Maximising the company budget through smart profits and loss management is part of the daily grind in any business. As fuel prices continue to rise and inflation seems unstoppable, it is smart to find ways to reduce fleet management costs without compromising the safety and quality of your fleet management business.
This article enumerates how you can make this financial move happen.
Find the Most Efficient Routes
Planning routes in the most accurate way possible is guaranteed to save time and reduce costs, especially in terms of payroll, mileage, and fuel expenses. Nowadays, most fleet businesses use route planning softwares to plot routes and vehicle schedules ahead of time. To add, this effort also brings better performance among your drivers and lessens vehicle usage which prevents accidents from happening.
Install Fleet Tracking Technology
Owners and managers need to be on track in managing a fleet business. Utilising truck tracking technology such as GPS (Global Positioning System) makes the work manageable. By having real-time and accessible data via GPS, fleet owners can assign drivers based on their proximity and availability, manage speed limits and vehicle usage, and even help resolve theft cases by tracking and recovering stolen vehicles.
However, the market for GPS is significantly growing due to its benefits in fleet business, but not all of them are created equal. To ensure that you install the best truck tracking technology, here are the features to consider:
- Essential features present in the system: geofencing, up-to-date tracking, fuel monitoring
- Customisable tracking device depending on the vehicle requirements
- User-friendly and easily accessible online
- Affordable yet provides quality results
Some companies like Radius offer comprehensive truck tracking systems where all these features are met without breaking the bank. To learn more about how they can help you reduce costs, check out their offerings here.
Conduct Regular Vehicle Check-ups
As the saying goes, “A stitch in time saves nine.” This means that we should not wait for problems to get worse before we resolve them. The same thing goes for conducting regular vehicle maintenance.
To prevent accidents and costly repairs, there should be a routine set among managers and drivers to identify potential safety hazards. If you can still connect with your fleet manufacturer, take time to coordinate with them in orienting your drivers and managers on how to properly clean and utilise vehicles assigned to them.
Connect with Other Businesses
Widening your network by connecting with different business suppliers is also a fun way to reduce costs. For one, you can outsource to reliable maintenance providers regular vehicle check-ups. Since you are entrusting your fleet management to them, these maintenance providers are most likely to grant you discounts or competitive pricing packages.
You may also negotiate with fuel card companies to reduce your fuel costs when you avail in bulk. Another advantage of keeping this connection is faster and more manageable access to your data on expenses and purchases when your company needs to clarify or decide on some financial matters. Similarly, you may connect with insurance providers who can provide affordable yet favourable insurance rates and terms based on your fleet history.