Fleet Management Done Right - The 7-Power Contractor

Fleet Management Done Right


Would you drive your personal vehicle 100,000 miles and never do an oil change? Ignore the flashing red engine light on your dashboard hoping it will go away? Continue to drive it after you dropped the front wheel into a deep pothole at 70 mph?

Of course not!

You would take steps to maintain and fix the vehicle as soon as possible. That’s because you are the manager of your personal fleet of one, two, three (or more) vehicles and you know waiting will only end up costing you more in the end.

When it comes to the fleet for your contracting business, however, the consequences of not being proactive has yet another layer of risk and a huge financial impact. That’s because each one of your trucks is a rolling cash register and every time one of your trucks goes out of service, your ability to generate revenue for your business goes with it. To avoid this, you need someone acting as the Fleet Manager. Someone has to have the job to make sure those trucks not only stay on the road but also are utilized properly by the Technicians who are operating them.

You may think you are too small to have a Fleet Manager, or so big you need a full time Fleet Manager, and neither of those things is necessarily true. Your Install Manager or Warehouse Manager’s name might be in that box on your organizational chart. They just need to be willing and able to do the job. (I’ll get into what that is, shortly.) First, let’s talk about the fleet itself.

The first thing you need to consider is how trucks or vehicles age. The cost of maintenance and the frequency of downtime of your vehicles climbs a hockey stick. Sometimes, it's not even about how old the truck is, it is about the kind of use that it gets. That’s also why you need to work with your Financial Manager to make sure you’re able to upgrade your fleet on a regular basis.

Personally, I’ve been a huge fan of leasing over buying trucks these days because good leasing companies are paying attention and helping you keep the fleet up. They've got checklists and other resources that can assist you in keeping your fleet up rather than owning your own trucks and driving them into the ground. But either way you do it, somebody has to be on top of all of that and making sure that they vehicle is driving safe.

What does a Fleet Manager do, exactly?

For one, they are in charge of training Technicians and Apprentices on how to safely operate their vehicle according to what is outlined in the Technician Manual and the Apprentice Manual. They are in charge of overseeing that performing inspections, daily, weekly, monthly, and yearly are being done. Some inspections are done by the driver of the vehicle and some are done by the Fleet Manager and sometimes they are both doing them together.

A Fleet Manager also needs to know what the drivers are counting on them to do, and what outsources are required when Road Safety and Operating a Vehicle generates issues such as a flat tire on a truck that is too heavy to safely make the repair yourself, or a truck is inoperable and needs to be towed.

They also need to know what to do in the cases of:

  • A traffic accident
  • A stolen vehicle
  • Normal wear and tear
  • Tracking of repetitive maintenance issue
  • Compliance by agencies like DOT

A Fleet Manager needs their own Operations Manual. Here is a small excerpt from my Fleet Manager manual from my Signature Operating Manuals System:

______________

Fleet Manager Manual – (Company Name)

Scheduling Vehicles for Preventive Maintenance:

At the beginning of each month the Fleet Manager will give the Dispatcher and Install Coordinator a list of vehicles due for preventive maintenance.

The two departments will work together to make sure the Technicians bring in the designated vehicles on time.

 The Dispatcher will assign a spare vehicle to the Service Technician while the Vehicle Mechanics service the Technician's regularly assigned vehicle.

Install Coordinator will assign a spare vehicle to the Installers while the Vehicle Mechanics service the Technician's regularly assigned vehicle.

Rather than switching to a spare vehicle, a Technician may ask if he can leave his regularly assigned vehicle in the Main Office for service on his day off.

Note:  The Fleet Manager will try to satisfy these requests whenever possible.

______________

 

Okay, I’ve got more to share about fleet management.

All of this said, the Technician does have a role to play here. The Technician Manual clues them in about road and road safety and what they're supposed to be doing and the Fleet Manager manual is in sync with that. So, the two of them are talking to each other, the Technicians (aka the drivers) of the vehicle know when they're supposed to be bringing the Fleet Manager up to speed, what and how far they can go, and the manual also makes clear what they can and can’t do.

Let’s say you’ve got big trucks. Unless you tell them differently, somebody is going to get a flat tire, pull off the side road and try to change it themself. But if they don’t have the proper jack, the proper training and more…. chances are good they're going to hurt themselves or somebody else. And that's why the Technician and Fleet Manager have to be in sync and the Dispatcher also needs to be aware of what's going on when these kinds of things happen. Everyone needs to know what to do when the truck breaks down at night or on a weekend or even during normal operating hours and this should all be documented procedures.

Another key responsibility of the Fleet Manager is to check periodically as to where these trucks are moving. For example, if a Technician has permission from you to take your trucks home, you want to make sure that vehicle stays at their home and does not travel to their cousin’s home (or worse, your customer’s home) where your inventory will be used to do their personal side work. That brings me to fleet management software. Typically, there's GPS reporting as part of any good program. However, if no one is looking at the reports, you won't know any better.

Whatever you think it might cost in time, energy and money to have someone filling the Fleet Manager role, you need to consider how much it costs to have a truck out of out of operation per day. And if it's a whole week, you're looking at some serious money!

That's why it's so important to be proactive, to make sure you have your best chance of keeping these trucks rolling and safe and assigning those responsibilities to someone filling the Fleet Manager is the best way to achieve that goal.

Al Levi teaches contractors how to run their businesses with less stress and more success with operating manuals. To get control of your business and grow the right way, get The 7-Power Contractor® Signature Operating Manuals System at 7powercontractor.com/SOMS today.

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