Is the GPS Right for Your Business?  

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Lea Bogle, Contributing Writer

Capacity.  It’s the word that everyone is talking about, from prime contractors, to government agencies and small business owners.  So the question is, how can a small business increase its capacity, so it can grow and meet the demands of its clients in the most cost-effective manner?  Implementing the right mobile strategy plays a key role.

For most businesses, especially small businesses, the single largest expense on the P&L are their labor costs.  So the question then becomes, how can productivity be increased without increasing labor costs?  The answer is to make it easier for your people to be more efficient, by creating processes and procedures that streamline your organization, improve accountability, the customer experience, cash flow, and employee satisfaction.

One of the easiest solutions to implement is GPS.  Companies often believe they don’t need it because:

  • They trust their employees
  • They are a small business and know where their employees are
  • They can’t afford it
  • They want to wait until the company grows and have more employees

The reality is, GPS is for every size business that has a mobile workforce.  The solution itself pays for itself and has an immediate ROI to the company’s bottom line. Let’s look at how GPS streamlines the operation itself, increases capacity and revenues, and then we will look at the numbers.

GPS can improve customer satisfaction. With GPS, you will immediately know where your employees are, and how soon they will arrive, in real time.  In the event a customer calls in requesting service the same day, you’ll know if it’s possible to squeeze it in, and if so, which one of your employees is furthest along in their previously assigned tasks who can best handle the additional workload.  This also reduces overtime.

GPS reduces fuel costs.  You can monitor how often your employees leave the vehicle running.  1 hour of idling is equivalent to a gallon of gas.  Based upon your business, you can implement an idling policy and enforce it.

GPS systems can assist with managing your fleet.  It will streamline your maintenance process, and eliminate missed maintenance opportunities.  You will automatically know when it’s time to change the oil and rotate the tires, saving time, reducing costs, and increasing the life of your vehicle.  Additionally, it can alert you of vehicle fault codes.  It can let you know before the vehicle breaks down if there is an issue.  Or if the vehicle breaks down, you’ll know why.  It can alert you if your drivers are speeding, harshly breaking, and accelerating rapidly, all increasing your liability expenses or decreasing your vehicle life.

1GPS lets you know how long your vehicles stopped and where they were stopped.  It helps you see if the right amount of time was spent at a job.  If they’re not spending enough time doing the job, your customer satisfaction may be reduced and your job quality might be suffering.

GPS will also help you manage your employee behavior.  90% or more of all employees are doing the right things, right?  But those few employees who are stealing time or not where they are supposed to be, are costing your company both money and its reputation.  GPS provides the insight necessary to reward the people doing the right things, and coach or terminate the ones who aren’t.

The bottom line is that GPS is a profit driver for your business.  Below is a conservative ROI for a business with 10 field workers who make an average of $15 an hour. Most companies get a much higher return than what’s shown below.

  • The company averages $50 per job in revenue.
  • The company is able to complete 1 additional job per week, per employee.
  • Company revenues are increased by $25,000 per year.
  • The GPS system costs $2,500 per year.
  • The net revenue increase is $22,500.

Isn’t it time for you to take a serious look at how GPS can positively impact your business?

Lea Bogle is a wireless industry expert and president of Premier Wireless™, a company that proudly serves Houston, Dallas, Austin, San Antonio, and other areas.  For more information about how Premier Wireless™ can help you, please visit them on the web at www.premierwirelesstx.com.

 

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