expect either slight or significant
How to create a business fleet / step 1
>DRIVING
TODAY’S FLEET MARKET
fleets also cover an average annual
Strong business relationships are important to Kia. Our expert team and
distance of 23,014 miles.
specialist business centre staff are on hand to help, whether you are
The requirements of the business practicality and value are the overriding criteria for purchase. In small to medium size companies where there is driver choice there are some marked different requirements and identifiers. Like the job-need group, the typical turnover is still between
businesses it recently surveyed
Who’s who?
employees stands at 133 with a
company car sales have been
expecting to see slight or significant
SME fleets typically divide into two
fleet size of eight cars, and many of
growing for just over a year now
company car growth in the near
groups; those running job-need cars
these firms will also often have
as businesses start to increase their
future. To ensure this continues, the
and those where its drivers have
commercial vehicles.
recruitment as well as revert to a
additional budget for these vehicles
a level of choice about the type of
more typical replacement cycle.
needs to be wisely spent and the
vehicle and model that they opt
these, often younger, companies is
This makes it the perfect time to
fleet efficiently managed.
to drive.
still high at 71 per cent. Interestingly,
take a look at investing in and
86 per cent of these companies expect either slight or significant business growth
Sector research New research from Kia shows this
John Hargreaves Head of Fleet and Remarketing
David Williams National Business Sales Manager
Andrew Dunsdon National Leasing and Rental Manager
Robin Wandrag National Contract Hire Relationship Manager
Lorraine Mitchell Regional Business Sales Manager Scotland, Northern Ireland and North East
Ian Wilson Regional Business Sales Manager East
Steve Rushton Regional Business Sales Manager North
Sara Stanborough Regional Business Sales Manager South
£2-10m, but the average number of
ith the economy picking up,
running a successful business fleet.
looking to purchase your first business car or an entire fleet of vehicles.
also mean that reliability, comfort,
Confused by P11Ds and BIKs? Is CO2 more important than mpg? And who’s buying what in the SME fleet market? Follow Kia’s handy guide for all you need to know
W
HERE TO HELP
business growth. Drivers in these
The business growth outlook of
these firms frequently spend a far greater amount of time managing their fleets, possibly because of a greater mix of vehicles, than those companies running job-need fleets.
To help run a more effective fleet
Those businesses where the car
The priority of these businesses
economic expansion is likely to
and keep your drivers on track,
is a necessity of the job have an
in terms of their vehicles is more
continue, with the majority of the
Kia has produced this handy guide.
average of 106 employees, a
focused on the ease of ownership,
turnover of between £2-10m
including the latest in-car technology
and are often manufacturers or
and vehicle comfort. This is perhaps
consultancy operations. They run,
because the drivers cover even
on average, a ten car fleet, but also often operate some LCVs or trucks. Kia’s research reveals that these
higher distances with an average of 24,776 miles per year. What’s clear from Kia’s research is that both groups appreciate help
businesses have
running their vehicles, which is
a very positive
exactly what this guide to fleet
outlook and
management is designed to do.
86 per cent
So to find out how to improve your
of these
business transport, read on. n
companies
Adrian Freeman Regional Business Sales Manager West
Call 01932 283943 or email enquiries@kiabusinesscentre.co.uk to contact our team.
How to create a business fleet / step 1
Carbon neutral: Kia’s all-new Soul EV arrives in
How to create a business fleet / step 2
>A
the UK at the end of 2014
TAXING DECISION
Taxation is a key factor when buying a company car – here’s all you need to know to map the road ahead
T
he single biggest driver of
different percentages of their P11D
company car decision-making,
price – the list price of the car
and the most influential financial
including VAT and delivery charges
factor, is a car’s CO2 emissions.
but excluding first registration fee or
Measured in grams per kilometre,
road tax – depending on the CO2
travelling to appointments or pool
the figure is defined by a European
figure. At present, the lowest band
cars for employees to travel to a
test result before a car goes on sale
for conventional petrol or diesel
temporary workplace, are exempt,
– a driver’s company car taxation, an
vehicles is the 11 per cent group for
and it’s also worth bearing in mind
employer’s national insurance
those under 95 g/km emissions.
that National Insurance is also
contribution and the Vehicle Excise
The basic rule of BIK is that low
payable on so-called ‘free fuel’ given
The accountant will be very happy with a fleet of cars that are 95 g/km or under
Duty, or road tax, are all defined by
emissions and a lower P11D price are
that figure. Intrinsically linked to a
the best way to keep HMRC away
though still in the same 13 CO2-
income. For cars, this, like all the
car’s efficiency, it also gives a strong
from your pay packet, while of
based categories. All band A-D
other tax policies, is CO2 based, but
guide as to the fuel cost that both
course making sure the car is
Vehicle Excise Duty
vehicles, that’s everything up to 130
the decisions can have major
driver and company can expect to
appropriate for the job in hand.
Predictably, given the Government’s
g/km, are free for the first year, but
ramifications for companies that buy
taxation regime, Vehicle Excise Duty
the charges ramp up heavily from
their vehicles outright rather than
(VED) is also CO2 emission based.
there, to the point where 255 g/km
leasing them.
incur, compared to rival models.
to drivers for private mileage.
National Insurance
There are 13 bands lettered from
cars and above cost a whopping
Benefit-in-kind
While BIK taxation is the big deal for
A-M, with the lowest, sub-100 g/km
£1,090 for the first year VED.
Benefit-in-kind taxation (BIK) is the
drivers, for companies it’s National
cars, being exempt from VED
tax a driver pays for the privilege of
Insurance that should be a prime
payments, while the M band for cars
paper tax disc is being abolished
CO2 emissions is eligible for a 100 per
being given a company car. As an
focus but is sometimes forgotten.
over 255 g/km incurs an annual £500
from the beginning of October 2014,
cent first-year write-down
employee benefit, the company car
Fortunately the priorities dovetail
bill for road tax. This can be paid
so there will be no need to display it
allowance. That compares with 18
is taxed on an equation of vehicle
with benefit-in-kind, in that it’s
either annually or in six-month
after that date.
per cent per annum for cars of
cost and efficiency, so a cheap,
P11D price and CO2 emissions that
doses, the latter working out 10 per
low-emitting vehicle will minimise
define payments. Any car that is
cent more expensive over the year.
tax obligation, while an expensive
available for employee’s private use,
and inefficient one will leave the
be it a company car or a pool car, is
driver facing a large tax bill.
exposed to National Insurance. Only
The Government has the system set up in bands, so cars fall into
It’s also worth noting that the
When it comes to finding the right cars for your company fleet, Kia has made it easy. You’ll find a range of tools at kia.co.uk/fleet to help you compare the figures across the Kia range. Plus, with many years’ combined experience in the fleet market, our business team has the expertise to help you select the perfect models to match both your team’s requirements and budget. Across the range, Kia’s EcoDynamics technology has been developed to help max the miles and save up to 12 per cent fuel usage. In particular, one Kia model which has earned its eco credentials and so impressed What Car? magazine that it named it winner of its Ultra Low Carbon Award at launch, is the Rio. Speaking at the time, What Car?’s Editor-in-Chief, Chas Hallett, praised Kia for its ‘dramatic progress’ in launching cars with the ‘lowest average CO2 emissions’. As comfortable to drive in the city as on long distance journeys, the 1.1 CRDi ‘1’ 74hp ISG 5-door model delivers up to 88.3mpg with 85 g/km CO2 emissions. With a list price of just £11,995, this frugal yet stylish model wins the hearts and minds of fleet managers, finance directors and user chooser drivers alike.
Taking very low emission cars is a massively advantageous move, because anything under 96 g/km of
96-130 g/km, and just 8 per cent, per annum for cars over 130 g/km. Writing Down Allowance
So cars bought outright that are over
To encourage people into lower-
Companies are able to claim capital
130 g/km are something of a balance
emission cars, the Government has
allowance on equipment for business
sheet liability, while the accountant
vehicles that are solely for business
introduced a separate set of charges
use, enabling firms to write down
will be very happy with a fleet of
use, such as service engineers
for the first registration year,
the cost against their taxable
cars that are 95 g/km or under. n
The exception is the first tax disc.
RIO’S ECODYNAMIC DELIVERY
Call 01932 283943 or email enquiries@kiabusinesscentre.co.uk to test drive the Kia range.
How to create a business fleet / step 2
Top up time: A refuelling policy,
>FUEL
PRO_CEE’D WITH STYLE
driver training and tracking can
How to create a business fleet / step 3
help manage fuel costs
ECONOMY
Struggling to get a handle on the cost of fuelling your fleet? Here’s all you need to know to max the value of every last drop
or leasing the car itself, the
A
benefits, simply choosing the most
depending on engine size and
biggest cost associated with running
efficient car that’s suitable for the
the type of fuel used – petrol,
a company car is fuel. But it’s a
job can make a substantial difference
diesel or LPG. This is reviewed
manageable cost, and there are a
to fuel spend over the working life of
every three months to allow for
variety of tactics that can have a
a vehicle. Official fuel economy
fluctuating fuel prices, and is called
real impact on your outlay at the
figures of 70 or even 80mpg are now
the Advisory Fuel Rate. The latest
pumps. Without doing anything
available on hatchbacks perfectly
rates can be found at www.hmrc.
radical, you can improve your
capable of undertaking most
gov.uk/cars/advisory_fuel_current
company’s operational effectiveness.
company-related tasks, especially
Simple steps include a refuelling
those with high-mileage needs.
side from the outlay of acquiring
Aside from the various taxation
bands from 9p-24p per mile
For drivers who use their own vehicles for work, the Approved
A small incentive for those performing best can mean a big cost saving for a company
Mileage Allowance Payment (AMAP)
to give the vehicle mileage at point
payment is calculated in the same
up at motorway service stations,
plug-in electric technology that can
is the Government-advised rate of
of payment. Some companies have
way as the company car benefit-in-
instead planning to stop at cheaper
be beneficial to certain tasks,
reimbursement. Last revised in 2011,
taken to incentivising either fuel
kind, using the CO2 emissions figure
sites. Other tactics could include
especially urban-based usage. Lower
it allows drivers to reclaim 45p per
economy or even pump price, and a
to set a percentage of the £21,700
driver training, in-car tracking to
mileage users are likely to find the
mile from their employer for the
small reward for those performing
that employees will lose from their
monitor driver behaviour and speed
latest smaller capacity petrol
first 10,000 business miles per tax
best can mean a big cost saving for
pay packet.
limiters, as there is an exponential
engines make more sense as they’re
year, dropping to 25p per mile after
a company across its entire fleet,
rise in fuel use versus increased
cheaper than diesels to buy with a
that. See www.hmrc.gov.uk/rates/
depending on its size.
speed – a limiter set at 70mph or
fuel saving of around 8p per litre.
travel for the latest on AMAP rates.
policy to make sure drivers don’t fill
Then there’s the newer hybrid or
This means even a lower-rate tax payer with an efficient car will have to use a couple of thousand pounds worth of private fuel to make it pay.
lower can bring impressive results. Private fuel
The HMRC website has a calculator
Mileage payments
Recording mileage
Some companies still offer payment
that shows the exact payments
Building a greener fleet
There are two sets of figures
An old adage reigns supreme here
of employee’s private fuel as a
involved to help work out if private
Fortunately, Government policy is
attached to the amount a driver can
– if you can’t measure it then you
benefit, but this is something the
fuel is a benefit worth having.
quite useful on this one, as the
reclaim for company mileage,
can’t manage it. The best way of
Government has been trying to
current taxation-based drive by
depending on whether they are using
recording mileage is to use a fuel
discourage by ramping up the
worthwhile for individuals, and the
Whitehall to encourage companies to
their own vehicle or a company car.
card, which means you have a record
benefit-in-kind taxation.
Government plans to further
run lower-CO2 cars equates with
If you think that fuel efficiency comes at the expense of style, Kia’s pro_cee’d will defy your expectations. A striking mix of coupé-like styling, premium features and value mean that it’s a firm favourite with fleet managers and drivers alike. With a P11D value starting at £17,440 and a refined 1.6 litre diesel engines, with power ranging from 98 to 133 bhp, innovative weight-reducing measures ensure high fuel efficiency. On models equipped with Kia’s innovative EcoDynamics technology – which can improve fuel efficiency by up to 12 per cent – the pro_cee’d delivers up to 78.5mpg with emissions as low as 100 g/km for this attractive C-segment model. Along with its sleek shape, the pro_cee’d features stylish LED daytime running lights, cornering lights, striking bold rear lamps and, alloy wheels. Inside, the cabin has a wealth of creature comforts including Bluetooth® with voice recognition and music streaming, iPod, AUX and USB connectivity, a 6-speaker audio system, air conditioning, a tilt and telescopic steering wheel, plus, on select models, Kia’s Flex Steer system which offers three modes of steering – comfort, normal or sport.
For drivers provided with a
of every fill, giving both the price
HMRC sets out a value of private
In reality private fuel is rarely
disincentivise it in the future.
efficiency, as there’s a link between
company vehicle, HM Revenue and
paid per litre by the driver and the
fuel of £21,700 in the current
See www.hmrc.gov.uk/payerti/
emissions and fuel economy.
Customs sets out nine different
fuel economy, as they are required
2014-15 period. The employee’s tax
exb/a-z/c/cars-fuel-value
Call 01932 283943 or email enquiries@kiabusinesscentre.co.uk to test drive the Kia range.
How to create a business fleet / step 3
EURO NCAP’S TOUGH TEST WINNER
How to create a business fleet / step 4
When it comes to safety, Kia’s range of vehicles are equipped with the latest technologies to ensure all passengers ride securely and in comfort. In fact, seven Kia models have achieved a maximum 5-star Euro NCAP safety rating from Europe’s leading road safety organisation, Kia’s 7-seat Carens was one of only two compact MPV cars to earn a maximum 5-star safety rating last year. Achieving high scores for adult and child passenger safety, safety equipment and pedestrian protection, the Carens is perfect for carrying large loads for business, and the ideal size for an active family life after office hours. Standard safety equipment includes six airbags, seatbelt reminders for all occupants, Electronic Stability Control (ESC), Hill-start Assist Control (HAC) to prevent roll-back and Emergency Stop Signalling (ESS) which flashes the brake lights to alert other motorists when the driver is making an emergency stop. With a competitive P11D, sporty styling, clever design features and premium materials throughout, the Carens is an outstanding MPV choice.
>KEEPING
IT SAFE ON THE ROAD
Ensuring that your employees are safe when out on the job is more than common sense, it’s a legal requirement
T
he Corporate Manslaughter
The key thing from a company’s
and Corporate Homicide Act
perspective is that prosecutions will
2007 marked an important change
be of the firm itself, rather than
There are many risk management
to the management of work-related
individuals, though the directors,
experts in the marketplace that can
road safety. Coming into effect from
board members or other individuals
give more detailed advice on how to
6 April 2008, it enshrined the duty
can still be pursued separately under
ensure your company is safe from
of care that all employers have to
criminal or health and safety law.
prosecution, should the unthinkable
tyres and vehicle wear and tear on a regular basis.
their staff in terms of doing everything possible to ensure they can safely carry out their duties.
It it important to ensure that drivers are aware of their own obligations too
On the road From a driving perspective, the
Though there haven’t yet been any
happen, but doing the basics right
legislation covers a wide range of
driving-related prosecutions, several
with a clear policy, adhered to,
responsibilities, including whether
firms have been found guilty under
endorsed and enforced by senior
a vehicle provided is fit for purpose
the act, and hit by heavy fines and
management, is a good place to
and correctly maintained. In addition,
the corresponding bad publicity and
start. See www.hse.gov.uk/
it is the company’s duty to ensure
reputational damage that comes
corpmanslaughter/about for details.
the driver is licensed, insured and not
with a legal case.
under pressure to complete too
Simple processes that are well-
Final checks: Lights and tyres should be built into a regular driver maintenance checklist
If a worker is required to use their
occasionally be required to use their
own car for business, then they are
car for work, has led to some firms
subject to the same regulations as
switching to rental cars or pool cars.
those drivers given a company car.
A grey fleet is flexible and
many appointments, and therefore
documented and updated can
Grey fleet
So the business needs to know the
sometimes a necessary part of
drive too far or too fast.
prevent problems, with regular
Ironically, in many ways the biggest
vehicle in question is properly insured
business operation, but neglecting it
Companies can be found guilty of
checking of driver licences, vehicle
danger to a company’s risk
for business use over and above
in fleet policy and administration
corporate manslaughter, ‘As a result
maintenance, MOT and insurance
management strategy are vehicles
commuting, that it has been correctly
terms could leave a company wide
of serious management failures
documentation being the first steps.
not owned by the business at all.
serviced, has a current MOT and the
open to scrutiny and prosecution if
resulting in a gross breach of duty of
Additionally, it is important to ensure
Grey fleet is the term given to
driver has a valid driving licence.
something untoward occurs while
care’, according to the Health and
that drivers are aware of their own
employees who use their own
This level of administration,
a worker is travelling on a journey
Safety Executive.
obligations too, in terms of checking
vehicles for work business.
sometimes for drivers who may only
while doing their job. n
Call 01932 283943 or email enquiries@kiabusinesscentre.co.uk to test drive the Kia range.
How to create a business fleet / step 4
QUESTIONS TO ASK
How to create a business fleet / step 5
• Do you have enough capital or City slicker: Kia’s Picanto
>FLEET
FUNDING BUY OR LEASE?
offers a cost-effective and affordable urban vehicle
inance is one of the key areas
better off using that capital to help
to navigate when considering
grow your business. In which case,
a company fleet. Would you rather
leasing vehicles may be a better
invest your business capital up front
option as your company develops.
• Do you have the skills and experience to manage your vehicles and drivers? • Do you want to have a third party running your cars? • Do you want more or less long-term flexibility? • Would a big leasing firm’s
If you are still in growth phase, leasing might offer an easier way to establish your business fleet
F
finance available up front?
additional services help your business?
or stagger costs? In other words, do you want to buy or lease your cars? Unfortunately there isn’t a one-size-
Daily management
fits-all answer, however, there are a
Within the broad spectrum of
few simple questions that will guide
leasing, you would then have a host
you to the perfect solution. The main
of options. If you want a simple
two questions to ask yourself and
contract hire agreement where all
your business are; do you have the
you’re provided with is a vehicle,
firms come in. Often these are
capital to buy cars outright, and do
that’s fine, but you will also need to
attached to leasing companies,
you have the staffing resource to
consider how you’re going to insure
but there are dedicated fleet
manage a fleet?
those vehicles, how you’re going to
management businesses and it’s
service them, and what will you do
worth remembering that you can
if one breaks down or is off the road
use separate firms for your leasing
about the basics that you could
free fleet audit to match their
due to an accident?
and fleet management.
potentially need, before contacting
services against your requirements.
a few leasing firms. The criteria for
A handful of these will then give you
selection is obviously different for
two things. They will allow you to
Spend or save? At a very basic level, if you’ve got the
AN EASY SOLUTION
This is where fleet management
It’s at this point you need to
You can use separate firms for your leasing and fleet management
money and staff then at least you
consider your own skills and staffing.
know you could simply buy and run
You may have the resources to buy
Who to choose?
each company, but it could be helpful
see how they work and provide
the cars yourself. However, you still
cars, but what about running the
If you do choose to use a leasing
to ask your business contacts for
detailed information should you then
may not want to go down this path
cars and also the drivers?
company then you will need to work
their recommendations. Alternatively
wish to opt for a tender process – be
out precisely what it is that you
contact an organisation such as the
sure to ask for a shortlist of clients they’ve worked with.
for various reasons.
We’ll come on to managing drivers in a future installment of our guide,
want them to do for you against
British Vehicle and Rental Leasing
needs to be broken down further.
but even looking after a small fleet
how much it will cost.
Association for advice.
Even if you have the funds to go out
of vehicles can be a complex task if
and buy company cars, you may be
you don’t know what you’re doing.
Taking the finance side first, this
The easiest way to do this is first to read up (in guides such as this)
The best leasing and fleet management firms will conduct a
After that it’s a simple case of seeing which company offers what
Kia has partnered with one of the UK’s leading fleet management companies, ALD Automotive to create a unique fleet solution, Kia Contract Hire. With a range of highly cost-effective solutions, the 3-door 1.0 litre Picanto ‘1’ starts at just £99 per month when taken over 36-months and with an average 10,000 annual mileage. With Kia Contract Hire, you know exactly what you are paying every month for your car – the fixed low rental payments include Vehicle Excise Duty for the duration of the contract and there are no depreciation or vehicle disposal costs to worry about.
Call 01932 283943 or email enquiries@kiabusinesscentre.co.uk to test drive the Kia range.
you need at the best price. n
How to create a business fleet / step 5
How to create a business fleet / step 6
>MANAGEABLE
MAINTENANCE
Looking beyond the initial costs of investing in a fleet, how much will it cost to keep your cars road ready?
T
here is much more to the cost
when the car is sold on. Fuel,
shifting thanks to a combination of
of a vehicle than the simple
insurance and National Insurance are
considerations. Firstly, automotive
acquisition price or lease rate,
three areas that even the most basic
manufacturers have ploughed a lot
and this is where some clever fleet
of whole-life cost investigation
of investment into a new breed of
management and spending a bit of
needs to take into account. Other
low-capacity turbocharged engines,
time scrutinising the figures can pay
areas to consider, depending on how
so units offer the fuel economy of
dividends, because the cheapest cars
detailed an analysis is deemed
a smaller engine with the power of
to buy or lease may not be the ones
necessary and worthwhile, include
a larger one.
that work out cheaper overall. A car
the cost of finance to buy the vehicle
that’s a little more expensive at the
in the first place, service,
settled differential of at least 8p per
have a dedicated fleet manager and
introducing service charters,
front end but much more efficient
maintenance and repair costs.
litre cheaper for unleaded means
where the responsibility instead falls
packages and nationwide fixed-price
on procurement, finance or even HR
servicing aimed at improving the
specialists.
offering for companies and their
This, combined with the seemingly
will incur reduced penalties in terms of benefit-in-kind tax for the driver, and National Insurance, fuel use and Vehicle Excise Duty for the company.
Carbon neutral: Kia’s Soul EV arrives in the Quality control: Kia’s Nottingham Academy ensures UK at the end of 2014 its mechanics are trained to the highest standard
For lower mileage drivers, petrol rather than diesel is usually the intelligent choice
The basic rule that the most
The attitude seems to be a
drivers.
presumption that once a vehicle is
Collect and deliver services are also
on fleet, its costs are largely fixed.
becoming more commonplace, so the
efficient model is best is a good
that for lower mileage drivers, petrol
But with service, maintenance and
car can be looked after while the
place to start with running costs,
rather than diesel is usually the
repair in particular, that’s far from
driver is at work and returned before
intelligent choice.
the case. For starters, and despite
they are ready to head home.
although that has to be balanced
Pump decision
against the initial purchase price to
Choice of fuel was previously a
make sure the long-term benefits
foregone conclusion, because diesel
requirement to have new cars
consideration. If a main dealer can
outweigh the short-term gain.
is the most CO2 efficient option and
Maintenance costs
serviced at a franchised dealer,
turn a repair around a couple of days
common belief, there’s no
But downtime is also a major
the tax regime rewards CO2
There also seems to be an imbalance
as long as the independent specialist
quicker than an independent, or vice
efficiency, so the company car
between the attention paid to
is accredited to manufacturer
versa, then the cost compared with
Think long-term
market has gradually migrated
choosing and acquiring a car, and
standards and uses the same quality
the inconvenience of having that
Costs that need to be factored in
across to the black pump.
managing the so-called in-life costs
of replacement parts. And franchised
worker off the road needs to be
of that vehicle. That’s especially true
dealers seem to be waking up to the
factored in, especially if a hire car is
among smaller businesses that don’t
threat from independents, now
required in the intervening period. n
start with a vehicle’s residual value – the amount that will be retained
But, like many things in the fleet industry, that viewpoint is now
AS EASY AS CARE-3 To make your car maintenance simple, Kia has created Care-3, a costeffective way to manage the cost of servicing your fleet. Available on new models and cars purchased in the last 11 months, Care-3 offers a fixed cost package for three or five services to ensure that your fleet investment is looked after during its lifetime and can be incorporated to include the first MOT. Additionally, Care-3 is transferable to a new owner if you sell your Kia, enhancing the residual value of your cars. Visit kia.co.uk/care3 or contact your nearest Kia dealership for details.
Call 01932 283943 or email enquiries@kiabusinesscentre.co.uk to test drive the Kia range.
How to create a business fleet / step 6
Advanced skills: Your fleet drivers
How to create a business fleet / step 7
>EDUCATING
may benefit from a refresher course
DRIVERS
Cars sorted? Now it’s time to tackle the greatest variable in your fleet force, your team of drivers
S
o you’ve chosen your cars,
By the book
the fleet will also have to monitor
got the funding sorted out,
We’ve discussed legislation and
vehicle accident rates and then offer
you know how much tax you’re
risk management previously, but
help in the form of advice and
going to pay, you’ve worked out the
communicating on these vitally
training to those drivers that need it.
best way to fuel them, you’ve even
important areas is essential.
thought about the fleet’s safety and
All drivers should be given a copy
Positive support
environmental credentials, but now
of your company’s fleet handbook
The best communication policy is to
you have to let your staff behind
and asked to sign to confirm that
ensure that there is a supportive
the wheel. Unlike cars, people’s
they have read and understand it.
company culture that allows drivers
behaviour is not predictable and so
The best way to ensure that this is
to report vehicle damage without
they need far greater management.
achieved is to incentivise staff.
fear of recrimination.
This means it’s vital to get your
So, while no one really wants to
However, this should be monitored
communications spot on to ensure
wade through a hefty rule-book,
closely and acted upon as minor
your business fleet runs smoothly.
if you periodically run a quiz to see
damage is often a sign of poor driver
which of your drivers knows the
skill which could lead to a more
most and then offer a prize for the
significant accident in the future.
Let’s talk
winner, you can achieve a positive
Drivers should know that training,
Possibly the best thing to keep in
company culture.
both theoretical and practical, is
mind when communicating with
This technique can also be used to
there to help those with the worst
Drivers should know that training, both theoretical and practical, is there to help
company car drivers is that the car
ensure other messages are being
is either a perk or a tool for the job.
taken on board by drivers. For
In both instances, it is unlikely that
instance, some fleets offer a
on board comments from drivers
drivers will care for the vehicle as
temporary upgrade in vehicle for
about why accidents happen, as well
Clear policy
business, or communicating with
much as they would if it was their
drivers who obtain the best fuel
as the accident data itself. For
Beyond safety, fleet managers
your drivers on a daily basis just isn’t
own investment. This is just human
consumption, or purchase the lowest
instance, if drivers report that the
should also communicate why
practicable or cost-effective, there is
nature and numerous surveys have
average per litre fuel price. Being
office car park is difficult to navigate,
certain decisions are made. For
an alternative approach. Talk with
shown that damage to company cars
rewarded with driving the best car in
then perhaps either the site may
the fleet is often a tangible ‘perk’
need redesigning or special measures
instance if you’ve put a CO2 cap in
one of the many fleet management
always happens at a higher rate
place, explain why – it will cut tax
companies who are able to
than in privately-owned cars. This
among company drivers.
for drivers are needed in this area –
bills and help the environment. If you
implement and maintain a fleet
such as making everyone reverse
are busy with other areas of the
driver policy on your behalf. n
makes communication of your expectations even more important.
At the other end of the spectrum, the person responsible for managing
records, and be encouraged to use it.
THINGS TO REMEMBER • Cars are either perks or tools • Monitor driver damage and accident rates
Fleet managers should also take
• Offer driver training • Use incentives to increase compliance
into parking spaces.
How to create a business fleet / step 7