6 Valuable Tips to Effectively Manage Your Trucking Company

If you work in the trucking industry, you know that fleet management can be stressful at times. There’s a lot to do. From hiring and training drivers to handling expenses for fuel and maintenance, the work of a fleet manager comes with different challenges.

However, if you manage your trucking company successfully, your operations will thrive.

You’ve successfully built a transport business and invested a small fortune into purchasing or renting trucks, training your drivers, marketing your business, etc. The success of your company from this point forward depends on how well you manage it.

Technological advancements and software have made fleet management a lot easier and more effective. Follow our guide to use this to your advantage and manage your trucking company more effectively.

The Troubles of Fleet Managers Today

Managing your trucks properly is vital to the success of your company. If you don’t do this well, it can cause big and constant problems in your business.

Improper fleet management often triggers a snowball effect, impacting all aspects of your operation. Some of the challenges of fleet managers today are:

• Higher fuel costs. Fuel is the second largest operating expense in the fleet industry. On average, this expense takes up to 60% of a company’s budget. As fuel costs rise, managers need to budget toward this big expense. Improper management increases fuel consumption and adds up tremendously to this expense.

• Poor communication. Since one of your tasks is to manage the truck drivers, many of which will be spread out over significant distances, communication can become a channel. Managers that don’t use a reliable tool for communication with drivers often experience problems such as delays, additional fuel expenses, etc.

• Poorly planned routes. You can employ the most professional drivers, but unless you provide them with the best delivery route, there will be delays and unnecessary fuel consumption. Delivery management is about keeping your trucks on the best-performing, smart route and being available in case any challenges arise and route changes are required.

• Costly fleet repairs. Unless you handle fleet maintenance well, your vehicles will often break down and require costly repairs. Proper fleet maintenance is making sure that your trucks are regularly monitored.

• Delayed deliveries. Delays can happen in the trucking industry, but if they happen too often and you aren’t updating your clients on the ETA, it can destroy your trucking company’s reputation and your contracts with clients.

This list is not complete, which means that you can experience many challenges if you don’t effectively manage your trucking company.

Top Tips for Effective Fleet Management in Your Trucking Company

Efficient fleet management is vital if you want to stay on top of clients’ demands and keep your drivers productive. This means that you need to optimize your route plans, make changes where necessary, minimize expenses for your trucking company, and keep the clients happy.

If you know what it takes to make this happen, it’s not impossible or overly difficult. With that in mind, let’s go through the tips on how to avoid these troubles.

1. Invest in a Smart Logistics and Trucking Software

Managing a number of trucks and drivers is not something you can do manually and on your own. There’s simply too much to do if you want to do this effectively, so first and foremost, your trucking business needs good software to streamline it all.

There are many resources such as Fleetio’s logistics and trucking software, uptake, and verizonconnect available that can help you hammer down on your fleet’s inefficiencies. Use it to manage your truck and logistics operations in a secure, centralized tool.

This software can be paired with ELD providers and track everything from fuel and maintenance expenses to your drivers’ locations.

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A lot of the time, manual fleet management is inaccurate, not to mention time-consuming. Tools for fleet management can cover all aspects and use AI to keep track of everything.

You can use the software to create the best delivery routes, keep track of your drivers, deliver more accurate ETAs, and save on fuel consumption and truck repairs.

The interest in smart trucking software is growing at an incredible rate. In 2021, 45% of 1,200 fleet managers and executives in the US achieved positive ROI in 11 months thanks to fleet management software solutions. Essentially, fleet software can help you do the following:

• Manage all of the fleet data in one place. This will enhance efficiencies across your operation, and allow you to stay connected with drivers and informed of changes at all times.

• Manage your preventive maintenance workflow. Trucks that need repairs don’t just add up to the expenses - they also result in downtime. This is not good news for any trucking company.

  
  

  Fleet management software will help you tailor your maintenance workflow to the needs of your mobile asset. It will schedule preventive maintenance and track your vehicles to ensure that everything is working well.

• Remote fleet management. Managing a company’s operations remotely is a big trend these days, and it’s one of the biggest trends in fleet management. Not only will you be able to keep track of everything in one place, but you can do this from any location and at any time.

  
  

  Many of the issues in fleet management require immediate action, and these tools make it possible.

• Clear and actionable data. These tools will track everything from vehicle mileage to average speeds. This data will tell you which routes demand the most fuel, how well your drivers work, etc.

  
  

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2. Keep Tabs on All Drivers in Real-Time

Thanks to GPS technology, fleet managers can now track maps that follow the progress of each delivery route in real-time. In other words, you can stay informed on where your driver is at any moment.

There are more ways in which you can benefit from GPS:

• No miscommunication with your drivers

• Your drivers can avoid getting lost

• You can track the drivers’ performance

3. Upgrade to Safer, Fuel-Efficient Trucks

Upgrading your vehicles is costly, but it can save you a fortune in the long run. Newer truck models are designed for fuel efficiency, are more durable, and have higher mile-per-gallon ratings than their older versions. This means that you’d be saving on fuel and repairs.

4. Automate the Route Planning Process

The National Highway Traffic Safety Association in the US reported that 22% of crash reports were brought down when companies implemented AI in route planning. They used it to detect heavy traffic, roadblocks, intersections, and more.

It won’t just make your routes smarter - it will also make your days easier. Route planning usually takes hours if done manually. Automation will make this instant, and it will implement changes in real time.

Automated route planning is also beneficial when your trucks are transporting heavy loads. This way, they can avoid roads with weight limits or low bridges they cannot cross.

5. Use Data and Analytics for Decision-Making

Only 23% of fleet companies say that they use data analytics to make decisions in their company. This is a huge missed opportunity, one that you can use to your advantage.

At the end of the day, information is your best tool to improve the performance of your fleet. You need the information to select the right routes, optimize the work of your drivers, and make strategic decisions that will improve the efficiency of the trucking company.

Big data can come really useful when you want to check how your drivers are working. You can collect data on their average speed, breaking speed, idleness, and average fuel costs.

This will tell you which of your employees deserve praise and rewards, and which need further guidance and training.

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6. Schedule Preventive Maintenance to Reduce Downtime

When trucks aren’t maintained regularly, they break down and need repairs. These cost time and money and are the main cause of fleet downtime. To reduce fleet downtime and keep your trucks on the road, schedule preventive maintenance regularly.

Tracking your fleet can be very useful for this. The data you collect will tell you when each vehicle is scheduled for maintenance, as well as help you detect small issues before they turn into big ones.

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Is Your Fleet Management the Best It Can Be?

If you skip any of these steps in your fleet management, you are not doing your best. These tips ensure that your trucking company runs with minimal expenses and maximum success.

Go through the list one by one and make sure that your trucking company has the most organized, smartest strategy for work.