What is a fleet management system and why do you need one

The fleet management process is generally carried out by a fleet manager or the owner of a business. Their daily tasks encompass the collection of all data regarding the operations of their fleets. This includes everything from monitoring driver behaviour and acquisition, to disposal and fleet maintenance too. This is not only time consuming, but it takes serious organisational skills. Because time is money in transit organisations, the workload involved in fleet management doesn’t always provide a return on investment (time to money in this case).

By incorporating a fleet management system however, all data regarding your fleet is collected and stored in an easy to access system. If you have been debating on whether to invest in one for your business we’re providing some pros and cons below today!

So what does it really do?


In addition to providing a centralised system for storing your fleets data, a fleet management system will provide you with comprehensive tools to take your management skills up a notch. With an effective system you will be able to monitor your fleets in real time which has become a key USP for buyers.

By utilising fleet telematics such as a GPS and machine diagnostics, business managers are now able to collect more structured data than ever! This achieves improved vehicle and driver safety standards. It also helps to maximise your businesses productivity and reduce operational costs. If Covid-19 has taught us anything about business it’s that we need to be able to reach maximum productivity for reduced financial investment. You never know when sectors will take an unprecedented hit. The fleet management market is expected to be worth approximately $34 billion by 2025, so let’s address what all the hype is about.

What are the benefits?


There are a myriad of benefits which surround an effective fleet management system including a more positive work life balance for whoever is in charge. Here are some more:

Additionally, fleet management systems can aid the process of driver management. Fleet management systems can correct driver behaviour by tracking fines and accidents. They also improve safety on the road by alerting drivers to speeding, harsh breaking and dangerous driving. This small benefit not only has an impact on your drivers’ wellbeing on the road but it will reduce the number of calls that you have to make to your van insurance broker.

What are the disadvantages?


This wouldn’t be an objective article if we didn’t provide information on the potential drawbacks of owning a fleet management system too.

  • If you have less than five vans on the road this type of software might not harness its full potential and cost you a large sum of money for little gain.
  • Depending on how many vehicles you have on the go, this system could be an expensive time investment for your business.

How to know if you should invest in a fleet management system?


The first thing to consider during your deliberation of whether to invest in a fleet management system is the size of your business. Managing a pool of up to 5 vehicles as we stated previously might not be very difficult for an experienced fleet manager. However, once your fleet continues to grow in size management becomes more challenging.

It’s a good idea to sit down and address the performance of your fleets overall. How compliant are your drivers with the ever-growing list of transport regulations? If this is something that your fleet struggles to keep up with then a fleet management system could be your saviour.

Additionally, if you feel like your fleet suffers from unexpected downtime due to fleet maintenance, then a fleet management system could be a solution too. When vans suddenly breakdown, it can result in major changes to schedules, reduced profits and a call to your van insurance company. A fleet management system can counteract this issue by sending regular updates regarding internal issues in your van. This will help to remind you of regular maintenance checks and will save you time and money in the long run!

Finally, fleet management systems can help if you should ever run into an insurance claim. Because telematics have a tracking ability and the ability to provide a detailed overview of how drivers perform on the road, this comes in handy for claims. You will be able to offer in-depth data on how safely your driver was driving in the event of a claim. Just having a fleet management system might also help to lower your annual van insurance premium.

There are different fleet managements systems for various types of industries. So, if you’re thinking about purchasing one, take the time to sit down and review which one might work best for you! Pick up the phone to someone in the industry who has one installed and ask for their advice too. If you spend time investigating the right fleet management system for your business, you’re likely to be happier with the finished product.

At we offer van and fleet insurance at a great price. You should always have peace of mind about your drivers on the road. Reach out to us today!