Cutting the wires --Cutting the wires --

The Fleet Operator Perspective

Daventry14th May 2008

ACFO is --

The principal UK body representing fleet operators (ie the organisations who use the

vehicles)A major networking forum for fleet

operators/ managers/ administratorsThe focus of representation of the legitimate

concerns of fleet operators with government agencies and other representative bodies (BVRLA, SMMT, RMIF etc)

Source of data/ information on fleet management techniques

ACFO has --

Approx 900 members All sectors of UK commerce Complete cross-section of fleet sizes

7 to 43,000 cars & vans: some members also have larger Commercials/ HGV fleets

Representation from all styles of fleet Pool/ benefit; high/ low mileage; all forms of

operation

9 regions nationally The ear of government A major commitment to green (and safe)

fleet operations

We also have --

Our Mission Statement: “ACFO aims to be the principal organisation

which represents the professional interests of vehicle fleet operators; developing expertise in fleet management through meetings, informed debate, and training”

Membership Distribution --

EA

NEMI

NW

SC

SO

SW

LE

LW

EA

LE

LW

MI

NE

NW

SC

SO

SW

Total Membership > 900

Membership Profiles

>900 MembersApprox 70% “fleets”Approx 30% “suppliers”

Manufacturers Rental companies Leasing companies Dealers Aftermarket – all areas

Total fleet count (EXcluding lessors’ clients fleets)

> 650,000

At the heart of policy

Representation of “the voice of fleets” on many groups/ bodies LowCarbon Vehicle Partnership Low Emission Zones WP Cleaner Transport Forum

Also, regular dialogue with: HMRC/ Inland Revenue/ Customs & Excise DfT DVLA DEFRA HM Treasury

Market Position

Around 50% of all new car registrations to 25+ unit “fleets”

Around 20% of all new car registrations to 2 - 25 unit “businesses”

Average tenure – 44 monthsAverage mileage – 70,000 (at disposal)Total fleet parc – 3.5m - 4.0m cars + vans

Outline demography – UK fleet cars Fleet User Demography - 2007

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

50,000

5 - 10 10 - 25 25 - 50 50 - 100 100 - 250 250 - 500 500 - 1000 1000 - 2500 2500 - 5000 >5000

No

of

Fle

ets

0

100,000

200,000

300,000

400,000

500,000

600,000

To

tal U

nit

s

No of Fleets Fleet Units in Band

Good Fleet Management practice

Understand what’s going onCapture the basics

(Business) Mileage Fuel Used Costs

“Every mile – Every drop – Every penny”

Enforce realistic business disciplines!Major company costs

CAN be managed – IFIF it’s measured

Highly affordable

Essentially single-tier membership Annual subscription only £165pa + VAT

"It is rare indeed to find such a wealth of varied knowledge and experience, in so many different motor industry disciplines under one roof, as at ACFO meetings.

It is even rarer to leave an ACFO meeting having not learned something new.”

Fleet Manager; IT sector; 1,500 cars

"It is rare indeed to find such a wealth of varied knowledge and experience, in so many different motor industry disciplines under one roof, as at ACFO meetings.

It is even rarer to leave an ACFO meeting having not learned something new.”

Fleet Manager; IT sector; 1,500 cars

Other benefits of Membership

Best networking forum for fleetsMultiple delegates per meeting

(Organisation is the Member – not an individual)

All aspects of all sizes, types and levels of fleet accommodated

Smaller fleets benefit most Networking access to large-fleet expertise – free!

Access to discounted training coursesTemplates/ examples of key document sets

Driver Handbooks – Sept 2003 H&S/ DoC Policies – Feb 2006

#1 Issue for Fleets - 2008

Duty of CareHealth & SafetyCorporate Manslaughter & Corporate

Homicide Act

All topics for relevant Press, conferences, training, schemes, threats and cowboys

The underlying issue is deadly serious

For aftermarket installations

Good news

Bad news

No such thing as a problem

only profit opportunities

Once upon a time --

Results 1 - 10 of about 1,800,000 for lucar terminal. (0.28 seconds)

-- to add things like these -

Cruise control - Choose an actuator

AP300 - Vacuum actuator: Ideal for vast majority of vehicles, petrol or diesel. Smaller body easy to mount in engine bay. Best value for money out of the range.

AP550 - Electric actuator: Modified AP500 with 4 stroke lengths and variable cable length. Universal kit for easier fitting in awkward spaces.

AP800 - Electronic Actuator. Cruise control especially designed for ‘Drive by Wire’ vehicles. This unit requires a command module plus a vehicle specific, plug-in, pedal interface - ‘T-Harness’.

Saves time on fitting, no moving/wearing parts.

-- through these -

-- more high-tech -

All cars sold in the United States since 1996 are required to have a On-Board Diagnostics connector, for easy access to the car's Controller Area Network (CAN) bus.

- - but NOW

More devices as standard

Specification developmentsDemanding buyersDemanding drivers Increasing legislation Increased sophistication

Fewer “standard” items to add

Application-specific devices Tracking Geofencing Alarms (eg chillers) Dedicated comms Database links to base station

Purpose designed features Driver behaviour Incident defence (eg waste freighters)

Duty of Care

Risk minimisationDriver monitoringReplicability“Tick-in-the-box” peace of mindCriminal chargesCivil claims

Demands of the Fleet Manager

Technical knowledgeCompetenceConvenienceRisk transferAccountability chainDiagnostics“Right-first-time” QualificationsCapacityAbility to serve Ability to serve theirtheir customers! customers!

Costs -

Clearly a factor – but seldom main issue “Value for money” Quality service delivery Backup

“Partnering” concept gaining ground Insurance policies more demanding

No device – no risk cover Audit trail for reliability & loss adjustment

So -

Look closely at developing marketsMore niche areasQualification and guaranteesUnderstand fleet needs/ choice driversDon’t sell the product – sell the benefitsbenefitsEvaluate volume and price carefullyFleet vehicles move around –

Testing essential Implications of problems Client downtime

Thank you for listening

Drive home Safely (and Economically)!

Thank you for listening

Drive home Safely (and Economically)!

The EndThe End

Rivendell HouseWinton RoadPetersfield

GU32 3LL UK

Tel: +44 1730 260162Fax: +44 1730 26 39 37

info@acfo.orgwww.acfo.org