Fleet data in action: How to use data to reduce costs and boost employee mobility

Managing vehicle usage, fuel consumption, mobility budgets, and compliance requirements is increasingly complex. Perhaps you find yourself stuck juggling multiple spreadsheets and responding to endless requests. Keeping a clear overview of fleet performance without proper fleet reporting tools is another challenge.

The best-performing fleet managers don’t rely on outdated spreadsheets or guesswork. Instead, they leverage real-time data to make informed decisions using a fleet data management software.

The reality is this: data-driven fleet management isn’t just about tracking mileage or fuel costs. Data-driven fleet management is about transforming raw data into actual insights that improve efficiency, cut costs, and ultimately enhance employee mobility experiences.

This article explores how fleet analytics and reporting software can improve efficiency, reduce costs, and ensure compliance. You’ll also discover the key performance indicators (KPIs) that drive fleet excellence.

The cost of poor data management

Ignoring the power of data can result in wasted resources, regulatory troubles, and missed opportunities to optimise your fleet. Without a structured approach to fleet data management, companies often face unnecessary expenses, bottlenecks, and compliance risks.

Below are four of the most common pitfalls that impact fleet operations.

• Inaccurate cost tracking: Without accurate data insights, hidden expenses build up and drive mobility budgets higher than necessary.
• Compliance risks: Regulatory requirements are constantly evolving, and outdated data can result in costly penalties.
• Inefficient resource allocation: Underused vehicles and poorly optimised routes increase operational costs.
• Employee frustration: Lack of transparency in mobility budgets and policies can lead to confusion among employees and hinder adoption of alternative transport solutions.

These pitfalls create unnecessary spendings, cause compliance headaches, and result in mobility programs that fails to meet business needs. Top-performing fleet managers take a different approach. They use data to turn obstacles into insights that help improve their mobility strategy.

How top-performing fleet managers use data to their advantage

Successful fleet and mobility managers understand that data is more than a collection of numbers. Data is a strategic asset that helps drivers better decisions.

For instance, using real-time insights, you can foresee challenges, reduce costs, and create more efficient mobility programs. Read on to get six ways in which data can help you shape smart mobility policies and optimise resources.

1. Automate data collection and integration

Manual data entry is a major source of errors. Leading companies automate data collection by integrating fleet data tracking systems with HR databases, fuel providers, leasing companies, and telematics systems. This ensures accuracy and reduces the administrative workload.

Automation also enables seamless tracking of vehicle lifecycles, from procurement to resale. With digital records, fleet managers can predict how much vehicles will lose value. They can also plan when to replace them and avoid expensive downtime from unexpected breakdowns.

2. Monitor data in real time

Top fleet managers don’t wait for monthly reports. They monitor key performance indicators (KPIs) in real time via fleet data dashboards to get insights into different variables:

• Fuel and energy consumption trends
• Vehicle usage rates
• Total cost of mobility (TCM)
• CO2 emissions per employee or per trip
• Mobility budget allocation vs. actual usage

This real-time data allows fleet managers to respond quickly to inefficient mobility patterns. For example, if a department does not use a vehicle much, they can move it to another department. They can also change fleet sizes based on real usage data.

3. Manage costs proactively

By analysing cost trends, fleet managers can pinpoint waste and implement savings strategies. For example, shifting from traditional fuel reimbursement to centralised mobility budgets can reduce unnecessary expenses while providing employees with much more flexibility.

Beyond reducing direct costs, top fleet managers also leverage data to negotiate better leasing agreements and assess the cost effectiveness of different mobility solutions.

Additionally, optimising costs extends to predictive maintenance. By tracking vehicle diagnostics, fleet managers can plan preventive maintenance at the best time. This helps reduce expensive repairs and avoid vehicle downtime.

4. Improve the employee mobility experience

Data allows companies to design unique mobility options that align with employee needs. Instead of relying on a one-size-fits-all car leasing model, businesses can track employee usage patterns. They can then improve their services, like ride-sharing, public transport subsidies, or e-scooter incentives.

Encouraging employees to adopt new mobility solutions often requires a combination of incentives, clear policies, and user-friendly platforms. A digital-first approach also improves the employee experience by streamlining reimbursement processes. Automated mileage tracking and expense claims mean employees spend less time on paperwork and more time on productive tasks.

5. Achieve carbon emission goals

As pressure grows to lower carbon footprints, fleet analytics helps businesses track and reduce their carbon footprint. Data-driven insights allow companies to use greener options and follow rules for CO2 emissions.

Fleet managers also use analytics to evaluate the impact of switching to electric vehicles (EVs). This also involves optimising charging infrastructure and integrating renewable energy sources into mobility strategies. By tracking emissions per trip or employee, companies can set tangible carbon reduction goals and monitor progress.

6. Improve compliance and risk management

Regulatory compliance is an evolving challenge in corporate mobility. Governments and local authorities frequently introduce new emission standards, tax incentives, and reporting requirements.

Data-driven fleet management simplifies compliance by automating regulatory reporting. With current logs of emissions data, vehicle registrations, and maintenance records, fleet managers can avoid fines. This helps them follow corporate governance policies.

Data also plays a crucial role in safety compliance. Telematics systems can track driving behaviour, flag risky habits such as harsh braking or excessive speeding. This data allows organisations to implement driver training programs and reduce accident-related costs.

Real-world examples of data-driven fleet management

Many companies have successfully leveraged data analytics to transform their fleet operations. We're sharing three leading examples of companies using data-driven fleet management to improve efficiency and employee mobility.

Example #1: Microsoft uses data to drive carbon emission goals

Microsoft partnered with Accenture to implement an intelligent fleet management system powered by the Microsoft Azure Mobility platform. This solution allowed Microsoft to unify its transportation fleet management, providing real-time visibility into vehicle usage, fuel efficiency, and carbon emissions.

By leveraging predictive analytics, Microsoft optimised vehicle usage, reducing unnecessary fleet costs while advancing its goal of becoming carbon negative by 2030.

Example #2: Google optimises employee mobility with a data-driven fleet

Google’s corporate mobility initiative, GFleet, integrates data-driven insights to optimise employee transportation. By analysing travel patterns and fleet usage, Google introduced electric vehicles (EVs) and biodiesel-powered shuttle buses. These initiatives significantly cut emissions and operational costs.

Through real-time data monitoring, Google ensures optimal vehicle allocation, reducing idle fleet time and enhancing employee mobility experiences.

Example #3: Dagrofa Logistics improves fleet safety and efficiency

Denmark’s largest logistics and sales company, Dagrofa Logistics, implemented a fleet management system to enhance safety and efficiency.

By tracking vehicle performance and usage patterns, Dagrofa reduced its on-site damage rate from 14% in 2018 to just 3.18% in 2021. The company’s data-driven approach has led to safer operations, better vehicle usage, and notable cost reductions.

Using real-time data and fleet management software, these companies have optimised fleet efficiency and improved their carbon footprint.

Additionally, their data-driven approach has boosted employee mobility by ensuring better vehicle allocation and streamlined transportation options. The best part is that your company can implement some of the same practices.

The road ahead: turning insights into action

The landscape of fleet management continues to evolve with AI-driven analytics, smart mobility integrations, and shifting regulatory frameworks. By now, it's clear that leveraging data is the key to efficient, cost-effective, and sustainable fleet management.

The question is: how do you take the next step and turn insights into action to achieve fleet excellence? The best fleet managers focus on specific KPIs to improve costs, efficiency, and sustainable practices.

But which metrics are the most important ones? Check out our ebook, "Fleet Forward: 10 Ways to Achieve Excellence without Excel." We break down the essential KPIs and give you a step-by-step guide to optimise your mobility strategy.

Download the ebook now