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Four ways of reducing the rising cost of running a fleet

After the Brexit vote, many UK SMEs have had to face rising costs, which has resulted in revenue dropping a considerable amount for numerous businesses. 

These two economic factors have started to pile on the pressure for businesses that highly rely on a fleet of vehicles to carry out their fundamental operations.

The question that arises here is this: what can these SMEs do to reduce costs and protect themselves from the impending impact of Brexit, especially when it comes to their reliance on fleet vehicles?

Our team of experts at Parma Group have come up with four ways of reducing the rising cost of running a fleet:

1. Staying on top of maintenance

The way your fleets are maintained has a huge impact on its fuel efficiency. Dirty engines tend to use more fuel, while wheels that are worn out, or those that do not have wheel nut safety installed can have a negative impact on your vehicles and eventually your business.

Additionally, poor understanding and application of maintenance techniques can also result in your business spending more money than needed. Hence, it is always advisable to keep on top your maintenance
game, as prevention is always better than cure!

Having your fleets property managed and maintained will help you to ensure that they are running efficiently and most importantly, cost effectively.

 

2. Optimising through telematics

When you attach telematics, SMEs gain access to a rather huge, intricate set of fleet data. For example, people that are responsible for fleet management will have a better understanding of the routes being taken by their drivers, how efficient their driving is with respect to fuel consumption and how average speeds are impacting overall efficiency.

With this data, SMEs can improve their drivers’ overall performance. Alongside this, they can also monitor their drivers’ full journey details, which includes pence per mile calculations, without the need for receipts.

 

3. Use of technology

Technology is a crucial part of most businesses today, and the use of it for the majority of sectors plays a vital role in making businesses efficient and reliable.

Similarly, we believe that technology can be very helpful for fleet managers to improve the productivity of their operations.

However, if fleet managers want to do this, they need to have complete access to comprehensive information (MI) protocols and processes, so that they can gather and analyse data effectively.

With an ability to analyse fleet data, SMEs can get back get in the driving seat and control cash management effectively. Access to fleet data will help businesses to work out which fleet is inefficient when it comes to fuel and maintenance, meaning they can make the necessary adjustments to improve.

 

4. Opting for a fuel card solution

To save time and effort, your business should look into using a fuel card solution, if it isn’t already. If you’re not too sure what is involved, don’t worry, as we will explain the basics below.

When a business works with a fuel card provider, they are given fuel cards which they issue to their employees. These fuel cards can be used in lieu of credit cards or cash at many petrol stations across the country.

A vast amount of petrol stations are involved with the fuel card scheme and locating refuelling points is super easy thanks to smartphone apps. But it’s unlikely your employees will even need to use an app, as huge names such as Shell, Texaco, BP and Esso are a part of fuel card schemes.

Fuel cards are fantastic as they are a hassle-free payment solution, meaning companies don’t need to deal with hundreds of invoices for fuel as they are billed directly.

Making your fleet operations efficient is not just about being cost effective and saving money either, as your business will also be saving precious time. And time is money, after all…

At Parma Group, we make sure that we are not only helping UK SMEs to save costs on their fleet operations, as there is far more at stake when it comes to logistics. Our aim is to make every road journey a better experience, and we play our part by providing wheel safety products to companies that are often behind the wheel.

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