Fleet optimization with GIS: 5 tips for routing efficiency

Even if a fleet has dependable trucks and skilled drivers, overlapping routes and unnecessary idle time can drain a company’s resources. Managers face these challenges every day, which is why optimization isn’t just about having the right vehicles and staff. True efficiency comes from looking at the bigger picture: planning routes, coordinating schedules, and keeping track of driver activity.

Let’s explore what fleet optimization means and which key strategies teams can implement immediately. Plus, learn how Felt supports the process with smarter mapping tools.

What’s fleet optimization? The benefits of enhancing fleet efficiency

Fleet optimization uses thoughtful planning and data-driven technology to improve vehicle operations. It’s a continuous and data-driven process that includes streamlining routes, organizing maintenance, and managing fuel consumption. This optimization aims to maximize output while minimizing costs and environmental impact.

Fleet management is a related but distinct term. This refers to the day-to-day practice of overseeing these operations. Managers arrange drivers, vehicles, and schedules to make sure transport goes as planned. It’s their responsibility to monitor performance and track fuel consumption, then make adjustments to maintain efficiency.

Here some common benefits of fleet optimization:

• Lower fuel consumption: Strategic route planning and scheduling helps drivers use less fuel across the fleet, which supports resource management and more sustainable operations.
• Refined routes: Optimized routes help vehicles get to their destinations faster and avoid traffic. This also reduces wear and tear on the fleet so there’s less need for maintenance.
• Enhanced performance: Observing vehicle and driver performance helps spot areas for improvement and prevents disruptions that could affect productivity.
• Decreased operating costs: Coordinating schedules, maintenance, and vehicle usage keeps fleets in top shape and lets managers make the most of their resources.

5 fleet management strategies to optimize performance

Here are five strategies to help analysts optimize fleet performance without putting extra strain on vehicles or drivers.

1. Evaluate existing operations

Take a close look at the fleet’s operations. When you know which vehicles and routes use the most fuel — or take the most time — it’s easier to see where there’s room for improvement. Pay attention to idle time, fuel consumption, and maintenance schedules to understand where your resources are spread thin. 

These benchmarks are essential to ongoing evaluations. While regular checks already help fine-tune daily operations, comparing new metrics against previous ones confirms the optimization is successful.

2. Embrace technological solutions

Location intelligence tools are a big help in reducing idle time and planning optimized routes. Fleet managers can use this software to gain real-time visibility into vehicle positions and driver behavior. These professionals also use fleet management platforms to monitor vehicle health, schedule maintenance proactively, and automate reports. This saves valuable time and ensures decisions are based on updated, accurate data.

3. Look for the most efficient routes

Optimizing how and where a fleet moves helps vehicles reach destinations quicker, reducing fuel consumption and wear and tear. Route optimization software makes this process much easier. These tools help you plan efficient paths so deliveries stay on schedule and on budget. They also provide up-to-date insights, which helps with reviewing and adjusting supply chain networks as conditions change.

4. Set up geofencing

Geofencing tools let planners create virtual boundaries for fleet vehicles. In other words, you set up invisible zones the fleet should stay inside. This helps track any and all vehicle movements to reduce unauthorized use and unnecessary idle time. The tools send alerts whenever a vehicle enters or leaves a geofenced zone, giving better control over the entire fleet and its fuel consumption.

5. Keep track and iterate 

Monitoring fleet performance is the best way to spot inefficiencies and find ways to improve. Track metrics like idle time, fuel use, and maintenance costs so teams can make decisions that reflect real-world conditions. It’s also best to frequently review vehicle health and driver behavior to make sure you get the most out of every mile. By consistently analyzing results and adjusting plans, you extend the lifespan of a fleet and help with budget maintenance. 

Top KPIs to measure for fleet optimization

Here are a few essential metrics to monitor and boost efficiency for fleets.

Fuel efficiency

This KPI shows how far a fleet travels on a specific amount of fuel. Efficient vehicles go farther on less fuel, while inefficient ones consume more. Calculating fuel efficiency can help managers identify underperforming fleets and routes.

Formula: Total distance driven ÷ total fuel consumed (e.g., miles per gallon or km per liter)

Maintenance cost per mile

This measures how much is spent on maintenance for every mile or kilometer a fleet travels. Tracking this metric helps fleet managers control costs and see which vehicles need tuning up or maybe even complete replacement.

Formula: Total maintenance costs ÷ total distance driven

Idle time

Idle time is a percentage that captures how long vehicles sit with engines running instead of moving. Limiting this time cuts wasted fuel, improves vehicle life, and boosts overall fleet efficiency, which in turn lowers operating costs.

Formula: (Total idle hours ÷ total operating hours) x 100

Route optimization

There’s no single formula for route optimization, but this example compares average route performance to optimized benchmarks. Tracking it helps fleet managers see where routes are inefficient and where better planning can reduce travel time and fuel usage.

Formula: Actual average route time ÷ optimized route time

Accident frequency rate

This assesses how frequently accidents happen compared with the distance a fleet travels. A lower rate points to safer operations and fewer costs from repairs and insurance.

Formula: (Number of accidents ÷ total distance driven) x 100,000

Fleet utilization rate

Vehicle utilization rate represents how many vehicles are in use and how many are sitting idle. When the rate is high, the fleet is being used efficiently. But when the rate is low, it can indicate scheduling issues or a fleet that’s bigger than needed.

Formula: (Hours vehicles are active ÷ total available hours) x 100

Optimize fleet performance with Felt

To improve fleet performance, teams need to see what’s happening on the ground and act on it. While monitoring KPIs is an important step, in-depth optimization calls for greater visibility into real-time conditions.

Felt’s transportation mapping software helps you analyze fleets without added complexity. The AI-native platform lets you visualize mobility patterns and track performance at a glance. Visualize and analyze data without writing a line of code, whether you’re optimizing routes, vehicles, or networks. 

If you’re looking for a practical platform to turn analysis into action, book a demo with Felt.

FAQ

How does fleet optimization software use location and route data?

Fleet optimization software tracks vehicle locations and road conditions using real-time GPS and route data. This lets the tool provide instant assistance to drivers, coordinators, and managers. For example, the platform might discover a better route while a delivery is in progress to avoid traffic and maintain the team’s schedule.

What are fleet management skills?

The most important fleet management skills include planning routes, monitoring vehicle health, and analyzing budgets. Managers also typically know how to incorporate technology, like telematics and mapping tools, to track metrics and increase efficiency across operations.