Follow our step-by-step guide on how to best manage ground transportation costs

GROUND transportation, particularly the use of chauffeur, executive cars and taxis, is so often overlooked in favour of other perceived higher spend and easier to tackle travel categories. It’s a very emotional area, with a potentially high risk of resistance to change, and it’s a complex and time consuming area with a perceived low return and success rate. How to begin is also off-putting, so we’ve done it for you!

STEP 1: Gather data. Undertake an initial diagnostic to better understand spend, the number of suppliers being used, wastage and potential abuse of the service. Understand who the current incumbent suppliers are and if there are contracts in place. Also ascertain volume, list regular travellers and their key journey profiles and times of travel. Understand current booking and payment methods.

STEP 2: Clarify the reason for the review and develop a project scope. Create a robust project plan setting out achievable and realistic milestones and objectives. A key question will be, ‘Are the right vehicles being used for the right journeys?’ There will often be executive or even internal chauffeurs fulfilling journeys in central London postcodes, for example – a journey that should be undertaken in a black taxi or a green hybrid car.

STEP 3: Review new technology options. There are a number of independent technology options that deliver a total car management service, where everything from on-line booking, payment, reporting, vendor management and customer service resolution are dealt with. Deploying a technology solution may well be driven by volumes.

STEP 4: Ensure you have ‘buy-in’ and support from the very top. Include representation from end users and bookers as well as HR, environmental, legal and operations.

STEP 5: The RFP. Undertake the tender process ensuring you include very specific questions that, after evaluation, will quickly filter out those suppliers who can and cannot realistically achieve your business objectives.

STEP 6: Develop robust business rules, particularly around the allocation of the right vehicle for the right journey model. Dependent on the culture of your business you may also look to implement a tiered service to include say, a premium and standard offering. Encourage car sharing, achievable with support. This is where an independent management system can really help to support compliance.

STEP 7: Choosing suppliers. Include green or hybrid car supply. There are green car suppliers now operating and some of the existing executive car companies have introduced hybrid cars into their fleet. Negotiate a transparent pricing model across all suppliers to avoid hidden charges.

STEP 8: Contracts. Ensure service level agreements and contracts are agreed, signed and in place before the service is launched, and that the business is absolutely ready before any new service goes live.

STEP 9: Communication. Let all your travellers know of the changes, on a regular basis, and organise any training that they may require.

STEP 10: Be aware of the new Working Time Directive legislation. Drivers’ 48-hour-week opt out expires in 2009. Most drivers will generally be working a five-day/60 hour week, but this might change and could provide a challenge for car companies and chauffeurs in managing their driver hours.

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