If “going green” doesn’t ring your bell, then maybe the prospect of increasing the profitability of your fleet, by significantly reducing your fleet operating costs, does?
Running a greener fleet costs less with reduced operating costs, and leads to a boost in overall profitability...so even climate change deniers have good reasons to run a green fleet.
How can the fleet management professional run a greener fleet?
Thankfully, there are a number of strategies that you can put into place to reduce your carbon emissions. The old adage “you can’t manage what you can’t measure” is still true today, so a good place to start is by measuring your carbon footprint.
If your organisation chooses to reduce carbon emissions for all of their operations, you will first need to determine your carbon emissions boundary. Following this you will probably find that like most organisations your transportation activities are a major, if not the primary contributor, to your carbon emissions, particularly if you have a large fleet travelling many kilometres.
Remember, this includes your company vehicles as well as your grey fleet vehicles – where employees use their private vehicles for your business purposes.
While it is generally true that very early adopters do usually pay a higher price, it is time to bust the myth that being green costs more. Green technologies and methods are developing all of the time and some have already been around for quite some time.
You don’t always have to be the first to adopt the latest green technology, but if you aren’t adopting any then you are already starting to fall behind and you’re missing out on the benefits. Quite often now the greener, less emitting option, is the cheaper option.
So just what options are available to green your fleet so you can save on emissions and money?
Well, thinking before you buy will assist in choosing a more economical fleet. Australia already has a mandatory consumer information with labelling on all new and used import cars.
As part of considering the green credentials of vehicles you can easily pursue a progressive downsizing strategy. Traditionally, larger vehicles have been over-used in many fleets when a smaller, more fuel efficient vehicle would be fit for the same purpose.
You can progressively move towards more fuel efficient vehicles as part of your procurement process. This will see a notable shift from larger six cylinder products to smaller four cylinder products, as well as a shift to more fuel efficient products within the same cylinder class. The result being less fuel use and fewer emissions.
Once you have the right vehicles to lower emissions, you should consider how these vehicles are being used. Historically, the motor vehicle has been considered a right of many employees to have full choice and exclusive use of their salary-packaged vehicle.
However, this may be an expensive option to try and retain employees with potentially under-utilised and fast depreciating assets remaining idle for too long in the company car park. Perhaps these days are coming to an end with the motor vehicle increasingly seen as a privilege, not a right.
For light passenger fleets, the company’s vehicles can be shared across the organisation, whether they are an unassigned vehicle or part of someone’s salary package.
Car sharing is now becoming very popular with start-up businesses disrupting the marketplace. Not only are private individuals and families making choices to utilise car sharing programs, but so are businesses. Some organisations are complementing their company fleet with shared vehicles, and some have even chosen to substitute their entire grey fleet with this option utilising FleetPartners Pool Booking system to help manage the process.
Traffic fatalities represent the greatest proportion of work-related deaths in Australia... more than 35% of these between 1 January and 30 Setember 2016, involved a vehicle accident. So how can businesses manage this better.
If you provide someone who has been driving for years with the suggestion that they need to complete a driver assessment, the first thing you will get is push back. “I know how to drive…I’ve been driving for years, there’s nothing wrong with me.”
The fact is that we all pick up bad habits and sometimes it takes going through a refresher course or safety driver day to help us acknowledge that we could be doing things a lot better.
Today, technology can also play a big part in monitoring these behaviours but more importantly, they can empower drivers to make changes by sharing with them their own reports. One business we know of has even opened the results up to all drivers to encourage open competition to improve behaviours eg. speeding
There is a range of telematics solutions in the market that range from a hard wired solution to a portable plug in device. The difference is in the level of detail you require to best manage your business and your primary duty of care obligations under the Health and Safety Act.
Better and safer drivers
Driver behaviour tools enable you to better identify and manage the risks around driver fatigue, speeding and harsh braking. A mobile solution from LogBookMe enables drivers to register trips from their phone as they arrive at their destination. This means they don’t spend time back in the office filling in reports and you with real-time information .
GPS tracking lets you identify everything from high risk zones and creating geo-fences through to managing utilisation, servicing, fuel and FBT reporting.
Make sure the investment you make in your vehicles is right for your business. Reporting helps you identify underused vehicles and right-size your fleet to give maximum return on investment.
Take the hassle out of managing log books with a simple online booking system that will help you manage and report on usage and drivers.
Reporting and analytics
Access to information and reporting is available real-time, 24/7 from secure online Simple, intuitive reports give you the information you need, when you need it, to better manage your business
Not ideal…but understandably, over time fleet size and composition can easily get out of control.
Help your employees’ salaries go further by offering Novated Leasing and salary sacrificing.
Research from FleetPartners International Alliance Partner, ALD Automotive, through their Pulse Survey carried out in the UK suggested a lack of education and driver training was leaving fleets at risk.
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