6.1 Fleet Assets
Fleet assets can include motorised vehicles such as cars, light and heavy commercial vehicles (testing pavements, inspecting structures, etc.) that an agency uses in carrying out its various asset management and other core functions.
Fleet asset management can include a range of functions, such as vehicle financing, vehicle maintenance, vehicle telematics (tracking and diagnostics), driver management, speed management, fuel management and workplace health and safety management. Fleet management is a function which allows road agencies that need access to their road networks to remove or minimize the risks associated with vehicle investment, improving efficiency, productivity and reducing their overall transportation and staff costs, providing 100% compliance with government legislation (duty of care) and many more. These functions can be dealt with by either an in-house fleet-management department or an outsourced fleet-management provider. Vehicle telematics are readily available from a range of many suppliers.
Outsourced fleet management is offered on a commercial basis through various leasing arrangements. This approach may suit many road agencies.
The timely replacement of vehicles and equipment is a process that requires the ability to predict asset life-cycles based on costing information, utilization, and asset age. Most road agencies prefer to use new fleet as a strategy for cost reduction where the used fleet is sold so that a new fleet is maintained.
Funding requirements for fleet management are also an issue, because the ad hoc nature and traditional low funding levels has put many fleet assets into an aged state. This lack of adequate provision for replacement can also result in higher maintenance costs due to aged vehicles.