What are the real benefits of industry comparisons?
As a fleet manager, you are constantly looking for ways to improve your operations and cut down on costs and waste – all while staying ahead of the competition. This can seem simple in theory but without the data to show for your key metrics, any improvements are impossible to quantify. Further, without a real idea of how your industry peers are performing, it’s impossible to know where you stand in the bigger picture.
This is where industry comparisons prove to be a powerful tool.
Industry comparisons involve analyzing your fleet’s performance metrics against industry benchmarks. Essentially, this means comparing your fleet to industry peers for a more accurate, apples-to-apples comparison. If you’re a utilities fleet this means comparing only to other utilities fleets, municipality fleets to other municipality fleets and so on.
This process empowers you to find areas for improvement and gain a competitive advantage, all in a way that is data-backed and not based on guesswork. Let’s take a closer look at some of these benefits.
4 benefits of using industry comparisons
Identify Performance Gaps: By directly comparing your fleet’s performance against industry competitors, areas where you are under or overperforming quickly become apparent. Are you spending far more in maintenance than the industry norm? Is your fleet consuming less fuel on average than your peers? Being able to investigate these insights further is key to creating an effective fleet management strategy and knowing exactly which areas need to be targeted.
Gain a Competitive Advantage: Being able to confidently identify areas where you are outperforming the industry can be invaluable. You can highlight these strengths to customers and stakeholders and give your fleet a competitive edge. For example, if your fleet is emitting half the GHG emissions of your competitors, you can use this to differentiate your fleet and stand out for your sustainability achievements.
Set Measurable Goals: The saying that “you can’t manage what you can’t measure” is true in all businesses. If you don’t know how you are performing in the first place, any goals to improve are meaningless. By comparing your fleet performance to the industry benchmark, however, you can set goals that are achievable and in line with standards. From there, you can track progress and make necessary adjustments in order to achieve your goals.
Understand Trends and Best Practices: Industry benchmarks can help you to understand the direction that your peers are moving in. Are more fleets giving up their ICEVs for EVs? Are alternative fuels becoming more common amongst your peers? Stay in-tune with emerging trends in order to decide what’s best for your own fleet.
The bottom line
In conclusion, industry comparisons are beneficial for fleets in a multitude of ways. No matter your specific goals, knowing where you stand amongst your peers can provide invaluable insight. Utilimarc’s Benchmarking application for fleets gives you the power to compare your performance against data from over 15 years of diverse fleets. The payoff is that you walk away better informed, with clearer expectations and a sharper idea of where you need to improve.
Industry comparisons should be an integral part of your fleet management strategy and used on an ongoing basis to ensure you are continuously improving and staying ahead of the competition.