UK businesses are counting the costs of surging inflation, where anything and everything is up. Businesses are dealing with the dilemma of passing along costs to consumers and saving costs where they can as they worry about price impacts on sales. The UK is grappling with a multitude of challenges as inflation is at a 40-year high and promised soundbites from Westminster insisting forecasts in 2024 will be rosier.
In the meantime, businesses are revising key inputs in the production of goods and services and changing their business approach to keep their heads above water. Dealing with inflation is part of the parcel in business. At the current moment, the rise in inflation will be on the minds of many fleet managers as the financial squeeze continues for the foreseeable future.
The fleet industry operates in a highly competitive marketplace where efficiency is the key to meeting customer needs. Everyday, teams are looking at containing costs where they can and utilizing any tools that can cut the cost of wastage in operations to ultimately improve the business’ bottom line.
Challenges to Cutting the Cost
It is little surprise that cost pressures are on the lips of fleet managers across the country when discussing operational challenges and meeting KPIs. Everyday, fleet managers grapple with a series of challenges in their role as the primary contact concerning the company’s fleet and operations.
Fleet managers are responsible for planning, directing, managing, as well as coordinating programs for acquisition, assignment, utilisation, maintenance, repair, replacement and the disposal of fleet vehicles. With such a large amount of responsibilities, there is little wonder why fleet managers are constantly challenged with obstacles when carrying out their tasks.
According to Verizon Connect’s recent Fleet Technology Trends Report 2023, the most pressing challenges identified by fleet managers in the UK were fuel (70%), increased costs (67%), meeting customer demands and expectations (63%), labour costs (59%) and competitive pressure (56%).
Monitoring Resilience
UK businesses understand that economic resilience matters, and this is no less the case when it comes to fleet management operations. Across industries, technology is playing a vital role in how employees carry out tasks that keep driving profits forward.
Businesses are becoming even more aware of how technology can streamline tasks and meet objectives by cutting out mistakes and lessening the challenges – essentially banishing them to yesteryear as innovation continues to shape business targets.
The Three Ticks
GPS fleet management technology is one aid that can help managers all over the UK overcome daily fleet challenges. Our report shows confidence and adoption in GPS fleet tracking is growing across Europe, with an average of 71% adoption rate of the technology. The UK alone is driving the charge with 75% of fleets using GPS solutions as business continues to battle with a turbulent economic period.
The adoption rate of the technology is considerable here in the UK, and confidence in the technology is also sky high as GPS is trusted among the majority of fleet managers, with 79% of fleet managers in the UK saying they find GPS vehicle tracking ‘very’ or ‘extremely’ useful.
Not only is confidence in GPS very high, but results are coming through to validate the levels of confidence as the deployment results show that when tracking is in use, costs across the board are decreased. For example, fuel costs decreased by an average of 11% from GPS deployment. Our report also documented a decrease of 15% in accident costs and an overall reduction in labour costs of 14%.
In basic terms for the UK, both adoption in GPS services is up, and fleet management costs are down. Both qualitatively and quantitatively, the research shows GPS technology benefits the fleet industry and business for the better.
But Less About the Costs
GPS solutions get the most out of every day, improving the fleet performance, safety, and sustainability. Our report also shows that GPS fleet tracking solutions are helping businesses to address the most relevant challenges they face whilst working on each specific KPI to keep daily operations as efficient, resilient and competitive as possible. An incredible 77% of UK respondents said it helped improve routing, while 70% said it had helped them improve customer service. And it’s improved their carbon footprint too: some 63% said it had helped their fleet decrease fuel consumption, while 61% had reduced their Co2 emissions.
Under the Dashboard Benefits of GPS
Investment in new technology is paramount to improving operations. If technology aids the workforce in meeting industry targets, as well as driving efficiencies to save costs then it’s a no-brainer when it comes to saving costs and reducing emissions.
Ultimately, with so many fleet managers across the UK and Europe turning to the technology and seeing results, GPS fleet management technology is ticking all the boxes for investment.
The technology is only continuing to become more sophisticated, and will shape industry standards and business outcomes. To ensure your business isn’t left out; adopt, invest and meet your business targets by investing in GPS solutions.
Author: Derek Bryan, Vice President Sales EMEA / APAC / LATAM
