Case Study - YourFleet Limited
||Finance, Leasing and Vehicle Acquisition
||The Courtyard Church Street Leeds
|Fleet Size Overall:
|Private vehicles used for business purposes:
YourFleet is Britain’s 5th largest vehicle management and leasing broker. It is one of the largest independent brokers in the U.K and specialises in providing the very best rates in vehicle leasing, acquisition and fleet management to both retail and corporate customers nationwide. Through direct access to finance rates of all the major contract hire and leasing companies combined with long established relationships with manufacturers and franchised dealers covering all of the major brands, it offers highly competitive funding options on sourced vehicles. This is aimed at saving customers money and reducing the administration burden caused by sourcing vehicles. YourFleet has also developed a reputation for delivering innovative solutions tailored to meets its clients needs.
YourFleet employs 42 staff and is run from its head office in Leeds. The company is expanding rapidly and foresees an increasing need for more company vehicles.
YourFleet was founded in 2002 and provides its services to clients with a combined fleet total of over 7000 vehicles, most of which are on a 30 month turnaround. It receives almost 1200 enquiries about leasing and rental and arranges finance on approximately 330 new vehicles each month.
Although its clients range from retail to multinational companies, YourFleet has identified Small and Medium sized Entrepreneurs (SMEs) as its business target area. It believes that SMEs, operating 10 to 100 vehicles, are its future customer base. Its aim is to develop its leasing business and to introduce fleet management skills into this business target area. It is developing fleet management expertise within its customer base in partnership with its own in-house management team and the services of FleetCheck. FleetCheck is to provide the software processes to support fleet management at this level.
YourFleet supports the Driving for Better Business programme by promoting information on the management of work related road safety as part its fleet management programme for its customers.
Nature of Operation and Driving Activities
YourFleet’s current business priorities are:
- To develop new business.
- To focus on the customer.
- To provide ancillary services:
- Fleet Manager expertise.
- Accident Management.
- A bespoke service for customers with 10+ vehicles.
YourFleet has a total of 8 cars which are either run by the company or are personal cars used for business purposes. Business travel for company drivers covers the whole of the UK with the highest individual business mileage being 30,000 miles per year. All the 8 cars are on the company insurance.
The company has 2 distinct Driver Categories:
- Senior Management – Driving to meet Key Suppliers and Customers.
- Middle Management – Mainly Personal Driving - Perk Car / Occasional Customer Meetings.
The YourFleet Board is made up of 4 Directors. The Board runs the company and these directors are responsible for all the main departments of the business:
- Customer Services
- Marketing & I.T
All Vehicles are controlled by a Board Director and are run out of the head office.
Work related road safety policy and procedures
YourFleet is committed to safety on the road. The company’s policy is in accordance with HSE Driving at Work guidance.
A company risk assessment has been completed to identify how control measures to reduce driving related risk are to be implemented. On the basis of this risk assessment, individual drivers are each required to complete a risk assessment and are given guidance on reducing their risks and on safe journey planning.
What the guidance covers
- Current Legislation.
- The company’s policy on using an employee’s own vehicle for work.
- Vehicle Safety.
- Safe Journey Planning.
- What to do in an Accident and Accident Reporting
Work Related Road Safety Guidance For Drivers
YourFleet understands the value to the firm of managing their work related road safety effectively. It assists all its customers understand the importance of putting in place effective work related road safety policies appropriate to their business and helps them manage the risks associated with driving for work. The YourFleet in-house management team oversees all the fleet management process associated with their customers’ policies and the vehicles they use. It provides a mentoring system to ensure that its customers themselves understand their responsibilities for managing the risks associated with their drivers and journeys.
The software processes developed with its partner FleetCheck, provide all the management processes, checks and documentation to ensure legal compliance and effective financial management.
For YourFleet, each driver completes a risk assessment before they undertake business driving. Once this is completed, the specific risk for each individual is assessed. The driver’s details are then entered onto the YourFleet online fleet management system to log the results. Each company driver is then given the company driver handbook. The driver is instructed to strictly follow the procedures which cover the following;
- The reason and Use of the Handbook
- Management Information
- Vehicle Allocation
- Vehicle Specification
- Employee Contract of Employment
- Vehicle Conditions of Use
- Vehicle Insurance
- MOT Testing
- Road Fund Licence
- Licence Checking
- Convictions & Endorsements Reporting
- Post Crash Interviews
- Passenger Limitations
- Foreign Travel
- Task Information
- Driving Hours
- Car Hire
- Weather Conditions
- Breakdowns & Punctures
- Crash Procedure
- Theft of Vehicle
- Smoking & Driving
- Parking & Manoeuvring
- Seatbelts & Head Restraints
- Child Seats
- Pregnant Drivers
- Carriage of Goods
- Fire Extinguishers and their use
- Vehicle Information
- Correct Use of Vehicle
- Security and Contents
- Safety Kits
- Crash Packs
- Mileage Reporting
- Driver Information
- Driving Hours
- Use of the Highway Code
- Drivers’ Licence Requirements
- Eyesight Requirements
- Vehicle Condition
- Safety Checks
- Driver Fatigue
- Driver Use of Alcohol
- Driver Use of Drugs & Medicines
- Use of Mobile Telephones
- First Aid
- Driver Development Training
- Driver Code of Conduct
- Navigation Equipment
- Vehicle Operators Declaration
Specific Examples of Procedures
YourFleet enforces a comprehensive Licence Checking policy.
YourFleet checks drivers’ licences for all drivers permitted to operate vehicles on business use on an annual basis. High risk drivers and / or drivers with more than 3 penalty points have their licences checked quarterly. This policy covers both the primary user for any of the firm’s vehicles and any other authorised user.
All authorised vehicle operators submit their original licence (including the separate Counterpart Driving Licence in the case of the photo card type licence) to the YourFleet Fleet Administration branch for recording prior to any business driving. If an authorised operator’s licence is unavailable when requested due to loss or having been submitted to the DVLA the company will ask for permission to contact the DVLA to effect the required licence check. If an authorised vehicle operator is found to be unable to satisfy the driver licensing requirements for operating company vehicles due to the status of their driver’s licence, permission to drive a company vehicle will be immediately retracted and an investigation carried out.
Auditing and review
YourFleet requires all its drivers to complete a monthly vehicle safety check list and confirm they are managing their vehicle in accordance with the driver handbook. The vehicle information is uploaded onto the YourFleet online fleet management system which monitors all the vehicle and driver information. The system sends alerts to remind staff when information is required; action needs to be taken; and when certain procedures need to be followed. For instance, the system sends a reminder to the company’s drivers to book their vehicle in for servicing, 30 and 15 days prior to next service being due.
The YourFleet centralised system, combined with paper based recording from staff, allows a thorough audit trail of all fleet related and driver information. The online system allows instant reports to be generated on any aspect of the fleet as well as constant monitoring to ensure procedures are being followed. Updates on legislation changes are automatically provided through the online system and procedures updated and distributed to all drivers.
An annual review of Fleet Policy is undertaken by the YourFleet Board. The Director responsible for the firm’s safety policy guides this process.
YourFleet has had no vehicle accidents to date and is keen to maintain a highly rated safety record.
Financial and other benefits
No performance measures are currently in place. This is an area which will be looked at, with ideas to improve fuel efficiency and reward safe driving being developed.
As the YourFleet fleet is relatively small, the main cost to the business was in the time to set up and implement a comprehensive policy and fleet management process. However, the YourFleet Board were keen to ensure that its fleet management should be both legally compliant and as efficient as possible. As a small company, its resources, especially its staff, are a very precious commodity.
The running costs for the YourFleet fleet have been greatly reduced through the implementation of its online system. The planning to set up and run the system has provided clear management information, as well as the ability, to run its vehicles efficiently. The time now spent to administer the fleet has been reduced by over 60% with the new system.
Success in expanding its business has led YourFleet to understand the inherent risks in the fast growth of an organisation. Even in small fleets, expansion can quickly overwhelm existing management processes and rapidly increase the risks to the business. YourFleet learned the importance of developing a management process based on clearly understood and enforceable procedures. Its in-house fleet management system is the product of this experience.
Current and future developments
The company is likely to massively increase the number of company vehicles it runs. It is recognised that the company car is still one of the major perks an organisation can give to its employees. However, a major concern was the implication that to do this would create a heavy burden on the company in controlling its vehicles and drivers effectively. YourFleet expects to increase its vehicle fleet to at least 24 over the next 6 months and to 40 over the next 12 months.
As a result of its new management policies and processes, this can be done very efficiently and the perk given will not come with excessive administration, time and financial costs to the company.
YourFleet has always advised organisations how best to run their vehicles. It was very important from the outset that its own vehicles were run properly. In early 2007, tired of excessive paperwork and the difficulty of controlling vehicles through spreadsheets YourFleet searched to find a way of running its vehicles better.
YourFleet understood that the solution to its own internal problem would be applicable to its own customers, particularly the SMEs, who shared its problems. YourFleet identified that a system was needed for its fleet management which would:
- ensure tight control of vehicles.
- increase cost savings.
- ensure duty of care compliance.
- minimise the risks to the company.
The system had to cover a span from a fleet of just one car to a fleet of thousands. It needed to be very affordable and easy to use. The only commercially available systems that could meet some of the identified needs came with a high premium. As a result of its research, YourFleet embarked on designing and developing its own system in house. However, YourFleet was approached to distribute a new system which had already been developed over 2yrs in response to similar needs.
YourFleet has now set up in partnership with this software developer. The new system is used in house on its own fleet. To promote YourFleet’s services, it is also available on a cost neutral basis to its existing and new customers.
YourFleet is an Approved Intermediary Member of the British Vehicle Rental & Leasing Association and accredited with Investor in People.
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