4 Ways to Cut Operating Costs for Your Light Commercial Fleet

Fleet managers are all too aware of the costs associated with managing assets. From unplanned maintenance events and emergency roadside service events to increased fuel prices, fleet managers must prepare for the unexpected in terms of operating costs. However, there are ways to manage your dollars more efficiently, allowing you to continue maintaining operations while supporting your business’s ROI.

In this blog, MICHELIN Connected Fleet breaks down the top ways to manage and reduce your operating costs so you can keep your fleet on the road and set your business up for success.

1. improve fuel efficiency

A leading cause of increased operating costs is the cost of fuel. Prices constantly fluctuate, making it difficult to accurately anticipate the cost of fuel and its impact on your fleet. However, improving your fleet’s fuel efficiency can have lasting effects, not only on your business but also on the safety, productivity and condition of your vehicles.

Supporting fuel efficiency starts with monitoring fuel intake. Are your drivers wasting fuel due to poor driving behaviors? Can you optimize routes so that your fleets drive shorter distances? Is your vehicle in need of a maintenance check to ensure damaged or worn parts aren’t affecting fuel consumption? These questions and more can be answered with connected fleet technology and fleet tracking solutions. You can track how much fuel is being consumed, when it is being used and what factors are causing increased consumption. Once armed with fuel data, you can analyze behaviors that lead to inefficiencies and develop strategies to improve fuel efficiency and reduce overall fuel consumption.

2. Encourage safe driving

Driving behaviors such as speeding, harsh braking and making sharp turns put your drivers, vehicles and others on the road at risk. From emergency roadside service events and collisions to unplanned maintenance needs and more, unsafe driving behaviors can lead to increased downtime, wasted resources and financial losses.

While not all incidents can be prevented, fleet leaders can take precautions by allotting time for driver training courses. Exposing your drivers to ongoing learning opportunities and training serves as a constant safety reminder and promotes safe driving practices.

Additionally, providing your team with connected fleet technology, such as GPS or vehicle tracking, can help monitor vehicle speed and driver behavior. You can then analyze data from these solutions to inform your drivers of their performance and make informed decisions to ensure continued safety for everyone on the road. With safety at the core of your fleet management strategy, your drivers are set up for success, your fleets continue moving forward and your business can cut down on unnecessary costs.

3. Adopt a proactive maintenance plan

Unplanned maintenance events are a leading cause of operational downtime. Operations are paused and resources are wasted, negatively affecting your bottom line. By incorporating proactive maintenance plans into your fleet management strategy, you proactively set aside the time needed for maintenance and repairs. Analyzing factors such as driver behavior, fuel consumption and routing, you can identify what may be causing damage or wear. Backed with this data, you can make informed and proactive maintenance decisions that will ultimately save your team operational time and money.

4. Rely on data

Making decisions without data-backed analysis and insights can be detrimental to your business. Luckily, data is the cornerstone of any connected fleet management strategy. Solutions like fleet tracking provide real-time data on vehicle location, driver behavior, fuel usage, equipment performance and more. With this data at your fingertips, you can identify patterns where your fleet is performing well and pinpoint areas for optimization. Managing your fleet with data-informed technology can support cost-efficient, reliable and productive operations, setting your business apart from the rest.

work with a trusted Fleet partner

Operating fleets with multiple vehicles can feel overwhelming, especially when you want to be mindful of your budget and productivity rates. Consider working with a connected fleet partner that offers a consultative approach to finding the best solutions tailored to your business needs. MICHELIN Connected Fleet does just that by understanding your pain points, devising a plan of action and analyzing your data to provide actionable business recommendations. From there, you can take the steps needed to improve fuel efficiency, support driver safety and reduce operational costs.

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Written by The MICHELIN Connected Fleet Team

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