What is your fleet’s current cost per km? Chances are you do not know the answer to that question.
In fact, there is no exact answer. It all depends on how you calculate it. For instance, the answer will be different if you use the average costs of the last 3 months or of the last 12 months.
How should you calculate when bidding on a tender, for instance? Which one is more conservative? Which one is more aggressive? You are safer with the first but have a better chance of winning the tender with the latter.
There’s a lot more to managing a fleet than keeping track of vehicles. Keeping track of fleet costs is also a very important part of a fleet manager’s job.
Frotcom’s Fleet cost management module allows you to register and control your vehicle costs in an integrated and convenient way. Not only are you able to register all costs, you can also schedule fixed costs and calculate cost/km and cost/hour ratios, among others.
Frotcom can actually crosscheck the cost information you enter with the GPS locations of the vehicles, thereby adding an extra degree of control to your cost management. For example, you can verify if the vehicle was actually at the fuel station at the time printed on the fuel receipt. You can also validate the odometer information associated with the fuel receipt.
Recurring costs allow you to schedule fixed charges, such as vehicle depreciation or insurance, thereby automatically adding these costs to the vehicle cost list.
Finally, not only can you register and control all fleet costs, but you can also calculate the real costs of each individual vehicle, as well as cost/km and other ratios.
The Cost management module in Frotcom provides a very simple and effective way for you to register all costs associated with the operation of your fleet, including fuel, tolls, insurance, maintenance, tires, salaries, etc.
Check out what you can do with the Cost management module:
Calculate the real costs and – equally important – the cost per km, for each vehicle. This allows you to determine the precise profitability of your fleet, vehicle by vehicle. In fact, you will be able to breakdown the costs of your fleet, giving you detailed information about the variable and fixed costs.
Detect inaccurate information, like wrong km readings, excessive fuel consumption or impossible refueling places and times (when compared with the vehicle’s actual GPS data). You can see on the map where a vehicle was at the time of a particular receipt (e.g. a fuel receipt), allowing you to validate each and every receipt.
Receive alerts when the time or odometer reading entered in Frotcom does not match the information from the GPS. If the information from the odometer (number of km) is not compatible with the GPS data, you will receive an alert and a suggestion of what the mileage should be on the odometer at that time.
You can enter costs manually (variable costs such as fuel) or automatically (recurring, fixed costs such as insurance). Once you enter your vehicles’ costs, you will be able to calculate total costs for a certain time period (for instance the last month or the last three months). You will also be able to breakdown the costs if you want to see the exact cost composition of a certain vehicle.
You will be able to calculate several important ratios simultaneously:
● Fuel consumption/100 km
● Cost/hour and Fuel consumption/hour (for construction machinery).
Register all variable and fixed fleet costs. Use Frotcom’s tools and reports to analyze them.
Know exactly how much each vehicle costs per km – or per month. Don’t just guess what you need to charge per km. You will be able to calculate the exact figures for each vehicle, for different periods.
Minimize speeding tickets and improper vehicle driving. Drivers will know they are being monitored.
By crosschecking fuel receipts and GPS data, Frotcom helps you to verify their validity.