Why Proper Fleet Fuel Management Is Necessary

By Jaclyn Hurley

The transport sector has been going through a lot of developments and transformations aimed at making it better and more efficient. Some measures are carried out by the business persons for the benefit of the general users and majorly for their own advantage. Some people who have investments in the transport sector tend to have large investments mostly owning fleet of vehicles. Management of a fleet of vehicles requires a lot of care and one of the measures is through fleet fuel management.

It is also cheaper dealing with a large fleet of cars compared to managing just one. This is because the company enjoys economies of scale when it comes to fuel, repair and maintenance services. The company can adequately acquire more stock knowing that they will eventually find some use for the purchases.

However, for successful management of a large fleet of cars, the company must come up with a well-organized management structure. This therefore becomes more difficult with increase in numbers. The higher the number of cars that a company owns the more difficult it becomes to manage them.

It requires more coordination for more cars. It has to keep proper records of the cars, their daily requirements and activities. The management has to schedule for their insurance, servicing and above all their daily fueling. It is tricky to track the movement of each car. It is therefore close to impossible to determine the quantity of fuel needed by each vehicle.

There are several criteria that most companies use to manage their vehicles needs. However, it has never been easy to adequately manage fleet fueling. Most companies have adopted the use of fuel cards. This is where each car has a card which has to be filled and signed in full every time the car fueled. This system is quite easy to manage but it is prone to manipulations since the drivers agree with petrol servicemen to enter wrong and misleading entries.

Some companies have outsourced the service to external experts. This is where an external company takes up the responsibility of fueling the cars and monitoring their movements. They draw up the budget and ensure that it is followed. The owner company then pays the expert company after some period.

The benefits are not limited to the owner but also to the general public. This action also has its disadvantages but they are limited compared to the benefits. The major drawback is that it is an additional cost. Installing and running of the all project needs finances through compared to the risk involved, it is better to incur the cost once and for all.

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