telematics pm0716
TRANSCRIPT
pr imemovermag .com.au 43
SPECIAL REPORT
42 ju ly 2016
T here is hardly a segment within
Australia’s commercial road
transport industry that has
evolved more rapidly than
telematics: A mere decade after GPS
tracking was made more widely available
to a civilian audience, it has shaken off
the start-up vibe that once surrounded
it and is now firmly considered a big
ticket item. But, that doesn’t mean the
concept of telematics, or the vast and
fragmented marketplace it has created,
have reached maturity yet, according to
Transport Certification Australia (TCA), the
nation’s governing body for the telematics
community.
Established in 2005, TCA was created to
oversee the evolution of the young industry
and provide assurance to governments,
industry sectors and end-users that the
new technology would lead to “improved
surface transport outcomes in productivity,
safety and efficiency”, as the organisation
puts it. Since then, transport businesses
were able to observe the market grow
and mature in various stages, with TCA
providing regulatory guidance where
needed, but also encouraging industry-
driven course corrections in line with the
evolution of technology itself. As such,
the concept of telematics has evolved
dramatically over a very short period
of time, to a point where we can now
digitise a whole vehicle instead of just
tracking a dot on a map. But, there’s still
a lot of confusion around what a modern
telematics can and can’t do, and what it
should and shouldn’t be doing.
According to TCA Chief Executive Offer,
Chris Koniditsiotis, we’re only just
reaching a state where we fully appreciate
that complexity: “From a government
perspective, there has been a dramatic
increase in the level of interest, and a
realisation of opportunities available from,
the use of telematics to achieve improve
public outcomes,” he says. “This has
resulted in TCA becoming a cross-cutting
organisation that traverses a growing
number of policy areas and industry sectors
– not just limited to heavy vehicles per se.”
The reason for the confusion Chris is
seeing in the telematics space is not just
due to the interdisciplinary nature of the
technology, which is making it increasingly
complex to grasp, but also to an
unparalleled influx of businesses trying to
benefit on the boom, he says. “Telematics
has seen steady growth since the first in-
vehicle GPS devices have become available
to the general public after the turn of
the century,” he explains. “It basically
picked up where GPS left off and created a
service network around that basic tracking
function, and with it a whole new value
proposition.”
During what some describe as the first true
growth phase of telematics in Australia,
experts like Chris say there was a sense
of exploration in the air that led to a
chaotic, yet highly innovative environment
with high market entry barriers both on
a technological and financial level. But
with the technology slowly maturing
and hardware becoming less pricey at a
wholesale level, telematics quickly became
more mainstream. After 2010 – coinciding
with the rise of the smart phone – the
number of vendors in Australia virtually
exploded, marking a second stage of
extremely dynamic growth. Now we’re
reaching stage three, where both the
technology and those who sell and support
it actually have to prove a business case to
an increasingly literate market. It’s about
handling data now, not just accumulating
it. Chris says the comversation now
revolves around data and not just ‘black
boxes’ in vehicles.
WITH THE ADVENT OF THE ELECTRONIC WORK DIARY, BOTH GOVERNMENTS AND INDUSTRY STAKEHOLDERS ARE EXPECTING MORE FROM THE TELEMATICS SECTOR.
BUT IS IT READY FOR THE NEXT EVOLUTIONARILY LEAP?
W E L C O M E T O T H E
FUT UREStory by Sebastian Grote
FAST FACTIn what could be a game-changing development for the commercial road transport industry, 2017 will see the introduction of the Electronic Work Diary (EWD) as a voluntary alternative to traditional, written work diaries. “TCA and the National Heavy Vehicle Regulator are working together to implement government-related activities for the EWD, with the aim of opening the door for applicants seeking certification to become an EWD Service Provider during 2017,” says TCA CEO, Chris Koniditsiotis, pointing out that commercial fatigue management systems are typically co-located with other telematics-enabled services. “Telematics-based services ... enable transport operators to better manage the safety performance of heavy vehicles and drivers.”
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The organisation he heads up was formed in response to the emerging, yet previously unmet need by governments to establish a sustainable approach to the use of telematics in such a dynamic and fast-evolving business environment and is now needed “more than ever” to oversee the on-going maturation of the marketplace, he says. As such, TCA’s functions transcend policy streams, surface transport modes and government portfolios, he emphasises: “In the past, there has not always been clear, consumer-focussed information available, so we need to find a way to assure the market that data is handled responsibly, and put performance-based functional and technical guidelines in place for the hardware that processed it, without political agendas compromising the process.”Chris is acutely aware that any technology boom will ultimately disrupt the established ways of doing business and create a new complexity with a range of traps for the unweary. For that very reason, TCA has not opted for a traditional regulatory approach, but instead developed a National Telematics Framework, taking on a “pro-market perspective” eto nsure that there is competition and choice, and to enable continuous innovation and the adoption of the latest technology.“TCA’s approach has not been dissimilar to the approach adopted for Performance-Based Standards (PBS) vehicles,” he elaborates. “We focus on
outcomes rather than prescribing a technological masterplan. As such, some may be surprised to learn that we’re highly technology agnostic. That is, we don’t prescribe what kind of technology to use. We leave this to the market so it can drive competition and innovation from within.”According to Chris, each telematics provider has the opportunity to deliver what he calls a “functional and technical outcome” in different ways: “What the Framework provides is not a technical solution, but a new way for the telematics sector, governments and end-user of telematics to do business after going through such a rapid growth phase.”He adds, “The industry is not slowing down. We constantly see providers of telematics services here in Australia adopting leading edge technology and innovation, and we actively encourage it. We’re merely setting the scene for them and letting the end-user decide.”According to Chris, the telematics market has evolved much like the smart phone one, “with a steady stream of new functions being added to a point where we now theoretically have access to all our data, all of the time. Just like my phone is now able to track my health, for example, telematics is reaching a point where it can talk to the CANbus and predict an air leak – effectively facilitating a whole new form of preventative maintenance.”The TCA’s role is to ensure that core functionality is not impacted by any new
fatures that may be added by providers as technology advances, he explains. “Sometimes, new approaches to meeting functional and technical requirements can be challenging, especially if we’ve not had experience with them before. But we’re open to the challenge.”So what’s next for Australia’s telematics community? According to Chris, Australia is likely to take on a leading role internationally as previously separate technologies begin to merge as part of one In-Vehicle Unit (IVU) during the next phase of telematics evolution – which some say could be a direct result of TCA’s innovation-driven laissez-faire policy, even though actual performance outcomes still need to be assessed.
“Australia, due to its relatively small market size, was forced to go down a path, which enabled regulatory and non-regulatory services to be ‘co-located’ through a single in-vehicle device, and that’s where we’re headed now. This means that costs can be contained, and like a smartphone, you can use a telematics system for multiple purposes.”The imminent arrival of the Electronic Work Diary (EWD) in 2017 could sharpen the situation dramatically, he says. “We’re reaching a phase of consolidation where existing technologies will be merging quite rapidly, especially in the hardware space.
It has started in the automobile industry
and it will quickly spread into trucking,
too. I believe telematics, entertainment
and admin will soon be run via the same
interface.”
The challenge, Chris says, is in keeping the
one central interface “tamper-evident” and
accurate. “People often make the mistake of
thinking the technology we now have access
to, for example in the smart phone space, is
fool proof and unsusceptible to tampering
or interrogation, even though it is not. Next
gen IVUs with EWD functionality will be
able to overcome these shortcomings.”
Technically the framework for the next
step in telematics history already exists, he
points out. In late 2013, TCA released a
‘Functional and Technical Specification for
Telematics IVUs’. It responded to the notion
of telematics IVUs being used for tracking,
navigation, fleet management, safety and
the management of regulatory requirements
instead of just tracing alone, and sets out
the core requirements to ensure reliability,
integrity and security.
Using the Specification, Chris says
stakeholders were able go to market “with
far greater confidence”, and users were
empowered to make comparisons between
different IVU types. “But, the Specification
still relied on consumers taking the word of
the suppliers of Telematics IVUs, and lacked
the assurance that comes with independent
assessment, so we new had to go one step
further.”
In 2014, TCA subsequently responded to
calls to introduce a type-approval process
for telematics IVUs. Since then, a whole
range of suppliers have reportedly expressed
interest in submitting their telematics IVUs
for independent assessment against the
Functional and Technical Specification,
and Chris says a number of them now have
hardware in different stages of the type-
approval process.
“Over time, we expect to see a number of
different type-approved telematics IVUs
available in the marketplace. As a direct
result, the consumer will have more
influence on where progress is headed,
so the balance of power is shifting.”
According to Chris, TCA is effectively
acting as a consumer advocate in that
constellation to make sure users receive
the service they demand, within the legal
framework. “Everyone knows a war story
about telematics. Type-approved telematics
IVUs are meant to make these a thing of
the past. We’re effectively making sure
that each product out there is able to meet
certain minimum functional and technical
requirements, which is common practice in
a lot of areas. You wouldn’t want your child
to wear a bike helmet that hasn’t been crash
tested, right?”
While IVUs may be able to set a new
standard and lift technology to a new level
over the long-term, it may not be able
to fix any legacy issues stemming from
transport businesses being oversold on the
technology in the past, though. Responding
to industry’s concerns that existing hardware
may not be recognised for regulatory
telematics applications anymore, TCA
therefore also developed a so-called ‘Entry
Options’ initiative.
“The Entry Options initiative provides
transport operators with the opportunity to
gain an independent, unbiased assessment
of their existing technology against key
technical and functional requirements
demanded by Australian governments,”
Chris says, noting the 25,000 or so IVUs
already installed in Australian heavy
vehicles that meet the requirements of the
Intelligent Access Program (IAP) Functional
and Technical Specification may well be
suitable to pass the test – often with some
minor amendments only.
As such, the pathway for industry to break
into a new era of telematics literacy may
finally be cleared. “While not all transport
operators need regulatory telematics
applications, it is pleasing to see that
the industry is making IVU procurement
decisions with a focus on value for money
and performance,” says Chris, relaying
back to TCA’s competition-based approach
to regulating the market.
“A next gen IVU should be easily updatable
to be able to deal with new regulatory
provisions like On-Board Mass (OBM)
systems, Intelligent Speed Compliance
(ISC) and the much talked-about
Electronic Work Diary (EWD). Australia
is heading into a bright future with this
approach, and we’re curious to see how
the market will react.”
INTERVIEWWith telematics technology
developing in line with the
smartphone market, it’s hardly
surprising camera technology is also
in the spotlight. FleetSeek’s David
McIntosh on the next generation of
visual data management.
Q: The telematics market has gone through a remarkable maturation process since FleetSeek entered the Australian telematics market in 2008. In how far has the game changed?A: There has been massive change
over the past eight years, with
fleets now accepting and expecting
telematics technology in their
vehicles. Telematics has matured
and the resulting solutions offer a
lot more than just basic tracking,
as the hardware has improved and
interfaces are more streamlined and
integrated.
Q: How have you responded to that development?A: Luckily for FleetSeek we have our
own in-house hardware and software
developed, which has allowed us
to ensure we continued to innovate
and offer a point of difference. For
us, that point lies in reliability,
customer support, and being able
to offer what’s really useful to fleets.
There’s so much more than just GPS
tracking, and real-time video is one
of our core focus areas.
Q: How do you see the camera trend evolve going forward?A: We think it will continue to evolve
very quickly over next 12 months,
with fleets wanting to replace current
SD card-based cameras and moving
on to integrated solutions like what
we offer. It will be important that
fleets do their research and find
suppliers that really deliver on what
they promise.
FAST FACTAustralian start-up BIGmate is currently working on the launch of the first type-approved In-Vehicle Unit (IVU) by a company that is not already certified as an Intelligent Access Program (IAP) Service Provider by TCA. The IVU will integrate both current and future regulatory telematics applications such as IAP and the Electronic Work Diary (EWD). “This will be the first stage of many as BIGmate embarks on broader plans to obtain certification for regulatory telematics applications,” the company says.