Local authorities, under pressure due to Government spending cuts, can save up to 10% of their fleet fuel costs by using fleet management software to manage spend at both filling stations and their own fuel bunkers.
That’s the view from fleet software provider Mycompanyfleet which has received positive feedback from a number of public sector fleets to its proposals, including the use of exception reporting to highlight those drivers who are exceeding pre-agreed spending parameters or time limits.
The advice comes at a time of near record price levels at filling stations up and down the country. The average price of diesel has passed the £5 a gallon mark as UK pump prices reach levels never seen before at this time of year, putting the emphasis on controlling fuel costs and cutting business miles
At the same time, local authorities have been hit by Government plans to cut back public sector spending by 16% over a three year period, a move first announced by the Chancellor in the 2008 Pre-Budget Report.
“This is a very challenging time for public sector fleet managers as they face price increases at the pumps, allied to a spending squeeze. The answer is tighter fuel management which we maintain can trim up to 10% off fleet fuel bills,” said Andrew Leech, business manager at Mycompanyfleet, the automotive software division of NorthgateArinso.
By integrating latest generation software systems, such as Mycompanyfleet’s FleetAcumen system, with bunkered fuel systems and fuel cards, far greater control can be exerted over fuel spend, explained Andrew Leech.
Exception reporting can be used to highlight any exceptions to pre-set KPIs and performance parameters and can help public sector fleet managers identify when drivers are incurring fuel costs outside agreed working times.
“For example, it may be that the pre-set limit for refuse collection vehicles is that they fill up between Tuesday and Friday during the week. Any additional fuel that is purchased outside those times is immediately flagged up as an exception report directly to the fleet manager for investigation,” he said.
“A similar approach can be established for all public sectors fleet vehicles, be they essential user cars, school buses or commercial vehicles,” he added.
Mycompanyfleet also provides a fuel management module which identifies the most fuel-efficient cars and vans from all major motor manufacturers to help fleet managers select the right mix for the fleet.
Called ‘Fuel Optimiser’, it also produces fuel cost reports of existing models on the fleet to flag up the best and worst performers, showing which models and drivers are the most expensive for the company to operate.
These reports can then be sent directly to managers to allow them to take or suggest remedial action where necessary.
“The time to tackle the issue of rising fuel costs is now, before they get out of control, said Andrew Leech. “Our fuel management module empowers fleet managers to take decisions to help change the fuel cost profiles of their fleets. This is powerful information at a time when fleet managers need it most,” he added
