Oct 08, 2022
Is your own fleet management weighing you down? Find out here!
In today’s market of ever-growing competitions as well as functioning costs, there is barely any company up and running right now without an adequate fleet management system. Fleet management is basically managing and employing your company’s fleet to obtain optimum results. Every organization needs fleet management to be done properly in order to meet the goal of increased product safety, increased on-time deliveries, and customer satisfaction. And to cope up with today’s pace, opting for not just a fleet management system but one powered by intelligence with real-time alerts and data is the most rational decision.
Now, as we know, in every single running business involving distribution, fleet management is a dire necessity. Because proper fleet intelligence actively improves a company’s growth in production, customer service, operational cost and overall the company’s bottom line. But if your fleet management is failing to do any of the above, rather adding to the expenses, then your fleet might be weighing down your company. The signs of being weighed down by your fleet management are-
- High operational costs
- Excess fleet capital cost that does not justify current production or production forecasts
- Poor customer service
- Lack of flexibility
- Inability to grow
The well execution and quality planning of the fleet management is of the essence for every company to run smoothly. To elaborate on the signs of poor management:
- High operational cost: Running a booming business means increased order counts. And to run the productions smoothly and to deliver produced goods safely you need a fully functioning fleet with adequate planning to reach multiple stops. When the fleet management lacks discipline, you will be left with multiple deliveries with constrained time window. Which will lead to using multiple vehicles together, raising the operational costs, including FC (fixed cost per drop) and VC(variables cost per drop).
- Excess fleet capital cost: If you don’t have adequate fleet intelligence system, which can process data properly of your company, for example; the necessity of fleet according to your company production rate and proportion it will lead to buying unnecessary or inadequate vehicles, which means excess fleet capital cost without proper outcome. And also added costs in insurance, maintenance, registration and other miscellaneous things that can charge enough to make a dent in your limited profit.
- Poor customer service: The only thing that’s sacred to a company’s reputation is the customer service it provides. Improper fleet management will cause delayed deliveries which means poor customer service. And poor customer service can take a huge toll on your company in terms of reduced future orders.
- Lack of flexibility: This is the most noticeable and harmful hindrance for a growing business. If the fleet management is not done properly it will effect the flexibility of your company to carry out more deliveries in any given circumstance and will keep your company from reaching its bottom-line target.
- Inability to grow: A restrained fleet management will tie your company’s gains, plummeting your growth. If your company’s production is working around a fixed fleet structure rather than updating it to the company’s growth, it will never be able to proliferate. Hence, you will end the year without any developments.
Here, one of the most common attributes of poor fleet management is the lack of a system. In this digital age, you cannot reach your goal faster without the accuracy, instantly adaptable solutions and foolproof data analysis of a digitalised “Fleet Management Software” like Nuport.
Nuport’s fleet management software, being one of the best digitized solutions for your company’s fleet management problems, can build your business from the ground up, saving 15% in mileage costs and also a 30% raise in your order capacity. Furthermore, it saves almost 85% of your distributional planning time, which is of an astounding addition for any growing business. The services Nuport provides are:
ALL YOUR VEHICLES IN ONE SCREEN
- The lack of a unified and integrated view of all the vehicles was one of the biggest problems of distribution and logistics managers.
- Such visibility problems led to uncertainties in expected delivery times, and a lot of miscommunication ultimately resulting in a bad user experience and hurting the company.
IMPROVE DRIVER SAFETY
- Drivers are one of the biggest assets of a distribution company. A basic feature of fleet management is also to monitor driver performance and their safety.
- Monitor traffic violence and driver behavior to take precautionary and preventative measures via VTS data.
- Driver cameras allow monitoring and alerting long-haul drivers on any ‘drowsy’ behavior to prevent accidents.
- Traffic violations can add to fleet maintenance costs. The forward-facing cameras record common traffic violations such as tailgating and lane drifting and send auto alerts to the manager.
INCREASE FUEL EFFICIENCY
- Route management systems help find the shortest route to your destinations. They are also dynamic and automatically adjust to any destinations changes.
- This means the user is constantly taking the path of the lowest fuel consumption and thus CO2 emissions.
- Distribution companies in Bangladesh spend anywhere from BDT5 Lacs to BDT 20 Lacs a month on fuel expenses and a 30% reduction could make a significant impact on their balance sheets.
REDUCED DEPARTMENTAL WAGES
- With automation tools and alert engines, the number of people monitoring fleets can be drastically reduced.
- Instead of 4–5, page reports, insights and trends obtained from sophisticated software allows more time for decision making and less time for analysis.
- Less people means a lot less burn on wages for the transportation department.
All mentioned above can and will be ensured for your company just by switching to Nuport. Schedule for a demo today!
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