How Fleet Management Can Help Reduce Costs And Improve Operations
Jul 06, 2023
What is fleet management?
Fleet management refers to the approach practiced by both public and private companies in managing and overseeing their vehicles. This is also utilized to ensure that companies attain an increase in productivity, reduce costs, and adhere to various compliances in line with government policies.
How fleet management can help businesses in the Philippines?
Various businesses utilize fleet management, as it helps them in a multitude of ways. One is it improves the safety of drivers by allowing business owners to use trackers and engine diagnostics. These tools can track driving behaviours such as erratic line changes and speeding that can be corrected before an accident happens.
Another is it helps businesses with vehicle maintenance by having tools that can track maintenance schedules, maintenance costs, and customized reporting. Vehicle maintenance is important as it prevents accidents and increases efficiency. Furthermore, fleet management contributes to customer satisfaction as it provides real-time updates on their parcels and items, as well as the exact delivery date. Through this, they are more assured and confident about their ordered items.
What are the types of vehicles that can be managed under fleet management?
Fleet management can be used on numerous types of vehicles, such as
What are the benefits/importance of fleet management in improving operations and reducing costs?
Using fleet management for organizing and managing vehicles can come with a lot of advantages, but the major ones are improved operations and reduced costs.
Improved operations. The once-manual tasks that entail more time, such as logging hours and maintaining record maintenance, can be automated or digitized by using fleet management. This way, drivers and other staff can perform their tasks faster or allocate their time to other tasks. Another is business owners and fleet managers can track their vehicles in real-time, giving them a clearer and more visible view of their fleet operations. Additionally, fleet management tools can boost productivity by identifying drivers who are idling, delaying, or making unnecessary stops and detours.
Reduce Cost. Fleet management is also designed to help reduce operation costs. This is possible by helping fleet managers pinpoint and get rid of any unwanted expenses and come up with a budget-friendly fleet operation. Also, vehicles can identify the quickest routes to reach their destination, which can reduce fuel consumption.
What are the best practices for improving Fleet Management?
Business owners and fleet managers alike are following some practices that further elevate their fleet management. These are:
Make decisions based on collected data. Fleet management uses software and tools that can gather significant data such as fuel consumption, driver behaviors, better routes, maintenance needs, and others. These pieces of information can be collected to map out solutions and ways to increase efficiency and overall operations.
Practice advanced maintenance. With the aid of software, fleet managers are now able to proactively implement maintenance before vehicles incur damage and failure. In this way, accidents are avoided, vehicle efficiency is improved, resulting in lower fuel consumption, and expensive repairs are avoided.
Use the asset management system. Vehicles under fleet maintenance are registered in the asset management system so that owners can identify which vehicles consume more resources and if an asset needs to be maintained or replaced.
Track fuel consumption. With fleet management, fleet managers can track fuel consumption by determining what routes take the longest and what areas are prone to traffic. By doing so, they can avoid these areas and find alternative routes that help them save more fuel.
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