What is GPS and Why is GPS Critical for Enterprise Visibility?

Discover how GPS technology powers enterprise operations beyond navigation—enabling real-time tracking, security, and asset intelligence.

May 5, 2025

We interact with GPS every day—when we check directions, hail a ride, or track a delivery. But behind the scenes, GPS powers far more than just our phones and cars. In enterprise operations, GPS has evolved into a foundational technology for tracking, security, logistics, and automation—offering visibility that traditional tools like surveillance cameras or spreadsheets can’t provide.

At Leverege, we’ve seen firsthand how GPS can unlock game-changing operational improvements. And through solutions like AutoTrace, we’re enabling businesses to move beyond simple location tracking to real-time, insight-driven asset intelligence.

What Is GPS?

The Global Positioning System is a U.S.-owned satellite-based radio navigation system that provides location, velocity, and time information to anyone, anywhere on Earth, 24 hours a day—no subscription fee required.

Originally developed in the 1970s for military use, GPS became fully operational in 1995 and has since become a pillar of civilian life, business operations, and scientific research.

At its core, GPS answers three simple but critical questions:

  • Where am I?
  • How fast am I moving?
  • What time is it?

How Does GPS Work?

The magic of GPS relies on a carefully orchestrated dance between space, physics, and math. Here’s a step-by-step breakdown:

  • Satellite Constellation:
    At least 24 satellites orbit Earth at ~20,200 km altitude, completing two full orbits every 24 hours. Arranged in six orbital planes, they ensure that at any point on Earth, at least four are visible above the horizon.
  • Signal Transmission:
    Each satellite continuously transmits a signal containing:
    • Its precise orbital position (ephemeris)
    • A system almanac (coarse data about all satellites)
    • The exact time the signal was sent, measured by onboard atomic clocks
  • Signal Reception:
    Your GPS receiver—whether in a phone, vehicle, or asset tracker—picks up these signals and measures how long each one took to arrive.
  • Distance Calculation:
    Since radio signals travel at the speed of light, the receiver calculates its distance from each satellite by multiplying the signal’s travel time by light speed.
  • Triangulation and Trilateration:
    To pinpoint its location, the receiver uses at least four satellites:
    • Three satellites define your latitude, longitude, and altitude.
    • The fourth corrects for slight errors in the receiver’s internal clock.

Why Do We Need Four Satellites?

A common question is: “Why four satellites? Isn’t three enough for 3D position?”

The answer comes from physics: your receiver’s quartz clock isn’t as precise as the atomic clocks in space. Even a millionth-of-a-second error introduces a ~300-meter position error. The fourth satellite acts as a time referee, correcting clock drift to ensure precise positioning.

Why Does GPS Rely on Relativity? Einstein’s Crucial Role

Without corrections from Einstein’s theory of general relativity, GPS would fail spectacularly. Why?

  • Satellites experience weaker gravity and move at high speeds relative to Earth.
  • Their onboard atomic clocks run 38 microseconds faster per day than Earth-bound clocks.
  • Without compensating for this effect, GPS would drift by up to 10 kilometers per day!

GPS is one of the most widespread real-world applications where general relativity is not just theoretical—it’s operational.

How Accurate Is GPS?

  • Civilian GPS: 3–10 meters accuracy
  • Augmented GPS (WAAS, EGNOS): 1–2 meters
  • Differential GPS (DGPS): <1 meter
  • RTK GPS (Real-Time Kinematic, used in surveying): centimeter-level precision

This range of accuracy enables everything from navigation apps to autonomous drones, precision agriculture, and enterprise asset tracking.

Under the Hood: What Makes GPS Tick

To help enterprises understand the power behind solutions like AutoTrace, here’s a deeper look at GPS technology:

  • Signals: Satellites broadcast L-band radio signals (~1.5 GHz) carrying unique ID codes, ephemeris, and time stamps.
  • Atomic Clocks: Onboard cesium or rubidium clocks ensure nanosecond precision.
  • Constellation Strength: With 31+ active satellites today, users typically have 6–12 satellites in view—crucial for accuracy and reliability.
  • Multi-GNSS: Modern receivers often combine GPS with GLONASS (Russia), Galileo (EU), and BeiDou (China) for even better coverage, especially in urban canyons or under tree cover.
  • Error Correction: Advanced systems compensate for atmospheric delays, clock drift, and signal reflections to improve precision.
  • Limitations: GPS struggles indoors, underground, or in dense urban environments.

Why GPS Is Game-Changing for Enterprises

GPS does more than just say “where”—it unlocks new levels of visibility, control, and efficiency across industries.

Consider:

  • Transportation: Live vehicle tracking, optimized routing, and fuel savings
  • Logistics: Real-time freight monitoring, arrival-time prediction, cold chain verification
  • Construction: Heavy equipment tracking, automated geo-fencing, site progress monitoring
  • Agriculture: Precision planting, yield mapping, soil sampling

Most critically, GPS solves a major shortcoming of traditional surveillance: cameras only see on-site activity; GPS sees everything, everywhere.

Example: Theft Prevention with AutoTrace

For enterprises managing fleets, equipment yards, or high-value goods, theft and loss are enormous risks. Traditional cameras can record incidents only within property limits—but what happens when a truck leaves the depot or a trailer is stolen from a remote lot?

AutoTrace uses GPS-enabled asset trackers to provide:

  • Continuous, global location monitoring
  • Instant alerts when assets cross geo-fenced boundaries
  • Historical route playback for loss investigation

Companies using AutoTrace have achieved a 45% increase in stolen inventory recovery and a 94% reduction in manual inventory labor. One nationwide auto dealer saved $10 million in recovered vehicle thefts within their first year of deployment.

Moving Beyond GPS to Total Asset Intelligence

GPS transformed asset tracking by providing real-time, precise outdoor location data. But as operations become more dynamic and geographically complex, GPS alone isn’t enough.

That’s where AutoTrace stands apart.

By combining GPS with BLE, UWB, RFID, WiFi, and other inputs, AutoTrace delivers seamless, uninterrupted visibility—bridging the gaps where GPS can’t reach. It’s not just about knowing where something is; it’s about understanding how, when, and why it’s moving so teams can act faster, smarter, and more confidently.

This flexible, hardware-agnostic approach empowers decision-makers to:

  • Improve asset utilization
  • Reduce loss and downtime
  • Enhance worker and equipment safety
  • Optimize end-to-end workflows

In short, the future of asset tracking isn’t GPS or indoor positioning—it’s both, working together in an intelligent, unified platform.

Ready to see what total asset intelligence can do for your business? Book a demo today and discover how AutoTrace can transform your operations.

Calum McClelland

Chief Operating Officer

Calum graduated from Brown University with a major in Philosophy. Striving to change himself and the world for the better, Calum values active living, life-long learning, and keeping an open mind.

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