What is Fleet Management?

Fleet management is a term that includes many actions, processes, and intentions which are all designed to optimize a fleet of five or more commercial vehicles. In many cases, companies use fleet management systems that are backed up by proven fleet management software. The goal is to ensure trucks run on time, stay within budget, and operate at maximum efficiency. 

Trucking companies with many vehicles must lean into proven fleet management strategies by using software that allows them to track and manage driver behavior, fuel management, vehicle metrics, and so much more. 

Whether you’re new to fleet management or you need a refresher, we’ve got you covered. We’ll cover everything from A to Z about fleet management and how it benefits trucking companies.

Fleet Management Definition

Fleet management is an all-encompassing process that involves the management and coordination of a fleet of commercial vehicles.

The main goal of fleet management is to ensure vehicles are efficient and operate in a cost-effective manner. Generally, this includes: 

• Vehicle acquisition, maintenance, and disposal
• Driver management and safety
• Route planning and optimization
• Fuel management
• Regulation compliance 
• Real-time vehicle tracking

Companies often use fleet management software to streamline tasks, such as those listed above. Depending on the software, it can provide real-time insights into fleet operations and help fleet managers make the best decisions. If done correctly, effective fleet management strategies can lead to real cost savings and improved service delivery.

What Do Fleet Managers Do?

Fleet managers need to take care of a lot of things to ensure profitability and efficient operations. Generally, they oversee:

• Vehicle acquisition 
• Creation of preventive maintenance schedules 
• Management of the truck drivers
• Route planning 
• Ensuring driver safety

In most cases, they leverage fleet management technology (i.e., telematics, GPS tracking, etc.) to track every vehicle’s location, fuel usage, and maintenance needs in real-time. By doing so, a good fleet manager reduces downtime and repair costs significantly. 

How Much Do Fleet Managers Earn?

A fleet manager’s salary is generally based on the size of the fleet, the industry, and location. With that in mind, the median annual wage for a fleet manager in America is roughly $100,000, according to Salary.com.

How to Become a Fleet Manager

Everyone’s path is different. But, generally, most fleet managers start as a fleet assistant/coordinator. Most fleet managers also have:

• Bachelor’s degree
• Hands-on experience (at some level)
• General understanding of fleet management systems
• Understanding of regulations like hours of service (HOS) requirements and more 

If you’re already working for a trucking company and are interested in becoming a fleet manager, the path is rather clear. However, if you’re new to the field, you’ll need to gain a lot of experience and knowledge before you’re ready for the role. 

Benefits of Fleet Management

Suppose you have a trucking company that’s interested in implementing an effective fleet management system. If you’re successful, it can dramatically lessen labor and fuel cost, streamline fleet operations, and ensure your company is compliant with both state and federal laws. 

Plus, great fleet management results in improved driver safety, optimized route planning, and vastly valuable insights into driver behaviors and overall vehicle performance. 

Fleet Management Challenges

Managing a fleet of commercial vehicles is no walk in the park. While there are clear benefits of fleet management, there are also pressures of the job and challenges to contend with. For example, a fleet manager is tasked with monitoring and optimizing fuel costs, fuel consumption, operational costs, and vehicle maintenance. 

That’s in addition to adapting to new regulations, enhancing driver retention, and making decisions that lead to overall cost reduction but greater efficiency. Fleet managers have a big role with lots of responsibilities, thus they are an integral part of any trucking business. 

What is Fleet Management Software?

In today’s age, managing an entire fleet is a big undertaking, but thankfully there are tools to help make it a bit easier. Fleet management software helps to manage, coordinate, and streamline fleet operations using technology.

How Does Fleet Management Software Work?

Fleet management software collates data from many sources (i.e., GPS, telematics devices, etc.). After processing the data, it displays it in an easily understood format that gives insights into key statistics like vehicle location, fuel consumption, needs for maintenance, downtime, etc. 

What are the Pros and Cons of Fleet Management Software?

There are many types of fleet management software, each with pros and cons.

Pros:

• Real-time fleet tracking
• Improved utilization of trucks
• Better driver safety
• Tremendous cost savings 

Cons:

• Learning curve for any new software
• Driver privacy
• Initial setup costs 

FAQs About Fleet Management

What is enterprise fleet management?

Enterprise fleet management essentially means the management of a large company’s transport and logistics. In many cases, this can include truck leasing, fleet tracking, fuel management, vehicle maintenance, and driver management for a large corporation. 

What is the difference between fleet management and logistics?

Both roles overlap a bit. However, fleet management focuses more on maintaining a fleet of vehicles. On the other hand, logistics encompasses the entirety of planning, implementing, and managing the flow of goods/services from start to finish. 

What do fleet management companies do?

Suppose you have a large fleet but don’t have the time, knowledge, or confidence to manage it yourself. In that case, it can be beneficial to work with a fleet management company. These companies cover the entire fleet lifecycle from vehicle procurement to disposal and everything in between.

How Drivewyze Can Enhance Your Fleet Management

In the industry, Drivewyze stands out with its fleet management tools — e-Inspection, PreClear, and Safety+.

• e-Inspection: Streamlines vehicle inspections, reducing downtime and ensuring proper vehicle maintenance. 
• Drivewyze PreClear: Offers weigh station bypass opportunities, saving time and fuel costs while boosting operational efficiency.
• Safety+: Helps improve driver safety with real-time alerts, reducing unsafe driving behaviors.

Drivewyze empowers fleet managers to enhance their operations, driver safety, and cost-effectiveness, playing a pivotal role in modern fleet management. Learn how we can help your fleet run more efficiently today.