A down market provides a great opportunity to review your fleet and asset processes, taking the time to bring in a professional to conduct an audit to possibly re-engineer the way you have operated your fleet and assets in the past.
No matter the industry, or the size of the fleet and asset base, owners, fleet and asset managers can always improve methods and techniques to optimize the return on capital employed (ROCE). Fleet and asset managers are often being pulled in a number of different directions throughout the day;it could be, increasing customer demands, maintenance issues to deal with, utilization and expense metrics to measure and refine. “Phew! So much to do in so little time!”
According to Aberdeen’s 2014 report on fleet and asset management, 67% of organizations interviewed reported that the biggest pressure they face is the ability to connect to assets and resources in real time and the need to improve productivity and efficiency of the fleet and assets.
For fleet owners, fleet and asset managers being more efficient and productive with the limited amount of time in a day can be imperative, in an attempt to boost customer satisfaction and grow the business. It can be a true balancing act of shifting priorities, and one way to manage is by embracing, choosing and implanting the right technology solution. Top performers continuously invest into integrated systems and workforce/ workflow dynamic optimization solutions.
With WTI (West Texas Intermediate) currently hovering around $30/bbl., optimizing and maximizing fleet assets becomes even more important. You may be sitting back and saying to yourself, “I don’t need to optimize or maximize my fleet assets, as my fleet is sitting idle in my yard and I can see in real time what the utilization is by looking out my window”. That may be true at the moment, but it will be short lived.
SOLVING TODAY’S TOUGH FLEET & ASSET MANAGEMENT CHALLENGES
An integrated telematics, RFID and analytics platform can help you compress costs and deliver efficiency to your organization and your clients.
Continuously monitoring a vehicle’s location and engine status provides detailed fleet management information over specific periods of time. This data includes:
- Timely and accurate vehicle usage data, including trends for trips taken, days utilized, and average and peak use and associated cost implications measuring inefficiency;
- Miles driven and engine hours for each vehicle and associated cost implications measuring inefficiency;
- Customizable features that can track vehicle usage by the project site, location, department, or specific segments of your fleet and cost implications measuring inefficiency;
This in-depth data set enables both fleet and asset managers to make more informed decisions regarding the fleet size and vehicle utilization. For example, by tracking vehicle usage on a daily, weekly, or monthly basis, managers can identify which vehicles are under or over-utilized. Non-essential fleet assets can be repurposed in other areas or departments, helping achieve leaner fleet size. Operation of over-utilized vehicles can be scaled back to reduce wear and tear.
Unfortunately, many companies’ experience an inability to manage fleet utilization metrics and the associated cost implications. They don’t know whether their equipment is out in the field (and if so where), in transit, or undergoing maintenance. This inability to quickly check the status of every vehicle in the fleet leads many companies to buy or rent more assets than they actually need.
Not having visibility into the real time status of your assets and equipment can be extremely costly. Resulting in companies assuming the assets in their fleet are all maxed out, so they make the mistake of buying or renting fleet assets or equipment to fulfill demand – only to learn after the fact that some of their assets were sitting idle and waiting to be sent off to the next job.
Under-utilization of assets can be deadly for service companies because there are huge cost implications associated with it. It erodes margins, and it often creates a stressful environment to operate in. This is where Storm’s fleet performance analytics solution can help! Our complete suite of fleet efficiency management tools provides organizations an immediate return on investment.