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Prime Mover Magazine

Fuel reduction key for Australian fleets

Seventy-five per cent of Australian fleet businesses cite fuel reduction as their key priority, according to new report by ACA Research.

The report – commissioned by Fleetmatics, a software-as-a-service (SaaS) company owned by US corporation, Verizon – aimed at exploring the key challenges associated with managing fleets of five to 50 vehicles.

“Fuel and labour costs are the largest expenses for 69 per cent of businesses across the transport, construction and services and distribution industries,” ACA Research found.

Todd Ewing, Director of Product Management at Fleetmatics, responded by stating that “managing driver behaviour” was one way to keep these costs down.

“Fuel costs get out of hand very quickly if not monitored effectively,” he said, pointing to mobile workforce software as one possible solution to avoid issues like excessive idling.

“For businesses who are currently using the software, less than half of them experience the challenge of staff idling vehicles unnecessarily.

“However, 60 per cent of those who haven’t adopted the technology face the challenge of excessive idling, which wastes fuel.”

In addition, poor driver habits, such as speeding and harsh braking, are said to be an issue for 65 per cent of businesses who haven’t invested in mobile workforce software solutions.

Brendan Woods, President, Traffic Management Association of Australia, commented, “These findings indicate that fleet managers can achieve greater visibility through data in order to drive profitability.

“The correct use of vehicle tracking technology is key to doing just that. With the ability to make informed decisions based on driver and vehicle performance, fleet managers are well positioned to improve safety, reduce costs and drive their business to the next level of efficiency.”

215 companies took part in the online survey, with no breakdown provided as to the size and makes of the vehicles covered.

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