4 Fleet Management Errors that Waste Your Money

As a fleet manager, you will have to confront a plethora of challenges for managing the fleets efficiently.

However, certain dominant challenges include handling multiple responsibilities, managing budget constraints, accomplishing the business goals or strategies, meeting the deadline, and enhancing the bottom line.

Nevertheless, a scenario will certainly arise when you are not being able to supervise the employees, have absolute control over the vehicle fleets, unable to access the data in real-time, or impotent to take the right decision even after receiving the data.

If such situation emerges, it is wise to have a glimpse of the following areas that should be kept under control, otherwise it will reduce the profitability of your fleet business, and increase your overall expenses.

Let’s check out 4 fleet management errors that waste your money:

Flaw 1 – Engaging into the Unauthorized Purchases

Have you allotted cash to driver for fuel purchases?

Are you committing the purchases without the fuel cards?

At times, drivers will conduct unauthorised purchases if you do not possess an apparent fuel policy or fuel cards.

Unfortunately, the money spent for such purchases will be the money allotted for fuel purchases.

As a consequence, you will be trapped in debts. For avoiding such circumstances, you can establish a clear set of rules and regulations, promote and share them within your employees.

Flaw 2 – Continuous Maintenance Issues

Of course, you will confront a multitude of challenges in your routine fleet management task, hence you will fail to track the maintenance events for your fleets.

At times, it will be caused due to the wrong choice of vehicle tracking system and therefore, it is wise to replace them as early as possible.

For instance, it is wise to maintain an accurate record of servicing milestones. Meanwhile, this will enable you to save the money spend for fleet maintenance costs.

Flaw 3 – Usage of Vehicles for Domestic Purposes

If you are unaware of the vehicle’s location or don’t have a full-fledged policy regarding the usage of your vehicle, there will be chance for reducing the vehicle misutilization cases.

No doubt, drivers will utilize the company vehicles for their personal purposes or take extended rest hours, especially when they recognize the fact that they are not properly monitored.

By eliminating such possibilities, you will be able to augment the savings.

Flaw 4- Following inefficient routes

This is the fault often committed by a driver.

As a fleet manager, you will confront a plethora of challenges by following the inappropriate routes.

At times, you will incur losses due to unnecessary expenses such as increased fuel costs (choosing the route that consumes an enormous amount of fuel), maintenance costs (choosing the route that damage your vehicles), idling costs (by choosing the route with traffic congestion), etc.

Final Thoughts

All the above fleet management errors can waste your money, and negatively affect your profitability.

For preventing such situations, fleet managers should be able to monitor the vehicles constantly and implement relevant policies. Henceforth, you will be able to save money for your business.