As the Chief Executive Officer of a large company, you don’t have time to dive into every little factor affecting your business. These matters are mostly handled by management, with your Chief Operations Officer providing day-to-day oversight. This allows you to focus on the bigger picture.
With that said, the CEO is responsible for the rise and fall of a business organization. That means there’s pressure on you to ensure the moves made by management are the right ones. Generally speaking, this involves a process of approval.
For CEOs presented with plans to overhaul the company’s fleet, it’s easy to take a cursory look at the details before providing your stamp of approval. If the fleet manager has confidence and your COO is on board, it must be a good plan.
Or is it? The job of a CEO requires a willingness to keep an open mind regarding major changes to the company. An overhaul of your business fleet is no exception.
With this in mind, let’s take a look at six questions to ask before authorizing a business fleet overhaul:
This should be the first question every CEO asks when scrutinizing a transformative proposal. When it comes to overhauling your business fleet, make a point to ask what’s driving the alleged need for an upgrade. Are the current vehicles becoming too expensive to repair and maintain? Is there a safety concern to consider? Are there complicating factors, such as a company declaration to shift to more sustainable practices? The decision to upgrade your business fleet comes down to whether or not it’s necessary.
Will the business benefit from an upgrade to new vehicles and fleet management? From cost savings to improved safety, there are several reasons why a fleet overhaul will prove beneficial. But it’s essential to get to the bottom of these benefits before authorizing the change. The proposal should have a clear and simple breakdown of these benefits backed by hard evidence.
You’ve decided there’s strong evidence pointing to the need for an overhaul. Do you blanketly endorse the plan as it exists? You could, but you’d be passing up a golden opportunity to steer the overhaul in the direction of the overall company vision. For instance, should the new generation of fleet vehicles be gas-powered or electric? There are pros and cons to both, with gas-powered cars providing short-term affordability while electric vehicles are the way of the future. It might be the right time to make the switch to EVs, but you won’t know until you dig into the details.
Is your fleet management in-house? If so, it might be a good time to consider the possibility of outsourcing to a third party. For instance, if switching from gas-powered cars to EVs, you might realize electric vehicle fleet management is better going forward. The debate is flipped for companies who’ve outsourced fleet management for years; if the business is significantly larger than it was when the original contract was written, it might be time to develop an in-house fleet management process.
Here comes the fun part. As CEO, you get to decide which makes and models work best for your business fleet. While the expertise of your fleet manager should be factored into the decision, you have the final say on whether or not your company invests in one type of vehicle or another. It might come down to cost. It could also depend on quality and performance.
Some companies benefit from having branded fleet vehicles driving around town. Others prefer their fleet vehicles to remain unmarked and unassuming. Which is best for your company? What you had before might not be what’s best going forward. For instance, if your company has become increasingly synonymous with a popular advertising campaign character, it might be a good idea to have vinyl wrap graphics of that character applied to the outside of fleet vehicles.
Is your company preparing to overhaul its vehicle fleet? If so, it’s essential to ask the right questions. Doing so puts your company in the best position possible to make the most of an infrequent opportunity.