To put it another way, vehicle fleets are time-consuming and very costly. A fleet key management system can help streamline how fleets operate and even help you reduce the size of your fleet. For example, Real Time Networks recently published a case study about one city that was able to save nearly $200,000 thanks to a KeyTracer fleet key management system in just the first year alone.
Want to find out how? Read on to see how an electronic fleet key management system can help you run your fleet. And learn how the City of Saint John, New Brunswick was able to save so much, so fast.
The City of Saint John saved $155,000 per year using a KeyTracer system for fleet management
In 2016 the city of Saint John knew it was underutilizing its fleet. They could tell that vehicle expenditures were not evenly distributed across all departments, but they didn’t have the data to account for exactly who utilized every vehicle at which rates.
They decided to conduct a detailed analysis of vehicle usage. The City’s Fleet Services Division found that their sedans—the “people movers” of the City’s fleet—were the least driven, at only approximately 8,000 miles per year each. They were also surprised that some sedans were only used for a single appointment per day and nothing else.
The City formulated a plan that would involve consolidating those sedans into a shared pool of vehicles at two central locations. First, they reached out to Real Time Networks to acquire a KeyTracer fleet key management system and then developed a set of standard operating procedures for its use.
City personnel understood key transactions were an effective point for managing how drivers used fleet vehicles. As Kevin Loughery, the Operating Manager for the Fleet Services Division, put it, “keys are our biggest headache. [KeyTracer] gives us data, and data is power.”
With their fleet use procedures in place, it was time to bring their pool of 33 passenger vehicles under the control of the Fleet Services Division. Based on the City’s earlier analyses, Loughery recommended that the City reduce its set of 33 sedans to 22 under a new pooled fleet model.
The Fleet Services Division pulled every vehicle into fleet garages and performed a thorough inspection following a checklist they developed to investigate maintenance concerns identified during their cost analysis. They selected 22 vehicles from the set of 33 to become the new pooled fleet. Those 22 were then moved to two specific parking locations designated with new signage for the fleet pools. The remaining 11 were prepped for auction.
The impact of using a fleet key management system
The impact of pooling fleet vehicles was large and seen right away. The City of Saint John reduced its fleet size and saved over $155,000 annually by pooling its vehicles. In addition, they made a further one-time revenue of over $30,000 through auctions of the eleven excess vehicles.
As an added benefit, using the pooled fleet model, the City expanded the number of eligible users from approximately 60 to 159. Formerly, only those individuals with assigned cars were allowed to use them. Since vehicles were now available to any city employee who verified their driver’s license status, everyone could use a vehicle for official business.
Thanks to the City's careful analysis, they expected most of these results. However, they did see a few added unexpected benefits using a key box management system. Anecdotally, care of the cars actually improved in the pooled model compared to the old, dedicated vehicle model. Gas tanks were also reliably filled more often.
Kevin Loughery suspected this was because drivers knew they couldn’t hide even minor neglect. “They don’t know who had the vehicle before them or who was going to have it after them. Users tend to show a greater amount of respect for their fellow users, bearing in mind the next user could be their boss or even the City Manager!”
The City of Saint John saved six figures annually and streamlined its operations. All thanks to the careful analyses, planning, and use of smart technology. The KeyTracer system gave the city the hardware and software tools they needed to run their vehicle fleet more efficiently and effectively.
Read the full case study to learn more about how Saint John saved over six figures in one year.
The problems electronic key management solved
Want to learn how a KeyTracer system can improve your fleet management?
About the Author
Vice President of Marketing
Jay oversees marketing and strategic partnerships at Real Time Networks and has over three decades of experience in leadership roles in the financial services and technology industries.