When talking about a business fleet, we refer to the vehicles, vans, trucks, or trailers that a company owns and uses.
Some businesses own and manage a small fleet of vehicles, while larger businesses own tens or even hundreds of vehicles. When talking about an enterprise fleet, we are referring to large businesses that own more than 15 vehicles.
When asking the question “What is enterprise fleet management?” We should look at how these large businesses manage their fleet vehicles. Enterprise fleet management entails monitoring the use, maintenance, repairs, logistics, and allocation of fleet vehicles.
Enterprise Fleets: distinguishing features
Here is a list of what distinguishes enterprise fleets from small and medium-sized fleets:
- Size: An enterprise fleet has more than 15 vehicles.
- Fleet manager responsibilities: An enterprise fleet is managed by a dedicated fleet manager. Some companies sometimes have more than one fleet manager.
- Variety of vehicles: These large fleets consist of a wide range of vehicles including passenger vehicles, trucks, buses, vans, and trailers.
- The complexity of logistical requirements: Enterprise fleets often have a large range of complex logistical requirements to adhere to and uphold.
Challenges of enterprise fleet management
Enterprise fleets, despite the many advantages they have, also have unique challenges to deal with:
Asset utilisation
Because of the number of vehicles fleet enterprises have, fleet managers can very easily lose track of which vehicles are in operation or underutilised. Buying vehicles which are rarely used and which have to be serviced and kept in use wastes a lot of money.
High fuels costs
Larger vehicles inherently demand more fuel to power their journeys, leading to substantial operational expenses.
Navigating this challenge requires a dual approach: optimising routes and driving behaviours to enhance fuel efficiency, while also considering the integration of alternative fuels or electric vehicles to mitigate the impact of traditional fuel price fluctuations.
Staff turnover
Because of the large number of employees that need to be managed, many drivers can sometimes feel undervalued and overlooked which can lead to a high staff turnover.
A big challenge with enterprise fleet management is to carefully manage drivers to ensure employee job satisfaction and staff retention.
More data to deal with
Enterprise fleet management requires large amounts of information and data to be stored on a daily basis. This includes staff and vehicle information, maintenance records, route histories and various other important metrics.
To ensure a fleet operates as efficiently as possible, it’s important to use a fleet management software that stores this data and helps to streamline operations.
High insurance premiums
Business fleets face higher insurance premiums due to the inherent risks associated with vehicular operations.
Accidents, theft, and other incidents can impact the bottom line. Fleet managers must proactively invest in driver training programs, implement advanced safety technologies, and maintain comprehensive record-keeping.
These measures not only reduce the likelihood of accidents but also position the fleet as a safer risk for insurance providers, potentially leading to lower premiums.
Integrating technology for efficient enterprise fleet management
To run a well-functioning and exceptional fleet program, those in charge of enterprise fleet management are advised to make use of the following solutions:
Telematics and GPS tracking
Enterprise fleet management requires the use of vehicle tracking to better control the use and dispatch of cars, trucks, trailers, and vans.
Vehicle tracking allows business owners to stay informed about the exact location of their fleet, while also helping with route optimisation, monitoring driver compliance and improving fuel management.
Fleet management tools also offer driver identification, allowing fleet managers to know which driver is operating a specific vehicle at any given time.
Additionally, by using onboard dash cameras for their enterprise fleet management, businesses can improve the safety and accident management of their fleet. CCTV systems can also prove handy when a vehicle is involved in an accident, with the recorded data that can be used for insurance purposes.
By installing vehicle cameras designed to improve truck drivers’ field of vision, one can also ensure that your heavy-goods vehicles are Direct Vision Standard compliant.
Fleet managers can stay on top of any maintenance issues and improve driver safety by using vehicle checklists. These checks can be carried out on a daily basis, twice a week or once a week – it’s your choice. This can help to sort out any maintenance issues swiftly, before they turn into a bigger problem.
Staff performance programmes
To reduce staff turnover, businesses can employ driver behaviour tracking systems to help gauge the on-road behaviour of their employees and calculate driver scores. Using the driver scores, one can identify where employees can improve driving, thus promoting safer driving habits. Improved driver scores and driving behaviour can be used to incentivise and reward well-performing drivers.
Data-management software
Enterprise fleet management requires dealing with large amounts of information. Employing a robust data management system helps businesses process, store, and access this information.
Future Trends in enterprise fleet management
As with many other industries, the fleet management industry also has to take advantage of future trends to improve business operations and stay competitive:
Electric and hybrid vehicles
With many businesses moving away from using fossil fuels, more companies will start using electric and hybrid vehicles as fleet vehicles to reduce fuel consumption, emissions and operational costs.
Self-driving vehicles
Autonomous vehicles can help improve efficiency and road safety whilst reducing fuel consumption. Self-driving vehicles can reduce the need for human drivers, reducing a company’s salary and wage bills.
AI and data analytics
With the advancement of data analytics and AI, your local client strategy manager can better predict and optimise fleet routes to improve fleet efficiency.
Green business initiatives
Client strategy managers can use green business initiatives to attract more customers. For a business to stay competitive, they should acquire fuel-efficient vehicles, recycle waste and source and use sustainable materials.
Mobility as a Service (MaaS)
This initiative will see businesses shift their focus from owning a large enterprise fleet to renting. This too could help with cost savings as it reduces staff and vehicle needs, ultimately reducing operation costs.
Remote fleet management
Enterprise fleet managers can use digital tools and platforms to remotely manage their fleets, reducing the need to be in an office to do their work.
Using drones for deliveries
Drones are more affordable than vehicles and are a lot more environmentally friendly. They can be a quick and cost-effective way to deliver packages.
Using blockchain technology
By taking advantage of blockchain technology, companies can improve the transparency and security of their transactions, logistics and supply chains.
Conclusion
With the ever-changing business landscape, fleet managers must take advantage of all the available technologies and telematics solutions to stay competitive. Contact Crystal Ball today to speak to a consultant about which telematics solutions your fleet needs.
Request a demo and allow Crystal Ball to help you find the correct vehicle tracking tools, vehicle cameras, and mobile tracking solutions that’ll help make your fleet management a breeze.
Need an extra push to make your decision? Then look at these case studies to see how Crystal Ball has helped other fleet managers improve their operations and boost profits.