Advantages of Fleet Management | Disadvantages of Fleet Management
This page covers advantages and disadvantages of Fleet Management System architecture. It mentions benefits or advantages of Fleet Management and drawbacks or disadvantages of Fleet Management.
What is Fleet Management System Architecture ?
Introduction:
Fleet management is the system which uses application or technology to track and
manage different kinds of vehicles such as cars, cargo logistic assignment,
luxury buses, ambulance assignment, ships etc.
The fleet management system also keeps records of vehicles such as purchase, rental or lease information, driver records, fuel information, GPS records and so on. The system uses fleet management software which keeps all the reports and sends email as per stored email database.
There are two main types of GPS tracking viz. active and passive. Active GPS tracking uses wireless network to transmit real time location and other information of fleet. Passive GPS tracking uses tracking device which stores the tracking data. This data can be downloaded and viewed when vehicle returns from the trip.

As shown fleet management system consists of vehicles mounted with GPS or GNSS or similar
tracking devices, cellular network, GPS satellite, servers and
computing devices with internet connection.
Let us understand working of fleet management system.
• As shown vehicle obtains its location information using its
GPS receiving device with the help of GPS satellites.
• GPS sentence carry latitude, longitude, altitude and time of readings obtained from GPS
satellites. The extracted GPS informations are transmitted to servers using cellular connectivity.
The cellular network can be either GSM (2G), CDMA (3G), LTE (4G) or 5G NR (New radio).
• The popular servers used for IoT applications are Thinkspeak IoT server, AWS cloud server,
IBM cloud server, Google cloud IoT, Microsoft's open cloudserver etc.
• The API is used to store data from vehicles using HTTP or MQTT protocols over internet to the servers.
• Similarly stored data on servers can be retrieved by mobile phone application software or website using HTTP/MQTT protocols
over internet.
• The fleet management software application or website can be used on various computing
devices such as mobile phones, tablets, desktops or laptops.
Benefits or advantages of Fleet Management
Following are the benefits or advantages of Fleet Management:
➨It improves productivity by saving delivery time due to use of advance route information, traffic alerts etc.
➨It helps to reduce cost of fuel.
➨It ensures safety of vehicles, drivers and goods.
➨It provides real time location of fleets and serves the customers in better way.
➨It helps in saving of maintenance costs by maintaining fleet effectively.
➨It reduces risk of theft and road accident chances. Hence it decreases insurance cost.
Drawbacks or disadvantages of Fleet Management
Following are the drawbacks or disadvantages of Fleet Management:
➨Active tracking based fleet management requires monthly subscription charges and data usage charges.
➨It is difficult to manage and maintain fleet management system due to use of multiple technologies
such as cloud servers, cellular wireless systems, fleet management software etc.
➨It requires skilled resources to maintain such system. This increases maintenance costs.
➨GPS device used in fleet management is power hungry which drains battery faster.
➨GPS signal does not pierce through the walls, solid structures, under water or dense trees.
Hence it is difficult to track the fleet when they are in such regions or behind such locations.
• Refer top fleet management software vendors for more information.
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