SF Whitepaper

The Smart approach to fleet management

A Whitepaper from Smartfleet

smartfleetaustralia.com.au

www.smartfleetaustralia.com.au 1

The Smart approach to fleet management A Whitepaper from Smartfleet

Fleet managers are increasingly expected to do more with tighter budgets in a post-Global Financial Crisis era where cost management and strategic efficiency are everyday necessities.

Optimised fleet management creates an immediate positive effect on bottom-line results, increasing costs efficiencies, boosting fleet intelligence, and improving reporting capabilities to maximise decision-making powers.

But what are currently the biggest barriers to market success?

Smartfleet polled fleet managers in attendance at the Australian Fleet Management Association earlier this year.

Each participant was asked to complete a short survey, the results of which we believe highlight ongoing operational issues in the industry.

Introduction: The Australian fleet management landscape

Key point: Cost management is a key priority for every fleet manager.



After the results were compiled it became clear there are three main challenges facing fleet managers in today’s environment.

Current challenges in fleet management

Key point: Accurate cost reporting, managing fleet maintenance costs and pool vehicle management are top priorities for fleet managers.

Challenges

0% 5% 10% 15% 20% 25%

Accurate cost reporting 24%

Managing fleet maintenance costs 18%

Pool Vehicle management 16%

Other 12%

Managing Infringements 8%

Managing etags 6%

Vehicle purchasing 6%

Fuel card supply and management 4%

2%My current fleet management provider

Managing fleet maintenance invoices 4%

Vehicle disposal 2%

Percentage of respondants who indicated this area was a significant problemArea of concern



Accurate cost reporting

Maintaining accurate cost reporting practices emerged as the number one challenge for fleet managers, with 24 per cent of respondents highlighting it as a significant problem.

Whether it is costs relating to fuel, registrations, service and maintenance, asset purchases, tax obligations or a myriad of other fleet expenses accrued across multiple operations, achieving full financial visibility can be extremely difficult.

Without instant access to the right information at the right time, it becomes a serious headache for businesses attempting to pursue cost efficiencies and plan for the future.

Managing fleet maintenance costs

Keeping control of fleet maintenance costs was identified by 18 per cent of those surveyed as being an issue at their organisation.

The costs associated with servicing and maintaining a fleet can be considerable, and may spiral out of control if fleet managers fail to maintain a firm grip on outgoings.

Companies without accurate visibility of their fleet maintenance may find their vehicles being serviced unnecessarily, while expensive suppliers can add significant costs.

Pool vehicle management

The larger a fleet management company becomes, the bigger its requirement for an adequate collection of pool vehicles is likely to be.

Our survey showed 16 per cent of respondents had trouble managing this area of their business, which is no surprise considering how complex pool vehicle management can be when booking processes and fleet monitoring are inadequately handled.

This may result in unnecessary asset purchases leading to a bloated fleet, or a lack of supply during busy periods.

The former inflates costs through additional fuel and maintenance requirements, while the latter compromises service performance levels and can cause customer and staff frustration.

Current challenges in fleet management (cont.)

Key point: Customisable and real time reporting have become important aspects of fleet managers’ day-to-day activities.



While we have explored the biggest issues that are currently challenging fleet managers across the country, there are still a number of future hurdles that many companies may have to face.

Rising fuel prices:

Weakness in the Australian dollar and increasing prices on imported fuel could create a double whammy for fleet managers.

Environmental regulations:

The carbon tax and the Renewable Energy Target are just two initiatives that are currently affecting companies’ bottom lines.

As Australia continues to strive for energy efficiency, our fleet management system offers environmental rating reports to keep fleets as green as possible.

Future challenges to fleet management

Key point: Fleet maintenance module could reduce up to 30% of costs on repairs, labour and parts.



An all-in-one view

Investing in fleet management software can significantly improve efficiency and visibility across a number of key performance indicators.

By integrating with core existing back-end systems, advanced fleet management software centralises information and data from different departments, providing an all-in-one view of mission-critical processes and costs.

This includes the streamlined procurement and disposal of vehicles, real-time accurate reporting functions, fuel and fuel card management, toll management, registration management, roadside assistance and FBT reporting.

Smartfleet’s system provides all these features and more, with innovative modules that have proven effectiveness at overcoming industry challenges.

Cost reporting modules

The Smartfleet system is designed to offer real-time strategic reports that help companies to manage costs across their fleet.

Information is extracted and consolidated from various aspects of the fleet and organised into easy-to-navigate performance dashboards, allowing for simple review of key reports and optimal tracking of important areas.

Within the dashboards, there is a scorecard method that links core metrics across all departments, sites and cost centres, which are then presented as an overall corporate score on fleet performance.

The standard reporting suite includes:

• Operational reports

• Executive management reports

• Exception reports

• KM tracking reports

• Green reports

• Fleet utilisation reports

• FBT tracking reports

• Fuel reports

• Vehicle expense reports

• Service and maintenance costs

These help fleet managers to isolate concerning trends and tackle cost barriers as soon as possible.

Furthermore, reports are fully customisable to a company’s specific requirements, whether organisational, financial or operational.

The Smart approach to fleet management



Fleet maintenance modules

Smartfleet’s software ensures all of a company’s fleet data is transitioned smoothly online during the implementation phase, providing peace of mind that all essential vehicle service and maintenance information is stored and backed up.

The software also generates alerts for service reminders, guaranteeing fleets are kept in top condition and removing the possibility of repairs or maintenance being carried out twice.

Our system is underpinned by a dedicated fleet maintenance team that helps businesses take control of servicing costs.

This outsourced service includes access to a network of suppliers that can help fleet managers to reduce costs on repair, labour and parts by up to 30 per cent, with the option of a consolidated monthly invoice for ease of payment.

Other benefits include:

• Flaggingpotentialsafetyissues

• Advicebasedonknowledgeofwarrantyrequirementsandmanufacturers’guidelines

• Optimisedsupplierselectionbasedoncostandpreference

Online pool booking system

Smartfleet software can help businesses to achieve full utilisation of their fleet through its online pool vehicle booking module.

The tool enables fleet managers to view all pool bookings by site, driver, reference number, booking

status and time period - facilitating cost reduction and, where necessary, bringing fleet size down.

This centralised approach can encompass multiple vehicle pools across many sites, as well as offering the ability to create cost centres against pool car users.

Priority settings are available, enabling companies to identify which vehicles should be booked first - whether this is due to fuel efficiency or other factors.

There are four access levels to provide maximum security, while also allowing for operational flexibility.

Additional features include:

• 24/7bookingcapabilities

• End-to-endaudittrailofeverybooking

• Vehicleandemployeecalendars

• Fullfleetmonitoring

The Smart approach to fleet management (cont.)



Our survey shows that accurate cost reporting, managing fleet maintenance costs and effective pool vehicle management are all primary concerns for today’s fleet managers.

However, an advanced fleet management system such as Smartfleet’s software can help businesses to maintain service levels and profitability against a continuously evolving economic backdrop.

Companies benefit from maximum utilisation of their fleet, cost management optimisation and improved visibility and forecasting ability through detailed reporting functions.

Not only this, but our industry-leading software is prepared for the problems of tomorrow, including potential fuel price rises and the country’s growing taste for environmentally friendly solutions.

Conclusion

Contact us

To learn more about how Smartfleet’s solution can help you, please call us on 1300 218 841 or visit our website for more information.

Powerful module bases system designed to deal with

every aspect of your fleet.

Real time reporting, 24/7, 365 days a year. Available any

time you need it.

Complete range of personalised managed

services included standard.

Fully coud based web applivation that backs up and

secures your data.

smartfleetaustralia.com.au

About Smartfleet

Smartfleet is a leading fleet management organisation that offers both a self-managed software solution and a totally outsourced service, where administration is managed by Smartfleet for the client.

With over 160 clients and in excess of 35,000 vehicles under management throughout Australia, we have the knowledge and experience to maximize your fleet efficiency. Our innovative web-based services are tailored to suit your specific requirements offering a solution for every business.

1300218841|smartfleetaustralia.com.au|[email protected]

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