Fleet Optimisation – Large Emergency Service Fleet Operation
Understanding Fleet Optimisation to Maximise Fleet Utilisation
The challenge:
- To provide significant fleet cost reduction (over 20%)
- To achieve this whilst ensuring core business operations were not compromised
- To ensure “buy-in” from senior operational managers
- To show how further potential fleet savings could be achieved by implementing best practice
Our solution:
- Implementation of iR3 telematics to provide analysis on vehicle utilisation
- To carry out a comprehensive fleet review working with the Transport team
- To assess potential areas of improvement both in terms of the core fleet operation and how the vehicles are used
- Working with the organisation to carry out a comprehensive “benefits realisation” process to ensure all the identified benefits were assessed and realised in a time frame agreed with key stakeholders
The outcome:
- Fleet reduction from 732 to 587 vehicles, saving over £1,536,337 in capital & revenue costs. Representing a cashable fleet saving of 20%
- The savings programme over the following 2 years suggested an additional £1,500,000 of cashable savings
- Providing accurate mileage to their fleet management system would enable them to schedule servicing more accurately which would lead to a reduction in unnecessary servicing and repairs. The identified savings in Service, Maintenance and Repair were estimated at £160,000
- A 22% reduction in accidents and associated costs, giving a cashable saving of £64,800 per annum and 480 additional vehicle days
- Fuel costs would reduce by £250,471 from reducing unnecessary mileage and analysing where fuel was purchased as well as managing driver behaviour. Reducing fuel consumption would also assist in reducing the fleet’s overall CO2
- Identifying underutilised fleet vehicles would lead to a 20% reduction in car hire, which equated to a £83,315 saving per annum
in fleet size reduction
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in accident’s reduction
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in hire car reduction
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