Telematics data aggregation is seen as a part of the Big Data, Machine Learning (ML) and Artificial Intelligence (AI) developments that are now taking hold in business, commerce and society.
While it’s a relatively new field, it’s one that is only set to grow in importance. Telematics data aggregation services are becoming a key facilitator for transport managers, fleet managers, insurers and risk managers seeking to make the best use of the big data that their telematics systems are generating.
What Is Telematics Data Aggregation?
Telematics data aggregation is typically a cloud-based software that brings together the mass of data generated by telematics devices, dashcams, black boxes, apps, etc into a usable solution.
Beyond aggregation, it also standardizes and normalizes the telematics data for consistency and comparison.
Why Do We Need Telematics Data Aggregation?
There are two key reasons why we need telematics data aggregation.
Multiple Telematics Systems
Most fleet operators and insurers have more than one telematics system in use. This could be from different hardware vendors, the Telematics Service Providers (TSPs) or they could be upgrading from one model to a newer one. This is a process that can’t be done overnight for a fleet of several hundred or thousand vehicles.
As they collect telematics data from more than one data source, many times these data sources won’t be truly comparable or consistent.
Too Much Data
An even more pressing need for telematics data aggregation is the need to manage and make sense of the overwhelming amount of data that is generated. This ocean of data will only get larger, as our vehicles have become very sophisticated data platforms that generate, transmit and receive a mass of digital data. Transport managers and fleet managers must get on top of this data so that they can gain insight to help them better manage their fleets on a day-to-day basis.
A 2018 report by Ptolemus, a specialist consultancy in connected mobility, on telematics data aggregation, states:
“While the amount of data generated is growing at a phenomenal rate, the quality of data analysis and actionable insights delivered to the fleet operator have not developed at the same pace. More data does not automatically translate into more value.”
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What Are the Benefits of Telematics Data Aggregation?
The Ptolemus report also states, “It no longer matters who generates the data – what matters is who can provide the clearest insight into that data.”
In this case, telematics data aggregation is designed to take the problem of too much data away from the fleet operators and transport managers. It replaces it with clear and simple insight, management information and alerts – enabling them to be more efficient and effective.
The Core Benefit: Better Management
The core benefit of telematics data aggregation, as highlighted above, is the efficient and effective compiling of telematics data to provide simple, easy-to-use insights for fleet, insurance and transport management.
Telematics has revolutionized the fleet and transport industries in the last decade. But with it has come a situation of multiple reporting, inconsistent data and a new management task of staying on top of the data and the reporting.
A fleet operator facing this issue recently stated that, “Our biggest barriers we currently face are the multiple systems we use with little integration, duplication of workload, multiple data entry and no clear insight into trends or driver activity.”
So, the core benefit of telematics data aggregation is taking away this management task. It replaces it with clear insight for management action, rather than management being lost in the activity of just being able to understand the data.
Other Critical Benefits
The other benefits of telematics data aggregation software all stem from this core benefit of being able to manage better.
Telematics data aggregation software allows managers to better identify remedial and ongoing training needs for each driver or group of drivers, as they are alerted in real-time of violations and traffic incidents. This faster action leads to better cost control and management when it comes to correcting poor driving behavior.
And, if working with their insurer, they can also help bring insurance premiums down as average claim costs become smaller over time.
This enhanced risk management tool can also be used to help guard brand and company reputation. By having insight into near misses, problem routes and problem drivers, management resources can be targeted at these areas. By doing this, the risk of a future incident happening will decline. Plus, if one does happen, having proof of processes of risk management can help immensely with official procedures and investigations.
Want to learn more about how you can get more out of your telematics and other driver data? Download our free guide to discover how telematics can help you paint a more complete picture of risk.
