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Definition - What does Telematics mean?

Telematics refers to a methodology for coordinating and streamlining safe driving patterns on the road, using virtual (real-time) application platforms and sensor-based installation units to monitor, track, and relay feedback between employers and employees to deter accidents. Many businesses rely on telematics as a viable avenue to maximize fuel economy, navigate around traffic routes, and assist overall commuting privileges across destinations where driving is often an essential job task.

SureHire explains Telematics

The use of telematics reflects a growing trend by employers to incorporate smart technology resources into their business matrix. Transportation industries or employers with a commercialized fleet outfit carry extensive responsibilities to ensure personal and public safety, independent of clean driving records as a prerequisite; leveraging telematics is beneficial as off-site job positions flourish. According to the National Highway Traffic Safety Administration (NHTSA), a mass percentage of vehicular collisions are attributed to human error (i.e. distracted driving), prompting employers to adopt telematics as a strategic parameter against negligent driving.

Telematics computes metrical indexes such as frequent braking, rapid acceleration, among other unsafe driving habits, comparatively figuring the ratio of isolated events with the likelihood of a collision that may occur. For employers, telematics serves as a mainstay for curtailing vehicular accidents, bolstered by reward-oriented incentives where monthly/annual data reports honor consistent safe driving standards that customers can draw on via integrative technology (i.e. mobile apps). While human error plays into multiple driving accidents, many modern vehicles feature electronic/mechanical equipment with built-in diagnostic trouble codes (DTC) recognition, linking compatible telematics software to a centralized base station for employers to evaluate the situation.

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