A company's grey fleet identifies the number of employees'personal vehicles been used for the business's business journeys. Fleet management involves assembling steps, procedures and policies to manage and regulate the usage of employees'vehicles for work related travels. fleet management
Most of the Companies that setup this type of fleet are those whose employees do not require to go on lots of business related trips. Grey fleet is viewed by most as a price saving alternative to buying or renting cars simply for the business's business related trips particularly when the mileage travelled by employees for business each month or year is extremely low. For many of these companies, here is the strategy to use however for some it isn't. There are several factors that should be considered before deciding to choose the grey fleet option instead of purchasing or leasing several cars for business related trips. If the grey fleet is properly setup and managed it can definitely cost the organization way less than other options.
Most folks are of the opinion that managing a gray fleet only costs an organization the mileage expense claims made by drivers for every single journey they make and that employers are not in charge of the employees when they are employing their private cars for business. They're huge misconceptions as the organization typically is not only in charge of the employees when they are employing their personal cars but typically have to place these employees'cars on the business's insurance and manage them like the organization owns them.
A gray fleet manager or management software may be necessary with respect to the size of the fleet. When it is a small-sized fleet, a fleet manager who'll be responsible for managing everything related to the fleet might be sufficient as typically good usage of Microsoft excel is sufficient for managing all grey fleet related data. Where in fact the fleet is really a large one, a fleet management software is likely to be required to manage most of data related to employees'vehicles. There are a few major factors that ought to be consider when deciding whether your company should setup this type of fleet.
First thing you need to take into account is how your company intends to manage the grey fleet, Policies have to be put set up to ensure the driver and the business's safety and compliance to road rules. This can be achieved by ensuring license checks, vision checks, driver risk assessment, online driver training, vehicle safety inspections, MOT checks and insurance checks are regularly carried on all drivers and their vehicles. gofleet com management tracking
Carry out research about what alternatives your company has asides setting up a gray fleet by comparing the fee, risks and benefits of setting up a gray fleet instead of purchasing, hiring or leasing vehicles solely for company use. Also there's a have to see if employees'vehicles are suited for the kind of journey that they may be utilized for.
Learn when there is an alternate way for your employee to close that deal or have that very important meeting without going on a small business trip. Discouraging needless business trips might help your company save some money. A lot of organizations now use video conferencing applications to have meetings making use of their business partners in place of travelling.
The company will have to consider Health and safety risks to its employees who're also the grey fleet drivers. Duty of care compliance rules which all fleet drivers will have to comply with must certanly be set up. Also the organization will have to be keeping track of and managing the CO2 emission of the vehicles within their grey fleet.
To conclude, grey fleet has its benefits if policies and rules have been in area for it to be properly managed. If your company is considering one, weigh your alternatives and if it seems to be the best one then choose it.