Service, maintenance and repair (SMR) issues mean that fleets are facing excessive vehicle off-road (VOR) time, the Association of Fleet Professionals (AFP) is reporting.
Paul Hollick, chair, said AFP members buying SMR were regularly reporting a range of problems. Some of these, such as parts supply, were felt to be outside the control of suppliers – but others, including levels of communication, were more disappointing.
“Garages and workshops – from small independents to franchise dealers and repairer networks to fast-fits – are facing similar problems to almost every other part of the motor industry. Getting hold of many parts is difficult while finding trained staff is challenging. These facts are having a direct impact on fleet VOR times and are not the fault of suppliers.
“However, other aspects of dealing with SMR at the moment are more frustrating. Simply getting the attention of suppliers to book in work and resolve any issues that are being encountered can be difficult, especially when it comes to manufacturer warranty work.
“A key annoyance is that if vehicles are booked in for a number of SMR jobs, they are often being handed back with just the easier ones resolved and excuses made for anything more complex, along with advice to make a new booking and no dates available in the near future. There is a feeling within the AFP that often a real intention to tackle bigger jobs is limited.”
Paul said that the problem was especially acute because so many fleets had been forced by new vehicle supply issues into operating often significantly older cars and vans.
“On older vehicles, it is almost unavoidable that more SMR is needed and often bigger jobs, too. This means that fleets are now very much reliant on garages and workshops on a day to day basis when it comes to minimising VOR. Being able to count on them doing what they say they will do is essentially an operational necessity.
“At the AFP, we recognise that, to an extent, SMR suppliers are often firefighting in the face of demand and are placed in a difficult situation when it comes to meeting fleet customer needs. However, more straightforward conversations and a more reliable approach would certainly be much appreciated by our members, we feel. What they find frustrating are situations when they are left without a vehicle that they were expecting to be repaired and have to scrabble around to find a replacement. It creates difficult situations.”
PLACES FULL FOR AFP 2023 CONFERENCE WITH THREE WEEKS STILL TO GO
With three weeks still to go, all places are now full for the Association of Fleet Professionals’ (AFP) 2023 annual conference,
In total, 300 AFP members have signed up for the event, which takes place at The British Motor Museum, Gaydon, on Wednesday 17th May, and will focus on practical advice for fleets facing a range of current issues.
Sessions will be chaired by AFP board members and cover subjects including managing supply matters, dealing with the rising costs of leasing and rental, managing an aged fleet, reimbursing drivers of electric vehicles, and optimising van fleets while gearing up for electrification. There will also be a live training exercise involving everyone at the conference on Engaging stakeholders with future fleet policy.
Paul Hollick, chair at the AFP, said: “While this is just the second AFP annual conference, it already feels like a well-established part of the fleet calendar and the number of members who have signed up to attend is a firm confirmation of its value and importance.
“We’re still receiving requests all the time for places, so have opened a waiting list, which can be accessed online but, to all intents and purposes, the event is already full with three weeks yet to go.”
Paul said that the approach adopted for the conference had been chosen based on an need expressed by many fleet managers to access practical guidance that would have a direct impact on immediate, day-to-day issues.
“In recent years, much attention has been given by the fleet sector to big, strategic subjects such as electrification. These are obviously very important but many AFP members today are instead mainly looking for advice and assistance on how to deal with a whole series of current, practical challenges.
“The ongoing impacts of everything from the pandemic to the current economic crisis means fleet managers are today facing a multitude of difficult issues for which there are often no easy answers such as rising costs across the board, ongoing supply difficulties, and the ageing of their existing cars and vans.
“At next month’s conference, we’ll be tackling as many of these subjects as possible, with a focus on pragmatic solutions that have been proven to work, explained by leading fleet managers and industry experts from across our sector. We want delegates to leave with ideas they can put straight into action.”
The headline sponsor for the AFP conference is Mina and Ashley Tate, CEO, said: “The sense of collaboration and desire for electrification was so strong at last year’s conference that there was no question that we wanted to be involved again this year.”
AFP members can register for the conference waiting list at https://www.theafp.co.uk/conference-2023/.
A new electric vehicle (EV) mileage cost calculator has been created by the Association of Fleet Professionals (AFP) to help with accurate reimbursement of company car drivers.
It shows potential pence per mile costs for more than 70 models, comparing a variety of home and public charging tariffs in a variety of weather conditions against the current nine pence per mile Advisory Electricity Rate (AER) rate from Her Majesty’s Revenue and Customs (HMRC).
Paul Hollick, chair at the AFP, said: “This answers a very real need from fleets for information about real world EV charging cost performance, given the variance that exists between what is being paid for electricity and how efficiency changes at different temperatures.
“We expect members to choose to use the information in several ways. The first is simply to look at the mileage costs of different EVs and use the figures to inform future decision making, especially which models should be included on choice lists.
“Secondly, it should also support arguments to encourage more home charging and less use of public facilities, showing just how much this impacts on costs on a per vehicle basis.
“Finally, and perhaps most importantly, it will help to enable more accurate reimbursement of drivers for charging. While the increased nine pence per mile AER rate is an improvement, the calculator does show conclusively how it easy it is for this figure to be exceeded in any number of circumstances. We already have several AFP members who are paying substantially more that AER in order to reimburse employees fairly.”
The calculator has been created by AFP member David Watts of Volkswagen Financial Services | Fleet and plans are underway to make the data it produces widely available across the membership body.
Paul said: “This is a good example of how the huge expertise that is available within the AFP can help to create new and innovative tools that immediately help to improve fleet management best practice.”
David Watts, Fleet Product Manager at VWFS Fleet said “Having been instrumental in raising the issue of the Advisory Electricity Rate (AER) and its appropriateness from a fleet perspective, back in 2020 (when it was £0.04), it was good to explore this further with the AFP.
The exercise demonstrated the significant variance in energy consumption across the EV range, coupled with the huge variance in energy costs, depending where and when you charge up – from home and off-peak, all the way through to ultra-rapid charging – together with seasonal variations. This insight was then compared with the HMRC’s AER business mileage reimbursement to develop a more effective tool to support accurate EV charging reimbursements.
Importantly, the new tool will enable fleet managers to more accurately calculate fleet charging costs, ensuring reimbursement strategies are fair for drivers, incentivising the switch to EVs in line with the government’s wider sustainability agenda.”
Fleets are starting to take the efficiency of different electric vehicles (EVs) seriously thanks to increases in the cost of charging, says the Association of Fleet Professionals (AFP).
Paul Hollick, chair at the AFP, said the gaps between the most and least efficient EVs were striking, and that fleet managers were increasingly swapping information on which were delivering the best figures in real world conditions.
“When EVs started arriving on fleets, fuelling them cost just a fraction of a petrol or diesel vehicle, so there was relatively little attention paid to which had the best miles per kWh figures. However, the price rises seen in the last year or so, with some on-the-go charging costing as much as refuelling an ICE car or van, means that is no longer the case.
“Increasingly, fleets are taking a lot of notice about which EVs are the most efficient, They are spending time analysing which fall within reasonable parameters and which don’t in exactly the same way as they have done with ICE cars for many years. That means working out whether the problem lies with the vehicle, the route or the driver – and taking appropriate managerial action.”
Paul said that fleets were even starting to remove EVs with the worst figures from choice lists and sometimes incentivising drivers to choose the most efficient options.
“It’s widely reported that some widely-used EVs are struggling around the two miles per kWh mark while competing cars can deliver almost twice that figure. These are significant differences that, with current electricity pricing, can have a genuine effect on running costs.
“Certainly, some manufacturers are starting to get reputations for EV efficiency while others are seen as the opposite, and choice lists are being modified accordingly.
“Of course, efficient EVs also make AER repayments more realistic, with the new nine pence per mile rate much closer to the amount being paid by drivers of more efficient EVs who charge at home.”
A new training course launched by the Association of Fleet Professionals (AFP) aims to make women’s voices heard in the fleet industry.
Launched today, on International Women’s Day, the new course is called “Accelerate – Women’s Voice in Fleet” and will give delegates the tools to speak confidently and clearly in public, whether in a meeting, one to one, at a conference or taking part in a webinar.
AFP Board Member Lorna McAtear said: “We have many talented and otherwise confident women within the AFP and the fleet sector in general who, we have found, are not keen on public speaking. This came to light last year when we were planning our 2022 conference and invited several women to speak but found that many were reluctant to do so.
“Women’s voices are under-represented at fleet events in general and we want to help encourage women to share their knowledge, experience and ideas publicly because we believe strongly that the industry would all benefit from hearing and learning from them.
“We’d like to help change this situation and the course aims to provide women in fleet with the tools to step forward and be confident about expressing their views whether in a team meeting, board meeting or more publicly. If possible, we’d like some of the people who take part to become participants in panels for our AFP Conference, which is taking place in May.”
The course lasts two days and is being held on 19-20th April at The British Motor Museum, Gaydon. Modules cover subjects including confidence, courage, clarity and content.
Lorna said: “We appreciate that stepping outside of your comfort zone requires bravery and the course is designed to create a supportive environment. We want all women fleet professionals to be able to make their voice and views heard, sharing with them a toolkit that makes public speaking a skill that can be learnt, honed and repeated.”
Course details can be found at https://www.theafp.co.uk/product/accelerate-womens-voices-in-fleet-19th-20th-april-2023/.
A revised Tax and Regulation Manifesto is being launched today by the Association of Fleet Professionals (AFP) ahead of the Spring Budget on March 15.
The first edition of the document was created almost two years ago and the new version has been expanded from 13 to 21 points. Key items added include greater support for electric vans, the introduction of a chargepoint regulator, alignment of public charging VAT with home charging at 5%, tax breaks for hydrogen use and the support of community charging projects to encourage local charger installation.
Paul Hollick, AFP chair, said: “As a campaigning industry body, the Tax and Regulation Manifesto represents the AFP’s core thinking. It is designed to focus on practical ideas, ranging from quite small detail alterations to major strategic shifts, around which we believe that change or definition is required to enable businesses to move forward with their fleet and mobility plans faster and more effectively.
“Our 2021 Tax Manifesto was successful in that our number one request – to provide more information about future benefit-in-kind taxation – was achieved last year almost exactly in line with our thinking. We believe this very much shows that the government is listening to the fleet sector and we are hopeful that some of the ideas that we suggest here will ultimately be adopted.”
Paul said that the manifesto was the result of several months of work by the AFP’s Future Mobility Steering Committee.
“We’ve been having wide-ranging discussions with our members and other interested parties about developing our original ideas in areas where we believe that the taxation of fleets and mobility needs changing or developing in order to create effective incentives, greater certainty and more fairness.
“Of the 21 points we suggest, several could be implemented quite easily, almost at the stroke of a pen. Others, such as the need for discussions around a road tolling plan, are very much strategic and part of longer-term shifts in policy.
“The results, which we believe are constructive, realistic and thought-provoking, are contained in this document. We’re releasing the manifesto now, just ahead of the Spring Budget, because this is when discussion around policy and fiscal measures affecting fleets are at their peak. We want the document to spark as much discussion as possible.”
The manifesto can be downloaded at Tax Manifesto 2023 (theafp.co.uk) and its 21 points are:
Paul continued: “Most of these points are directly related to the changing shape of the fleet and mobility sectors, specifically the practical issues that we are encountering when it comes to car and van electrification. While we appreciate that the government has achieved much in this area, there remains a lot more to be done, especially when it comes to light commercial electric vehicles.
“What we hope to see now is that the manifesto will be considered by the fleet and mobility sectors and to hear the reaction from all parties who have an interest. It is by no means a fixed document and we are very much open to further ideas and refinements.”
View the manifesto here – Tax Manifesto 2023 (theafp.co.uk)
Practical advice for fleets facing a range of current issues is the focus of this year’s annual conference from the Association of Fleet Professionals (AFP).
Taking place at The British Motor Museum, Gaydon, on Wednesday 17th May, sessions will cover subjects including managing supply matters, dealing with the rising costs of leasing and rental, managing an aged fleet, reimbursing drivers of electric vehicles, and optimising van fleets while gearing up for electrification. There will also be a live training exercise involving everyone at the conference that will explore fleet policy for the future.
Paul Hollick, chair at the AFP, said: “In recent years, much attention has been given by the fleet sector to big, strategic subjects such as electrification. These are obviously very important but, on a day-to-day level, many AFP members in 2023 are looking for advice and assistance on how to deal with a whole series of everyday challenges.
“The ongoing impacts of everything from the pandemic to the current economic crisis means fleet managers are today facing a multitude of difficult issues for which there are often no easy answers such as rising costs across the board, ongoing supply difficulties, and the ageing of their existing cars and vans.
“The purpose of our annual conference is to tackle several of these subjects, with a focus on practical solutions that have been proven to work, explained by leading fleet managers and industry experts from across our sector. We want delegates to leave with ideas they can put straight into action.”
Paul said that last year’s AFP conference, the organisation’s first, had been a major success with more than 250 members attending.
“While this is just the second time we have held the conference, it feels to us as though it is already well-established on the fleet calendar, thanks to the enthusiastic response we received last year. We are delighted to announce that Mina are headline sponsor for the conference and we will finalise the agenda and announce our list of speakers shortly. We’re very much looking forward to the event.”
Ashley Tate, CEO at Mina said: “We are delighted to be AFP headline sponsors for the second year running. The sense of collaboration and desire for electrification was so strong at last year’s conference that there was no question that we wanted to be involved again this year.”
Registration for the conference, which is open to all AFP members, is now open and can be found at Conference 2023 – AFP (theafp.co.uk)/.
Telematics is proving “almost essential” to the adoption of electric vans and job-need electric cars, says the Association of Fleet Professionals.
Stewart Lightbody, vice chair at the industry body, explained the technology was important when it came to resolving two major points – when, where and for how long these cars and light commercial vehicles were charged, and calculating actual amounts where employers were reimbursing employees for charging costs incurred.
He said: “We now have a number of major fleets with more than a thousand electric vehicles (EVs), so there is quite a formidable bank of experience available within the AFP. A key message we are receiving from these members is that in the majority of job-need cases, telematics is proving almost essential to a smooth electrification process.
“It’s a key element in ensuring that the best option is employed at the best time in terms of convenience and range with the aim of minimising charging downtime. For example, many electric van operators are timing charging to coincide with driver’s breaks, using telematics to confirm that employees are rapid charging to 80% and not lingering to trickle charge to 100%. This is seen as the most productive balance of work availability against charging time.
“Others are trying to minimise use of rapid charging, especially on motorways, because low operating costs are an essential part of their electrification objectives. There is generally a wide gap between the cheapest available power – which is usually at home – and the most expensive – normally the fastest commercial charging on motorways.
“Additionally, in cases where there is limited charging provision – such as in remote areas – the technology means that work can be planned around the few facilities that are available, making EVs practicable in places where there might otherwise be difficulties.
“In all of these instances, the use of telematics makes planning and monitoring much easier, showing the location and type of chargers in relation to the vehicle route and allowing charging strategies to be implemented effectively.”
Stewart added that there was also an important role for telematics in tracking vehicle mileage for fleets that used an actual cost method for charging reimbursement.
“While the 8p AER rate introduced last year was much more acceptable for many employers, there remain a relatively large number who recognise that this is not going to meet the costs that some drivers are racking up driving an EV, especially in vans and larger cars. Telematics means that actual costs can be calculated with greater ease, making this kind of reimbursement a more practical proposition.”
AFP members were swapping ideas and observations on EV management on an almost daily basis, he said, sharing their experiences and solutions.
“Electrification is providing a whole series of new opportunities and challenges for fleets and this thinking around telematics is only one fragment of the overall picture. An important advantage of being part of the AFP is the ability to network and access best practice, and this is something that is proving especially important for EV operators at the moment.”
The introduction of an apprenticeship standard for fleet is being investigated by the Association of Fleet Professionals.
In response to demand from the members and the wider industry, the organisation has been looking into the process involved in the creation of an apprenticeship standard and is now inviting feedback from across the sector to gauge enthusiasm.
Paul Hollick, chair, said: “The creation of a vehicle fleet apprenticeship standard could potentially be a huge boost to the industry and help further with formally professionalising roles within our sector. It is an idea with significant appeal.
“However, the size of the task and degree of industry support required should not be underestimated. We at The AFP have the energy and commitment to support employers to drive this forward but the creation of a vehicle fleet apprenticeship programme would need widespread commitment to ensure its success.”
A key part in receiving approval for an official apprenticeship standard requires commitment from a number of companies that they would take on apprentices in order to prove the need and viability for its introduction.
Paul said: “There are many steps in the creation of the apprenticeship but the one crucial to its success is to prove there is a need. This requires what is referred to as a ‘trailblazing group’ of 10-20 experienced fleet employers who will be instrumental in helping to develop the apprenticeship standard and employ apprentices in the first year of the programme.
“This is very much a question of employers putting their money where their mouths are and there would need to be a cohort of businesses willing to both create jobs and put in place all of the support resources and mechanisms that apprentices need.”
However, Paul said, the advantages of an apprenticeship scheme for vehicle fleets were numerous and obvious.
“While there are many highly qualified and capable fleet managers in our sector, supported by training and qualifications available through the AFP Fleet Academy, this is not a profession with a recognised entry route. Having apprenticeships would change that and provide much more of a structured career path into the fleet sector.
“In the future, especially as fleet managers continue to evolve into mobility specialists, an apprenticeship could eventually sit alongside career choices in other corporate specialisms such as human resources and procurement, providing a steady stream of talented individuals.”
Businesses and industry professionals interested in becoming involved in the creation of a vehicle fleet apprentice standard should contact the AFP at [email protected].
New electric van availability could be exceeding diesel, providing an opportunity for light commercial vehicle fleets to seriously consider adopting the new technology, says the Association of Fleet Professionals.
Paul Hollick, chair at the industry body, explained some members were reporting that electric vans were currently available with significantly shorter lead times than diesel equivalents.
“Electric van production is beginning to ramp up quite quickly and while the numbers remain relatively small in overall industry terms, this appears to be creating what are – in current terms – relatively short lead times that can be measured in months.
“As with electric cars, there is a strong possibility that manufacturers are channelling greater resources into electric van production in order to meet corporate emissions targets and this could additionally lead to comparatively strong availability over the next few years.
“What this means overall, we believe, is that now is a good moment for fleets who need vans and who have been deliberating over electrification to think seriously about placing orders. While there are widespread reservations about some aspects of going electric for light commercial vehicles, in many cases it makes more sense to have an electric van and begin managing those issues sooner than to wait longer for a diesel model.”
Paul added that the general AFP view was that although serious consideration needed to be given to the potential drawbacks of electric vans, most fleets could begin to use them relatively easily in at least some applications.
“We worry that widely discussed operational and technical barriers – while they certainly need to be part of any buying decision – are serving to disproportionately hamper electric van adoption across our industry when there remain many operators for whom electrification is a real and viable solution.
“The fact is that in the absence of any other widely available zero emissions technology, electrification is the future for light commercial vehicles so, as a profession, we need to be working to resolve these problems and doing so operationally in the real world is probably the best way forward. Bearing in mind the current supply situation, now is a potentially a good moment for fleets to place orders.”
Paul added that much more government assistance was also needed to speed adoption and help to overcome objections.
“We’ve talked at length in recent months about the requirement for some kind of government support for fleets to acquire electric vans, acting as an equivalent to the way benefit-in-kind has been used to massively boost car electrification. It would really be a help to provide incentives that effectively outweigh any potential problems.”