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The changing game of fleet management: say hello to the new mobility manager!

By
Alice
June 27, 2020

Evolving transportation, happier employees


One thing is clear: the way we get around is fundamentally changing. As we discussed in our mobility budget webinar, more and more companies understand that transport isn’t just a matter of getting from A to B. It’s about choices that match employees’ personal lifestyles and the ways they feel most comfortable moving around. The corona crisis is accelerating shifts in user preferences, creating more demand for sustainable options and contact-free modes of travel.

Transport is evolving at a breathtaking pace, with new options from self-driving cars to air taxis that seem right out of a sci-fi novel. We may not be flying to work just yet, but we do know that the privately-owned car is losing its place as the default commuter vehicle for urbanites. Instead commuters are drawn more and more to environmentally friendly electric and shared vehicles. Car pools, ride hailing and car sharing are combined with walking, cycling and public transportation as the main modes of transport. Forward-thinking companies are integrating these options into their mobility offerings in order to attract eco-conscious millennials, who are quickly becoming the majority of the workforce.

They have a new role as part of a holistic employee engagement strategy, where success is measured by employee happiness.

To keep up with these changes, the traditional fleet management department is shifting to HR as part of compensation and benefits management. They have a new role as part of a holistic employee engagement strategy, where success is measured by employee happiness. It’s no longer about offering the company car as a perk but rather offering a mobility package that gives employees the freedom to choose what transport options work best for them.


Mobility management: keeping up with the technological times


Does this mean that fleet managers are all going to take on a lot more HR tasks? Yes and no. We’re seeing the creation of a new term that covers much more than just managing a fleet of vehicles: mobility management. More and more people are choosing not to own their cars, and businesses have to change to meet new transport preferences. Fleet managers are changing their focus from managing fleet vehicles to managing a wide range of sustainable transport options as mobility managers.

The concept of mobility management is part of a shift towards Mobility as a Service (MaaS): a customer-centric, on-demand transportation model which integrates all forms of transport into a single service. MaaS providers focus on influencing and arranging employee transport choices, including shared transportation and more environmentally friendly cars. The newer generations of employees place a higher value on sustainability and don’t equate mobility with the company car. This shift in preferences is something we can’t ignore, and of course has an enormous impact on the fleet manager’s role. Mobility managers have started to harness the MaaS model to meet evolving preferences and changing regulations in tune with societal trends.

New technologies are facilitating new shared mobility options accessible via smartphone in the form of peer-to-peer sharing platforms and on-demand transportation.

MaaS is driving sustainable change in mobility. It is facilitating the shift to low-carbon options, pushing the market from privately owned cars towards public transport and sharing services. These innovations are helping decrease global emissions and increase resource efficiency. None of this would be possible without the technological revolution supporting it. New technologies are facilitating new shared mobility options accessible via smartphone in the form of peer-to-peer sharing platforms and on-demand transportation. The MaaS ecosystem also includes mobility apps that enable seamless multimodal journeys, allowing users to efficiently combine various means of transport.

That’s of course where Skipr comes in: we make it easy to switch between micro-mobility options and public transportation, showing users the most efficient routes and integrating instant payments. Company budgets can be applied to new mobility plans in a transparent and hassle-free way — all in one single app! By streamlining booking and administration, we make sustainable transport more accessible for employees and less complicated for employers.


The new mobility manager in action

So what does the broader role of the new mobility manager mean in concrete terms? First and foremost, it’s about staying on top of changes in employee preferences, societal ambitions and advocating for sustainable options. Instead of lagging behind the evolution towards sustainable options, mobility managers have to stay ahead of the game and help shape mobility preferences. Mobility managers can do this by connecting with HR and the company’s vision on corporate social responsibility as well as gaging employee needs. They can go beyond improving on the status quo and come up with a whole new mobility package providing custom solutions for employees in line with company priorities. By being knowledgeable about the full range of transport choices, mobility managers can help businesses make smarter decisions and become more cost-efficient.

With the right data management, shifting to TCM can mean lower costs, more sustainability and happier employees.

Being a mobility manager also demands a greater understanding of mobility costs. On top of fleet management knowledge including fleet performance and operating costs, mobility managers need to calculate the full cost of the journey, including hidden overhead like business expenses, fuel and mileage, and operational costs. Soon it will become apparent that the costs associated with company cars go far beyond leasing. The total cost of ownership (TCO) of maintaining a fleet of vehicles is expanding into the total cost of mobility (TCM). TCM connects the dots and gives a complete overview of costs, including the integration of new technology and sustainable options. Fleet management software as well as mobility platforms like Skipr help streamline mobility operations and reduce fleet maintenance costs. With the right data management, shifting to TCM can mean lower costs, more sustainability and happier employees.

One of our clients decided to give their employees the shared bike access they had asked for. The problem was they had no idea how often their employees were using this service and whether the cost was worth it. The costs were dispersed throughout the organisation, and nobody had a clear view of how much was being spent on what. This all changed thanks to Skipr: our app lets companies track usage and save thousands of euros. All our client has to do now is give their employees a budget to spend on Skipr, and we take care of the rest. At the end of each month they get a complete overview of every expense. And the employees? They’re happier than ever because they got so many more mobility services than they bargained for!


Source BIS Research:
https://bisresearch.com/industry-report/mobility-service-market.html

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