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Utilisation of the fleet
The concept of utilisation comes down to some very simple principles:

a) A vehicle is acquired to do a job at a specified cost within a time and distance parameter. The cost is either profit related or cost centre related.

b) A vehicle is acquired and incurs fixed costs on a time basis and 'variable costs on a kilometer basis. The vehicle is put to various uses in the business operations.

c) Allowance is made for downtime and maintenance and standards are calculated to obtain utilisation factors that either minimise costs or reach minimum income breakeven points.

d) Jobs are specified in a variety of ways, for example:-
- persons carried per kms /per day
- service / repairs carried out per kms /per day
- goods carried per kms /per day
- goods can be packs, tonnes, liters, etc
- costs can be related to anything applicable

e) Individual vehicles are then grouped into "fleets" appropriate to the work situation.

f) Ultimately it is necessary to provide a specific number of vehicles to do the work based on minimum projected utilisation criteria.

g) Utilisation percentages and records will indicate peak and minimum vehicle needs.

h) The objective is to minimise the number of vehicles and yet obtain the highest possible percentage of utilisation.

i) Good input is essential from a recording point of view if statistics are to be meaningful for fleet management.

The recording and reporting system (i.e. computer system) must be specific to the fleet's needs. And it is essential to use the information effectively at all levels. It will be necessary to review present methods before developing a proper utilisation programme.

Utilisation comes down to making effective use of a fleet of vehicles incurring a given cost. Guidelines as suggested above, must be developed at the highest level

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