Many businesses own or use some form of transportation whether it is for transportation of products or their employees. Fleet management enables a company to minimize the risks that are associated with vehicle efficiency and productivity and reduces the overall costs. It entails a wide range of functions such as vehicle maintenance, vehicle financing, vehicle telematics, driver management, fuel management, speed management, and safety management. It includes commercial vehicles such as vans, trucks, cars, aircraft and even rail cars. Vehicle tracking is the most basic function of this and is usually GPS based. When it comes management of ships while at sea, contracts are given to companies to handle the various aspects of shipping such as maintenance and crewing.
It may be quite a hustle for people to manage and maintain a fleet of vehicles for their businesses considering the associated costs. This includes the initial costs, the routine maintenance and the parts replacement costs. However, almost any business can benefit from the same. Investing in your fleets can limit your liability and ensure efficient delivery and safety of your drivers. Anyone planning to start a fleet business would also want to know all the things involved with it. A common question that one may ask is the advantages and disadvantages associated with it. Some of the advantages of fleet management include:
1. You set the standards
Since people are different, some drivers may be passive while others aggressive. When you are able to monitor your vehicles, you have control of what goes on behind the steering wheel. Therefore, you can be sure that your drivers are following all your rules and drive in a correct and preferred way.
2. You are in control of the vehicle
When a company owns a fleet of vehicles, the business tends to look more professional. This is because all the vehicles display the brand uniformly. The uniformity in the make and models of the vehicles makes it easy to know the gas mileage and maintenance schedule for each vehicle. It also allows you to be certain that all the vehicles are appropriate for job requirements and are up-to-date on inspections.
3. You know the costs in advance
One of the major benefits of this system is that it is cost effective. As the owner, you are able to know the cost of maintaining each and every vehicle. From that, you can plan and budget for the various expenses involved.
4. You get to decide on the vehicles that go and stay
Some vehicles are worth investing in while others are too costly to maintain. When you have the information on each of your vehicles, you can determine which ones are gas-guzzlers and the ones that are cost efficient. This information will help you to decide on which vehicles to retain and the ones to sell.
Since every person wants to know every detail about their fleet, there are no disadvantages related to fleet management. You can, therefore, see how this can organize your fleet system to make it efficient and cost effective.