Fleet owners and transport companies usually understand Fleet Management as a telemetry tracking system, which services are advertised as a fully fledged Fleet Management Solution. Telemetry tracking systems are merely position, movement, distance and mapping data with optional alarm and engine monitoring.
Fleet Management are MUCH more than just financial control and telemetry or tracking! Fleet Connect is a comprehensive Fleet Management System which views each mobile asset as an SBU (Small Business Unit) with its own balance sheet within the larger fleet of the organisation.
As more and more people are looking to cut back there outgoings due to the poor world economy, it’s time for the world of fleet management software to take a hit.
The credit crunch, has slowly started to creep into everybody's life. House prices are falling, food costs are rising, oil prices are through the roof, and many businesses are feeling this crunch. The most recent victim is the car rental business or fleet management. Due to the increase in petrol, and because of higher taxation more and more people are turning away from gas guzzlers like suv's and 4x4's and are turning to more hybrid vehicles with lower emissions. This fallout originally started in the USA where main fleet management dealers like GMAC and Ford, saw there sports car's and pick-up trucks sales, decline. According to fleet management software this has sometimes been as high as 25% in some areas of the market.
This trend has now spread to Western Europe and similar sales collapses are showing in France, Spain and the UK. The result of this is higher petrol prices but also the increase in carbon dioxide-based motoring taxes. To get these gas guzzlers off the road, politicians are squeezing every last penny out of the consumer by high ring road taxes to an unbelievable level.
According to many fleet management software sites, this has had a dramatic effect on how they do business. For example car manufacturers such as Jaguar, Land Rover and such could have to lay off a number of staff and close down plants.
On one last point this is not only the reason that Fleet Management is suffering a headache. According to new EU rules. Changes in depreciation rules means that the overall costs of fleets could be increased considerably. Take this into account with the EU's rules on Co2 emissions and you have a real concern. According to fleet management software sites, this is profoundly effecting customer’s choice.
Fleet management is the management of a company's vehicle fleet. The primary objective of fleet management is to control the overall cost of operating and maintaining a company's fleet of vehicles and equipment, to maintain vehicles and equipment in a manner that extends their useful life, to control the growth in size of the fleet, to standardize the composition of the fleet and to accurately budget for maintenance and replacement costs. Fleet management includes vehicle tracking, mechanical diagnostics, management of ships and tracking of driver behavior.
Fleet tracking has long been used by operators of multiple vehicles to help them function more efficiently. It is a great way for fleet owners and managers to monitor their cars, trucks or vehicles efficiently. Fleet tracking provides management with real-time knowledge of each vehicle's location, allows the monitoring of fuel use and route adherence, creates new operational efficiencies, increases security of vehicles and assets, improves management of vehicles and drivers, encourages better driver behavior by sharing reports and increase security of vehicles and assets.
Fleet management software enables people to accomplish a series of specific tasks in the management of any or all aspects relating to a company’s fleet of vehicles, like planning and deployment services. Fleet management software provides fleet managers the tools they need to meet the day-to-day demands of managing an in-house fleet maintenance shop.
Fleet management software is designed to meet the demanding needs of fleet professionals around the world.
Fleet management requires a great deal of organization and management skills.
But managing your fleet is now easier than ever. Tracking vehicles, keeping up with maintenance, handling fuel budgeting and logging work are a few examples of what GPS (Global Positing systems) and Fleet management software can handle for your company.
As the price of fuel continues to rocket upwards, the biggest challenge facing many fleet managers is how to stop fleet running costs spiraling out of control. Combine that fiscal challenge with the need for companies to become greener and behave in an environmentally responsible manner and the average fleet manager is facing a really tough time.
Finding practical solutions to keep cost increases as minimal as possible has become a priority, and also being fully aware of the environmental impact on their fleet and how that too can be reduced, are paramount for most fleet managers, and they are being advised by many experts, as well as pressure from their company accountants to totally revisit the way that they have traditionally run their fleet.
Although traditionally managers and users of fleet vehicles consider a bigger car to be more of a status symbol, a responsible fleet manager should be trying to shift that outmoded one-upmanship towards placing greater emphasis on having the greenest car as the ultimate status symbol. So, when vehicles in the fleet are due for renewal the best way to promote the green agenda is to clearly list the CO2 emissions of replacements in the lists sent to fleet drivers. In order to help make greener choices then, incentives should be offered to those who opt for greener vehicles. Such incentives could include money-back schemes for those who choose smaller cars and also run them in an economical manner.
Similarly, drivers of bigger cars tend to get bigger mileage allowances, traditionally based on the higher cost of filling the vehicle. However, by removing that tiered system and giving everyone the same mileage allowance will force those with bigger cars to reconsider when renewal time comes around. Of course, in terms of fairness such an approach should be phased. For example, someone who is only eight weeks into a three year contract on a new vehicle should not be penalized as they cannot extract themselves from the deal.
However, it is no good the fleet management department promoting such innovative and necessary approaches to solving the fiscal and green challenges if senior management continue to use cars that emit high levels of CO2. They must lead by example if they wish to change the habits of the rest of the fleet, and not adopt a 'do as we say, and not as we do' attitude.
Fuel costs are likely to continue their inexorable rise and the pressure on companies to adopt greener policies may even turn to legislation, if not enough companies adopt them voluntarily. Therefore the sooner that fleet management can persuade their drivers to turn green and accept smaller, more efficient vehicles the better it will be in the long run.
Isla Campbell writes on a number of topics on behalf of a digital marketing agency and a variety of clients. As such, this article is to be considered a professional piece with business interests in mind.