More than half of fleets using machine data monitor operator or driver behavior, according to exclusive research from Construction Equipment magazine. The study, “2020 Technology in Construction Report,” was published in the March 2020 issue. It finds that 55 percent of respondents use the data in this way, the top use for data outside of fleet management, and an increase of 8 basis points over 2017, when 47 percent cited it.
“Machine data benefits organizational goals in addition to those directly associated with equipment management,” said editorial director Rod Sutton. “Two in five respondents said that their organization uses machine data outside of the equipment department. More than half of those use telematics to monitor operator and/or driver behavior, an application driven by safety concerns.”
Nearly half of organizations that use machine data also use it to manage safety and/or risk, according the study. Data also help organizations with compliance, as well as in project costing and equipment-acquisition decisions.
The report also revealed that 20 percent of equipment-using construction firms use machine data to negotiate user-based insurance premiums. User-based insurance is usually discounted from traditional policies. Insurance companies use data such as braking frequency to monitor—and reward—driver behavior. Many insurers have moved to near-real-time, or compressed-time data, where the data are evaluated within 24 hours. In the consumer market, drivers have responded by adjusting behavior in order to obtain better insurance rates.
According to LexisNexis, price and savings are the No. 1 factor among commercial fleet managers for incorporating user-based insurance into their fleets. Two-thirds of small fleet managers shop for insurance every two years or more, according to the company, and managers are looking for ways to save money.