofencing is a feature that works in tandem with GPS vehicle tracking systems. It helps virtually mark regions that are relevant to a dispatch. Geofencing can help automate many vital processes. For example, a customer can receive notifications when the delivery enters the last phase. The software automatically generates an invoice when the driver leaves the delivery location. Further, geofencing helps automatically perform vital records like logging driver hours and billing, saving time.

Improved truck and fuel management

Vehicle tracking systems include a host of other sensors that keep track of essential vehicle parameters. Such parameters include battery temperature, fuel level and vehicle diagnostics. The GPS for trucks alerts the fleet owners when proactive maintenance measures are needed for the vehicles on the road, saving time. Vehicle GPS tracking also helps optimise route planning, helping make the best use of fuel, and avoid wasteful routes.

Streamlined operations

Tracking fleet positions in real-time benefits all stakeholders. The fleet managers know the status of all vehicles, enabling them to make key decisions. the software ensures that the routes are most optimised concerning cargo and traffic. The driver is updated promptly in case of any last-minute due to traffic. Finally, the customers know the position and ETA of the dispatch throughout. This builds trust in the firm.

Get data insights and integrate them into other software

The position, time and velocity data from vehicle GPS tracking help fleet managers in many ways. The fleet manager can study the data to analyse routes and compare their performance. The data also provides information regarding driver behaviour, suggesting areas for improvement. The analysis teams can also integrate the data into other fleet management software for a more holistic approach to the situation.

GPS tracking to keep track of your valuable assets

As we have seen, GPS software helps you in tracking fleet all the time. The software flags any deviations from the planned route, thanks to geofencing. Further, the unauthorised use of the truck is instantly notified by the software. All vehicles are accounted for all the time. This is regardless of whether they are in the warehouse or on the road. Cargo tracking can also individually track the cargo elements to ensure complete monitoring.

As theft is a significant cause of losses in transit, minimising its risk is paramount. GPS tracking can go a long way to ensuring that the hazard of theft is reduced. GPS tracking also helps take prompt action in case of any unwanted activity while the cargo is on the road.


We have seen how important GPS tracking is for logistics firms. Incorporating GPS for trucks helps fleet managers in a multitude of ways. Enabling suitable vehicle tracking systems in all the vehicles of the fleet can lead to savings in the long run.

The firm has to make well-considered investments in obtaining GPS for trucks. We at LogiPe can assist your logistics firm in streamlining cash flow and keeping track of payments. We help you manage FASTag payments, fuel expenses, and driver expenses using prepaid cards by LogiPe. Visit our site now to know more about the range of services we have to offer!