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Copyright © 2000 FleetWatch magazine and FleetWatch On-Line. No part of this publication may be reproduced without the prior written permission from the publishers. Views published are not necessarily those of the publishers. |
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July
2000
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Claims by certain suppliers in the vehicle tracking, recovery and fleet management arena of being everything to everybody has been one of the main problems that has plagued this industry sector over the past years. The Vehicle Security Association of South Africa (VESA) has now put an end to this via the introduction of definitions of the various offerings under two headings writes Patrick O'Leary. Vehicle tracking and recovery originally kicked off in South Africa as an industry response to an upsurge in the hijacking and theft of vehicles. So the first systems were almost exclusively focussed at trying to tame this scourge. It was only later that systems suppliers started looking at extending this service to include aspects of fleet management using the modern technology available to help operators get a better handle on their fleets. It was an obvious move and interestingly, was mainly driven by operators who were reluctant to invest in systems that were merely focussed on hijacking and theft - believing that this would come to an end one day. Their rationale was that the government would get on top of the crime problem and they would then be left with redundant and obsolete equipment. Wishful thinking that was, wasn't it! And don't forget that the systems were not cheap in those days. Operators were laying out big bundles of money to protect their fleets. As the market developed, the early entry players like Netstar continued to do a good job by staying focussed on vehicle tracking and recovery and shying away from the ridiculous claims some of the later arrivals were tagging onto their offerings. If some of those claims and promises were to be believed, you'd be on permanent holiday as those systems would have run your company, driven your trucks, dealt with your customers and done a whole lot more besides. Too many ringmasters It became a circus out there with too many ringmasters and not enough performers. It was a sham because while the ringmasters were announcing with great pomp and ceremony the arrival of the lions, what the audience got to see were the clowns. Obviously all this merely served to confuse everyone - including many of the suppliers themselves. Not only were the transport operators suffering but so too the insurance industry and by the middle of 1998, when yet another company went out of business leaving desperate clients in its wake, the insurance sector realised that the vehicle tracking, recovery and fleet management industry was like a train out of control. Of course, the insurance industry had got involved because they were being inundated with requests from clients to have their premiums - and excesses - reduced due to the client having fitted one of the new 'super-duper all things bright and beautiful' systems. And then the supplier would go bung - in a super-duper, bright and not-so-beautiful way. It was then they approached VESA with the object of setting standards and specifications with a view to having some form of regulation governing the industry and protecting the consumers. VESA took on the challenge and invited the players in the industry to sit round a table to assist in the setting up of standards, specifications and procedures to ensure that all systems and service providers who intended staying in the industry would receive the support of the South Africa Insurance Association. Annual renewals Once agreement was reached on a comprehensive set of standards and specifications designed to regulate the industry, VESA then set about evaluating applicants and the successful applicants were granted VESA membership. But that's not the end of it. To this day, each member has to undergo an annual renewal process with a full evaluation once again done to ensure, among others;
Interestingly is that, according to VESA, there were some companies who, after seeing the VESA standards, didn't bother to apply as they could not meet the criteria. It also perhaps apt to note that companies applying for VESA membership do have to pay a fee. We make mention of this because not only are these companies prepared to open the doors of their companies for intense scrutiny, but are also prepared to put their money where their mouths are. And that says something. Client protection What we like as an added value component in this whole set-up is a sort of client protection procedure that the members have agreed on. Should a supplier be liquidated or decide to pull out of the market, the other members will assist the clients who are left behind. No client will be left in the lurch as so many have been in the past when companies pulled out or went down. This is a big plus - and a fine display of good corporate citizenship - for it takes the risk of being left high and dry off the shoulders of the total client base. Of course, there are many suppliers out there who are not VESA approved - and they are doing business. However, they are not accountable to anyone. There's just no recourse and we've seen so many operators suffer in the past when it was an open day on this sector. VESA has now taken the process a step further in clearing up any confusion in terms of system offering by defining the features of all systems available under two distinct categories. The first is Typical Stolen Vehicle Recovery Systems and the second, Typical Tracking and Fleet Management Systems. We are publishing this list of criteria in an easy to read and user friendly format and urge operators to keep it on hand for reference. The member companies have aligned themselves with the definitions. Editor's Note: LATE FLASH After this article was written, it came to FleetWatch's attention that there is a certain amount of dissension within the stable of members relating to the allocation of systems under the various classifications of systems. FleetWatch attempted, on numerous occasions, to speak to the director of VESA with regard to this issue but was unsuccessful in doing so. We will, however, follow up on this. In the meantime, we have taken the decision to run the article as is as we feel VESA's definitions are a step forward for the industry and do add value. I must add that at no time during any of the meeting attended by FleetWatch was there any hint among the members of any dissension. This is a recent happening and we will find out more details and report back on it. After all, if there is dissension in the body which is setting the standards, defining the different offerings and classifying the sytsems according to their offerings, it all seems pretty pointless doesn't it? VESA system definitions Typical Tracking and Fleet Management Systems
Typical Stolen Vehicle Recovery Systems
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Clearing
the Confusion