What gets managed gets measured, and what gets measured gets accomplished – Unknown.
I don’t think there is one adult alive who doesn’t understand the benefits of proper management. I can’t think of any successful business that doesn’t tout the importance of its management team. Billionaire Warren Buffet made billions of dollars by acquiring companies and changing nothing but the management team. In our personal lives, we get great results when we pay attention and introduce proper management practices. The entire world can unanimously agree that proper management is crucial to success.
What is a fleet?
A fleet is a number of vehicles, aircraft, or ships under the same management or ownership. Typically, we say a company has a fleet of vehicles if they have at least five vehicles under management.
What is fleet management?
Fleet management is the process required to keep a fleet system running safely, efficiently, within budget, and on time. A fleet manager monitors all fleet activities to make decisions about safety practices, vehicle acquisition and disposal, routing and dispatch, and asset management.
Why have a fleet management system?
Successful companies realize that to be profitable, revenue must steadily increase while expenses are kept reasonably low. This is simple mathematics that any businessperson understands. Even sports teams appreciate the benefits of this concept because, to win games, you have to score more points than your opponent while keeping them from scoring. Business is the same way.
Most businesses seek methods of optimizing cash flow while reducing expenses. Fleet management is no different. A fleet is part of a business’s asset and must be managed appropriately. Depending on the business, the cost of acquiring vehicles could easily be in the range of millions of dollars and, if not managed properly, could be costing the company huge sums of money.
Industries that utilize fleet management systems:
· Public Transport
· Oil and Gas
· Logistics (Transport and Distribution)
· Rental and Leasing
· Emergency services
Core benefits of a fleet management system
· Cost reduction
A fleet management system with safety at its core runs efficiently, reduces cost, and is productive. The Fleet Manager is tasked to manage people and equipment safely. When people interact with machines, a significant amount of risk gets introduced. It behooves business leaders to ensure the safety of their employees by introducing the following:
· Employees, especially drivers, have a mindset of safety first
· Employees discuss safety issues regularly
· Safety banners are placed strategically all around the office
· Supervisors have weekly safety toolbox meetings with drivers
· Special event defensive driving training (minimum of twice a year)
· Safety goals and objectives communicated regularly
Fleet managers seek to optimize every aspect of their fleet operations with a mindset of obtaining the maximum output from minimum input. The Fleet Manager introduces the following to improve his fleet operations:
· Proper self-management
· Drivers who understand time-management
· Drivers who appreciate their role in the company (fleet) policy
· Drivers who report unsafe practices
· Drivers who drive safely
· Drivers who conserve fuel
· Drivers who avoid unsafe practices
· Good hiring standards
Fleet managers seek opportunities to reduce costs in their business by doing the following:
· Buying vehicles that match the job
· Buying vehicles with good fuel mileage
· Disposing of older vehicles
· Developing an aggressive fuel management program
· Adhering to safety standards
· Timely customer delivery
· Proper journey management
· Good customer service
The result of a fleet management program is a system that runs effectively. A business experiences the following when fleet productivity is optimized:
· Happy customer
· Lower costs
· Zero incidents
· Safety culture
· Happy employees
· Increased profits
· Increased revenue
· Productive employees
· Ending wasteful practices
A fleet management system that keeps people safe and ensures a business’s profits remain intact is the kind of system that leaders want. To get great results, you need a fleet safety management system