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Read more about information management within your school.
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How to optimise fleet hire agreements
Blog
Scott Hesketh
09 Jul 2020
Fleet
In this webinar I was joined by Russell from Fulcrum Automotive Solutions Ltd, where we covered the key topics in the market including why hire agreements are popular, how the market has changed in recent years and what challenges customers face.
We also highlightedthe different ways you can optimise your fleet hire; selecting the correct suppliers, having processes in place to manage the hire agreements, along with the crucial role MI can play in delivering cost savings.
Russell also gave a demonstration of the YPO Hire Portal, showing how you can bring control to your expenditure, managing your fleet in one place with minimal effort.
A Q&A was held at the end of the webinar, below is a full list of the questions and answers below.
Q&A's
Q – If I have existing hires with suppliers can they be migrated to the platform?
A – Yes, current hires can be brought across onto the portal, Fulcrum Automotive will upload these.
Q – What is in place to ensure smaller vehicles are serviced and safe to use?
A – All suppliers sign up to a basic code of practise which includes safety and servicing schedules, one of the benefits of the portal is that any suppliers who are not adhering to customer standards can be removed either entirely or for individual customers. Suppliers will be audited on that basis.
Q – O-License vehicles require a PDI and Brake Test before we will accept the hire vehicle, how is this managed within the charges for the hire vehicle?
A – Any prerequisites can be agreed in advance with the customers and suppliers and documented accordingly.
Q – Does the system support compliance management for HGV’s?
A – A recent enhancement means the ability to have compliance dates information including tax, MOT, tachograph calibration, LOLA etc.
Q – How have the prices on the portal been worked out?
A – Two types of pricing on the portal; public rates – where Fulcrum Automotive have agreed pricing with suppliers in advance. Specific to customers – negotiated by individual customers with local/incumbent suppliers and brought across to the platform. Only the customer that has agreed these prices will be able to see or access these prices. The more volume that goes through the portal Fulcrum Automotive will continue to negotiate prices, suppliers also have opportunity to assess their rates at any time.
Q – Can any type/number of suppliers be added to the portal and can they be selected even if their rates are higher?
A – Any supplier can be added, this can include services such as coach with driver. If the end user wants to choose a supplier whose prices are higher, they can do that.
Q – Can suppliers be removed?
A – Suppliers can be removed from individual customers or from the portal depending on the circumstance.
Q – Does the system automatically drift to the lower hire rates if vehicles are kept longer
A – Some suppliers will offer best rates on a period that is loaded into the system. E.g. some suppliers offer better pricing for 90 days, if you off-hire before the 90 days the system will revert to the higher pricing. Other suppliers vary prices as they go along. We suggest if you have a guaranteed lengthy period, take the hire out for the long period to ensure best rate.
Q – We operate a 5-day week with no working bank holidays, we would not expect to be charged for the non-working days. Can the system facilitate that?
A – It is common in the industry for suppliers to have stand-down days around weekends and bank holidays. We pro-rata this so it is clear for the customers to see which suppliers have stand-down days and which do not.
Q – Can i catch up on everything discussed in this webinar?
A – Yes, this webinar has been recorded! You can catch up here:
If you have any further questions for our Fleet Category Buyer, Scott, please don't hesitate to get in touch or leave a comment below!
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