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The Art of Deduction – How to use Additional Support Services to Reduce Fleet Costs
When it comes to finding a suitable fleet funding and management service, most companies focus on their core requirement – with contract hire still remaining the most popular choice.
They then consider whether benefit can be derived from utilising any additional services such as short term rental, duty of care products, fuel cards and so on.
But how can you truly decipher which of these will give you a return on investment?
“All companies operate to strict budgets,” said Phil Elms, Sandicliffe Motor Contracts’ National Sales Manager, “so when looking at added value services the focus can be on cost. It can also be challenging to decipher whether you need them or not. The million dollar question being, ‘Will these services provide a return on investment and improve efficiencies in the longer term’?”
With every business being different this is not a case of ‘one hat fits all’. Which is why, at Sandicliffe Motor Contracts, we believe the evaluation process should begin by answering the following questions.
• Where is your largest area of unbudgeted expenditure?
• How often do non company vehicle drivers require a car or van for adhoc use?
• How much did vehicle accidents cost you last year?
• How much do you spend on fuel each month?
• Are you compliant with the current duty of care laws?
• What excess mileage charge are you facing on your fleet? (assuming it is leased)
• Looking at mileages, residual values and fuel cost, which is most suitable – petrol or diesel?
• How many unnecessary journeys are being made by your drivers?
• How carefully do you control vehicle choice and on what criteria are company vehicles selected?
• How many breakdowns did you have last year?
• What is your insurance excess?
• How much did you pay out in employee expense claims last year?
After identifying areas of potential financial or operational stress, we sit down with our clients to then look at potential solutions and the benefits each will provide.
“We never offer customers a list of products to choose from”, continued Phil Elms. “As a professional fleet solutions provider, it is in our interest to make sure our customers always enjoy the best advice, find a tailored solution for their fleet, and we are just as likely to tell them why they don’t need a service, because it has no value to them, as we are to advise implementing a new initiative that both parties have agreed will deliver a tangible return.”
For a free review of your fleet, please call Phil Elms on 01159 466 466 or email phil.elms@motorcontracts.co.uk
<< show all articles
The Art of Deduction – How to use Additional Support Services to Reduce Fleet Costs
When it comes to finding a suitable fleet funding and management service, most companies focus on their core requirement – with contract hire still remaining the most popular choice.
They then consider whether benefit can be derived from utilising any additional services such as short term rental, duty of care products, fuel cards and so on.
But how can you truly decipher which of these will give you a return on investment?
“All companies operate to strict budgets,” said Phil Elms, Sandicliffe Motor Contracts’ National Sales Manager, “so when looking at added value services the focus can be on cost. It can also be challenging to decipher whether you need them or not. The million dollar question being, ‘Will these services provide a return on investment and improve efficiencies in the longer term’?”
With every business being different this is not a case of ‘one hat fits all’. Which is why, at Sandicliffe Motor Contracts, we believe the evaluation process should begin by answering the following questions.
• Where is your largest area of unbudgeted expenditure?
• How often do non company vehicle drivers require a car or van for adhoc use?
• How much did vehicle accidents cost you last year?
• How much do you spend on fuel each month?
• Are you compliant with the current duty of care laws?
• What excess mileage charge are you facing on your fleet? (assuming it is leased)
• Looking at mileages, residual values and fuel cost, which is most suitable – petrol or diesel?
• How many unnecessary journeys are being made by your drivers?
• How carefully do you control vehicle choice and on what criteria are company vehicles selected?
• How many breakdowns did you have last year?
• What is your insurance excess?
• How much did you pay out in employee expense claims last year?
After identifying areas of potential financial or operational stress, we sit down with our clients to then look at potential solutions and the benefits each will provide.
“We never offer customers a list of products to choose from”, continued Phil Elms. “As a professional fleet solutions provider, it is in our interest to make sure our customers always enjoy the best advice, find a tailored solution for their fleet, and we are just as likely to tell them why they don’t need a service, because it has no value to them, as we are to advise implementing a new initiative that both parties have agreed will deliver a tangible return.”
For a free review of your fleet, please call Phil Elms on 01159 466 466 or email phil.elms@motorcontracts.co.uk