Business Analytucs in Fleet Management
Rushabh Vedia
Application of Analytics in the Transportation Industry’s Fleet Management
Abstract
The reference article, ‘Leveraging Analytics in Transportation to Create Business Value’, discusses problems concerning some disciplines in the transportation industry and showcases how analytics could be used to create business value by citing real life examples. The article focuses on how analytics derive business value concerning the transportation industry by studying cases pertaining to rail, trucking and airline. This paper is aimed to discuss an industry’s problem and how application of analytics provides a feasible solution to the problem.
The Industry & Analytics Relevance
The transportation Industry, with the ever changing technology, has to build systems and networks that eases current as well as nearby future commutes. This Industry has to pay a huge price for exploiting the current obsolete technology to avoid huge capital expenditures for better equipment. However, with the help of business analytical tools, this industry could progress without having much to worry about huge costs. Factors such as deriving customer value, optimizing resources, minimizing operating costs and maximizing profits are also discussed in the article in order to explain how analytics create business value. The Problem
The article states the challenges faced by the industry and in acquiring accurate data. The industry is growing rapidly and will nearly double by 2035. The pressure of having lower operation costs, being environmentally friendly and improving reliability will be borne by transportation providers. For the providers, not only will such a situation lead to having higher capacities management issues but will also lead to having higher expenditures on the maintenance of these capacities. Such costs will make scrutinizing plans and models, build to cater to the discussed problems, a very essential part of this
Page 1 of 3
Spring 2014
Application of Analytics in the Transportation Industry’s Fleet Management
Abstract
The reference article, ‘Leveraging Analytics in Transportation to Create Business Value’, discusses problems concerning some disciplines in the transportation industry and showcases how analytics could be used to create business value by citing real life examples. The article focuses on how analytics derive business value concerning the transportation industry by studying cases pertaining to rail, trucking and airline. This paper is aimed to discuss an industry’s problem and how application of analytics provides a feasible solution to the problem.
The Industry & Analytics Relevance
The transportation Industry, with the ever changing technology, has to build systems and networks that eases current as well as nearby future commutes. This Industry has to pay a huge price for exploiting the current obsolete technology to avoid huge capital expenditures for better equipment. However, with the help of business analytical tools, this industry could progress without having much to worry about huge costs. Factors such as deriving customer value, optimizing resources, minimizing operating costs and maximizing profits are also discussed in the article in order to explain how analytics create business value. The Problem
The article states the challenges faced by the industry and in acquiring accurate data. The industry is growing rapidly and will nearly double by 2035. The pressure of having lower operation costs, being environmentally friendly and improving reliability will be borne by transportation providers. For the providers, not only will such a situation lead to having higher capacities management issues but will also lead to having higher expenditures on the maintenance of these capacities. Such costs will make scrutinizing plans and models, build to cater to the discussed problems, a very essential part of this
Page 1 of 3
Spring 2014