A company's grey fleet identifies the number of employees'personal vehicles been employed for their business journeys. Fleet management involves piecing together steps, procedures and policies to control and regulate the utilization of employees'vehicles for work related travels. vehicle tracking
The majority of the Companies that setup this kind of fleet are those whose employees do not want to be on lots of business related trips. Grey fleet is viewed by most as a cost saving alternative to buying or renting cars only for their business related trips particularly if the mileage travelled by employees for business every month or year is quite low. For some of these companies, this is actually the strategy to use but also for some it isn't. There are several factors that should be considered before deciding to select the grey fleet option instead of buying or leasing a couple of cars for business related trips. If the grey fleet is properly setup and managed it can actually cost the business way less than other options.
Most folks are of the opinion that managing a grey fleet only costs a business the mileage expense claims created by drivers for every journey they make and that employers are not responsible for the employees when they are employing their private cars for business. These are huge misconceptions as the business generally is not just responsible for the employees when they are employing their personal cars but generally have to place these employees'cars on their insurance and manage them like the business owns them.
A grey fleet manager or management software could be necessary with regards to the size of the fleet. If it is a small-sized fleet, a fleet manager who will lead to managing everything related to the fleet might be adequate as generally good usage of Microsoft excel will do for managing all grey fleet related data. Where in actuality the fleet is a large one, a fleet management software is likely to be required to control all data related to employees'vehicles. There are several major factors that ought to be consider when deciding whether your company should setup this kind of fleet.
Initial thing you will need to think about is how your company intends to control the grey fleet, Policies need to be put in place to ensure both driver and their 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.
Carry out research about what alternatives your company has asides establishing a grey fleet by comparing the cost, risks and advantages of establishing a grey fleet instead of buying, hiring or leasing vehicles solely for company use. Also there's a have to determine if employees'vehicles are fitted to the kind of journey that they will be utilized for.
Learn if you have an alternate way for your employee to close that deal or have that extremely important meeting without going on a company trip. Discouraging needless business trips can help your company save some money. Plenty of organizations now use video conferencing applications to own meetings with their business partners instead of travelling. vehicle tracking systems
The business should consider Health and safety risks to its employees who're also the grey fleet drivers. Duty of care compliance rules which all fleet drivers should comply with should be set up. Also the business should be monitoring and managing the CO2 emission of the vehicles in their grey fleet.
In summary, grey fleet has its benefits if policies and rules have been in place for it to be properly managed. If your company is considering one, weigh your options and if it appears to be the best one then select it.