FLEET MANAGEMENT – A CONTINUING CHALLENGE

Nigel Trotman, Business Relationship Manager,

Whitbread Plc

AGENDA

• Risk and Accident Management

• The Green Agenda

• Some Future Challenges

What’s In A Name?

• Occupational Road Risk / Duty of Care / Work-Related Road Safety / Corporate Manslaughter

• Key Elements:– Understand the level of risk– Take appropriate measures to manage the risk– Ensure that you understand the full picture

These should not need compulsion – they make good business sense!

Road Safety - The Wider Agenda

• Corporate Manslaughter Legislation.

• Driver Expectations.

• Government & Industry Initiatives.

Electronic Stability Program ESP®

The Whitbread Experience

• Separate responsibilities – Cars with Fleet, Accident Management with Insurance.

• Lack of understanding of full costs – especially “hidden” elements, e.g. Personal Injury Liabilities.

• Driver Training “nobody’s responsibility”.

• No budget = no training.

• Frustrated Fleet Manager.

WRRS – The Whitbread Way

• Accident Management moved to Fleet.• Clear visibility of ALL related costs.• Senior Management buy-in.• GE/RAC programme adopted – licence

checks, risk assessments, training & accident follow-up.

• Programme implemented for all company car drivers.

• Being rolled out to all drivers.

Accident Follow-Up

• Link from Accident Management programme.• Applies to “serious” incidents – e.g. £1000

repair cost.• Call made close to incident.• Standard questions – agreed with Whitbread.• Appropriate action identified.• Closes the “risk loop”.

Progress To Date

• 437 drivers risk assessed.

• 164 drivers trained in-car.

• 261 drivers undertaken E-Learning.

• 36 Follow-Up calls out of 197 incidents, 23 required further action.

• Added benefits – training for “nervous” drivers and those new to UK.

• Continuous process.

The GREEN Agenda

• Whitbread an early adopter – incentives for fuel efficiency introduced in 1999.

• Average fleet mpg moved from 34.4 to 47.4.• Diesel percentage moved from 18% to 90%.• Annual savings +£300k p.a.• Significant CO2 reductions – over 1000

tonnes p.a..• PR opportunities.

New Green Measures

• New Car Policy introduced June 2005.

• Fast rotation – new technology delivered quicker.

• CO2 limits – 190g/km for 2007/8.

• Increased incentives.

• Hybrids.

• Driver Training – includes fuel efficiency. Less accidents = less environmental impact.

Future Challenges - Mobility

• How do I provide staff with the level of mobility they need to do their job?

• Not just cars – public transport & technology are part of the picture.

• Can new ways of working help?• How can I approach new legislative

challenges – congestion charging extensions, road pricing, etc.?

• ALL at the lowest possible cost?

Future Challenges – Delivering Value

• Traditional Fleet Manager almost extinct – now more generalist role.

• More is expected, delivering value in a range of areas.

• Needs to address all key areas.• Understand cost and deliver value for money

– cheapest is not always best.• Don’t forget the value of PR.• Your job is as big as you make it.

Some Lessons Learned• While the fleet landscape has changed,

many principles still hold true – and will continue to do so.

• The role of the fleet manager (or equivalent) is more important – and potentially challenging – than ever before. This represents a huge opportunity!

•There is no one solution for all fleets.•Use the resources available – suppliers, ACFO, networking, etc.•Drivers are the key.