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What are The 7 Best Fleet Asset Management Practices?

12 April 2020

What are The 7 Best Fleet Asset Management Practices?

The process of fleet management is used by most business owners today to maintain the vehicles that are being used in daily operations. Effective management of the fleet is extremely crucial for that purpose. After all, the cost of the fleet is directly or indirectly related to the expense of their business. Fleet asset management not only helps companies to maintain their fleet administratively but also helps in enhancing the efficiency of the vehicle fleet, reduce extra or unnecessary costs, and provide adherence to the rules as per the government. Apart from this, it also makes financing and leasing much easier. Truth be told, the list of advantages of fleet management is a long one - right from the tracking of the vehicles to recording of mechanical diagnostics, it helps businesses to operate efficiently. Today, with the availability of asset management services, it has no doubt become easier for businesses to manage their fleet. However, there are a few good practices that fleet managers must follow: -

⦁ Choosing the Right Type of Vehicle

One of the most important factors is to select the right vehicle for your business, which depends on the industry that your business operates in. For example, if you have an e-commerce business, you will need a vehicle fleet that mainly consists of vans or mini trucks to deliver the parcel from your warehouse to the customer. In addition to this, choosing procuring equipment that can meet all the operational requirements must be at the top of your checklist.

⦁ Have a Plan of Action

Doing things without proper planning is ill-advised. Make sure to implement a fleet asset management plan as it will not only help in productive operation but also open a way of communication between you and the key stakeholders of your business. Having targeted analyses can help in leading up to an accurate and realistic performance goal.

⦁ Go Digital

With digitization taking over the world, it is time for your business to go digital too. What’s being said here is that there are a lot of businesses that still rely on manual recordkeeping. First of all, it is time-consuming and secondly, if you lose even a single page of the document - you will be in trouble! So save your business from that hassle and start documenting everything digitally. Right from the invoices, work orders to the receipts and other documents of the fleet; store them online and of course, have a back-up too.

⦁ Be Accessible & Prepared

As the one in charge of the management of the fleet vehicles, you must be readily accessible. Your experience and expertise will help in addressing any issue that the client or internal department of your businesses has. Be prepared and available to address such queries so that your business doesn’t hit a roadblock.

⦁ Connect with the Drivers

Keeping a check on the concern of your drivers may seem like something that the Human Resources department should worry about, but it is equally your responsibility. Regardless, make sure that you share a good rapport with your drivers. Encourage them to maintain the fleet, follow protocols, and help them enhance their skills if required.

⦁ Spend Wisely

Another thing that fleet managers should keep in mind is to not spend unnecessarily. Knowing how to minimize the usage of capital is very important for effective fleet asset management. Keep a check on where and how the capital is being used; taxes, financing rates, lease, and incentives must be taken into consideration.

⦁ Asset Management Software

Lastly, as many companies are offering comprehensive asset management services, consider opting for the best one out of the lot. Their advance use of technology will help you effectively make fact-based decisions and increase overall operational efficiency.

By diligently following these 7 best practices for fleet management, you’ll be able to steer your business onto the path of effective growth that it deserves.

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