The Agile Fleet

Insights, ideas, & expertise for optimal fleet management

Why sharing vehicles is good news (and how to communicate that to your stakeholders)

Posted by The Agile Fleet on February 20, 2018

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In a perfect world, you could get out a megaphone and announce to your drivers that everyone is going to start sharing vehicles and everyone will jump up and cheer. Unfortunately announcing the news that you are going to share – especially for those who are driving their own company vehicle - may not be such welcome news.

But the truth is that sharing vehicles is actually a very positive thing for drivers and for organizations as a whole. As long as the message emphasizes “what’s in it for them” from the beginning, your chances of success is highly increased.

What are some of the benefits of sharing? Your message will be different depending on your audience. Let’s address each group of stakeholders and identify “what’s in it for them.” There are dozens of benefits of sharing, especially when the process is automated with a fleet management information system (FMIS). Here are just a few to keep in mind when you are communicating the good news:

For Drivers

  • Better vehicles and less work. Drivers aren’t losing their vehicles when they share. More likely they actually gain access to more vehicles and more types of vehicles. Often, they are newer and are cleaned, fueled, and maintained by people other than themselves. What’s not to like about that story?
  • Access is easy. With an online reservation system, drivers can reserve vehicles online any time they need them. No need to worry that they won’t have access to a vehicle when they need it. Reserving a vehicle is a simple and familiar process that can be done online, from anywhere, at any time. FleetCommander even offers a Grab-and-Go feature to access vehicles on the spot.
  • Savings can fund other initiatives. The savings that can be had by sharing vehicles, eliminating underused vehicles, and other efficiencies, can result in tens of thousands of dollars in savings. These funds can potentially support things like the purchase of newer vehicles, staff training, or other important or sought-after organizational initiatives.

For Fleet Staff

  • Policies are enforced consistently. Using an online system to automatically communicate and enforce policies consistently will take the burden off fleet staff to do so, while at the same time making sure rules are followed. Many fleet policies significantly reduce costs and improve the safety of the fleet for everyone.
  • Automated processes. Functions such as managing reservations, dispatching and distributing keys, and conducting billing and reporting, can all be done in an automated way with the right FMIS. And, since utilization and trip data is all collected by the system, reports can be created and run in a fraction of the time normally spent. This time can be reallocated to other important duties.
  • Less work. Fewer vehicles means fewer vehicles to maintain and track. And, when many of the processes are automated via a FMIS, time is not wasted on manual processes. 

For Financial Decision Makers

  • Save tens of thousands of dollars! Reducing vehicles is the single most effective way of cutting fleet expenses for things like labor, maintenance, depreciation, parking etc. We estimate for every underutilized vehicle eliminated from your fleet, you can save between $3,500-$6,000 per year. Do the math, or ask the experts at Agile Fleet to help you. Reducing by only 5 vehicles can save an organization between $17,500 - $30,000 every year. Many of our customers have saved hundreds of thousands of dollars, or even more.
  • Cut mileage reimbursement. Many organizations spend tens to hundreds of thousands of dollars a year reimbursing employees for using their own cars for official business. Besides not necessarily representing your organization well, this can be an out-of-control, hidden cost because it doesn’t necessarily come out of the fleet budget. Sharing vehicles can drastically reduce this expense. Our customer, Scott County, MN tells us they save nearly $230,000 annually in mileage reimbursement. (Read more about Scott County here -->)
  • Get the data you need. An automated vehicle sharing system should be able to give you the data you need to right-size your fleet and analyze fleet expenses for things such as labor, fuel, maintenance, personal mileage reimbursements, and much more.
  • Enforce money-saving policies. Having, communicating, and enforcing policies on vehicle use reduces the cost of doing business with respect to liability, safety, and vehicle abuse. With an automated system, users are prompted to acknowledge they have read policies as they use the system, and policies can be updated and communicated to everyone during every stage of the reservation process.

Fleets managed by government entities, universities, utilities, social services organizations, and many other types of organizations are reducing costs by automating their fleet management. To learn more about how they are doing it, we invite you to download our case studies.

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Topics: Motor Pool Technology, Utilization, Fleet Metrics, Right-sizing

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