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Sustainability Generates Profit in the Transport Industry in New Zealand

This month I had the pleasure of presenting to the New Zealand Freight Summit at Auckland University to a diverse group of people from all facets of the transport industry. There were a number of common threads and one of them was sustainability. This is a word that is bandied around a lot, together with concepts like carbon emission trading and taxes, but I wonder how seriously a lot of companies are taking it.

One motivator is compliance. Government departments and many corporates today have KPI’s which require that they do business with companies who have sustainability policies and practices. We have responded to a number of tenders recently which have asked us to specify what sustainability practices we have put in place.

I have read many articles that say that companies which have sustainability practices are more profitable than those that don’t. Obviously the above is one good reason, effectively there are contracts they won’t win simply based on the policy.

There are of course other good reasons that also hit the bottom line. The most obvious one is the rising price of oil. If you use tools such as Route Optimisation and Business Intelligence, you can potentially do more work whilst driving shorter times and distance. That means reduced running costs, reduced maintenance costs, saved time which potentially means being able to do more work in the same amount of time and bottom line increase in profit. Whether your fleet is one vehicle or hundreds, there are savings to be made and they are easy to achieve.

Wellington Traffic 28 February 2012 1:15PM

I really enjoyed showing people AA Traffic by GeoSmart. Many of the delegates were not aware that we have real time traffic congestion information covering virtually all arterial roads and highways throughout New Zealand and Australia. There will be some announcements about this in the very near future. If you are a transport operator, how would you like to be able to see exactly where the congestion is in real time and on the same map, see your vehicle fleet?

Does traffic congestion cost your company by not letting your vehicles get where they want to be on time? Wouldn’t it be great if you could have a birds eye of what was going on in real time 24/7? What would that mean to your business? We can help you with that.

Utilising technologies like this can help your company to focus on reducing overheads when the economy is tight and allows you to tell the market that you have sustainability practices, not just policies. Of course in doing so, you are actually taking practical steps to reduce your company’s carbon footprint and doing something good for your country and the planet.

Want to know more about how you can use these technologies in your business? We’d love to talk with you. Contact us today.

February 28, 2012 Posted by | Auckland, Australia Maps, Business Intelligence, Business Tools, carbon footprint, Delivery, Distribution, driving, Freight, geosmart, new zealand maps, Oil Price, petrol, real time traffic, route optimisation, territory management, Traffic, university | , , , , , , , , , , , , , | Leave a comment

How we are helping the future greening of New Zealand

A couple of statements by David J. LePoire drawn from his essay “Beyond (Conventional) Renewable Energy?” caught my eye this morning. He said that “If energy use had grown as fast as the economy, the United States would be using an estimated 60% more energy than it does now. We’ve improved energy use in buildings, electrical appliances, cars and industrial processes. These applications are often motivated by cost savings.” There are often stories about how companies who focus on sustainability in a concerted way will become more profitable as a result, but often there is little information on where the increased profitability will come from.

There has been a lot of discussion about how green New Zealand really is and which initiatives are going to help us go forward in the way I believe most Kiwis want toThe elections are close and the parties are all telling us what their policies are going to be.

Meanwhile there are many companies who are just working business as usual with an eye to a better future. GeoSmart is one of those companies. So what are we doing?

First, we have driven every road in New Zealand for many years, but in the last few years we have been driving with phenomenal technology put together in New Zealand by Kiwis, which allows us to map New Zealand roads to sub 1 metre accuracy even when there is GPS shadow or at times (not uncommon particularly in the South Island) where there is no GPS sugnal available at all for periods of time. Tests show that we tend to be accurate to around 15cm which is as good as I believe you can get without having surveyors and laser theodolites on the ground.

This in itself means that we are able to provide highly accurate data to users of our routing web services, such as AA Maps and mobile applications such as Rugby2GO. It means that people will not be sent up paper roads that don’t exist, confirms speed zones and intersection controls and other information that doesn’t always get provided to us by the authorities.

Quality routing means that people can get the best routing information to meet their needs. For example the shortest route is often not the fastest.

We also collect road inclinometer. That is the rate of incline on hills, of which we of course have many in New Zealand. Our car navigation clients are getting more involved in eco-routing which means you can choose the route which will consume the least fuel. That means that effectively, irrespective of what type of car you drive, you can save money while also helping to save our environment.

We are also collecting data about the camber or angle of the corners. Because of the volatile nature of our country with frequent earthquakes, floods and slips, geothermal activity, the condition of corners may change. When a corner changes and noone knows about it, this can be the cause of serious accidents, such as with large trucks and trailors who may be obeying the speed advisory signs, but the conditions have changed since they were set. We are working with sophisticated Fleet Management companies who are going to use this data, combined with their knowledge of their clients’ vehicle set ups, roll over specifications and load information to alert drivers that they may be going too fast for the conditions of the road. This can save insurance conmpanies millions of dollars, not to mention reducing the inconvenience of motorists having to deal with travel delays as the incidents are examined and detours put in place.

Another major area for us is real time traffic. You are probably aware that we built and maintain the AA Roadwatch website and and provide services including real time accident, incident and congestion data throughout New Zealand and Australia to major car navigation brands. AA Spokesperson Simon Lambourne was quoted in an article in the NZ Herald earlier this week that studies have shown that “when 10 per cent of drivers use real-time traffic information to avoid jams, journey times drop 5 per cent for everyone.” Find out more about AA Traffic by GeoSmart here.

Route optimisation is becoming more important. We have written a number of blogs on this topic and more and more companies are coming to us to use this service and variations of it. Essentially  if a person has a number of sites to stop at during a day’s work, our SaaS application Route2GO Lite geocodes and calculates the best order to make those visits in, to drive the least amount of time via the most efficient route. This results in increased productivity and reduced overheads. It is also sustainable. Are you able to tell your clients that your business uses technology to benefit the environment as well as the company’s bottom line and provide better service to boot?

Talk to us about how we can help you become more sustainable whilst increasing profit.

November 7, 2011 Posted by | AA Maps, AA Traffic, Auckland, Australia, Business Tools, car navigation, carbon footprint, driving directions, geosmart, gps, Mapping Applications, navman, new zealand, new zealand maps, real time traffic, route optimisation, Route2GO, Rugby, Rugby World Cup, SaaS, tomtom, Traffic, Uncategorized, Web Map | , , , , , , , , , , , , , , , , , , , | Leave a comment