How Are You Handling Your Fleet’s Fuel Costs?

gas pricesDid you know that fuel alone can represent 19% of a vehicle’s cost of ownership? We may not be able to control fuel prices but we, as fleet managers, can control our fleets’ fuel efficiency. Below are several different ways to assist in lowering those pesky rising costs:

  1. Utilize telematics data — The use of telematics can provide you with data that can be used to cut fuel costs and help you run an overall more efficient fleet.
  2. Keep drivers’ trained and aware of efficiencies — Keep your drivers informed, aware, and educated on fuel efficiency. They should be aware of the effects of idling, speeding, stopping short, and turning too fast. Oftentimes, these are things that most drivers would not think twice about, but over the long-term, they cost companies money.
  3. Take advantage of GPS systems – The shortest route is not always the most efficient. Even the most basic GPS systems nowadays offer up-to-date traffic updates, which can enable your drivers to take the least crowded route, which in turn means less time spent sitting in traffic and reduced idling time. This not only helps with the fuel cost but improves the overall efficiency of your fleet and business. You’ll also keep your clients satisfied by providing reliable transportation or delivery of products or services.
  4. Ensure fleet maintenance – It may seem small, but something liking checking tire pressure alone can shave up to 15% off of fuel costs. Stay on top of routine preventative maintenance including tune ups, oil changes, and replacing air filters. Another big contributor to fuel consumption is roof racks. By removing them, when not in use can reduce drag, potentially saving another 5% of fuel costs.
  5. Use fuel cards – Using fuel cards can provide fleets with access to many brands, which enable fleets to shop for the best prices, and it offer additional opportunities for data evaluation of fuel usage. Capital Lease Group offers a number of different options for fuel cards that can help reduce costs.

These are all great ways that fleet managers can help reduce overall fleet fuel costs, but as we know, it’s our drivers who are literally “in the driver’s seat” when it comes to minimizing fuel consumption.

**Create a culture of measurement and incentivize — While penalizing drivers is one way to try to reduce costs, positive reinforcement can often go a long way. For example, introducing an incentive program to drivers to reduce overall fuel costs can often be very fruitful. For drivers, internal recognition and offering gift cards or prizes for the most fuel-efficient drivers can go a long way. Driving behavior metrics should also be incorporated into performance reviews to help motivate drivers to change behavior to reduce fuel usage.

We’d love to hear about ways that you’re helping to reduce fuel costs. Please let us know! And, if you have any questions about how we can help you, please contact us.

Capital Lease Group is a leading fleet leasing provider in Massachusetts and beyond. We are committed to structuring a lease that will be designed to fit your business rather than having your business conform to the confines of a standard lease. We will invest the time to understand each customer’s individual needs while offering a full range of leasing services and products that will complement each customer’s goals. Our experienced staff of knowledgeable experts in sales, administration, and service will help you feel comfortable so that your main focus will be on your company’s vision while we handle all of your fleet requirements.