How does fleet risk management work, and is it necessary?
The cost of running a business cannot be overstated. It looks like a lot of your work is keeping the books in order, from the costs of your supply chain to little recurring costs like supplies, heating, and electricity.
As a result, we are all guilty of cutting costs to boost revenue growth. However, even though many of these cuts are smart, is it a good idea to cut back on fleet risk management if you have a fleet of vehicles?
However, what exactly is fleet risk management and why do you actually require it? The answer is no. Peruse on to find out.
How does Fleet Risk Management work?
In its most fundamental form, fleet risk management is the process of ensuring that every employee driving a company vehicle for your company is insured, safe, and aware of any road hazards.
It reduces fleet costs, helps keep drivers safe while they are driving, and ensures compliance with the law. But why is neglecting fleet risk management against the law? It has something to do with… Your Duty of Care in some small way.
Your Obligation of Care.
If you own a business, you probably know that you have a responsibility to your employees to keep your workplace safe. In doing as such, you should attempt to forestall wellbeing takes a chance from happening and train staff to manage any peril which is probably going to happen.
However, you may not be aware that your duty of care extends beyond your welcome mat to any location where your employees will be working, including your fleet vehicles. In actuality, this implies that you are legitimately committed to guarantee that your staff are appropriately prepared and mindful of possible dangers. Inability to do so can bring about you being responsible for any mishaps that happen – something no one needs.
You need to focus on three main aspects of risk management. These are:
Driver.
· Driver checking and choice.
·Procedures for induction
·Licensing checks
·procedures for reporting accidents.
Vehicle.
·Vehicle compatibility
· Vehicle inspections and maintenance.
·Security for the vehicle.
Journey.
· Venture arranging.
·Managing driver exhaustion.
·Management of speed
·Travel style.
Working with a third-party fleet risk management company is always a good idea because it will guarantee that you are 100% compliant with the law and that your employees receive the necessary support to do their jobs well.
