Fleet News

Thinking 'outside the box' will bring savings

CUTTING business mileage and car travel during the less congested periods of the day are key factors for companies adopting 'socially responsible' vehicle management.

A report commissioned by GE Capital Fleet Services claims that businesses need to consider a wide range of pressures to ensure they adopt socially responsible attitudes. The 'boardroom briefing' written by Professor Peter Cooke, head of the Institute of Automotive Management Studies at Nottingham Business School, challenges company directors to question the amount of business miles covered by their employees.

Cooke says: 'The norm in many businesses is to claim that mileage cannot be reduced. However, a little thinking 'outside the box' can yield some amazing savings in even the best managed businesses.

'It may be a useful step for the board to challenge overall mileages and, as part of any cost reduction policies, to seek or even specify a reduction in business mileage. 'Because a key part of the social responsibility issue is to ensure that business car mileage is kept to a minimum, as much travelling as possible should be undertaken outside the most congested periods, but without impacting negatively on client relations or reducing efficiency.'

Cooke added that companies should also consider private mileage and if there were genuine reasons why employees should live 50 miles or more away from their place of work.

  • Copies of the report are available from Nicole Gerrey at GE Capital Fleet Services on 0870 444 7752 or via email nicole.gerrey@fleet.gecapital.com

    Business mileage minimisation checklist

  • Does the organisation have a policy regarding client/prospect contact that encourages or discourages face-to-face meetings and encourages a mix of face-to-face and remote contact to maximise staff effectiveness?
  • What is the corporate policy towards mileage minimisation and how does that manifest itself in departmental policies?
  • What steps are taken towards route planning and mileage minimisation, and how is mileage monitored?
  • How frequently are sales and service territories reviewed, and are sales territories planned along routes of communication to minimise travel?
  • Is there a policy to review high mileage business car use to see if it can be reduced or if territories can be redesigned?
  • Within areas where there are multiple facilities, does the organisation operate a scheduled transport service to minimise or actively discourage car use?
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