Quick Guide. Truck Tech for Freight Operators IT and Telematics Explained

Transcription

1 Quick Guide Truck Tech for Freight Operators IT and Telematics Explained

2 1 Disclaimer: While the Department for Transport (DfT) has made every effort to ensure the information in this document is accurate, they do not guarantee the accuracy, completeness or usefulness of that information; and cannot accept liability for any loss or damages of any kind resulting from reliance on the information or guidance this document contains.

3 Contents Introduction 3 How Can IT and Telematics Systems Help? 6 Performance Management 11 Getting There 13 Keeping Track and Staying Safe 18 Jargon Buster! 21 2 Truck Tech for Freight Operators Guide

4 Introduction This Guide provides a simple overview of the technology that is available to help truck operators save money, improve efficiency, improve safety and truck security. It shows the costs and benefits and tells you where to look for more information. Read on to gain the information to make the right choices for your business. Why Bother With IT and Telematics Systems? A common reaction to IT and telematics for operators is Why would I need that? If you think you are operating without any particular problems, it can be easy to dismiss computer and communications technology as a solution to a problem that doesn t exist. However, improvements can always be made if you have clear and reliable data to identify in which areas improvement would be most effective. With good systems in place you will know more about your business giving you greater control and allowing you to flag up potential problems before they arise. FACT! Embrace technology! It will help you gain a competitive edge and avoid being left behind in an advancing industry 3 Hint: As you read through this guide you may see terms you ve not come across before. We ve included a Jargon Buster on page 21 to help clear things up.

5 What s Out There? The large number of IT and telematics systems products on the market reflects the wide range of operator needs. It pays to look around and do your research. Online You can access free or paid-for telematics products without even leaving your desk. These may be anything from simple data entry and benchmarking tools to online freight exchanges (see page 6). Modern technologies, such as smartphones, mean these tools can be easily accessible to staff even when they are out making deliveries. Off the Shelf Systems Advances in technology are making cheaper systems widely available and a much more viable option for many operators. Vehicle Manufacturer Systems When you purchase a new vehicle the manufacturer will usually offer the option of on-board telematics. Alternatively many manufacturers will offer a retrospective fitting for older vehicles. Bespoke Systems A bespoke system lets you tailor a package to your particular organisation, minimising the chances of wasting money on features you ll never use. Multi-functional Many systems will cover more than one task for example, a Satellite Navigation (Sat Nav) system may also include tracking and communication. Make sure you choose functions that will benefit your operational needs. The additional features on some products might save you from needing to purchase additional equipment. Equally you should only ever pay for features that you actually need, and should avoid purchasing systems that duplicate functionality. 4 Truck Tech for Freight Operators Guide

6 FACT! Taking small steps is key to managing change and seeing the benefits How to Choose a System Selecting systems and equipment for your vehicles and depots will need to be based on your circumstances, how many vehicles you operate, the distance they travel and other specific factors related to your operation. For example, if you transport high-value goods, or risk of theft is a particular concern, then a vehicle and trailer tracking system with security options will be a particularly attractive option. Equally, if you re looking to reduce fuel costs, make on-time deliveries, or make better use of your existing fleet, then a Sat Nav or Truck Sat Nav device might be for you. For more info on choosing a system and a supplier take a look at the Freight Best Practice Telematics for Efficient Road Freight Operations Guide to help you make an informed decision. These can be ordered FREE via the Hotline , or you can download them from the website freightbestpractice Fitting In-cab Systems 5 An off the shelf Sat Nav or Truck Sat Nav system can often simply be installed onto the dashboard, provided they don t interfere with the driver s view of the road, or the

7 use of controls/displays needed for driving, whereas more complicated telematics systems that interface with the CAN-bus will need to be installed professionally, and be approved for Electromagnetic Compatibility (EMC). If you are installing a plug and play system yourself take the time to get it right as correct installation is key to reliability. Also ensure that any staff using the new equipment are properly trained and briefed. FACT! Check the specifications of a system before committing to a purchase or choosing to fit it yourself. How Can IT and Telematics Systems Help? Winning Work Online Freight Exchanges In addition to making your existing operations more efficient and cost effective, having access to the right online system can actually help you generate more work. An online freight exchange is a system that allows organisations to post details of loads they need moved, and then matches these with relevant hauliers who are seeking loads or backloads. These systems match buyers (those with goods to be transported) with sellers (those who have spare vehicle space). 6 Truck Tech for Freight Operators Guide

8 What are the benefits? Saves time and money for both consignors and hauliers Improved vehicle fill Enhanced backloading opportunities Ready access to a wide customer base Online freight exchanges may work best for owner-drivers or small companies with a national or international operation. They can be a useful way to obtain backloads and reduce empty running. Things to consider: Some sites charge a subscription fee (usually between 5 and 10 a week). Other sites are free for both consignor and the haulier The site you subscribe to may not generate business (although compared to the costs associated with empty running, subscription costs are likely to be low) There can be risks associated with dealing with unknown or new customers Care must be taken to ensure customer service is not sacrificed for price 7 Making the most of the internet and modern technology is one way to ensure you re not left behind when it comes to winning work. Don t forget, there are now ways to connect to the internet away from your desk, for example - making use of 3G connections on your mobile phone or wireless internet on a laptop. You can win work almost anytime, anywhere.

9 Spotting Problems Vehicle and Driver Monitoring Systems Telematics systems collect, analyse and transfer data between a vehicle and a remote location, often your operating base. These systems have varying capabilities depending on manufacturer and cost, but can analyse information such as number of gear changes, overrevving, MPG achieved, CO 2 emissions, harsh braking, idle time etc. The equipment can monitor these factors continually whilst the vehicles are in use and then output the data to programmes such as Microsoft Excel or to bespoke benchmarking systems. This allows you to compare the performance of different drivers using the same vehicles, and to compare the vehicles themselves against others in your fleet. This information, particularly if used for benchmarking, can help you identify the areas where you could be making the biggest cost savings and where your efforts could be focused most effectively. Importantly this information can be available in real time which might allow you to identify and rectify a problem as it happens rather than picking up the pieces afterwards. What are the benefits? Operational cost savings Indication of training needs Reduction in vehicle wear and tear for example by identifying excessive gear changing or harsh braking 8 You may notice you are making losses in certain areas of which you were not aware Truck Tech for Freight Operators Guide

10 Things to consider: Vehicle and driver monitoring systems need to be professionally installed and set up for you in order to collect all the correct information from your vehicles Until you start to monitor operations, you may not even be aware that there are problems that can be solved or improvements to be made There may be ongoing costs associated with running and maintaining such systems You might be surprised what you can learn from such a system. For example, it is often the case that operators do not realise how much time their vehicles spend with their engines idling until it is revealed by reliable data. Once operational losses can be quantified, it becomes much easier to make the case for change. FACT! It is always important to have accurate data when assessing your performance and examining areas for improvement Vehicle Diagnostic Systems Vehicle Diagnostic Systems connect to the Engine Control Unit (ECU) of a vehicle, to help identify any components or systems in a vehicle that are failing and need to be repaired. What are the benefits? 9 Saving time and reducing costs - A vehicle diagnostic system can interpret vehicle fault codes, avoiding the need to take vehicles to dealers to have faults identified

11 As the system is constantly monitoring the vehicle, the need for major maintenance works is often reduced, as faults are identified earlier on without the system it may take more serious signs of failure before a driver or mechanic will identify an issue Things to consider: Costs range from about 700 for basic systems to 6,000 for more advanced ones. The cost of the system needs to be weighed against likely maintenance costs to strike an appropriate balance Software upgrade packages may be available and some manufacturers will provide these free of charge A system also needs to be carefully married to your vehicles, as some systems will not be able to identify all fault codes. However, if a system is produced by the vehicle s manufacturer it will identify all fault codes Vehicle Diagnostic Systems are particularly beneficial for diverse fleets, as it s harder and more expensive to diagnose faults on a single unique vehicle; especially where maintenance is carried out in-house. 10 Truck Tech for Freight Operators Guide

12 Performance Management It is possible to analyse your performance and examine areas to make improvements using free online and desktop software. Two options are the Freight Best Practice Fleet Performance Management Tool and On Line Benchmarking (OLB). The Fleet Performance Management Tool allows you to enter fleet information on fuel usage, distance travelled, maintenance carried out and other operational data. By entering information for all your vehicles, you can compare their performance and identify whether particular vehicles (or drivers) are performing less well than others. On-Line Benchmarking takes the concept one step further, by allowing you to enter details for all the vehicles in your fleet and to then compare your operational performance for each class of vehicle against other companies who are also benchmarking. OLB allows you to compare a whole host of Key Performance Indicators (KPIs) including: 11

13 Fuel Performance (MPG) % of deliveries on time, in full Incidents per 100K km travelled % empty distance run Maintenance cost per 100K km travelled % delivery complaint rate What are the benefits? Anonymous comparison Allows you to see if you are under-performing compared to industry averages and thus at a competitive disadvantage Builds up a month-by-month historical record of your performance allowing you to assess the impact of any changes you implement Indicates seasonal fluctuations in your performance Both systems are completely free of charge and can be accessed by visiting freightbestpractice Things to consider: You will need to be prepared to input regular and accurate data to make the most of the tool s outputs Using OLB, it is possible to filter results by sector, but if you operate a very specific operation such as running abnormal loads it may be harder to make useful comparisons with industry peers 12 Truck Tech for Freight Operators Guide

14 Getting There Traffic Information and Route Planning Websites One of the simplest ways to help avoid traffic delays is to use online traffic information systems. By checking these websites on a regular basis you can check areas of congestion, road works or road closures, and pick more appropriate routes if necessary. Examples of online services that can be used for this purpose are: Traffic England ( Traffic Scotland (trafficscotland.org) and Trafficwatch Northern Ireland ( which feature traffic updates, interactive maps with live updating and access to CCTV feeds Google Maps ( - live traffic overlay for main roads Transport for London traffic alerts (trafficalerts.tfl. gov.uk/microsite) incidents, roadworks and road closures in and around London Congestion and travel information is also available from the RAC, AA, BBC, and through many other sites that can be found via internet search engines 13 Websites can also be useful for selecting the shortest or most appropriate route. These websites will usually allow you to compare the distances covered when taking different routes, and to print off a set of step-by-step directions.

15 Examples of online services that can be used for this purpose are: Transport Direct at Google Maps maps.google.co.uk Bing Maps Yahoo! Maps uk.maps.yahoo.com The AA website at theaa.com The RAC website at rac.co.uk What are the benefits? Advance warning of congestion reduces wasted time and improves MPG Forward planning reduces the chance of getting lost and driver stress levels Minimises the risk of late delivery/collection 14 Truck Tech for Freight Operators Guide

16 Things to consider: The majority of sites will be updated regularly. They will not, however, be instantaneous so it s always wise to be prepared for unexpected delays Make sure that the routes suggested by the sites are a viable option should you be directing a large HGV they won t flag up any weight or height restrictions, for example It can be time consuming if multiple trip information is necessary which may justify the use of Sat Nav or HGV routing and scheduling software Sat Nav / Truck Sat Nav Sat Nav systems have been available off the shelf for many years now, and provides a reliable navigation solution reducing the times that drivers are lost and discouraging use of a map whilst out on the road. Sat Nav usually provide directions in the form of voice instructions and gives an accurate prediction of arrival time at your next destination and displays a real-time update of the vehicle s progress. What are the benefits? Helps to ensure a driver is taking the optimal route Less reliance on the navigation skills of the driver who can then fully concentrate on driving Reduces the need for multiple sets of directions on multi-drop deliveries 15 Reduce time and resources spent preparing route directions and checking congestion Fuel use can be improved by reducing off-route

17 mileage and the avoidance of congestion allowing for a smoother driving style Things to consider: Operators with larger vehicles in their fleet need to be careful that they employ appropriate Sat Nav systems that take into account the height, weight and size of the vehicle being driven If your drivers generally make deliveries locally, or regularly make deliveries to the same locations, then the benefits of Sat Nav may be limited Systems designed specially for large commercial vehicles are known as Truck Sat Nav or sometimes simply Truck Nav. Whereas most consumer Sat Nav systems assume a driver is travelling in a car, a Truck Sat Nav system will include information on bridge heights, weight limits and roads that may not be sufficiently wide for larger vehicles. As such, you and your drivers can always be confident that routes selected are appropriate for your vehicles. As well as providing route planning and directions, more advanced Sat Nav systems can also include congestion mapping functionality, identifying when there are issues ahead on the planned route, and suggesting alternative routes where appropriate. 16 Truck Tech for Freight Operators Guide

18 Drivers: You are the key! INTRODUCING THE WORLD S MOST ADVANCED NAVIGATION SYSTEM Don t over-rely on Sat Navs! They can direct you on to routes that might be inappropriate for lorries. 17

19 Computerised Vehicle Routing and Scheduling (CVRS) CVRS is generally used by organisations operating a number of vehicles, particularly for multi-drop work, where the scheduling task is complex and limited time is available for planning. Systems can also be used to model possible changes to a transport operation, carry out strategic reviews and quantify the impact on operations of more immediate changes. What are the benefits? Enables quicker reaction to changes and offers the ability to divert vehicles for additional work, or prewarn customers of a late delivery or collection Reduces journey times, fewer late deliveries and reduced stress on staff Improves communications and better planning Reduces operating costs and improved customer satisfaction Fewer resources required including vehicles, drivers, fuel, tyres 18 Truck Tech for Freight Operators Guide

20 Things to consider: A CVRS system may help you adapt and keep pace with transport operation developments in the industry It s worthwhile to prepare a carefully constructed plan in order to adopt CVRS and ensure you get the most from the system If you operate a small fleet, smaller scale telematics options such as Sat-Nav may be more viable Implementation of CVRS is very company-specific, depending on many factors such as size of the operation and what is expected from the system. Support, training and development are critical if the system is to produce the best results. For more detailed information on CVRS, see the Freight Best Practice guide, Computerised Vehicle Routing and Scheduling (CVRS) for Efficient Logistics. 19 These can be ordered FREE via the Hotline , or you can download them from the website freightbestpractice

21 Keeping Track and Staying Safe Vehicle Tracking Systems A vehicle tracking system allows your vehicles to relay information about their position back to a computer at your company s base, using GPS and sometimes GSM mobile phone technology. A Transport Manager can use this information to see exactly where vehicles are on a computerised map, to monitor the progress of deliveries and to communicate with vehicles. In-cab communication systems are also usually available as part of a wider vehicle-tracking package, allowing a Transport Manager to communicate with drivers, usually via text message. 20 Truck Tech for Freight Operators Guide

22 What are the benefits? Improved fleet utilisation Automatic updates when destinations are reached Early awareness of an issue if a driver halts or goes off-route Easier to stay in touch and reduces mobile phone use by drivers Better understanding of driver activities (for example private mileage monitoring) Improved security/theft prevention, and reduced insurance premiums Vehicle tracking is most useful for fleets of 10 vehicles or more, when it becomes more important to keep track of your vehicles, and more difficult for a single member of staff to do so. Automatic location updates mean it is no longer necessary to check up on vehicles that are running on schedule, allowing staff to concentrate on drivers who may be having difficulties. An additional safety feature that some systems include is a panic button that can be manually activated by the driver. This means that in the case of a collision, incident, theft, altercation etc. the driver can instantly send an alert to signify that they are in trouble. Things to consider: 21 The usefulness of tracking and communication systems can often depend on the size of your fleet the more vehicles, the greater the potential benefit Costs for vehicle tracking system generally begin at around 400 per vehicle, reaching 3,000 per vehicle for the most advanced systems

23 Many companies will lease tracking equipment and communication network costs for per month per vehicle It is very important to select the features you need and that are appropriate to the size of your operation and to involve drivers in the decision making process, making the advantages and uses of the system clear The majority of vehicle tracking systems allow geofencing where the system will alert a depot or member of staff if a vehicle moves into or out of pre-set areas. There are three main ways to utilise geofencing: Setting an operating area: An alert is sent if a vehicle moves out of its operating area Setting an exclusion area: An alert is sent if a vehicle enters one of these areas. For example, the London Congestion Charge area could be set as an exclusion zone Setting named locations: A depot, driver s address or customer delivery location can be set as named locations, with alerts sent when a location is entered or left. Some systems can also send out an alert if a vehicle is moved between particular hours, or at weekends. As such, vehicle tracking can also reduce the risk of becoming a victim of theft. 22 Truck Tech for Freight Operators Guide

24 Jargon Buster! Backloading: The transport of goods on the return trip from a delivery, to reduce empty running and increase the efficiency of your operation Benchmarking: The comparison of data against that of others, to assess relative performance and efficiency CAN-bus: A standard component in all modern vehicles that allows the various electronic control units to communicate with each other and allows the collection of data from these units CVRS: Computerised Vehicle Routing and Scheduling is a software package that can combine customer location data with delivery or collection data to create an optimal delivery schedule and route ECU: Engine Control Unit, manages the performance of an engine by determining the amount of fuel, injection timing and other parameters an internal combustion engine needs to keep running Geofence/geofencing: A pre-defined or userdefined area of a map, that can be set as a virtual boundary with an alert triggered, if desired, when a vehicle passes into or out of it 23 GPS (Global Positioning System): A system where a device can use satellites to determine its geographical position and track progress GSM: Groupe Speciale Mobile. European digital cellular radio standard for pan-european mobile cellular radio network two-way communications

25 In-cab: An in-cab device is one that can be viewed, heard or used by a driver whilst in the cab of the vehicle IT: Information Technology (also sometimes referred to as ICT Information Communication Technology), and is used as a general term to refer to most pieces of computer-based technology, including phones and in-cab devices Online Freight Exchange: A website where you can search for additional business. Information is detailed for loads that need to be transported, and allow you to get in touch to register your availability to transport them and your rates. Sat Nav: Satellite Navigation systems, allowing route planning and audio turn-by-turn navigation Telematics: The use of computer systems to control or monitor remote components, devices or systems Truck Sat Nav/Truck Nav: A variant of standard Sat Nav systems, specifically designed to be aware of truck heights, widths and gross vehicles weights 24 Truck Tech for Freight Operators Guide

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28 Freight Best Practice publications, including those listed below, can be obtained FREE of charge by calling the Hotline on or by downloading them from the website Fuel Saving Tips Saving FUEL This handy pocket guide is ideal for drivers and managers looking for simple ways to reduce fuel consumption. Performance MANAGEMENT Fleet Performance Management Tool Incorporating CO 2 Calculator This tool has been designed to help fleet operators improve their operational efficiency using key performance indicators (KPIs) to measure and manage performance. Developing - SKILLS Drive It! DVD A 25 minute driver focused DVD helping to inform and educate on methods of improving efficiency. It contains several examples and case studies of how companies improved their own operational efficiency. Transport Operators Pack - TOP TOP provides practical every day support material to help operators implement best practice in the workplace and acts in direct support of tasks essential to running a successful fuel management programme. Equipment & SYSTEMS Telematics for Efficient Road Freight Operations This guide provides information on the basic ingredients of telematics systems, highlights how to use this technology, the information obtained from it and how to select the right system for your needs. Case STUDIES There are over 25 case studies showing how companies have implemented best practice and the savings achieved including: Expert Advice Helps Cut Fleet Costs Owner Drivers and Small Fleet Operators: Simple Cost Effective Ways to Improve Efficiency Proactive Driver Performance Management Keeps Fuel Efficiency on Track February Printed in the UK on paper containing 100% recycled fibre. FBP1134 Queens Printer and Controller of HMSO Equipment & SYSTEMS