How well is your fleet performing? Understanding the metrics
There are two ways to review the performance of your fleet — using intuition (‘gut feeling’) or actual historical data. Managers who follow their ‘gut’ will often rely on their experience to make assumptions about fleet performance, and then base strategic decisions on these assumptions. But this can be dangerous, because they may overlook vital pieces of the fleet management puzzle. It’s difficult to make smart decisions when you don’t have the full story.
A fleet being managed by intuition can fall victim to the old business adage ‘extinct by instinct’.
While experience can provide good guidance, it is best combined with actual data to offer a foundation for making intelligent business decisions. How can you collect valuable performance data on your fleet when drivers work remotely or in isolation?
GPS fleet tracking is a common option for modern managers who want to be able to review how well their fleet is performing.
Why review fleet performance?
- Customers expect it — Your customers rightly expect a high standard of service. As your fleet grows, it is even more important to tightly manage fleet performance to maintain a reliable standard of service that your clients can depend on.
- High number of variables — There are many factors that can affect fleet performance. If you don’t have a comprehensive plan to review your fleet, you could easily overlook some critical pieces of the puzzle.
- Potential cost savings — A review can easily uncover potential cost savings that may have previously been hidden.
- Shareholders require it — If you’re a publicly listed company it is most likely part of your responsibility to your shareholders that you take all possible measures to run an efficient fleet.
What aspects of fleet performance can be reviewed?
There are many areas of fleet performance that can be monitored and reviewed.
Using Telogis® fleet management software you can review anything from driver safety and behavior to vehicle actions such as boom usage, start and stop times, or excessive idling.
- Fuel economy — Review expected and/or average mileage with actual MPGs to identify vehicles that are performing poorly. This information can be used to find vehicles that need servicing, or to make better decisions when it comes to purchasing new fleet vehicles.
- Service standards — Compare expected service delivery with actual start and stop times to identify jobs that are taking longer than expected. Are you undercharging for the job, or are there measures that can be taken to improve efficiency? You can also review on-time starts and on-time deliveries to make sure you are keeping your existing customers satisfied.
- Vehicle equipment is being used correctly — Some fleet vehicles have a pony motor to run auxiliary equipment such as a boom. If reports show the primary engine is being used instead, it could indicate the pony motor requires servicing or there is a need for driver training.
- Route monitoring — Are your vehicles taking the best route between jobs? Telogis Route™ not only offers route optimization for upcoming jobs, but also allows you to compare what was planned with what actually happened. This can highlight areas that require your attention to ensure optimized routes are followed wherever possible. Telogis Fleet™ can even show you an animated history trail of the actual route traveled by the vehicle to help isolate any problems.
- *Dangerous driving *— To achieve a high level of fleet safety you need to regularly monitor driver behavior. Telogis Fleet includes a handy driver scorecard that uses GPS tracking to monitor incidences of hard braking, hard accelerating, swerving or speeding, which can be used to review those drivers who may require some BTW training.
- How green are you? — Telogis Route can help you to see exactly how many miles your route optimization efforts are saving you. This translates directly into a reduction in greenhouse gas (GHG) emissions, and can be used to highlight to your customers and shareholders specific metrics that reflect your efforts to reduce your carbon footprint.
- Productivity — How even are your workloads? Are some vehicles doing the majority of the work while other vehicles sit idle? How much time do your operators spend on the job, compared with time spent driving between jobs? Telogis Route can help you review fleet utilization and workloads between operators, information that can be used for effective strategic decisions.
GPS fleet tracking can help you to combine your experience with hard historical data to effectively review fleet performance and make winning decisions that improve your overall profitability.