Aug 1, 2008 12:00 PM

Global positioning system (GPS) technologies are an essential tool for businesses involved in transportation and warehousing, helping them increase workforce productivity and become more efficient through a reduction in annual labor and fuel operating costs.

That was the finding of an independent research study of North American information technology (IT) decision makers in the two industries.

Commissioned by Motorola, the study found that nearly 50% of those surveyed named reduction of fuel consumption as the number one benefit of using GPS. This was reflected in a reduction in travel distance by an average of 231 miles per week, with more than $51,000 in annual fuel savings.

The study also revealed that GPS-enabled technologies saved an average of 54 minutes per day, translating into an annual recouped labor savings of nearly $5,500 per employee.

In addition, these technologies were credited with improving on-time performance and route optimization, and with giving companies the ability to know precisely where their employees are at any given time.