THE DEFINITIVE TRUCKING SITE

Nov/Dec 2008

Searching for the true ‘pulse-rate’ of the FM/VT industry in South Africa right now, Paul Collings knocks on the door of the country’s leading vendor of ‘total fleet management solutions’, DigiCore, a company with an international reputation for sharp systems and services that bring total visibility and security to truck fleets on six continents. Mark Rousseau, DigiCore’s Managing Director answers a few pointed questions.

5 DigiCore’s MD, Mark Rousseau is unequivocal in his belief that FM technology needs  to be managed correctly by both supplier and client, working together to achieve optimum results.

FleetWatch: Has the merging of leading tracking companies with Fleet Management system developers lowered the cost of ownership of FM systems in general? 

DigiCore: We don’t believe that it has. The technology required to supply effective and efficient telematics solutions has changed considerably over recent years. For example, the introduction of GPRS on the GSM networks has had a direct impact on the cost of  ownership, but the merger of Fleet Management & Vehicle Tracking companies has not, thus far, lowered the cost. 

FW: How has  the market responded to these mergers? 

DC: It seems clear that there is much confusion. There have been a number of company and product name changes and SVR (stolen vehicle recovery) type companies attempting to sell FM (fleet management) solutions without the expertise. 

FW: Have existing FM/Tracking brands been compromised at all by these mergers (and re-branding)? 

DC: It would appear so. 

FW: Are fleet customers realising ongoing cost savings as your systems mature? 

DC: Yes definitely. The availability of GPRS on the GSM networks has made a significant contribution to saving operating costs for the customer. More importantly is the fact that with time and lots of training, fleet customers now understand the information they have available from our solutions and using the information correctly can save them money. Ensuring drivers drive within the vehicle’s greenband range, eliminating unnecessary vehicle idling, reducing harsh braking and eliminating unauthorized use of vehicles after hours or over weekends, have all contributed to cost savings for customers.

FW: Are your systems helping reduce accidents?

DC: Yes. Fleet Management solutions offer customers access to real-time vehicle information previously not available. Using this fleet management information on a day to day basis, interacting with the drivers through debriefing sessions and implementing driver incentive schemes all contribute to the reduction of accidents. Human nature shows that when we are being managed properly, we change our behavior for the positive and therefore drivers should drive their vehicles in a more responsible manner. Fleet Management solutions can also highlight excessive driving hours and fleet managers can restrict driving hours to prevent fatigue. 

FW: Are insurance companies offering discounted premiums as a result of your systems being fitted to customer trucks? 

DC: Insurance companies are recognising the important role fleet management solutions can play in the reduction of risk for the fleet owner and the insurer. Although some insurers have started to reduce insurance premiums for customers addressing their risk through fleet management solutions, education of fleet owners and insurers is still crucial. 

FW: Are your systems able to help manage fuel consumption and identify fuel theft? 

DC: Fuel management and fuel theft are considered the number one management priority of all transport companies – worldwide. Advances on commercial vehicles such as CANbus-generated fuel information do allow us to monitor and report on fuel consumption. Although many commercial vehicles do not currently supply CANbus fuel consumption data, there are fuel flow systems available which can be installed into vehicles to monitor fuel usage and fuel consumption. 

FW: What services does your company offer to help drive the utilisation of data generated from your system? 

DC: DigiCore offers a comprehensive bureau service where summarised management reports allow our customers to more effectively use the generated C-track information. DigiCore also employs business consultants assisting our customers to better understand and use the information received from our C-track solutions. 

FW: What proportion of your fleetowner customers use these services (bureau or otherwise)? 

DC: DigiCore currently has in excess of 64 customers making use of our FM bureau service. 

FW: How active is your client service team in helping improve driver behaviour? 

DC: DigiCore has always been and is actively involved in helping our customers improve driver behavior. Through our solutions which record tachograph data on a second by second basis, driving behavior can be managed and changed. DigiCore’s client service teams also assist our customers in setting up and configuring the vehicle parameters such as speed, RPM limits, harsh braking and excessive idling limits. The DigiCore C-track solutions also have an active buzzer in the vehicle which alerts the driver when vehicle parameters are exceeded. However, the technology should always be coupled to ongoing driver training programmes to achieve the desired results. 

FW: Can you cite examples of real vehicle cost savings as a result of proactive utilisation of data/intelligence generated by your system and leveraged by your client service staff?

DC: DigiCore customers have experienced cost savings of up to 25 percent. A lot depends on the fleet configuration in terms of type of vehicle, distances and routes travelled. Many of our customers are saving millions of Rands per annum. 

FW: Can you cite examples of how your system has helped your clients improve their service levels (better route scheduling, communicating delivery times to customers etc.)? 

DC: DigiCore has clients that have integrated the C-track system with route scheduling software which has helped plan and monitor in real time their deliveries to their customers. In excess of 10 000 deliveries are done per day by one such customer. 

FW: Truck OEMs are busy rolling out their own FM systems. Do these systems pose a threat to your market share?

DC: If you consider the recent ABI research report from the USA, DigiCore was rated 2nd best supplier, in this industry, from a global perspective, Daimler Chrysler was rated 23rd and no other South African company was in the top 30. Clearly OEMS are successful in maintaining their focus on supplying quality vehicles. OEMs need to overcome a number of issues to compete effectively, such as after sales service, the implementation of a support infrastructure, the ability to service mixed fleets, competitive pricing and customer training. 

FW: Will CANbus integration play an increasingly important role in the advancement of FM technology and will the OEMs have a competitive edge in this regard as far as sharper FM system development is concerned? 

DC: CANbus will most definitely play an increasingly important role in FM solution information. But remember, CANbus is a worldwide standard available for integration into FM systems and therefore shouldn’t give OEMs a competitive edge in FM system development. 

FW: Are your developers working on any video surveillance technologies to integrate with existing FM systems?

DC: Yes, DigiCore has integrated with this technology for some time already. Demand for video surveillance is growing but it’s still a relatively unknown arena for FM solutions providers. Although GPRS on the GSM networks supply fast and generous data downloading, it is not sufficient for live data streaming for video surveillance. GSM modem suppliers are now delivering 3G modems for 3G data transmission but again 3G coverage on the mobile networks is not as wide as GPRS coverage. 

FW: Does in-cab/driver video surveillance have an ‘ethical’ basis as far as ‘right to privacy’ is concerned? 

DC: We do believe that in-cab/driver video surveillance does have an ethical basis as long as drivers are informed upfront of the use of video surveillance in their vehicles. 

FW: What has been your experience over the last year as far as truck hijacking is concerned? 

DC: There was a substantial increase in truck hijackings during April, May and June of this year compared to the same time last year. The difference between the two periods was a staggering 130 percent. This however changed dramatically in the three months after that and we have recorded fewer hijackings during the 2008 period for July, August and September. 

FW: Is the trailer still the primary target, or is the truck tractor back in ‘demand’? 

DC: According to our statistics this has remained more or less the same as previous years. In our experience, it is a seasonal thing and as usual, we expect the November and December to be ‘trailer and load’ months as the country gears up for the festive season. The one thing that has stood out is the fact that truck tractors are consistently recovered on the way to, at, and across borders as these vehicles are increasingly taken north into Africa. 

FW: Are recovery crews experiencing new challenges as thieves and syndicates work to outsmart the law? 

DC: Syndicates have evolved as much as technology has evolved over the last couple of years. They are constantly searching for easier ways to ‘beat’ the system and we consistently improve our technology and recovery processes to stay ahead.