Over the last few years, GPS satellite navigation systems have come into their own in both the consumer and business world. Originally built for military use, the likes of the Garmin GPS Navigator and the SPOT Satellite Messenger are becoming increasingly more popular for road users and outdoor enthusiasts alike.

Yet perhaps one of the biggest areas where these GPS systems can really make a difference is when it comes to saving money, particularly for small businesses. Whether it's on fuel costs due to reduced traveling distances or in insurance costs, the money that businesses can save just by having GPS systems installed in their vehicles can soon add up.

What Is GPS?

GPS, or Global Positioning System, is the method of pinpointing a location by coordinating the information gathered by 24 satellites that are in constant orbit around the earth. These satellites circle our planet twice daily - they then send information back to a GPS receiver on the ground that gathers all the information from each satellite. This is then used to calculate the location for any specific object, based on time and distance.

To get as accurate a reading as possible, anyone using a GPS system has to be within the signal of at least three of these GPS satellites. The time it takes the information to reach the ground receiver from the time it was sent by the satellite determines how far away the actual satellite receiver is. Combine this information with the distance between the three satellites in question, and that can be used to pinpoint the actual location of any GPS system, which is then transferred to an electronic map or display. The more satellites that pick up the GPS signal the more accurate the reading. So how does this all help save businesses money?

GPS Navigation = Less Distance = Less Money

The first way that a GPS system saves money is by allowing a user to travel to their destination using the optimum route. So, if your business has a traveling sales team, or a fleet of delivery trucks, instead of going the tried and trusted route you've always gone it can use satellite navigation to find a better, more cost-effective one. Although you may only save a mile per journey per day, imagine how much this would add up to over the course of a year, especially if you have numerous vehicles. And, because you're traveling less, you're helping to cut your carbon emissions as well, and could actually benefit from local government rebates or benefits.

GPS - The Insurance Company's Friend

Another way your business can save money by installing GPS systems throughout your company vehicles is via your company car insurance. Because the GPS technology is so accurate - particularly the SPOT Satellite Messenger, with its dual satellite network technology - it's easy for businesses to track their vehicles and shipments. If one of your business vehicles is stolen, the GPS navigation service will help police locate your vehicle almost immediately. This type of response and successful recovery of the vehicle in question has led to many insurance companies offering rebates to businesses that install a GPS system in their vehicles.

Although the cost of installing a GPS system across your fleet may seem a little more than you feel you can afford, can you really put a price on the safety of your business's products, vehicles, and most of all employees? The initial cost is a small price to pay for the benefits a GPS navigation system can offer your company in the long run.