One moves ahead in life with some hopes and achieve its goals due to some believes, one who runs business have courage and faith on his own's ability. When a person invests on any business or in shares or buying land or property etc, There is one thing in common on one's investment and that is RETURNS. Money invested or risk taken is only measured on returns.
An investment on any business is always a risk and depends upon various factors like place, customers presence, competitors, Pricing and quality, in a same manner different investments have various positive and negative points. I have heard from many people "High Risk High Return", This may be true but being a business analyst I follow "Don't Waste your time, looking for GET quick Rich schemes". Money makes money and think hundred of times before investing a small amount also. Money is earned with a large amount of hard-work, may be by your ancestors and it must be used with full care and attention.
For a fleet owner, his business is dependent on his vehicle's total run, more the vehicle run, more the kilometres will be covered and more could be a profit. A Fleet owner can view his success in transportation or mining or logistics or in any kind of fleet business, through the total run of his vehicle, but only due to drivers and waste of time, his flow of money is not as same as his vision of success.
To make you sure on returns on investment here are some Calculations:
- Considering a vehicle runs 250 KM/ Day (25Km/hour X 10 hour).
- 10% misappropriate utilisation and route deviation savings based on research and real time scenarios which equals 25KM/Day.
- Idling time based on real time scenarios is 2 hours(at-least). 2 hours X 25km/hour equals 50KM/Day more run.
From point 2:
Calculating according to current fuel pricing, which is RS.55/Ltr.
Average of vehicle 3KM/Litre.
Total waste = Total misappropriate utilization/average of vehicle => 25/3 => 8.33 Ltr/day equals 8.33 X 55 = 458 Rs/ Day.
From point 3:
50 KM which driver could have run his vehicle more.
Taking a fleet owner earning Rs 5 on every KM vehicle Runs.
50 KM X 5 = 250 Rs/ Day
From above 2 calculations: 458 + 250 = 708 Rs/ Day.
Taking 25 working days: 708 X 25 = 17700/ Month.
I have taken numbers on minimum basis, we have seen vehicles running more than 250KM/day and also seen stoppages of 4 to 6 hours on average.
A Fleet owner must understand these figures and can make it possible only through GPS system. An investment proving very easily the Returns. Having examples and experience on same, made possible for various fleet owners, their vision into success. A fleet owner investing lakhs of money on his vehicles and staff but adding an extra bit to their vehicle can give them a great difference. We continuously proving from last 2 years and investing on same technology coz we see returns on our investment and it makes us happy on seeing others, making good returns on their investment through our product HUNT.