Leasing: Fleet decision-makers desperate for expertise
by David Brennan, managing director, LeasePlan UK
No fleet, whether five cars or 500, is satisfied with a product-based service any more.
Areas such as contract hire and accident management are still as important as ever, but what fleet decision-makers want to buy more than anything is expertise.
That is because the company car market isn’t simple.
Manufacturer terms and fuel costs affect what types of car organisations want, different funding options impact on the bottom line in different ways and, of course, vehicles and drivers have to be managed.
Then there is the vast array of complex taxation, grey fleet and legislative issues, all of which stem primarily from environmental and duty-of-care concerns.
Add commercial vehicles to the mix and it’s no surprise that organisations want leasing companies to accurately assess their needs.
A consultative approach enables clients to understand these factors and break them down into easily digestible chunks.
The aim is an optimised solution which comes from a well thought-out vehicle policy, a sensible approach to fleet management and a company car scheme that works.
The providers that hope to add real value over the next 10 years will have recognised this already and be able to bring together experts in all these areas.
Leasing firms should be able to offer authoritative guidance on broad issues such as environmental policy or reducing the number of drivers taking cash instead of a company car.
Fleets need gurus – experts who can take a holistic view of their fleet needs and advise accordingly.
A sophisticated fleet market demands a sophisticated approach.
Vehicle emissions: Rich rewards to be reaped by reducing emissions
by Francis Rottenburg, fleet specialist, Carbon Trust
Since 1984, CO2 emissions from industry have decreased by 18% while those from transport have increased by 47%.
Road transport now emits 25% of the UK’s total emissions.
Fleets looking to reduce emissions face a challenge, but those that adapt could reap rewards.
In the current climate, cost is a major factor and many companies can make savings simply by reducing emissions from transportation.
By providing driver training, fleet operators can often save more than 10% of their fuel costs.
Corporate responsibility is another key issue and, when price and operating performance are nearly the same, major logistics contracts are being won and lost on companies’ activities to reduce their environmental impact.
This just shows that low-carbon credentials can play a big part in business success.
Typically, companies should be addressing:
- Their offices’ and distribution centres’ energy consumption.
- Automatic measurement and data collection of all energy consumption.
- Considering the impact of load sharing with competitors.
- Evaluating and testing alternative vehicles.
- Demonstrating the use of an effective environmental management system with targets and results.
- Leading and influencing clients via website and business processes.
- Influencing suppliers through purchasing policies.
With the government rec-ently committing to an 80% CO2 emissions reduction by 2050, businesses must begin to adapt and act now.
Fleet management: Fleet managers’ decisions more pertinent than ever
by Steve Maltby, managing director, Paragon Fleet Solutions
From the big manufacturers to small independent dealerships every part of our sector has been touched by the economic downturn.
The consensus is that current trends will persist well into 2009, even 2010.
With margins as tight as they’ve ever been, pressure from the euro exchange rate and increasing demands from the supply chain for cost-effective solutions, now is the time that the industry’s suppliers need to do all they can to support the manufacturers and help keep fleets running efficiently.
As a result, the time critical decisions that fleet managers make in terms of in-fleet, vehicle management and defleet, are more pertinent than ever.
With decreasing budgets, two key areas are minimising vehicles’ in-life costs and maximising their resale values.
It’s vital for captive fleet management and refurbishment companies to work effectively and proactively to deliver an efficient, cost-effective service.
Proactive communication is critical, planning in-fleet and defleet to give the shortest possible processing times, ensuring costs are minimised, economies of scale realised and the quality of vehicles produced is attractive to the eventual market channel.
This can be achieved by using credible suppliers who work at scale, enabling them to maximise efficiencies.
Utilising this expertise and common sense through the supply chain means that fleet managers will be minimising processing and potentially eliminating some logistics costs.
By managing fleets carefully and sensibly, we can do our bit to maintain credibility and value in these difficult times.
Login to comment
Comments
No comments have been made yet.