When looking to cut service, maintenance and repair (SMR) costs, the spotlight should be on driver behaviour as well as cost management.

And the best IT tools and data should be used to support this management process.

We often think of driver training as being about safety and duty of care.

But driver training should not be taken in isolation and should be regarded as part of the ongoing management and influencing process of drivers.

Educating drivers to be sympathetic and gentle with their vehicles will reduce SMR costs as well as improve fuel consumption.

Gentle vehicle use will reduce wear and tear on tyres and brakes in particular, although the longevity of other components will also improve.

Just as looking ahead on the road promotes gentle use, so, too, good planning of diaries, journeys and routes will reduce mileage and save SMR and fuel costs as well as depreciation.

It’s not just about planning ahead though. Drivers also have a duty to maintain their vehicles to the highest standards.

And that means checking all levels regularly, especially tyre pressures.

Tyres represent 35 to 40% of a maintenance budget – easily the largest cost item.

Driving around with under-inflated tyres is not only dangerous, but is also costing your company significantly in prematurely worn tyres.

Apart from spending time influencing your drivers, there are actions you can take directly as well.

Prepare a budget for each vehicle based on its planned mileage and retention period. Remember, if you can’t measure it, you cannot manage it!

Ensure you have adequate record keeping for maintenance histories, and a procedure for instructing garages to contact you for authorisation prior to working on the car.

In effect, introduce “pre-event control” to stop unnecessary work before it is carried out.

Check all invoices thoroughly. Are the labour hours correct? Does the labour rate seem reasonable? Does the amount of oil charged match the sump capacity? Is the price correct?

Is the correct specification of oil used? It could prove very costly if the incorrect oil is used consistently.

Ensure all warranty claims are pursued vigorously.

And failure of any component, which is not a wear and tear item, should be pursued as a claim through the dealer.

If this is not successful, or you think the percentage offered is too mean, then take it up directly with the manufacturer’s fleet service department.

Re-negotiate with all your suppliers, especially tyres and servicing garages. If they won’t budge on parts prices or labour rates, consider using an independent garage that is not franchised.

Generally, you will find that labour rates, as well as parts and oil prices, are significantly lower than main dealers, and you won’t prejudice the warranty by using them either.

Identify rogue drivers and cars and take action.

Establish why vehicles are significantly over budget. Are they running over mileage, and, if so, why? Is there high spend on wear and tear items such as tyres and brakes? Is this down to driver behaviour, or could it be a problem with one particular vehicle?
You need to identify whether you have a problem with component wear across all vehicles in a particular model range.

Then you can take the problem to the car manufacturer and ask for a financial contribution. If you believe consistently high costs are down to driver behaviour, you should take the matter up with the driver’s line manager.

Computer software and good quality data will assist with the downward management of costs considerably.

Satellite navigation systems can be used to assist drivers with journey planning and better time management.

There are several excellent software products to manage maintenance costs on a “pre-event” basis.

SMR forecasting tool

And Motorconsult’s SMR forecasting product, Maintbook, provides a tool to work out your own budgets with expert opinion on wear rates and fully researched costs on all 6,938 current cars and 3,930 current light commercials on the market today.

There is also an SMR Audit product offered by Motorconsult, which compares spend on your current fleet with budgeted Maintbook figures.

This will enable you to identify the rogue vehicles or drivers, as well as vehicles which are exceeding the planned mileage budget.

One thing is clear. The software tools are there.

And there is now a plethora of data to assist the fleet manager in knowing his costs and being able to take action when something goes wrong.

Remember: if you can’t measure it, you cannot manage it!

'Independents 20% cheaper than dealers' – Kwik-Fit

Recession-induced lengthening fleet replacement cycles save money at the front end, but mean fleets are spending more on replacement tyres, MoTs and general vehicle maintenance as vehicles move into their fourth year of operation and longer.

Independents like Kwik-Fit are seeing greater demand as fleets look for the most cost-effective solutions.

While the cost of a service is commensurate with model-type and mileage, Kwik-Fit Fleet estimates that the typical average cost at an independent is up to 20% less than at a franchise dealer.

However, for some vehicles, servicing costs can be up to 34% cheaper than at a franchise dealer.

Figures from Lex (now Lex Autolease) suggested that SMR costs on vehicles at three years old and with 60,000 miles on the clock, excluding tyre costs, could be up to £360 less (Toyota Avensis 2.0 T2 D-4D 126). And, in many cases, fleets were saving between £150 and £200 by opting for independents.

Mobile services are also in demand by fleets.

Kwik-Fit Mobile reports a 12% rise in tyre replacement and replacement work, which includes tyre safety checks, to the end of May 2009.

Initial tyre checks result in about 25% of vehicles inspected requiring attention, usually tyres being replaced because they are illegal.

Mike Wise, head of Kwik-Fit Fleet, says: “The continuing increase in the corporate focus on occupational road risk management means that there is rising demand from
businesses for tyre safety checks.

"In addition, more fleets are utilising our mobile offering because it maximises convenience and minimises vehicle downtime as our mobile technicians undertake work at the driver’s location of choice.”

Case study - Chuck Ives, head of Network Rail

“Safety is paramount which is why I have adopted a zero-tolerance approach to vehicle maintenance. We will not use poorly maintained or unsafe vehicles.

"Cars and vans can be expensive killing machines if not serviced and kept in the best condition.

“Our task is to eliminate risk through tight controls and effective management. That’s why we chose FSG to be our maintenance partner. By working closely with them we have developed a disciplined and managed process that reflects a genuine partnership.

“By adopting a zero tolerance maintenance attitude across our fleet of more than 8,500 vehicles we have achieved a 30% reduction in accidents and a significant drop in fleet costs.

“We constantly monitor data and information, which is why vehicle reliability is at an all-time high.

“As a result, maintenance costs have fallen dramatically as preventative maintenance
processes have taken effect.

“Driver culture has changed as a result. They know their vehicles are being monitored and acknowledge the need for regular maintenance.

“All vehicle fleets should adopt this common sense approach to vehicle maintenance.

“By choosing FSG we have satisfied that objective.”