The A-Z business fleet guide – K is for KPIs

Setting key performance indicators (KPIs) is a crucial part of any business – if you don’t have a benchmark in place to measure success, it’s very hard to know how to improve and what areas need more focused growth.

Fleet management is no different. There are all sorts of gadgets and applications available to help you gather data – there is in-car tracking and GPS technology, which can report on where your drivers are in real-time.

These same programmes can harness huge amounts of data for you to create graphs, analysing how long it takes for each destination to be reached, how many appointments go missed or failures are taking place, etc. This can also be helpful for employee reviews – you can see who your best drivers are, and who tends to waste time or make mistakes.

Business owners can also use this sort of technology to monitor downtime – how often is an asset sitting idly by?

The important thing to remember is that a good figure for each of these KPIs will look different to each business.

If your fleet exists to get your employees to work and home again every day, it doesn’t matter that the asset sits unused in the car park all day. However, if you operate a cab company and the car isn’t moving for half the day, it might mean there is something amiss.

Track your business, set a series of benchmarks, and then you can look at establishing KPIs and work towards reaching them. This will heavily influence your decisions when it comes to upsizing, modernising and future-proofing the company fleet.

If you’ve found this article useful then make sure you visit our complete A-Z of business fleet terms, which provides a complete glossary so you can make an informed purchasing decision.

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