The Essential Guide for Fleet Management Cost Savings

Fuel Costs

Fuel expenses can account for over 60% of a company's operating budget. While keeping fuel expenses under control is always a top priority for fleet managers, it is especially crucial when fuel prices are high. Identifying driving habits that result in higher fuel spending and stepping up efforts to detect and combat fuel fraud and theft will contribute to lower fleet management costs.

You should consider how new technologies, such as Tourmo AI, can enhance your current fuel management processes if your fleet management solutions overwhelm you with manual reconciliations and evaluations of fuel-related data.

The Solution:

Using advanced AI-powered technology, like Tourmo AI, can dramatically improve your company’s existing fuel cost mitigation strategy.

Some of the top benefits of using Tourmo AI’s Fuel & CO2 solution to enhance fleet management cost savings include:

• Identify and eliminate potential fuel theft and fraud
• Up to 20% improvement in fuel efficiency
• Reduction in manual efforts to reconcile fuel transaction data
• Up to 40% reduction in effort on environmental reporting

Tourmo’s modern open-architecture platform can integrate seamlessly with your existing fleet management solutions. Tourmo AI can help you maximize the functionality and value of existing investments while avoiding the cost, disruption, and delay associated with additional changes.

Higher Insurance Premiums

Higher insurance premiums can account for a sizable portion of a company's overall fleet management costs. An increase in accident rates commonly brings on high insurance-related costs. Fleet management software can address the safety issues that lead to increased crash rates, resulting in better insurance rates.

When using traditional fleet management solutions, addressing underlying problems in real-time, such as reckless driving behavior, and implementing a necessary training program can be challenging. One of the most effective ways to reduce higher insurance premiums is to ensure that your current solutions produce fast changes in safe driving behavior across your fleet.

The Solution:

To reduce higher insurance premiums related to higher rates of accidents, you should ensure your current fleet management solutions can recognize risky driving behavior and act in real-time to address safety concerns.

Tourmo’s AI-powered Driving Behavior solution will improve the accuracy of your data and provide reliable, safe driving analysis. You'll feel more confident making choices that will lower costs, increase employee engagement, and lower accident risks with accurate data.

Also, a fleet-wide driver scoring program creates opportunities to positively recognize good driving behavior while creating competition amongst drivers and having them working to improve their own scoring. Driver scoring recognition programs also help improve driver retention, another critical area for all fleets.

The benefits of Tourmo AI’s Driving Behavior product include:

• Up to 25% fewer accidents
• Up to 10% reduction in insurance premiums
• Up to 20% reduction in fuel and maintenance costs
• Up to 50% increase in driver engagement and satisfaction
• Reduction in driver churn

Tourmo AI provides automated driver feedback while also providing fleet managers complete visibility into the process. Drivers are encouraged to improve their driving skills without manager intervention and to participate in gamification. When Tourmo identifies a pattern of unsafe driving behavior, it will request supervisor coaching.

Telematics Systems

The well-known benefits of telematics technology include increased fleet productivity, lower operating expenses, and assistance in modifying driver behavior. However, manual oversight and intervention are frequently required to review and identify patterns in these systems' fleet data. Fleet managers can be easily overwhelmed by manual tasks, such as telematics data analysis and taking corrective action.

In these situations, fleet managers might find that they cannot effectively manage their mobile workforce due to a lack of comprehensive visibility and ability to act consistently in real-time, which can result in higher costs and operational disruptions. We’ve listed a few well-known telematics systems and associated issues for further consideration:

• Motive (Formerly Keeptruckin): One of the largest providers of a complete fleet management solution, customers report that the system occasionally lacks the accuracy required to make critical fleet management decisions.
• Samsara: Another leading fleet telematics provider, this one offers managers a dashboard with a live vehicle map, a left-hand bar for tracking diagnostics, and video capabilities. Samsara's camera system, however, can make retrieving videos longer than 60 seconds at a time, and a hyperlapse mode that omits frames will make it challenging to spot safety incidents.
• Geotab: A mobile-ready telematics solution always enables access to recent fleet status data. While you can use this solution to track vehicles and drivers, users might find that to ensure accurate tracking, they need to be closely involved and pay close attention to their system.

The Solution:

Traditional telematics solutions can benefit from a sophisticated AI-powered solution like Tourmo, which can combine and correlate data from various fleet management systems, identify trends in big data, and take necessary action with the help of automation or facilitate action through automated workflows.

You can significantly improve your fleet operations' visibility, maintain tighter control over daily fleet operations, and spot issues early on before they pose substantial challenges to your day-to-day operations using Tourmo's Workforce Operations solution.

Our AI-powered platform's ability to process tasks and jobs automatically can relieve you of the burden of manual analysis and action. Tourmo will enable you to utilize your workforce more effectively, reduce manual labor costs, and improve customer satisfaction.