The Internet of Things is a telecommunication phenomenon which has been introduced during these years, wherein every physical thing would be equipped with electronic parts such as transceivers, sensors, Microcontrollers, RFID, actuators, and proper procedures that can make them able to interact with each other and even with the people, turning into an integrated portion of the Internet. The IOT in fact can be used in various areas, including industrial automation, automotive, home automation, transportation and fleet management, medical aids, smart power management, and a lot of other domains and needless to say that is one of the principles and integral parts of smart city and in a comprehensive view smart world. In this paper, first, we introduce our patent called “Intelligent Health Monitoring and Dispatching System (IHMDS)” based on IOT, telematics and M2M technologies for fleet management on construction, mining, and agriculture machinery. Then we will discuss how these type of systems can be used in smart cities and help to urban management. This system has been installed on more than 100 mining equipment (Dump-truck, Excavator, Loader, etc.) in five big iron mines in Iran and helps companies to maximize safety and increase their productivity. IHMDS is an embedded system comprises 5 main parts: sensors, controllers, industrial PC and a touch panel, network transceiver (GPRS/Wi-Fi), and GPS. A cloud-based software which uses GPS coordinates, artificial intelligence methods, queueing theory and shortest path algorithms provides dispatching and maintenance processes.