facing public sector fleets
Public sector fleets have hit the headlines in recent years. The
‘hot topics’ in the sector, such as cost control, driver safety and
particularly environmental considerations, have almost always hit
the public sector first and hardest. Most have strict targets for
best value and efficiency, so it is little wonder that they have
been regularly called upon to change their working practices.
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And this shows no sign of ending anytime soon. In fact, there
are likely to be still more huge changes for public sector fleets
over the next ten years. With developing technologies, the
introduction of yet more government-led targets and a shifting
financial environment, public sector fleet managers need to prepare
themselves for a decade of transformation.
Co-operation
However, despite a strategic agenda that is firmly set on
achieving efficiency, it seems the structure of many organisations
is making it very difficult for fleet managers to implement any
real change. Having held a public sector fleet event in September,
Automotive Leasing found the issue of implementing real change was
the topic on everyone’s lips.
Many voiced concerns that they don’t have enough control over
the factors they need in order to make changes to their fleets.
Gaining co-operation from other departments, such as HR, was a
typical problem. A classic example is the ‘grey fleet’, a major
concern among public sector bodies, where HR departments need to
buy-in to the process so that employees understand the risks in
using their own cars for work-related journeys.
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By GlobalDataAchieving senior level buy-in to any substantial changes also
seems to be a major issue. As in many private sector firms, it
seems that fleet considerations are often cascaded down to the
operational level rather than viewed strategically.
Coupling this lack of internal co-operation with the huge
day-to-day task of keeping vehicles on the road, many public sector
fleet managers are struggling to achieve their long-term
objectives.
Continuing change
And yet, pressure also continues to flow from central
government. For example, targets to reduce CO2 emissions from the
public sector fleet by 15 per cent remain high on the government
agenda. The latest report from the Sustainable Development
Commission revealed the sector to be lagging behind that
target.
Of course, there’s pressure on many industries to cut their
harmful emissions, but the nature of the public sector means it is
under more scrutiny than most. With transport making up such a
large proportion of CO2 emissions, it’s only natural that public
sector fleet managers will continue to be tasked with making bigger
and bigger changes.
And that’s just one example of the changes public sector fleets
are facing. The organisational inability to make those changes is
no minor issue. Public sector vehicles are the backbone to many
services, from cars to ambulances to waste disposal trucks.
However, many departments simply don’t have the right fleet
strategy agreed at the right level to implement any substantial
change when it comes to improving how these vehicles are run.
Breaking through brick walls
Many of the fleet managers at our event said that they
constantly come up against brick walls whenever they try to
implement an initiative to make their vehicles greener, more
cost-efficient or even safer. This is stifling their ability to
make the sorts of changes that are demanded by a highly complex
market.
It is increasingly evident that fleets need to be examined
by the topmost senior management, not just delegated entirely to a
fleet manager and forgotten. The only way public sector fleets can
improve is through co-operation at all levels and in all the right
places.
Managing a fleet used to mean simply finding a leasing company
that could deliver vehicles at a competitive price, whilst making
sure drivers received the right level of service and support.
But things are a lot more complex now. Whatever the departmental
objectives, it is vital to assess the impact of the current fleet
strategy on cost efficiency, duty of care, environmental targets
and long term sustainability. Governmental and public pressure on
these issues is such that it has to be debated at the highest
level.
But luckily, public sector fleet managers aren’t alone in their
task of implementing real change. Suppliers are a rich source of
insight and advice and can often help make the difference. Fleet
providers can work with clients to help them implement change,
arming them with the facts, figures and analysis they need to
generate support within their organisation.
The author is brand director at public sector fleet specialist
Automotive Leasing
