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Key Performance Indicators (KPIs) are an essential factor in managing a fleet business and the vehicles that run in it. KPIs can improve areas of your business if utilised correctly and can produce successful results for your company.
If you can’t measure key metrics in your operations, then how are you going to know where to improve in your business? All companies want to make their systems as efficient as possible to maximise the amount of profit being made. Without set KPIs in place, businesses will have nothing to compare to and won’t be able to identify what’s holding them back.
With key performance indicators, you can see what’s causing your business problems and work out a strategy to change it for the next month. Controlling and measuring KPIs will save you a lot of money, make the running of your business more efficient and allow you to tell your employees what to do to improve, with real statistics that need addressing.
Key performance indicators need to be representative of what your company’s goals and objectives are, so no two fleet companies KPIs need to be the same. It’s all dependent on what you want to achieve from your business and how willing you are to accomplish the goals you have set. However, there are some more generic and basic KPIs you can target yourself, which should set your business on the right path, especially if you want to cut costs and improve productivity.
This is a major KPI for the running of your business as it involves the wellbeing of your employees. To measure driver safety, you have to look at driver behaviour and what bad habits your employees are carrying out, including speeding, cutting corners and engine idling. The driver safety KPI makes sure employees and other drivers on the road are safe.
It’s important to know how productive your company is and how well your drivers are performing. There are a few things you can look at to measure productivity, including how long it takes your employees to complete jobs and how long drivers spend on site and on the road.
Fuel is one of the top expenses for a fleet business and can be harmful to the environment too. To measure fuel consumption, a company needs to look at miles per gallon and any negative driving habits that aren’t efficient. Measuring and improving fuel efficiency can cut costs for your company, improve profits and lessen your carbon footprint.
One of your major KPIs should be compliancy. Measuring preventative maintenance compliancy, like tracking the number of unplanned maintenance actions and unassigned mileage per vehicle, reduces the risk of downtime. This measured kind of metric helps improve customer service.
Fleet management software helps you monitor KPIs, so you can report on them at the end of every month. This allows you to set goals for the next period and improve on fields that will take your business to the next level.
I have been with Movolytics since the beginning of the company. My job is the customer experience leader which means that I get to speak to a wide range of customers ensuring that everyone has a smooth customer journey while also managing the top accounts. In my spare time I like going for a run, taking my dog out and a good bottomless brunch.