Today’s world is one where businesses are constantly at odds with each other trying to gain the upper hand. One of the ways a company gains over the competition is through efficiency. If company A can handle a task faster or more efficiently than company B, customers go for the former. The fight for efficiency is especially noticeable in the transport and logistics industry. Logistics efficiency is the line that decides if a company makes a profit or suffers a loss.
One of the often overlooked areas for improvement is toll collection. The traditional toll collection booths are slow, prone to congestion, and needlessly inefficient. Thankfully, the Indian Government understood the need for improvement here and introduced a novel solution. They call it FASTags and it is the biggest boon that came to the logistics industry.
What is a FASTag?
A FASTag is an electronic toll collection that completely removes the need for any vehicle to stop or spend much time at a toll collection plaza. The technology works to seamlessly deduct toll charges from the tag without having the vehicle owner stop at the plaza like before. FASTag uses technology and digital payments to create a hassle-free system that benefits everyone involved. The technology also removes the need for vehicle owners to have physical cash on their person at all times. One could even argue that reducing reliance on cash also reduces instances of highway robbery.
It improves the experience for anyone traveling over a long distance on the road. FASTags for commercial vehicles are instrumental in reducing traffic jams at toll gates, increasing highway efficiency, and bringing necessary advancements to India’s logistics industry.
The NHAI or the National Highway Authority of India were the ones who conceptualized the electronic toll system. Tolls in India work using RFID technology. When a vehicle nears a toll plaza, the RFID scanners scan the FASTag barcode and deduce the toll charges from the user’s account. Following payment, the vehicle passes through spending nearly no time at the toll gate. The whole process happens in just a few seconds and that makes it incredibly efficient over typical toll plazas.
Leveraging the benefits of FASTags for fleet management
Reduced transit times
FASTags reduce or outright eliminate the need for vehicles to queue up at toll booths. Less time spent idling in a single place ensures a better journey and better on-time delivery rates. This benefit directly translates to happier clients who continue using the service.
Reduced fuel costs
Typically, the stop-and-wait nature of a toll booth wastes fuel. Not only that, vehicles idling at the toll plaza produce more CO2, which negatively impacts the environment. FASTags here keep the vehicle moving. That was, there was a reduction in fuel costs, a decrease in operational expenses, and a decrease in CO2 output.
Increased driver productivity
The lack of disruptions that FASTags brings to the table helps drivers focus on the task of hand, their route. The emphasis on the main objective and lack of distractions leads to greater productivity from the driver. It also leads to a better driving experience.
Better expense management
FASTags comes with a dedicated web and mobile app the owner uses to transfer money. It also provides information like transaction records in great detail. This benefit is a boon to logistics companies looking to streamline accounting processes and expense reporting.
Additional benefits FASTags provide
Reduced emissions
As previously stated, FASTags removes the need for vehicles to remain idle at the toll plaza. The lack of idling at the plaza reduces the emissions the vehicle generates. That reduction helps the fleet go green and reduce its carbon footprint.
Greater security
FASTags emphasized digital payments over physical ones. This approach ensures a secure way to pall tolls and outright eliminates the risk of fraudulent activities or cash mismanagement.
Real-time tracking
Many FASTag providers have fleet management software available. This tech helps companies track toll transactions and the vehicle’s location in real time with incredible accuracy.
How to implement FASTags for your fleet
Implementing FASTags to your existing logistics fleet is a simple process. Here’s a basic roadmap for anyone to follow
Choose a FASTag provider
There are numerous FASTag providers in India to choose from. Several banks like ICICI provide FASTags to their customers. Beyond that, private companies like Axlerate provide FASTags with attractive benefits or offers. Research what each company provides before committing to a decision.
Add your vehicle
Most FASTag providers guide you through the onboarding process from start to finish. Some companies like Axlerate take care of the process when you first apply. That way, when you receive the FASTag, the only thing needed is to download the app and log in for the first time.
Top up your digital wallet
Once you get your FASTag, the first thing required is adding money to the wallet. You can add money to your wallet through a mobile or web app. Many companies have multiple payment methods like debit cards, UPI, etc. Once you transfer the money, all that’s left is to start the journey.
The fast lane to success
FASTags are a game-changer for fleet management. By leveraging this technology, companies can streamline operations, reduce costs, and improve overall efficiency. In today’s dynamic business environment, FASTags offers a clear path to a competitive edge. So, embrace the Fast Lane and unlock the true potential of your fleet.
