Recent increases in gas prices over the past 6 – 12 months are taking its toll on the fleet management industry. According to a recent survey conducted by GE Capital Fleet Services, 29% of respondents said the recent surge in fuel prices is their number one concern, up 12 percent from one year ago. The other two major concerns for fleet management was driver safety and cost savings.
Concern for driver safety increased in 2011 to 28 percent from 21 percent in 2010, while cost savings fell as a priority but remained important at 23 percent, down from 36 percent in 2010. Cost savings are now a more important issue. Sixty-four percent of those surveyed indicated that executive management’s main focus for fleets is cost savings, up from 48 percent in 2010.
The Fleet Management Survey was conducted recently at the 2011 NAFA Institute & Expo in Charlotte, NC. One-hundred-five (105) fleet managers took place in the survey.
“Volatile fuel prices are an overriding concern today for corporate fleet managers, given the current environment,” said Clarence Nunn, chief executive officer of GE Capital Fleet Services. “We are seeing a corresponding increase in interest from our fleet customers for solutions in fuel, telematics, and maintenance programs that will help them combat rising fuel costs and improve operational efficiency.”
Other results from the The 2011 Fleet Management Survey include:
•Analytics is becoming more and more important. Over 29% of fleet managers use fleet analytics to improve operational efficiency, and 27% noted that analytics helped them achieve cost savings.
•Lease accounting—Between a third and half of fleet managers (40%) feel they don’t have a good enough grasp of how pending changes to lease accounting rules (Financial Accounting Standards Board) will affect fleet leasing.
•Electric vehicles—28% said they plan to incorporate electric vehicles into their fleets within the next 12 months.
About GE Capital Fleet Services: GE Capital Fleet Services provides commercial car and truck financing and integrated fleet management services that help you save time and money, while also reducing your fleet’s impact on the environment.
High gas prices can have a huge impact on your bottom line. A telematics-based GPS fleet tracking system can help you to immediately reduce your fuel expenses and become more efficient in delivering your product or service.