Geofencing is a location-based technology that creates a virtual boundary around a physical area and triggers automated actions when workers or tagged assets cross the boundary.  

In the era of Real-Time Location Systems (RTLS) and connected worker solutions, geofencing has evolved from a marketing tool into a mission-critical capability for safety, Regulatory compliance, and asset Management—especially in high-risk sectors such as oil & gas. 

What is Geofencing?

At its core, geofencing defines a Virtual geographical-boundary—such as a circle, polygon, or beacon zone—around a specific site, zone or asset. When a device (mobile phone, wearable tag, vehicle tracker) crosses this boundary, the system triggers predefined rules: send an alert, lock/unlock equipment, record an entry, initiate a mustering rollcall, or launch automated workflows. 

Because geofencing tie’s location to action, it’s widely used for: 

  • Safety: (restricting entry to hazardous zones), 
  • Security: (alerting on unauthorized access), and 
  • Operational automation (kickoff inspections, updating shift statuses automatically). 

Types of Geofencing

Geofencing technologies are typically categorized based on how the virtual boundaries are defined and enforced: 

 

  1. Radius (circular) Geofence – Defined by a central point and radius (e.g., a100 meter zone around a wellhead). Easy to set up and configure and well-suited for outdoor areas. 
  2. Polygonal Geofence – Irregular shapes that match real-world site Layouts (e.g., specific pads on a rig or a plant perimeters). Offers greater precision for complex sites
  3. Beacon / Proximity Geofence – Uses Bluetooth Low Energy (BLE) or RFID beacons to create very short-range zones such as rooms, cages, or equipment cabinets. Ideal for indoors where GPS signals are weak or unavailable.
  4. Network-based Geofence – Uses Wi-Fi or cellular cell IDs to infer presence in areas with poor satellite coverage.
  5. Hybrid Geofence – Combines GPS technology for outdoors and BLE/RFID indoors providing seamless location tracking and rule enforcement as users move between environments—a common approach in RTLS deployments.

Geofencing Technologies — How They Work

Geofencing relies on one or more positioning technologies to define and monitor virtual boundaries: 

  • GPS / GNSS — accurate outdoor positioning; typical for vehicles, field crews and offshore platforms (when connected). 
  • RTLS platforms — often fuse multiple inputs (sensor fusion) and apply techniques like smoothing, dead-reckoning and logic to keep geofence events reliable across environments 
  • BLE (Bluetooth Low Energy) — A short-range, low power technology; perfect for indoor room-level detection using beacons or wearable tags. 
  • RFID — passive or active tags read by fixed readers; excellent for gate control, tool crib access, and inventory management zones. 
  • UWB (Ultra-Wideband) — high-precision indoor positioning (sub-meter accuracy); used where pinpoint accuracy is essential. 
  • Wi-Fi & Cellular — coarse location estimates are useful where other signals may be weak or unavailable. 

 

Industry Use Cases (Real-World Applications)

1. Oil & Gas 

  • Restricted zone enforcement: Prevent non-authorized personnel from entering high-risk areas (e.g., hot work sites, flare stacks). 
  • Automated mustering: In emergency situations, geofencing helps accounting for personnel within designated safe zones and facilitating faster evacuations. 
  • Pipeline access control: Alert when service vehicles approach sensitive pipeline sections.
    Why it matters: In remote oil & gas operations timely situational awareness can save lives saved and minimize environmental risks.(RTLS + geofence = mustering + fall-detection workflows.) 

2. Manufacturing 

  • Zone-Based Safety Rules: Automatically Shut down machinery if a person enters a hazardous cell. 
  • Workflow automation: Start/stop processes as materials move into designated production zones. 

3. Logistics & Supply Chain 

  • Dock and Yard Management: Automatic check-in/ check-out of trailers and containers to accelerate turnaround times.  
  • Cold-Chain Alerts: Trigger monitoring whenever a pallet leaves a temperature-controlled environment. 

4. Construction 

  • Access Control & Compliance: Ensure only trained workers enter high-risk lifts or confined spaces. 
  • Equipment protection: Alert if high-value equipment moves offsite without authorization. 

5. Healthcare 

  • Patient and Asset Safety: Prevent unauthorized movement of medical equipment and continuously monitor vulnerable patients in wards. 

Turning Location Data into Life-Saving Decisions

Geofencing is a fundamental capability in modern safety and operational systems. When combined with RTLS and robust communication networks, geofencing technology turns location data into actionable responses—such as automated mustering, restricted-zone enforcement, and process automation that significantly improve safety and productivity. 

 For industries operating in harsh or remote locations—particularly oil & gas—geofencing delivers the situational awareness required to protect people, assets, and the environment.