ARTICLES — June 13, 2022

Using IoT Fleet Management System in Indonesia

IoT Fleet Management System in Indonesia

Getting to Know IoT Fleet Management System in Indonesia


The logistic industry in Indonesia had a growth spurt during the pandemic. Throughout 2021, the logistic business in the pharmacy sector grew 15% in comparison to the year before due to the increase of medical equipment delivery. The consumer good sector also increased about 5%.


In order to support this growth, it is important for industry practitioners to increase efficiency and fleet productivity, not just expand its numbers. One of the ways to do so is by managing the fleet using IoT.


IoT Usage in Indonesia

IoT or the Internet of Things technology is widely used in various industries and indonesia. According to the head of Indonesian IoT Association, Teguh Prasetya, if compared to the global IoT adoption rate Indonesia has reached 28.6% increase and its adoption rate grows 10% every year.



Adoption Industry 4.0 in indonesia

This is because IoT has the ability to provide real-time data as a form of remote visibility during social distancing time where employees' presence on location has to be minimized.


The pandemic also impacted e-commerce transactions by increasing it to 63.4% or Rp 186.7 trillion in the first semester of 2021. According to the bank of Indonesia this number increased to Rp 401 trillion by the end of 2021.


This jump in e-commerce usage also fueled more demand for the delivery and warehousing industry. In order to answer the demand, logistic companies began to transform digitally thus increasing their  efficiency and allowing more productivity.


The transformation starts from cloud usage for data storage, GPS implementation to track vehicles, and finally consolidating every company asset into a digital platform known as the fleet management system.


What is the IoT Fleet Management System


Iot fleet Management system is an IoT solution used to specifically and safely arrange the use of vehicles in a company.


Such a solution can monitor the whole vehicle operation from end to end in one comprehensive platform. From recording the orders to be sent, warehouse locations and delivery addresses, the number of operating vehicles and the available drivers. The conditions and safety of items as well as vehicles can also be monitored from anywhere, anytime.


(Infografis 2)

Control Vehicles and Monitoring with IoT

When all of these data are combined and analyzed with AI and Machine Learning, the system can pick the most effective delivery schedule with the available vehicle. There's also an automatic report that can mitigate data fraud and theft.


Since the IoT Fleet Management System is operated in an encrypted network, company data can be protected from unauthorized access from inside or outside the company.


The historical data collected by the system can be used to build strategic steps to increase company competitiveness.


Why Indonesia Needs to Use IoT Fleet Management System

Indonesia Needs Fleet Management System

As a maritime country with many remote locations, Indonesia has unique logistical challenges to overcome.


Firstly, delivering items from one Island to another will use various modes of transportation like airplane, ship, truck, motorbike, and others.bA trip will take more time since it requires more stops for rest and item transferring when changing the mode of transportation.


Secondly, the inequality of road infrastructure development will require drivers that know the route well.


Thirdly, the differences in communication infrastructure created a challenge in monitoring vehicles, drivers and items in delivery.


These points made delivery costs higher, unreliable delivery schedule, and higher safety risks.


If delivery services want to increase their performance and efficiency in Indonesia, they need a solution that can manage both vehicle operation and its maintenance from every point in the country. A solution that can keep orders’ quality, drivers’ and vehicle’s safety.


How IoT Fleet Management Works


Telkomsel IoT Fleet Management works by combining operational data from all parts of the company into one smart platform. It consolidates the vehicle department, order processing, warehousing, maintenance, and even business operations. This way, all stakeholders can know the operational status at any given moment.


The vehicles will need to be connected with GPS telematics that will be monitored by a global positioning satellite. The data about the trip, the driver and vehicle condition will be sent via strong Telkomsel connectivity (2G/4G/NB-IoT Smart Connectivity) to a server. From this server, the data will be analyzed and sent using a safe and encrypted internet connection to the user’s web dashboard for schedule management and monitoring. At the same time, active workers will receive the schedule on their mobile apps and customers on their system through API.


(infographics 3)

How IoT Fleet Management Works


Beside travel, driver, and vehicle conditions, IoT Fleet Management can also track the condition of items on delivery down to their temperature, vibration, humidity, also the weight and space in the truck. This way users gain thorough monitoring for guaranteed efficiency.


The Many Solutions in IoT Fleet Management System  

The combination of fleet solutions in IoT Fleet Management can monitor fleet operation from start to finish and optimize the productivity of every vehicle.


These are some of the solutions available and their features. Users can choose what they need or use all of them for comprehensive monitoring.


(infographic 4)

Telkomsel IoT Control Tower

    • FleetSight

This fleet management solution can give visibility to a vehicle's journey and its performance whenever, wherever. The FleetSight analytics can give insight to they way vehicles are operated like fuel consumption, route efficiency, idle time, and engine health.


    • FleetSense

A fleet security solution to increase driving safety in all kinds of transportation. Complete with technologies like Advanced Driving Assistance System with front collision warning and pedestrian detection feature, also Driver Status Monitoring. The latter can monitor the condition surrounding the transportation and the driver’s condition via computer vision video that has been analyzed by AI in real-time. Healthy driving habits can be maintained by monitoring drivers for smoking, mobile phone usage, and improper use of seatbelt.


    • TOMS

This order management solution can allocate vehicles, monitor delivery status, and keep deliveries on schedule. Scheduling is made easier since users can create regulations according to company’s needs then automate it using AI.


    • Asset Performance Management (APM)

Monitor the quality of assets precisely and in depth using this solution. You can check items’ status, temperature, humidity, location and amount of space around the asset. APM is equipped with an automated reporting system, alerts, and data insight retrieval. This ensures safety in business operation, while decreasing risks and maintaining efficiency.


    • Control Tower

This management solution for supply chain and logistics is a platform that connects all existing IoT solutions. Equipped with analytics and AI technology, Control Tower will improve the accuracy of goods delivery, optimize travel routes, and create precise schedules between warehouses, couriers, and customers. Control Tower is an efficient communication system between vendors from various companies because data can be accessed via API.


Implementing IoT Fleet Management System

Fleet Management can be implemented to various industry sectors that use fleet.


(Image: Various Industries Can Use IoT Fleet Management System)

Industries Can Use IoT Fleet Management System


Supply Chain

Manage your fleet for goods pickup and delivery along the supply chain by monitoring every transportation in 1 place; ships, trucks, cars and even motorbikes. You can set the ship's arrival schedule to directly trigger the truck pick-up schedule. This allows a precise pick-up location without a lot of waiting time.


If the truck is equipped with the APM solution, users can find out the condition of incoming goods and the amount of space left in the truck. This allows for easy maximization of load before sending it to the warehouse.


Fleet Management can also connect lines of communication between trucks, warehouses, and customers. So that the warehouse manager can know when the truck will come and the customer knows the status of his goods in real-time.


This arrangement can continue until the goods arrive at the end point or to the end customer.



Fleet Management can help manage mining trucks and heavy equipment such as excavators, dump trucks, bulldozers, and others, so that productivity and efficiency are always maintained.


Tool operators can be scheduled automatically and the historical data on their work can also be viewed. While working, their safety can be maintained by live monitoring via computer vision cameras. This feature can monitor driving habits and operator alertness levels so that the risk of accidents can be minimized.


Travel routes can be maintained with a geofencing feature that indicates the traversable areas. Vehicle speed, end time, and work duration can be tracked.


Finally, the fleet activity data will be stored in the form of automated reports with insights that can be used to build strategies to improve operational efficiency.


Public transportation

City buses, taxis or trains can be managed in depth using Fleet Management. Schedule and driver settings can be done automatically. Driver performance can also be monitored using the Driver Status Monitoring feature from FleetSense.


The Advanced Driving Assistance System feature can provide 360O visibility for the driver so that safety is always maintained. For example, Front Collision Warning can alert if there is an obstacle in the front lane, Pedestrian Detection can ensure that there are no people in the vicinity of the vehicle lane, and Lane Departure Warning can alert if the vehicle steers out of the lane.


For maximum service, computer vision cameras can provide alerts if there are items left behind, record and call security officers if there are unwanted situations. Daily reports can also be accessed remotely with an encrypted system to keep it safe.



When store and warehouse inventories are connected in real-time with a fleet management system, you can schedule pick-up and delivery with ease.


Warehouse workers and shopkeepers will be notified of the pick-up or delivery time. Real-time vehicle location and the name of the driver who made the delivery will maintain the accuracy of the delivery.


Changes to the inventory will be updated automatically on the company's system and retail website that are accessible to customers. No more time-consuming manual input.


Freight Forwarding Service

Fleet Management Sytem's intelligent order management allows dispatch managers to

schedule deliveries according to need or urgency.


The Logistic Engine will provide the best route based on time and distance, optimize delivery capacity, and incorporate goods sorting, duration of walking, driving, and waiting into the delivery schedule.


Then, the Geo Engine will check for address accuracy before delivery is scheduled. This feature can reduce the time wasted due to manual address searching and failed delivery.


The large number of variables that can be processed by each engine allows companies to create detailed calculation models according to cost, time, fleet usage, type of transportation, distance, and capacity. Therefore business profitability can be increased strategically and the delivery of goods is always successfully carried out on time, in full (OTIF).


The Business Benefits of Using IoT Fleet Management System

There are various benefits to gain from using the system.


(infographic: Benefits of Using IoT Fleet Management System | Maximum Visibility, Improved Operational Efficiency, Best Profitability, Better Safeguarding, Data Accuracy and Security )


Maximum visibility

Managing your fleet remotely gets easier through in-depth data on existing vehicles, drivers and loads. Real time data can help you deal with unplanned events so that fleets are more flexible and schedules are met.


Improved operational efficiency

The Fleet Management System is equipped with features that can be automated. Thus, dispatch managers do not need to perform the same action over and over again. The drivers do not need to confirm multiple sources for the delivery schedule. Everything is written on mobile devices and will be automatically updated if there are changes. Historical data seen in the form of infographics can be easily understood and used to optimize overall fleet operations.


Best profitability

For consistently efficient operation, delivery of goods can be carried out according to the urgency of the order in the fastest route using the nearest vehicle. Payloads can also be optimized so that each trip is productive and gives the best profitability.


You can also use the data to see which parts of the fleet are operating at a disadvantage, then find the causes and solutions for it. Troubleshooting like this will maximize all parts of your company.


Better safeguarding

Driver and passenger safety can be ensured easily by using computer vision cameras with automatic alerts according to the required regulations. Vehicle health can also be maintained by monitoring fuel usage and scheduling automatic maintenance.


Data accuracy & security

The risk of data input errors will be reduced because it no longer requires manual noting. Sensors will regularly send data to the system. Its reporting is also automated so that the risk of data falsification is reduced. The latest reports can always be accessed, even remotely. This will make daily work easier, giving time for more business-growing activities.


In addition, company data is more secure because files are no longer stored physically. All data is encrypted and stored on-premise in Indonesia for guaranteed security and faster access. A centralized log-in database will also assist in granting permission to certain accounts to access data according to users’ position in the company.



Conclusion Transformation Digital

Indonesia is going through an exciting digital transformation journey. Many companies are competing to use IoT technology to optimize existing businesses and increase operational efficiency. One of them is a fleet management solution; IoT Fleet Management System.


IoT Fleet Management is suitable for Indonesia because it uses Telkomsel's strong connectivity; 2G, 4G, 5G, and NB-IoT Smart Connectivity. So, no matter how wide-reaching your business is, communication with your fleet will not be interrupted and productivity can always be monitored.


Industrial sectors that use various types of vehicles can use IoT Fleet Management system because of the comprehensive Control Tower platform that can connect many monitoring solutions for all parts of your operation. Automation can be done according to your customer requirements as well as company requirements.


IoT Fleet Management System consists of various fleet solutions that can be adopted individually or all at once. Solutions such as FleetSight, FleetSense, TOMS and APM will all operate within the Control Tower platform as an enterprise-wide hub. Data from the Control Tower can also be accessed cross-platform by vendors outside of the company to facilitate easier communication.


Implementation of fleet management can improve operational efficiency with calculable growth rates. The data insights gained can be used for building a strong business strategy and inform any decision making. As a result, it will be easier for your business to excel in the market.


Take advantage of this national digital transformation momentum and implement the IoT Fleet Management System. Thus grabbing the opportunity to become a leader in the digital era 4.0.


Contact our IoT Expert to discuss the needs of your fleet company.


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