Consulting Tip #2

Completing a Fleet Audit

Not as easy as it sounds, very difficult if you have a large fleet, but certainly an absolute necessity which will lay the foundation for a well-managed fleet.

Let’s start with the required end result because that will inform the process to be applied.

Requirement:

• An accurate list of all vehicle assets that you own and manage
• A detailed list by Reg number, make, model, accessories, year model, engine no, VIN, last known Kms and date.
• Condition by Reg number; on road, out of service, accident damage, awaiting sale, sold and managed (e.g. allowance vehicles where the organisation pays for fuel)
• User departments and /or allocated driver
• Photographs of each asset

If you don’t have confidence that you can easily and accurately compile a fleet register then we suggest the best place to start is to secure all registration numbers of vehicles that are believed to be owned or managed by the company / organisation. This list will probably exceed the actual vehicle count but it will lead to an administrative “clean up”.

These can be obtained from:

1. Vehicle registration documents, which will provide much of the required info.
2. eNatis register from the licensing authorities
3. Company’s asset register
4. Fuel card and maintenance records
5. Toll records
6. Insurance register
7. Tracking / Telematics register
8. HR records of vehicles on car allowance

Then consolidate the complete list of reg nos and then identify all unique numbers. Add to each vehicle record the details listed in points 1 – 8 above. Identifying recent registration, maintenance and fuel activity will give you confidence that the vehicle is active. Find out where it is; inspect and photograph it and create the vehicle record.

The challenge of course is those registration numbers where you have little or no known details. This is the hard work. Check for;

• Obvious typo errors and administrative mistakes in reg nos and asset registers
• Changed reg no between provinces
• Written off vehicles - check with insurer
• Sold vehicles where the administrative process has not been completed
• Car allowance vehicles of new  employees and those who have left the company
• Vehicles returned to leasing companies or long term rentals

This will in part clean up the administrative holes but be assured there are still some unresolved issues where a management decision will be needed.

Special note should be given to vehicles that are still registered but no longer part of your fleet. Apart from the operating risks you may be exposed to significant penalties for non / late payment of license fees.

Give a copy of your fleet register to your finance team. It’s important that asset register and fleet register are the same.

This finalised fleet register will become the starting point for a quality fleet management system.

Have a question?

Contact Nigel Webb - Latitude Fleet Services - nigelw@latitudefleet.co.za