How can fleet management help save accommodations costs?
It’s not the first thing a fleet manager will think of when it comes to evaluating fleet management software, but it’s proving to be a valuable cost-saving feature for switched on managers.
So how does this feature work and how does it create significant savings for fleet owners?
The feature is built into Telogis Route, which works seamlessly with Telogis Fleet. Telogis Route assists fleet managers with the day-to-day planning and utilization of fleet resources, including both capacity planning and route optimization.
Reducing accommodations costs is just one of the many features in Telogis Route as it evaluates a large range of factors (see decision chart below). Lodging expenses can represent a significant cost for mobile businesses so it makes sense to look for ways to keep those costs down.
So it makes sense that there would be a way for fleet managers to plan lodging for their mobile staff based around optimizing costs, and this doesn’t just mean the cheapest motel they can find!
How accommodations optimization works
Before creating the routes for mobile workers who will be spending a night or three on the road, management can choose which motels, hotels or other type of accommodations are suitable.
This could be determined by a range of factors including:
- Loyalty schemes
- Corporate offers
- Accommodations features such as free WIFI or conference rooms
Having entered the accommodations options on the map, you’re ready to run the route optimization feature to determine the most cost-efficient lodging (based on the selection you entered) for staff staying overnight on business.
Using the information entered, Telogis Route calculates the most cost-effective place to lodge, based on how many extra miles it takes to drive there, the time involved and the actual room rate.
It then recommends lodging that is most cost-effective but fits the criteria and doesn’t require your staff to put up with motel rooms that feature bed bugs and paper-thin walls in an effort to save a few dollars.
Accommodations optimization savings add up
Optimizing accommodations costs is just one more way that Telogis Route trims costs for mobile workforces, and the savings are significant since all areas of the business undergo a degree of optimization. Even if the savings on one aspect of the business, such as accommodations, were only a few dollars per night, when you multiply that by the number of nights your mobile workers require lodging, and the number of traveling staff you employ, it’s not hard to see how a feature like this could be a potential goldmine for your business.
So it pays to pause and consider how much you could be saving by optimizing your lodging costs, and remember the sooner you optimize your fleet, the sooner you’ll start saving. And in a difficult economy, savings are often a lifeline for mobile businesses, allowing them to remain profitable while also preparing them for future growth when the outlook improves.
Learn more about Telogis Plan and how it can help you reduce costs and stay productive.