Logistics leaders are bombarded with countless options to get the most out of their fleet. Yet, according to a study by Escalent, only 15% of fleets have adopted telematics solutions.
An Arc Advisory Group report found that 37.5% of TMS users improved freight savings by more than 10%. Escalent also reported that 44% of fleet decision makers are actively shopping for telematics solutions. The longer you wait to implement innovative technologies, the further behind you fall. It’s not too late to be a leader in the adoption of new technologies.
The case for innovative technology adoption
The Rogers Adoption Curve is a common tool to show the lifecycle of innovations and ideas in various groups through 5 stages.
- Innovators, the first to use a new technology, represent a small portion of the market, but these risk takers play an important part in innovation.
- Early adopters are informed risk takers. Following the innovators, this group begins to take an idea from the fringe into broader culture.
- Early majority may be more conventional but have open minds. They’re unafraid of new opportunity, but ideas come to them instead of the other direction.
- The late majority is more likely to hide from the change that the first three groups have embraced. Change isn’t fun for them, but they can’t stop the momentum that has begun.
- Laggards don’t just hide from change, they fight it.
A 15% adoption rate for telematics represents a major milestone. The idea has grown into the early adopters and will soon reach the early majority. Telematics are at the tipping point referred to as “the chasm.” Once you cross the chasm, products have the momentum to become standard.
What worked yesterday will not work today. If you aren’t an innovator or an early adopter, you’re missing out on an advantage in the tech race. If your business continues without a telematics solution, odds are you’ll fall behind your competitors. 44% are already actively shopping. While legacy systems may have served your business in the past, telematics have seen major upgrades in the last 20 years with wide adoptions of GPS and smartphones.
The introduction of cloud-based systems, data analytics and transportation optimization capabilities via augmented intelligence have ushered in a new generation of products to remove the headache from fleet asset management. The cloud also encourages workplace flexibility, such as by giving dispatchers the option to dispatch trucks from home.
To learn more about how Optym can help keep you ahead of the curve, contact us today.