When business owners & fleet managers ask questions about how to lower fleet operating costs, RouteSavvy route planning software is the answer. Most fleet managers are well aware that route planning software streamlines operations & reduces miles driven…all great cost reducers.
DID YOU KNOW:
Route planning software tools like RouteSavvy yield some surprising & unexpected reductions in fleet operating costs.
The Number One Way RouteSavvy Reduces Fleet Operating Costs
The number one way that RouteSavvy helps lower fleet operating costs is by reducing the fleet fuel spend. Year after year, automotive industry researchers come to the same conclusion: fuel costs comprise 60% of a fleet operating budget. By reducing miles driven, RouteSavvy helps lower the highest expense associated with operating a fleet: fuel costs.
Unexpected Ways RouteSavvy Helps Lower Fleet Operating Costs
RouteSavvy’s biggest impact on a fleet operating budget is to lower the fuel spend. But there are many unexpected ways that RouteSavvy helps lower fleet operating costs overall. Here’s a look at some of them.
Less Frequent Tire Replacement
It stands to reason that, when you’re driving fewer miles to get the job done, your tires will last longer. Truck tires aren’t cheap. If you can defer purchasing a new set of tires until the next year by optmizing your routes, you’ve just saved between $800 and $1,000 for just one fleet vehicle.
Fewer Oil Changes
Oil changes are another fleet operating expense tied to mileage. When you reduce miles driven, it will take longer before you have to change the oil. These costs add up over time, especially when you have multiple vehicles in your fleet.
Less Fleet Vehicles May Be Needed
It’s also possible that when you drive more efficient routes to get the job done, you may need less vehicles in your fleet. Not only will the sale of a fleet vehicle add some money to the coffers, but you’ll reduce your overall maintenance costs such as oil changes because you have fewer vehicles to maintain. In addition, if you’re able to sell one of the fleet vehicles because you can accomplish deliveries, pick-ups, or service/sales calls with fewer vehicles, you also may command a higher price for the vehicle that’s sold because it’s got lower mileage.
Fewer Losses Related to Mileage Fraud
RouteSavvy clearly lists the mileage of each optimized route. When you’re paying contract drivers and reimbursing them for mileage, RouteSavvy helps minimize mileage reimbursement fraud. To learn more about this, read our expert article on how to reduce mileage fraud.
Fewer Losses Related To “Personal Use” Driving
Another way companies with fleets lose money is when a fleet driver uses the business vehicle for personal use. When a company loses a few dollars here and there, every day, it can add up to substantial losses. RouteSavvy helps reduce unauthorized “personal use” driving by employees, contract drivers, or volunteer drivers. Fleet managers can review mileage by vehicle and compare it with the mileage RouteSavvy lists for the route. This helps fleet managers identify drivers who are using the fleet vehicle to run personal errands… using the company’s fleet vehicle and gas.
Make Your Fleet Vehicles Last Longer
On a practical note, RouteSavvy’s efficient routing can literally help a fleet vehicle last longer. When you can defer the retirement / replacement of a fleet vehicle, those savings can really help a business or non-profit operating on tight margins.
When fleet managers implement route optimization software tools like RouteSavvy, they expect to lower fleet operating costs by reducing their annual fuel spend. But many don’t realize they’ll save significant dollars on other fleet operating expenses such as oil changes, tire replacement, vehicle replacement & more. Those incremental savings for each fleet vehicle can make a huge difference in the profitability and health of a company or non-profit.
Interested in learning more about how to lower fleet operating costs with RouteSavvy? Sign up for a free, one-on-one DEMO of RouteSavvy route planning software.
