Audit reaps rewards in fleet manager's first year

A politics graduate has celebrated her first year in fleet management by reducing the running costs of a 140-strong fleet by half a million pounds.

Helen Sleigh joined Swift Fire and Security in January 2009 and made it her first priority to undertake an audit of the company’s vehicles.

It was key to understanding what she was working with and how she could improve the fleet offering, while trying to reduce costs.

However, this wouldn’t only involve an analysis of the metal.

Sleigh recognised the importance of making face-to-face contact with her vehicle suppliers and all her other service providers, as she was determined no stone would be left unturned.

“It was about establishing relationships and making sure there were clear lines of communication,” she explains.

Twelve months later and a three-year, 90,000-mile solus deal has been struck with Vauxhall, placing more than 60 engineers in the Insignia Exclusive Ecoflex model and around 25 sales staff in the five-door saloon version.

It was a no-brainer for Sleigh.

“We had a look at the wholelife costs and decided Vauxhall was the best option for us,” she says.

“Previously, only the rental costs were being taken into account.

"However, we started looking at how many miles per gallon our vehicles could achieve, what tyres were being fitted and when, and what our service costs were.

“We didn’t know what a particular vehicle would end up costing us over the contract period, but when we started adding it up it was quite startling. That shaped our decision to switch from Ford to Vauxhall.”

By analysing the wholelife cost and basing the key decisions around the fleet accordingly, she will save the business half a million pounds over the next three years.

However, as she takes delivery of the new fleet she remains philosophical. “It’s just about getting the right vehicles at the right price, with the right support,” she explains.

What’s good news for the company is also beneficial to the environment. “In selecting our vehicles, our green credentials have been given a boost too,” she adds.

“The new fleet has lower emissions and can do more miles to the gallon, so we’ve reduced our carbon footprint as well.”

Sleigh says jobs after university with Cab Direct as a sales administrator and fleet sales at Lexus have helped with her fleet management role.

“It’s been a steep learning curve, but I think my experience working within different areas of the industry has helped me tremendously,” she says.

“In my fleet sales role at Lexus I was dealing with leasing companies, so I knew what they were looking for from dealers and understood how they operated, even down to the whole delivery process – it helped an awful lot.”

She also pays tribute to ACFO and the ICFM, with which she has completed the introductory certificate and is in the process of taking the certificate in car fleet management.

But Sleigh already has her sights set on her next challenge – reducing her fleet’s insurance costs. “I want to tackle our insurance costs and I feel that with driver training, or at the very least driver assessment, we can begin to do this,” she says.

“I believe it’s important to asses the drivers first to identify those who may benefit most from training.

“Clearly, cost is crucial but if it’s going to cut your accident rate that investment will be worthwhile.

"With any accident, it’s not just the expense of having the vehicle repaired, it’s the vehicle downtime, the lost staff time, plus the related administration, which is a lot of costs that can be bundled together and potentially saved.”

A newly installed tracking system from Masternaut goes live on May 1.

The technology has been driven by recognition of the commercial advantages it will bring to the business, but Sleigh also recognises the potential it offers for close analysis of fuel costs.

“It’s important we have a clear understanding of what is business and what is private mileage, because even just minor discrepancies can cost a company a lot of money over a period of time,” she explains.

“The system allows us to download data from our fuelcard provider Arval, which will give us an even clearer picture over fuel usage.

“But I also realise we have to reassure drivers and ensure they understand it hasn’t been installed to keep a close eye on them – it’s simply there as an additional business tool.”

Sleigh has built the success of her first year on a simple understanding that fleet is a major cost for any company. “Behind payroll I can’t think of any cost that would be higher than fleet,” she says.

“That means there’s an awful lot of metal in the car park and it needs to be looked after.”

Simple steps to ease defleet pain

Having just defleeted a further 30 cars, Helen Sleigh has not forgotten one of the first bills to land on her desk.

“I had only just joined the company and one of the first bills I had to deal with was a defleet bill which was somewhere in the region of £2,500 for a Ford Focus,” she says.

“It highlighted to me the fact that it was one area where we could immediately save money.”

Most inspectors work to the BVRLA’s fair wear and tear guidelines, which provide an industry-wide accepted standard as to what constitutes fair wear and tear for leased vehicles at the end of their contract.

“What we do now is have the regional managers inspect the cars and if there’s any damage they’ll take a picture and email it to me,” she says.

“That means I can then prepare for any repairs that may need to be carried out.”

Leasing providers charge British companies tens of millions of pounds each year in penalty recharges. Although many recharges are for excessive mileage, the recharges can be for damage which can be easily rectified at a fraction of the cost.

For example, a small scuff on a bumper could result in a company being charged for a replacement, while it could be done for a lot less by a smart repair technician.

“I’ve decided to take a proactive approach,” says Sleigh. “I’m having vehicles repaired at a local bodyshop.

“The suppliers are happy with the fact that they’re getting the vehicles back in A1 condition – all the stickers are removed and any bumps and dents are repaired.

“And considering these are working vehicles, covering high mileages, I think the biggest penalty recharge we’ve had is £180. It’s clearly worth putting in the time and effort,” she concludes.

Company profile

Helen Sleigh’s 140-strong fleet helps keep Swift Fire & Security’s engineers and sales staff on the road around the clock.

The company has grown significantly over the past 28 years to become the largest independent fire and security service provider in the UK, with a national network of offices stretching from Glasgow to Portsmouth, offering a range of solutions to both the public and private sector.

It specialises in the design, supply, installation, maintenance and monitoring of fire detection and emergency lighting, fire-fighting equipment, fire suppression systems, intruder and related alarm systems, CCTV and remote monitoring, access control and door entry systems, gates and barriers, and key holding.

Dedicated account managers and engineers provide Swift’s customers with everything from an initial design assessment and installation through to ongoing service and maintenance.

Current clients include Marks & Spencer, Estée Lauder, One Stop (Tesco), Cheshire Police Authority, Lancashire County Council and Northumberland County Council.

For all the latest advice and information on fleet management, have a read of our fleet operations section.