Trust us, fleet management is more than what meets the eye.
As a fleet manager, you have access to tons of critical data. All that data means nothing, though, unless you know what you’re tracking and why you’re tracking it.
To make more data-driven decisions and manage your fleet more effectively, you must monitor the right metrics. Start with the ten essential fleet management metrics explained below.
1. Driver Vehicle Inspection Reports in Fleet Management
First on the list of critical fleet management metrics is the results of your Driver Vehicle Inspection Reports (or DVIR).
DVIRs help with fleet compliance and alert managers of potential vehicle issues. They also provide a more in-depth understanding of your assets’ health.
Keep track of the pass/fail rate of your vehicle inspection reports and make note of the most common inspection failures. Look for patterns across your fleet, too, so you can improve your preventive maintenance practices and decrease downtime rates.
2. Preventive Maintenance Practices
Speaking of preventive maintenance (or PM), you should also be keeping track of metrics related to proactively managing your fleet and preventing issues (including potentially expensive ones) from occurring.
One way to track PM practices is by striving for a high rate of on-time preventative maintenance procedures. Sticking to a schedule is critical to avoiding potential problems with your feet and catching existing issues before they have a chance to escalate.
A good rule of thumb is to strive for at least a 95 percent on-time success rate.
3. Diagnostic Trouble Codes
Make sure your list of fleet management metrics includes diagnostic trouble codes.
Diagnostic trouble codes help technicians identify and categorize specific problems with your vehicles.
Similar to tracking DVIR reports, keeping track of the diagnostic trouble codes associated with each of your vehicles will help you spot patterns and pick out areas in your preventive maintenance practices that you need to improve.
4. Odometer Readings in Fleet Management
Odometers provide valuable information about your vehicles, from when a truck needs its next oil change to when the entire vehicle needs to be replaced. Tracking odometer readings regularly helps you to be more proactive in your fleet management practices and ensure your vehicles stay in good condition.
5. Fuel Consumption
Your vehicles’ fuel consumption can also tell you a lot about how your fleet is doing. If a vehicle suddenly starts using more fuel than usual, that could indicate a more severe problem.
Because fuel is one of the greatest expenses associated with fleet management, tracking consumption -- as well as the average cost of fuel -- is also crucial to effective budgeting.
6. Total Cost of Ownership in Fleet Management
Paying attention to the total cost of ownership (or TCO) can help you evaluate the long-term value of an asset to your company. The total cost of ownership is calculated based on several factors, including the following:
- The initial cost of an asset (I)
- Operating costs, such as fuel, licensing, taxes, and driver compensation (O)
- Maintenance and repairs (M)
- Downtime, including breakdowns, unscheduled maintenance, etc. (D)
- Cost of production, (P)
Remaining value, which tells how much the asset is worth on the open market and the amount of profit it can still generate before operation costs become too expensive (R)
The formula for TCO, one of the important fleet management metrics, is as follows:
TCO = (I) – (O+M+D+P) – R
7. Asset Utilization
Monitoring asset utilization helps you ensure you’re making the most of your vehicles and maximizing your return on investment.
You can track asset utilization by monitoring the average number of hours a vehicle is used or the number of miles driven per day.
After a few months, you might notice that you’re underutilizing certain vehicles and would be better off selling them. You might also find that you need to invest in a new vehicle to keep up with growing demand.
8. Vehicle Downtime in Fleet Management
Vehicle downtime (i.e., when a vehicle is out of service) significantly impacts your fleet, particularly when it comes to productivity and overall profitability. Unplanned downtime can lead to added costs of up to $760 per day per vehicle!
Pay careful attention to downtime, including how long a vehicle is out of commission and the unscheduled repairs required.
9. Vehicle Replacement
In addition to tracking vehicle downtime metrics, you should also monitor how frequently you have to replace vehicles altogether. Take note of how long you have vehicles on average before replacing them, too.
While, in some cases, it’s more cost-effective to replace a vehicle instead of continuing to repair it, frequent replacements will eat into your profits and prevent you from running a successful business.
10. Parts and Inventory
If you manage vehicle maintenance in-house, you must make sure you have the right tools and parts on hand. Otherwise, you’ll see a spike in your downtime rates.
Make sure your fleet management metrics monitoring process includes keeping track of parts inventory to avoid running out of critical items when you need them the most.
Pay attention to the parts and materials you use most and least often so you know which ones to order in larger quantities and which ones to order less frequently as well.
DashboardFox: The Best Reporting Tool for the Job in Fleet Management
Tracking and measuring the right fleet management metrics is critical to unlocking maximum operational efficiency. Without a clear view of these vitals, you may be missing out on significant opportunities for improvement and cost-saving.
This is where DashboardFox comes into play. As a powerful business intelligence tool, it allows you to seamlessly monitor these top 10 fleet management metrics. But it doesn't stop at monitoring alone; it presents these complex data sets in an easily digestible format, thanks to its efficient dashboard charts and other advanced data visualization methods.
What sets DashboardFox even further apart is its one-time payment scheme, offering a value proposition that goes beyond just feature functionality—it also ensures that this valuable tool remains cost-effective for your business in the long term.
So, why not get a taste of what DashboardFox can bring to your fleet management strategy? We invite you to try DashboardFox for free through our free trial. You can also book a meeting with our expert team, who are on hand to answer any questions and guide you through the platform's features.
Take the first step towards drastically improving your fleet management today, with the powerful, practical, and cost-effective solution that is DashboardFox.
Experience the difference for yourself.