From increasing labor costs as a result of a severe skilled worker shortage to higher material costs due to the recent trade war, the construction industry has had a challenging year. Telematics can help organizations control costs and make the most of their workers by tracking metrics like asset utilization and fuel costs, but our report found most fleets are not using telematics to its full capability.
Here are the top 10 need-to-know stats from Teletrac Navman’s 2018 Telematics Benchmark Report: Global Construction Edition
ON THE TALENT SHORTAGE:
- Finding, retaining, and developing talent was the second top organizational business challenge this year, increasing by 13% (35% in 2018 up from 22% in 2017—the biggest year-over-year increase reported), behind managing costs (49%).
- Of the 42% of fleets experiencing driver and/or operator shortages, 50% have increased pay to address the issue.
- 53% cited payroll as the biggest cost for construction organizations, topping the list of largest expenses for the second year in a row.
- 45% of organizations offering rewards to drivers for better performance experienced improved driver retention.
- Organizations looking to grow their workforce mainly rely on referrals (59%) to recruit new employees, while fewer than half (47%) use online job boards.
- 59% of organizations are still planning to increase fleet size this year, despite the worker shortage.
ON TELEMATICS USAGE:
- Of the respondents who implement telematics in their fleets, vehicle tracking (76%), speed (62%), and hours of service (58%) led the metrics they monitor.
- 65% of respondents either already offer, or plan to offer (within the next year), mobile technology to drivers and equipment managers for fleet and asset management.
- 54% of construction organizations recognize “peace of mind of knowing where equipment is located” as the top benefit of telematics, with improved operator behavior second at 34%.
- The application of big data analytics into business operations increased by 12% since 2017.
Survey Methodology: The 2018 Teletrac Navman Benchmark Survey includes responses from more than 2,400 fleet operations and fleet management professionals from around the world. Of the total survey respondents, 646 indicated their primary industry was construction, mining, or oil or gas. The results described in the report were compiled from those respondents. This report provides an understanding of best practices and fleet management trends in business, general telematics, emerging technology, transportation, external factors, and talent. Results may not amount to 100 percent due to questions with multiple selections. For reporting purposes, all statistical values have been rounded to the nearest whole number.
Teletrac Navman: Teletrac Navman is a leading software-as-a-service (SaaS) provider leveraging location-based technology and services for managing mobile assets. With specialized solutions that deliver greater visibility into real-time insights and analytics, Teletrac Navman helps companies make better business decisions that enhance productivity and profitability. Its fleet and asset management technology uncovers information that would otherwise go unseen, helping customers reduce risk and confidently move their business forward with certainty. It tracks and manages more than 500,000 vehicles and assets for more than 40,000 companies around the world. The company is headquartered in Glenview, IL, with additional offices in the United States, United Kingdom, Australia, New Zealand, and Mexico.
For more information:
To learn more data trends and challenges in the construction industry, download the Teletrac Navman 2018 Telematics Benchmark Report: Global Construction Edition at www.teletracnavman.com/benchmark/construction.
Modern Contractor Solutions, December 2018
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