Over the last decade, the logistics and supply chain industry has seen an increasing adoption of cloud-based technology. Many businesses have found cloud computing to be a more convenient and efficient solution than physical infrastructure. Fleet management software, derived from cloud computing, is a prime example of this trend. This tool facilitates on-demand access to computing resources for tracking and managing fleets. These resources are provided through a remote data center managed by a cloud services provider (CSP).

Cost savings and scalability
Cloud-based systems do not need expensive hardware investments or IT infrastructure to function. With just the requisite software tools and basic computing hardware, businesses can run their fleet management operations without hassles and save a significant amount of upfront costs. As businesses look to shave off any additional expenses to gain competitive advantages over their market rivals, cloud-based fleet management tools are just the right solutions at the right time.

Cloud-based fleet management systems also use a subscription model. This enables companies to scale their usage of cloud-based computing resources according to their specific and increasing requirements. So, companies pay for the services and degree of computing they use for their operations, not for the features they do not.

Improved security measures
Data security becomes a greater issue when major fleet management operations become cloud-based and computerized. Leading cloud-based fleet management software tools come with robust security features and measures to avoid data security breaches and instances of hacking from the frameworks. These features include multi-factor authentication, regular security updates, data encryption, biometric access controls, and a dedicated security team to safeguard a business’s fleet management operations.
With these features in place, businesses can carry on their logistics operations without being burdened by security concerns and worried about phishing and password hacking.

Real-time tracking
The most obvious benefit of cloud-based fleet management software tools is how simple they make the task of tracking a fleet that is being delivered to its final destination. Businesses can track down their fleet to the final kilometer using cloud-based tools with limitless reach and scope. Using this vast scope, businesses can relay details to their clients and customers about the shifting ETAs and other real-time information related to an ongoing fleet or shipment delivery. Cloud-based fleet management systems provide transparency to customers.