Facilities Company Makes Huge Savings Using Mobil-i GPS Vehicle Tracking
One of our clients, a Dublin based facilities management company, recently got in touch to ask if there was a report they could run that would show the hours and kilometres their vehicles were doing outside business hours.
We showed them how to use our overtime report which details the information that they needed. Now, this client has 50 vehicles in their fleet and having run the overtime report some very significant findings were made that can save them at least €60,000 this year alone.
The overtime report was run to see what vehicle usage there was between the hours of 6pm and 8am and at weekends. These drivers were only supposed to work 9am-5pm so this gave them some leeway.
The findings of the report were that in any given month the fleet was doing 50,000 km out of hours! This represents a significant cost to the business each month in fuel alone. If we assume that each vehicle achieves 14km/litre then 50,000 km means 3500 litres of fuel used a month.
3500 litres at €1.45 per litre = €5075 which equates to €60,000 a year.
When you also consider that these vehicles are on leases that have a specified mileage amount tied to each one, by cutting on average 12,000 km a year of mileage off each vehicle would also have a serious impact on the leasing costs of the vehicles.
In terms of Return on investment that this client has achieved on their tracking solution this one report alone has saved them over three times their annual investment in the system. For their fleet of 50 vehicles the system costs them less than €1500 a month or €18000 a year. Spending €18,000 to save €60,000 I’m sure you agree is well worth it.
So what can you learn from this?
First of all unless you are monitoring all of your vehicle usage you are leaving your business open to extra costs.
Secondly make sure that you are using all of the reports in your tracking system. Sometimes the reports that you are not using can contain a wealth of information that can lead to even greater savings.