Tanaka Denki

The vehicle GPS management plays a crucial role in fleet tracking, asset management, and risk mitigation for businesses that rely on vehicle financing or leasing models. Companies in this sector use IoT-enabled GPS tracking systems to monitor vehicle locations in real time, optimize operations, and enhance security. As the market grows, businesses seek cost-effective and scalable connectivity solutions to manage large fleets efficiently while reducing operational complexities.

Background

Tanaka Denki was founded in 1950 and established in 1953. In its early years, the company focused on sales of wireless communication equipment, and later diversified its business by focusing on the development of information communication and ICT-related technologies. In recent years, the company has been providing MCM, a vehicle GPS management system, and IoT solutions to help companies improve operational efficiency and risk management. Tanaka Denki's "Mobile Car Management (MCM)" system, a vehicle GPS management system, allows for the monitoring of vehicle location information and remote engine control. This system is often utilized by companies that sell vehicles on their own loan to reduce the risk of non-payment and properly manage the vehicles. It is offered as a total solution that includes a GPS tracker, location management system, and operational support.

The system implies attached GPS device to the vehicle to obtain real-time location information. This makes it easy to track and manage vehicles and if necessary - shut off the engine. For example, one of the major used car sales companies has introduced this system and is using it to manage risks associated with non-payment of loans and improve customer service. Furthermore, the MCM (Mobile Car Management) enables the management of vehicle location information and engine control, allowing the same mechanism as infrastructure to be applied to vehicle management. This enables quick response in the event of payment delays and helps companies avoid risk.

Challenge

The challenge for the vehicle GPS management system, MCM, was to reduce initial installation costs and the complexity associated with managing the large number of endpoints in a growing market, while at the same time minimizing related operational costs such as managing open and closed lines.

1NCE Solution

Through the partnership with 1NCE, MCM, a vehicle GPS management system, has significantly reduced communication costs by utilizing the 1NCE Lifetime Flat model while maintaining a high level of service. While previously a monthly fee was charged regardless of whether the line was used or not, 1NCE's prepaid system eliminates additional costs once the line is purchased. Since there is no price difference depending on the line usage, there is no need for operations to open and close the line, leading to a significant reduction in operating costs. Tanaka Denki anticipates rapid growth in 1NCE-managed endpoints, along with increased global deployment.