220 banner ad

4 Key Benefits of Having a Fleet Sustainability Strategy

| December 22, 2022

PDI Technologies shares how investing in sustainability now can lead to long-term wins and opportunities that payoff in the future

Sustainability is a big buzzword these days, but for good reason. According to PDI Technologies’ 2022 Business of Sustainability Index, two-thirds of Americans agreed that a company’s environmental friendliness impacts their purchase decisions. As a fleet manager, your approach to sustainability not only has an impact on the environment but also on your brand’s reputation, customer loyalty, and operational costs.

In the U.S., 27 percent of the greenhouse gas emissions come from the transportation sector, primarily from cars and trucks. Moreover, 21 percent of the world’s largest public companies set net zero emissions targets with more companies announcing new emissions targets everyday.  Tracking and reducing emissions will become pivotal for fleet managers who want to keep and acquire business from customers who are concerned about the environmental footprint of their supply chain partners.

Implementing and maintaining a sustainability strategy for your fleet doesn’t happen overnight and it will take time and an ongoing commitment from all those involved. However, the benefits of investing in sustainability now can lead to long-term wins and opportunities that payoff in the future. Below is a list detailing 4 key benefits a fleet sustainability strategy can bring to your organization.

  1. Becoming a ‘good cause’ brand

It’s no secret the power public opinion has on a business, especially in the era of social media, so companies have to be proactive in mitigating situations that could open them up to public scrutiny. If you’re seen as doing good, people can perceive your company as a “good” brand and will want to do business with you. If you’re seen as contributing to a global problem, like air pollution, your company can be seen negatively and potential customers could avoid doing business with you. Unfortunately, cars and trucks do release carbon dioxide into the atmosphere, and these harmful emissions do damage, but with a sustainability strategy, you can lessen the impact.

Focusing on ways to reduce and offset your company’s carbon footprint — a key element to any sustainability strategy — enables you to take an active role in addressing your fleet’s emissions. Being transparent about the work you’re doing in this area not only shows customers and stakeholders that you care, but it elevates your brand against the competition. 

Taking action that’s motivated by a good cause, like the environment, sharpens your brand image and enhances your appeal for consumers who are shopping around for the type of services you offer. You’ll stand out, in a good way, with a sustainability strategy.

  1. Building loyalty

Having a brand that’s committed to making positive environmental change does more than just shape your image,it can increase customer loyalty. That’s because companies and individuals alike want to work with others who share their values, and working towards the same goals strengthens your connection with your customers. A survey conducted by TELUS International found that brands that support community causes, offer environmentally friendly products, and have strong Environmental, Social, and Governance (ESG) policies are likely to have more brand loyalty especially among younger customers.

You’ll not only appeal to environmentally conscious customers, but also employees who share these feelings. A sustainability strategy can engage employees, enhance morale, and help attract the best talent to your organization, building loyalty in places you hadn’t anticipated. 

  1. Giving back in a new way

Taking responsibility and reducing the environmental impact of your business demonstrates to stakeholders that you are committed to protecting the planet and the communities you serve. It is also a natural extension to the many meaningful ways companies may already be giving back via various charitable causes.

For most fleets, the primary environmental impact will be tailpipe emissions, and a key objective of any sustainability strategy will focus on ways to reduce this impact. The tools at your disposal are:

1)     Improving efficiency, and in turn reducing consumption

2)     Fuel switching to options with a smaller carbon intensity

3)     Investing in zero emissions vehicles (ZEV)

Some of these tools present near-term solutions while others will be part of a long-term plan. One option to address remaining, unavoidable emissions in the current term is using carbon offsets to balance out your carbon footprint. These carbon offsets allow you to take immediate action and invest in projects that create positive environmental and social outcomes. 

Companies like PDI Technologies offer turnkey sustainability solutions specifically for fleet and mobility companies. They work with companies to help them measure the tailpipe emissions of their vehicles and then offset up to 100% of the carbon emissions through certified and high-quality carbon offset projects. These projects are verified by third-party organizations to ensure they meet industry standards, and moreover will often create jobs and improve the surrounding community. 

  1. Cutting operational costs

Although the focus of fleet sustainability is reducing vehicle emissions, a welcome byproduct of these efforts is the opportunity to make your operations more efficient. This has the added advantage of bringing down costs, and not only for fuel and maintenance.

For example, if you modify routes so vehicles are driving less your fuel costs will go down, but so may your hourly labor costs. Major repair costs may also decrease as a result of performing routine maintenance. You can download PDI Technologies’ Fuel Efficiency Guide for more tips your drivers can use to improve fuel efficiency. 

If you opt for hybrid or all-electric vehicles, there may be a large upfront expense to convert, but in the long run lower fuel costs should yield a better total cost of ownership.

Other than fleet operations, operating expenditures like electricity used at office buildings and warehouses could be a future part of your sustainability strategy and lead to more cost savings, so it’s important to keep those in mind when you are in the planning phase.

Seeing is believing

There are so many large and small benefits to implementing a fleet sustainability strategy that they can quickly add up to huge long-term gains for fleet managers. To access more fleet sustainability resources, like the Fleet Sustainability Guide & the Fuel Efficiency Guide, check out PDI’s Resource Center. There you will find plenty of free resources and tools to help you on your sustainability journey and bring you one step closer to turning your fleet into a vehicle for positive change one mile at a time.

Category: Electric Vehicles, Engines & Drivetrains, Equipment, Featured, Fuel & Oil, General Update, Green, News, Shop Stuff, Tech Talk, Transit News, Vehicles

Comments are closed.