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5 things to keep in mind when selecting a vehicle

By intouch * posted 06-11-2017 15:47

  
Ashley Sowerby, Managing Director, Chevin Fleet Solutions

Of all your fleet management responsibilities, vehicle selection and allocation are likely to present one of the greatest conundrums, so it’s important to conduct thorough research.

Taking into consideration everything from practicality and safety to maintenance and employee satisfaction, you will be able to optimise the total cost of ownership (TCO) for each vehicle, streamline efficiency and get the most out of your investment.

To help guide you through this complex process, we have outlined the top five things to consider when selecting your fleet vehicles.

1. Use and operation

The use and operation of your vehicles should be the first consideration when it comes to vehicle selection.

iStock-648685038.jpgNo matter if you’re buying, financing or leasing your vehicles, be wary of discounts that fix you into rigid vehicle choice lists, as it may restrict you to options that don’t fit your operational purposes.

We recommend you first categorise the different types of job functions within your organisation that require a vehicle, detailing:
  • What the job entails
  • What sort of routes, roads and terrain will be driven on
  • When driving will take place, and how long for
  • What mileage will be covered
  • What equipment, tools or assets will be carried
Once you’ve documented your operational functions, you’ll need to turn your attention to vehicles specifications.

Remember: The larger the vehicle, the larger the cost of upkeep. By reducing unnecessary vehicle weight, you could make considerable savings on monthly outgoings, such as fuel, tyres and spare parts.

2. Specifications

Vehicle come in many different shapes and sizes, so you need to pair the operational needs with the correct specifications.

In some instances, your company’s vehicles are not only act as a means of transport, but also make the first impression when it comes to company image, so you should be mindful that each vehicle matches the employees job description.

It’s also a great idea to consider how vehicle selection can support corporate objectives and branding. For example, if your company is 'green', the fuel types should reflect this. If you sell luxury goods, a small, basic vehicle may negatively reflect your brand image.

Now you have your job functions listed, you can review what vehicle specifications will fit best.

For example, a technician needing to transport heavy tools and equipment may need a vehicle with a certain load weight, carrying capacity or sill height. Meanwhile you may wish to enforce a fuel economy restriction on the choice list for company car owners, to reduce your fuel bill.

The key specification items you should look at are:

  • Fuel type – they all have pros and cons, so you’ll need to take these into consideration
  • Transmission – do tour vehicles need to be manual, or automatic?
  • Body type – there’s lots to choose from, but some may not reflect your corporate image
  • Number of doors – will three doors be practical?
  • Emissions – does the vehicle match government legislation and/or company policy?
  • Engine size – make sure this reflects both job role and level of responsibility – don’t learn the hard way!
And the list goes on. 

3. User requests and additional extras 

If you allow your employees to select optional extras, be aware that some additions will enhance the resell values, while others don’t. For example, on premium cars leather seats will increase the resell value, but not on basic models. Meanwhile, the condition of alloy wheels can enhance or decrease your cars value.

If a company car is part of an employee benefit, allow for a degree of flexibility in additional extras as this can boost staff morale.

In short, the happier the team, the smoother your fleet runs! 

4. Safety

For most fleet managers, reducing accident costs is of high importance, so driver and vehicle safety should rank highly.

If that is true of your fleet operation, you should not only consider the safety rating of potential vehicles, but also investing in technologies that mitigate the potential risk. This might be automated braking; adaptive cruise control; parking cameras; telematics; and more.

A comprehensive cost-benefit analysis of such solutions can also lead to more informed choices, and might even be conducive to a faster return on investment.

5. Maintenance and upkeep

So, you’ve selected your vehicles and, all things considered, the final balance has now been paid, right?

Wrong.

Other hefty costs that come hand-in-hand with vehicle ownership present themselves in the form of fuel, tax, maintenance and repair work – so be sure to do your research into projected costs. When looking at the complete lifecycle, your vehicles will need:

  • Routine service checks
  • Spare parts
  • Manual labour
  • Warranty cover
And that’s not all!

Other issues that will undoubtedly impact vehicle replacement cycles include economic factors such as interest rates that affect financing costs; anticipated costs of new vehicles in later model years; and even the cost of used vehicles on the resale market.

Conclusion

Ultimately, every fleet operation is different and there is no one-size-fits-all solution. As a result, this list isn’t exhaustive, but it does cover the core components of a successful procurement strategy.

Conducting research will ensure that you get value from your fleet, both up-front and throughout a vehicle’s service life.

When it comes to procuring vehicles, knowledge is key.

About the author

Chevin_Fleet_033resized.jpgAshley Sowerby, Managing Director at Chevin Fleet Solutions, founded the Company in 1990 in a small town in the heart of Derbyshire, UK. At the age of 21, Sowerby was developing a simple fleet system for his then employer and, after the project was cancelled, he bought the rights to the software to start his own business venture. Sowerby has since taken his products to over 180 countries across the globe, and is used by some of the largest and most well-known organisations, to become the leading fleet management system on the market.

Company profile
Chevin Fleet Solutions is the leading global provider of dedicated fleet management software. Its multi-award winning software, FleetWave®, is a web-based system used by fleet operations across the globe, proven to help businesses measure and reduce costs, improve operational efficiency, reduce administrative burdens and ensure compliance and risk management requirements are met.
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