Guide to Vehicle Tracking System – How Does It Work?


Are you tired of not knowing where your vehicles are at all times? Investing in a vehicle tracking system could be the solution you need! In the US, the market for vehicle location tracking devices was worth a whopping $600 billion in 2018. With the rise of 5G networks, the need for effective automobile tracking systems has only grown. Discover how a vehicle tracking software system can help you get the most out of your fleet in this easy-to-understand blog!

What is the Vehicle Tracking System?

The vehicle tracking device is a set of tools that helps managers keep track of vehicles from far away. It works by combining hardware with GPS and software, allowing transporters to see where their vehicles are in real-time. However, it includes details like the latitude, longitude, and other geographical information.

The main goal of GPS tracking systems for cars is to provide instant and past data about a vehicle’s location, how fast it’s going, the routes it takes, when it’s stopped or idling, and where it stops. The hardware collects all this data, while the software organizes it neatly so managers can easily understand and use it.

Different Types of Vehicle Tracking System

Using fleet vehicle tracking software has become necessary because of increased competition and the many features available in such software. But before jumping in, it’s good to know about the different types of auto-tracking systems so you can pick the one that fits your needs best!

  • Vehicle GPS Tracker: This type of vehicle tracker tracks where your vehicles are in real time using GPS technology. In addition, it’s great for small businesses looking for affordable solutions.
  • White Label GPS Vehicle Tracking Software: These are advanced systems developed by vehicle tracking software companies. Moreover, they offer these systems to clients with customized branding.
  • Mobile Fleet Tracking Apps: Many tracking software providers offer mobile apps since everyone uses smartphones. These apps let you manage your fleet on the go, which is super convenient.
  • Personal Vehicle Tracking Software: These are for monitoring just a few vehicles. In addition, they usually have basic features like real-time tracking and setting boundaries.
  • Enterprise Vehicle Fleet Tracking Software: These are for managing large fleets. They have extra features like optimizing routes, managing fuel use, monitoring driver behavior, and scheduling maintenance.

How Does a Vehicle Tracker Work?

The Vehicle Tracking System (VTS) is a set of tools that enables managers to remotely monitor the location and behavior of vehicles in real time. It combines hardware, typically GPS tracking devices installed in vehicles, with software that collects and organizes data transmitted by these devices. Here’s how it works:

  1. GPS Tracking Device (Hardware): Each vehicle in the fleet is equipped with a GPS tracking device. These devices gather various data such as the vehicle’s current location, speed, route history, idling time, and stops. They use Global Positioning System (GPS) technology to pinpoint the vehicle’s location accurately.
  2. Data Transmission: The tracking devices transmit the collected data to a central server using cellular networks or sometimes satellite communication. This data transmission enables real-time monitoring of the vehicle’s status and movement.
  3. Software Interface: Fleet managers access the collected data through a user interface provided by the tracking system’s software. This interface displays information such as vehicle location on maps, speed, routes taken, and any alerts or notifications generated by the system.
  4. Analysis and Control: The software allows managers to analyze the data collected from vehicles, helping them make informed decisions to optimize fleet operations. They can monitor driver behavior, fuel consumption, route efficiency, vehicle maintenance schedules, and more.
  5. Alerts and Notifications: The system can be configured to send alerts and notifications based on predefined criteria. For example, managers can receive alerts for speeding, unauthorized vehicle usage, or when a vehicle enters or leaves a specified geographical area (geofencing).

Benefits of Vehicle Tracking System

The following section will discuss several advantages that every user should know.

  • Reliability: The vehicle tracking system should work well even in tricky situations like bad weather or areas with poor signals.
  • Security: These systems should be challenging for thieves to tamper with and have features to prevent vehicle theft.
  • Backup Plans: Sometimes, the signal can fail, so reasonable systems keep a backup of data to fill in those gaps.
  • Accuracy: They use different technologies to ensure they know exactly where the vehicles are.
  • Stealthy: Tracking devices should be small and hidden to avoid being disabled by thieves.
  • Affordability: They should be cost-effective for businesses to use all the time.
  • Durability: The devices need to be tough enough to handle the rough conditions on the road.
  • Automatic Reports: They can generate reports automatically, reducing mistakes.
  • Emergency Management: They assist in routing, scheduling, and alerting authorities in emergencies.
  • Cost Savings: Optimizing routes leads to saving money in the long run.
  • Data Analysis: They can analyze data to understand trends and predict future issues.
  • Predictive Maintenance: They help plan maintenance to avoid breakdowns and keep vehicles running smoothly.
  • Driver Monitoring: They track driver behavior to ensure safety and efficiency.
  • Customer Satisfaction: By improving operations, they make customers happier.

Even though these systems have many benefits, there are also some challenges they face.

Why Does the Vehicle Tracking System Fail?

Real-time GPS tracking has made a big difference for logistics and fleet managers, but there are still some challenges it hasn’t solved completely. Here are the reasons why just tracking vehicles isn’t always enough:

  • Fleet managers face the problem regularly, especially when dealing with a mix of their vehicles and hired ones.
  • Most logistics operations use a mix of their vehicles and ones they hire from third parties. While it’s easy to track your fleet, it’s much more challenging to track hired automobiles unless they have a reliable tracking system.
  • Installing a vehicle tracking system is usually up to the fleet owner. It’s not valuable to force leased vehicles or temporary logistics providers to use tracking systems they don’t have control over.
  • Last-mile delivery tools often track vehicles. However, they can’t tell if delivery is done until the driver confirms it by scanning an invoice or entering data. However, it can be a problem for real-time tracking, especially if drivers wait to do paperwork at the end of their shift.
  • When a vehicle is stolen, a GPS tracker can help find it. However, tracking the stolen goods inside the car is more problematic. If you don’t act fast on alerts about route changes, the chances of recovering stolen goods decrease over time.

Here are some significant challenges faced by users while using the automobile Tracking System. Moreover, you have also seen that it contains some benefits.

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Wrapping Up!

In summary, vehicle tracking systems have become essential for businesses. Moreover, it is the best option for all people who want to be more efficient, and safe, and save money in managing transportation. As technology keeps improving, these systems will keep playing a significant role in how we move around in the future. You just need to read the entire article and understand each section. As a result, it will be beneficial to you further.

Frequently Asked Questions

Q. What is the best way to track a vehicle’s location?

Ans. Put a GPS tracker in every vehicle or thing you want to keep track of. However, it is the best way to track a vehicle’s location.

Q. Which tracking system is best?

Ans. The best vehicle tracking system depends on specific needs, but options like Fleet Complete, Verizon Connect, and Geotab are popular choices known for their reliability and features.

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