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Fuel Savings Boost Telematics ROI

By Rod Sutton, Editorial Director | October 30, 2012

F-U-E-L. That’s the quickest way to sell a telematics program to upper management. Kerry Sudria, corporate equipment operations and technical manager for Kiewit, told attendees at AEMP’s Asset Management Symposium that the benefit of tracking fuel usage via telematics will clearly point out the financial reward for the investment.

Tracking fuel will inevitably lead to the discovery that idle times are far higher than what most organizations suspect. Reducing idle time leads to an initial reduction in overall fuel costs.

But, Sudria says, as idling hours are reduced, actual utilization hours are extended. A machine that runs 12 hours a day, for example, but idles for four of those hours, only does eight hours of work.

By eliminating the four hours of idle time, and the fuel burned, the following key benefits will be seen:

  1. Greater intervals between fueling and service events
  2. Greater intervals between scheduled PM
  3. Full benefit from the hours covered under warranty
  4. More efficient use of technician labor
  5. Less emissions
  6. Reduction in the number of safety incidents
  7. Less opportunity for repair quality issues

Armed with these tangible cost saving and company benefits, telematics becomes a much easier and quicker sell to upper management.

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