gps tracking

An effective fleet management strategy is imperative in keeping down fleet costs. For many fleet related industries, keeping your fleet operational and on the road is the biggest business expense. The less it costs you to do this, the more money you can make, that’s the bottom line. This blog post will talk about several ways you can keep your fleet costs down by using effective fleet management techniques.

  1. One way to keep the fleets costs down is to reduce the fleet size. This may seem counterproductive, but it actually does reduce costs. Eliminating a small percentage of your fleet will save you money in ownership and maintenance costs. The additional work load will need to be distributed by your remaining fleet. This additional work load will slightly increase operational costs for the other vehicles, but will still be much less than having the extra vehicles on the road. Estimates for various industries argue that you should be able to realize a cost savings between five and ten percent using this strategy.
  2. Utilize GPS tracking for your entire fleet to cut down on total vehicle miles traveled. Most companies have rules against employees using fleet vehicles for personal purposes, like traveling to get lunch or run home and let the dogs out. While these rules are in place, they are notoriously difficult to enforce, and most employees feel justified in using the company vehicle for small tasks. The cost of these small tasks adds up over time, so it is important that you eliminate these extra trips. One way of doing so is be implementing GPS tracking on all fleet vehicles. This will allow you to track your employees, ensuring they do not go off route for personal purposes. It may not even be necessary to actually monitor employees, as the knowledge that they might get in trouble for not following policy may be enough to get them to comply. For more information about GPS tracking, contact Cartasite.
  3. You should get more miles per gallon for your fleet. Having a fuel efficient fleet is extremely important for keeping fleet management costs down. If it is in your budget, you should consider upgrading vehicles to hybrid electric technology. This investment will pay itself off over the lifetime of the fleet. Reducing the size and weight of vehicles is also an effective strategy for increasing fuel efficiency. Using as small of a vehicle as possibly is usually a good strategy. If you are able, you should avoid pick up trucks, sport utility vehicles, and other light duty vehicles that are notorious for guzzling gasoline. Another strategy that is effective but difficult to enforce is to change driving habits. Rapid acceleration and intense braking habits reduce overall fuel cost and should be avoided. You will need to convince your employees to get on board with this and buy into the cost savings scheme. One idea is to incentivize your employees by offering a reward if they are able to achieve fuel savings fleet wide by changing their driving habits. Offering them a financial or workplace incentive is one good way of having them get on board with you.