By Nathan Brooks, freelance writer.
From high fuel costs to various supply chain disruptions, fleet management comes with its own set of challenges. But thanks to modern technology, we now have access to solutions that didn’t exist before.
Without further ado, here’s what’s plaguing the industry these days and how to deal with it:
1) Suboptimal routes
Route planning is essential to ensure on-time delivery. In order to calculate the optimal path from point A to point B, several factors need to be considered including traffic congestion, heavy downpour, fog, etc. While in ideal circumstances a driver will take a certain route by default, it is always best to considering all options as circumstances change.
To choose the optimal route, you need to think quickly and adapt to the obstacles ahead. You can either delegate this task to a fleet manager or use automation software specifically designed for this purpose.
2) Rising costs
At the end of the day, you should be happy with your bottom line, and optimizing it remains a constant challenge given the ever-increasing cost of doing business. Value yourself too highly and you won’t be seen as a competitive choice in the market. Undercut yourself and you will leave money on the table.
The solution is to look at all facets of your operation and analyze where you stand. See if there are improvements in fuel economy, if you can reduce CO2 emissions, get a better insurance premium quote, and cut or somehow reduce other expenses. But before you can do that, it’s important to monitor and measure everything you can.
3) security challenges
Everyone’s safety should be one of your top priorities. Good driver management involves checking the validity of your staff’s driver’s licenses and ensuring that drivers do not behave recklessly on the road.
If you have identified reckless behavior, additional coaching may be required. Drivers should be instructed to adapt their driving style to environmental influences such as fog, rain, snow, etc. This should drastically reduce the number of accidents and help keep vehicles in good shape.
4) Supply chain disruptions
As if COVID-19 and its lockdowns weren’t enough, fleet drivers continue to face other supply chain disruptions such as material shortages and rising fuel prices. While these additional obstacles may seem unstoppable, there are certain things you can do, although some of these are out of your control for obvious reasons.
In recent years, AI-powered technology has continued to revolutionize the way we can detect and regulate inefficiencies. You can use the valuable insights to increase the efficiency of your entire fleet, reduce human error and increase the accuracy of fleet management.
5) fuel management
Fuel theft and fraud has always been a challenge in the fleet industry. Recently, with prices soaring, the problem seems to be getting worse. But before you can remedy this, you must first identify the bad actors. After this first step, further measures to optimize consumption can follow.
If you just keep this in mind, it’s possible to reduce it by more than a few percent. By carefully monitoring it, you can determine where it is occurring, and there are software solutions designed precisely for this purpose.
Certain challenges will always be a part of fleet management and some of them have become increasingly difficult in recent years. Even so, there are certain solutions you can use to at least minimize, if not eliminate, those under your direct control.