The Importance of Asset Management in Overcoming Fleet Management Challenges

There are certain companies like utility companies, food distributors, transport agencies, shipping and delivery services, and many others that heavily rely on their vehicle fleet for their businesses. The largest business expense for these companies is costs associated with fleet. Hence, one can see that effective fleet management is important for such companies.

Nowadays, a lot of challenges are involved in fleet management, such as safety threats, driver abuse, driver shortage, etc. This is where a software called the Enterprise Asset Management can assist fleet managers in conquering these challenges.

If you are the owner of a business that has a heavy dependence on a vehicle fleet for business, read on to know more about the challenges faced in fleet management today and how enterprise asset management can help deal with them:

Challenges

Here is a list of challenges that fleet managers may face:

• Safety: If you have ill-maintained vehicles, they are definitely not safe for pedestrians, drivers, and other public. In the case where an accident occurs, it can cost you more than a vehicle’s cost.

• Driver Abuse: Fleet drivers can cause vehicle misuse or indulge in privilege abuse. If such a situation is not taken care of, then you will have to pay heavy costs of increased fuel consumption, wear and tear associated with vehicles, and a lot of other things. So, it is vital to know where your vehicles are and to track the location of your drivers at a particular point of time.

• Asset utilization: If you are not informed about your vehicle’s whereabouts, then you won’t be able to get the maximum utilisation out of them. This means that at the time when you are making insurance payments and paying your employees, your vehicles are not getting used as much as they should.

• Customer retention as well as satisfaction: In a case where your vehicles stop being on time, your customers will move on to other service providers. This is yet another fleet management challenge that your business needs to tackle.

The importance of enterprise asset management in tackling these challenges

To be completely aware of your assets’ performance, you need to track it from the beginning till the end. This means that you should be wary of important information related to your assets. For instance, you should know which vehicles are negatively affecting your resources, which departments are running at a smooth pace, what is the time when your asset requires service, replacement, etc. enterprise asset management helps in tracking exactly this significant information. It does so by assisting you in making specific inventories. Another way enterprise asset management is useful is that it tracks an asset’s service history that sheds more light on when you should service, retire, or replace it.

So, it is quite evident that for fleet management, an Enterprise Asset Management software is one of the best practices. It is a useful technology that helps in overcoming challenges involved in fleet management and helps businesses in many ways. To avail the full benefits, you can search for asset management services that offer enterprise asset management.