Keeping track of individual items is a challenge for many organisations. Tools disappear from job sites. Equipment sits unused while the company thinks it’s deployed. Expensive machinery gets lost between locations.
Asset tracking gives you visibility into where everything is and how it’s being used. Asset tracking is a core part of modern fleet management. It shows you exactly where your assets are in real time and how they’re actually being used.
Key takeaways
- Asset tracking is the process of monitoring the location and status of an organisation’s assets. Asset tracking plays an essential role in fleet management
- Asset tracking systems use a variety of technologies, such as barcode, RFID, GPS or cellular-based devices to collect and transmit asset location data in real time
- Fleet asset tracking works similarly to telematics. It involves the installation of an asset tracking device in each vehicle to collect data in real time and transmit this to a central location, where it is processed and analysed to inform data-driven decisions
- The benefits of asset tracking include optimised asset utilisation, improved maintenance planning, reduced risk of asset theft and loss, greater control over costs, and reduced downtime
What is asset tracking?
Asset tracking is a system that monitors the location and status of physical assets in real time. It uses technology, typically GPS, RFID, or cellular-based devices, to transmit location data to a centralised platform, where asset managers can see the location of every item at any moment.
An asset tracker can capture:
- Movement patterns: Where assets go, how long they travel, and how long they stay in a location
- Geofence alerts: Notifications when assets leave designated areas
- Maintenance records: Integration with maintenance schedules and service history
The core purpose is to provide accurate visibility, which tells asset managers exactly where equipment is, how it’s being used, and who is using it. With a clear picture of an asset’s history, managers can make more informed decisions.
Key components of an asset tracking system
An asset tracking system brings together several technologies to give fleet managers full visibility over the equipment and inventory their operations depend on.
1. Tracking hardware
The physical devices attached to assets, such as GPS trackers, RFID tags, or barcode labels, are what make tracking possible. The right hardware depends on the type of asset, how it moves, and how frequently you need location or status updates.
2. Connectivity
Tracking hardware relies on a network to transmit data. Depending on the solution, this might use cellular (4G/5G), Bluetooth, Wi-Fi, or low-power wide-area networks (LPWAN). Cellular connectivity is typically used for assets that travel long distances, while Bluetooth and Wi-Fi suit assets that remain on-site.
3. A centralised software platform
All the data collected by tracking hardware flows into a central platform, where managers and teams can view asset locations, status, and history in real time. The best platforms integrate asset tracking alongside vehicle tracking and driver data, so everything is visible in one place.
4. Alerts and notifications
Asset tracking systems can be configured to flag specific events automatically, such as an asset unexpectedly leaving a designated area, so managers can act quickly without needing to constantly monitor dashboards.
5. Reporting and analytics
Historical journey data from asset tracking feeds into reports on utilisation and movement patterns. This helps fleet managers identify underused assets, plan more effectively, and make the case for investment decisions.
The different types of asset trackers
Not all assets are tracked the same way. The type of tracker best suited to your operation depends on the asset’s size, value, location, and the level of monitoring you need.
- iOS and Android network trackers: More advanced asset trackers go beyond traditional GPS by using the iOS and Android networks to pinpoint location. Rather than depending solely on a satellite signal, they use nearby smartphones to triangulate location, providing live location updates and maintaining reliable coverage in underground car parks, dense cities, and remote areas.
- Barcodes: Barcodes assign a unique, scannable label to each asset. They are simple to implement and effective for managing large inventories. They require manual scanning, so location updates occur only when someone physically scans the item.
- RFID (Radio Frequency Identification): RFID tags use radio waves to transmit data to a nearby reader, removing the need for line-of-sight scanning. Passive RFID tags are low-cost and don’t require a battery, while active RFID tags have a longer range and can transmit data continuously.
- GPS trackers: GPS trackers provide real-time location data via satellite. These trackers are an effective option for larger assets, such as trailers, containers, or specialist machinery.
How does asset tracking work?
Asset tracking systems follow a similar flow to how telematics work, but optimised for the unique needs of equipment and assets.
1. Device installation
An asset tracking device is attached to or placed inside the equipment being tracked. The device contains a GPS receiver (or uses cellular triangulation), sensors, and wireless connectivity.
2. Data collection
The device continuously or periodically captures data about the asset’s location, movement, and (if equipped with sensors) operational status. If the asset has a geofence, the device monitors whether it stays within that boundary.
3. Data transmission
The device wirelessly transmits location data to a central server using cellular networks, satellite, or other connectivity methods. This happens automatically without requiring manual intervention. Some devices transmit continuously in real time, while others transmit periodically to conserve battery power.
4. Processing and storage
The asset tracking provider receives and processes data in the cloud. The system stores location history, calculates movement patterns, and flags alerts.
5. Recovery support
If an asset goes missing or is stolen, the tracking data enables quick recovery. Matrix iQ’s asset tracking solutions include recovery services that locate and recover stolen equipment.
Benefits of asset tracking
Asset tracking delivers value across multiple areas of operations:
1. Prevent theft and loss
Tools, equipment, and valuable items disappear from job sites every day. Live tracking with geofence alerts lets asset managers know immediately when something leaves a job site. For fleets, this is particularly valuable for HGVs with expensive fit-outs or trailers containing high-value equipment. If a vehicle is moved outside of operational hours or crosses a geofence boundary, an alert is triggered, giving fleet managers the best possible chance of recovery.
2. Optimise asset utilisation
Asset tracking reveals which equipment is actively in use, which is idle, and which could be shared across teams.
This visibility enables better decisions about asset acquisition and avoids the unnecessary purchase of equipment that already exists somewhere else on the network.
3. Reduce downtime
When a team needs equipment, they need it now. Without tracking, finding the right asset wastes time. With tracking, dispatchers can quickly locate the nearest available equipment and get it to where it’s needed. Less searching means more productive time.
4. Improve maintenance planning
Asset tracking integrates with maintenance records, showing operating hours, usage patterns, and maintenance history. This enables predictive maintenance – scheduling service before equipment fails rather than after, reducing unexpected breakdowns.
5. Control costs
Equipment depreciates faster when it’s not properly maintained or overused. Asset tracking enables better maintenance planning, reduces loss from theft, and prevents unnecessary equipment acquisition. Each of these improvements directly minimises the total cost of ownership.
6. Support billing and accountability
For companies that bill clients for equipment usage, asset tracking provides accurate records of when equipment was on-site, who used it, and how long it was deployed. This eliminates disputes and supports accurate invoicing.
Common asset tracking challenges
- Asset utilisation: Many organisations don’t have a clear picture of which assets are actively in use and which are unused or even forgotten. Tracking data reveals utilisation patterns across operations, helping managers improve asset scheduling rather than unnecessarily acquiring more equipment.
- Theft and unauthorised use: High-value assets left on job sites or unmonitored locations are vulnerable. Geofence alerts and out-of-hours movement notifications mean any unauthorised activity is flagged immediately, improving the chances of recovery.
- Manual processes: Spreadsheets and paper-based logs are time-consuming and prone to human error. A centralised asset tracking platform automates data collection and keeps records accurate and up to date without manual input.
- Managing assets across multiple sites: For organisations operating across different locations or job sites, tracking which assets are where becomes increasingly complex. A unified tracking platform gives managers a single view of the entire asset estate, regardless of location.
Why is asset tracking important in fleet management?
Many fleets operate alongside a range of critical assets, including trailers, specialist equipment, tools, and machinery, all of which have an impact on operational efficiency and costs.
Asset tracking gives fleet managers complete visibility over every element of a fleet. By monitoring assets alongside vehicles in a single platform, fleet managers can coordinate resources more effectively, reduce the time teams spend searching for equipment, and ensure the right assets are in the right place at the right time. This becomes particularly important for fleets that operate across multiple depots or job sites, where assets are constantly moving between locations and the risk of loss or underutilisation is higher.
What are asset tracking devices?
Asset tracking devices vary depending on what’s being tracked and operational priorities.
- Tag iQ: A business card-sized tracker that uses the iOS network for location, has a 3-year battery life, and works with both Android and iOS devices.
- MagTrack: Magnetic mount device with 5-year battery life, motion and tamper alerts, and Thatcham S7 certification for insurance approval. Built for assets and machinery operating across multiple locations.
Some assets require access control to manage who can use them. Access control devices combine tracking with authorisation features:
- Keypad: Controls access to machinery through PIN or RFID card, tracks who used equipment and when, and provides real-time location monitoring. Ideal for high-value or specialised equipment that requires trained operators.
What’s more, some asset tracking operates as part of a broader telematics system. Vehicles can be tracked alongside attached equipment, and data can be consolidated in a single dashboard, including driver behaviour and fuel consumption.
Discover the right asset tracking solution for your business at Matrix iQ
Whether tracking portable tools or expensive machinery, asset tracking delivers measurable returns through theft prevention, improved utilisation, reduced downtime, and better maintenance planning.
Matrix iQ’s asset tracking solutions are designed to integrate seamlessly with broader operations management, giving complete visibility into vehicles, equipment, and other assets from one unified dashboard. Contact us to book a demo today.