In the face of slow economic growth, soaring fuel prices, and emerging technologies rapidly transforming business nature, running a logistics company in South Africa is full of many challenges.
Seven Concerns Keeping Logistics CEOs Awake at Night
According to a recent First National Bank CEO survey, South African logistics business leaders are currently facing seven challenges. They include:
- Low trade activity due to slow growth in the economy
- High transport costs due to soaring fuel prices, toll charges, and maintenance costs
- Poor service delivery rate
- Unable to undertake international projects due to exchange rate volatility
- Need for innovative technology to help drive business forward
- Poor cash flow management
So, when things seem to get harder and harder, how do CEOs create a sustainable logistics business? One way is to introduce telematics into their daily operations. With the ability to generate and store important operational information, it will give you full control of your logistics business. While it may not boost trade activity or address volatility in exchange rates, it will help improve productivity and efficiency while reducing operating costs.
How to Solve the Challenges faced By Logistics CEOs Using Telematics
1. Reduce Transport Costs by Acting Against Poor Driving Behaviour and Excessive Fuel Use
The costs of running a logistics company are endless. However, using Geotab’s fleet management system offers significant saving opportunities for fleets of all sizes. By accessing detailed reports on fuel consumption and poor driving habits, fleet managers can implement strategies that will ensure safer driving habits and reduce fuel consumption – resulting in lower fuel and maintenance costs.
2. Improve Service Delivery Rate with Route Optimization Tool
To ensure customer satisfaction, logistics companies need to deliver their customers goods on-time. Using the MyGeotab Route Optimization tool,
fleet managers can achieve this. By selecting the fastest routes, fleet managers can plan their journeys more efficiently to ensure drivers reach their destinations on-time. Read more on Geotab’s route optimization tool.
3. Innovative Fleet Management Solutions
Geotab’s fleet management software is an innovative, user-friendly fleet management platform that enables you to monitor your fleet’s movement from anywhere. It also provides detailed analytics to help you track your business costs, and is equipped with tools to help improve your overall business operations.
4. Equipped with Military Grade Encryption to Ensure Customer Data is Secure
While the emergence of new technologies has brought convenience, it has also led to online fraud. South Africa has the third highest cybercrime rate in the world, according to Norton’s 2013 annual report on cybersecurity. To protect the client’s sensitive information, Geotab’s Go7 device is equipped with a cryptographic module. It allows clients to implement cryptographic functions such as encryption and authentication to any solution transmitted between the vehicle and the device.
Author: The Geotab Africa Team
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