Strategies for reducing your fleet mileage
There are several strategies available to help you start reducing unnecessary fleet mileage. Here are some of the most popular ways of reducing your fleet’s mileage: Telematics or vehicle tracking systems
In addition to providing accurate mileage data, tracking and telematics systems can help to reduce mileage. These systems allow vehicle routes to be analysed, both in real time and retrospectively. Better route scheduling also helps to reduce fuel use and improve work flow. Fitting a tracking system will also reduce any unauthorised private use of company vehicles. Removing the ‘perks’ associated with driving
Mileage reimbursement rates can often act as an incentive to drivers. If your company is using mileage rates above HMRC’s Advisory Fuel Rates (AFRs) for company cars, or Approved Mileage Allowance Payments (AMAP) for your grey fleet, your drivers may be benefitting financially by covering additional miles. Always ensure that your drivers are not making any profit out of their mileage. Route planning
Van drivers who take their vehicles home can help to save time and mileage at the end of each working day. For example, if their last drop-off point is nearer to their home than the depot, they can take the van home and then drive into work the following morning. This is allowed under HMRC rules and drivers won’t be taxed for private use. The HMRC website or your accountant can give you for further information on this. Software with routing and scheduling modules can help to plan efficient routes for service and delivery vehicles and sales staff. Targets and monitoring
Targets are an effective means of managing your fleet. Mileage targets can be set with reports provided to managers and drivers to show progress. Reporting allows you to regularly monitor individual drivers. High mileage drivers should be a particular focus of attention. For example, personal targets could be part of the annual performance appraisal with achievement of targets contributing towards any annual bonus. Introduce driver behaviour monitoring. Harsh braking and excessive speeding can also contribute significantly to increased mileage and driver risk. League tables of high mileage drivers or departments should be published regularly, particularly in companies who operate grey fleets.
Fleetinsight can help your business to improve efficiency and reduce mileage costs. For more information, visit www.fleetinsight.co.uk
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