2022 Fleet Management Trend Forecasting

Trend forecasting involves researching and developing data-backed predictions for different industries. There have been many documented trends throughout the fleet industry’s history, from the inception of barcoding on the shop floor to the integrated fleet and fuel management systems of today.

AssetWorks has served the fleet management industry for over 40 years. Our team has seen many changes in the industry, from long-term, cultural shifts to short-term fixes. In this post, our team outlines the top forecasted trends for 2022 and what your fleet can do to keep up with these trends.

Electric Vehicle Fleet Management Continuing to Take Over Industry

With additional mandates and sanctions for electric vehicle adoption in 2021, fleet electrification is a top goal for most fleets across North America and Europe. For fleets already on the journey to fleet electrification, they will learn that investing in EVs is only the beginning. There will need to be significant infrastructure updates to accommodate for EV charging stations, which can take months to fully implement. For fleets to be successful with their electric operations in 2022, they need to:

  • Define goals and ideal timeline
  • Track BEV availability
  • Build fleet profile and replacement forecast
  • Match needs to availability
  • Build TCO and CO2 models
  • Develop plan for charging infrastructure
  • Assess available credits and rebates
  • Consider short-term alternatives

Cyberattacks Forcing Fleets to Reexamine Data Security

2021 was a record year for cyberattacks. According to Check Point Research, these attacks increased by 50% on a week-by-week basis in 2021. While encryptions, employee security training, and strict organizational protocols may protect a fleet against most cyberattacks, organizations need to focus on data security more than ever to remain protected. To combat these threats, more fleets are turning towards hosting their fleet and asset management data with their software provider. Most software providers must adhere to set governmental standards for data security, resulting in increased security and system uptime.

Driver & Technician Shortages Impacting Both Private and Public Sectors

The driver and technician shortages are not new, but challenges stemming from the COVID-19 pandemic has brought both issues into the spotlight.

With supply chain disruptions heavily impacting the logistics industry, an increased demand for drivers has sent the industry into crisis mode. There simply aren’t enough truck drivers to meet the demand. In a research study by Coyote, the main challenges outlined include:

  • Younger drivers not entering the industry, with only 20% of the workforce under age 45
  • Competition from warehousing jobs, with approximately 62% of warehousing jobs filled by people under age 45
  • Job postings requiring more experience, leading to a skill gap in candidates

For technicians, similar challenges apply. As experienced technicians reach retirement age, there are fewer and fewer technicians ready to take their place on the shop floor. Some reported reasons behind the shortage include:

  • Technology on the shop floor doesn’t entice younger technicians, who are comfortable using smart phones and tablets instead of sharing a desktop or filling out paper forms
  • There are not enough career advancement opportunities. This could be addressed through the creation of an employee development plan, access to certifications or training courses, and job shadowing
Predicting 2022 fleet management trends, what fleet managers can expect in 2022

Increased Data Means Increased Need for Advanced Business Intelligence

In 2022, fleets are collecting more data than ever before. Vehicles, software, hardware, and personnel all create data, which needs to be scrubbed and consolidated for optimal reporting and analyses.

With advanced business intelligence features fleets can more easily:

  • Rightsize their fleet vehicle count
  • Better understand asset optimization
  • Identify areas of over- or under-spending
  • Integrate data from fleet, fuel, EV, and GPS systems

Increased Costs Causing Fleets to Postpone Vehicle Replacements

Since the beginning of the COVID-19 pandemic, fleet costs across the board have increased. These increases are due to multiple factors, like supply chain disruptions, inflation, and other market forces.

  • Fuel prices– Fuel prices, while always fluctuating, will likely remain elevated throughout 2022
  • Vehicle acquisition costs– Across the automotive and fleet industries, it costs more than ever for an organization to acquire new vehicles due to increased demand and decreased inventory
  • Preventive maintenance (PM)– The demand for synthetic motor oil led to increased scheduled maintenance costs for fleet organizations.
  • Tire costs– While tire costs have been increasing over the past three years, they reached a 5% increase in 2021. After overall low fleet mileage in 2020, the sharp rise in 2021 and beyond led to increased demand and cost for tires and their components, like crude oil, rubber, and steel.

Even if costs continue to fluctuate in 2022, fleets can expect the lingering effects of cost increases to impact their operations. Many fleets have had to reexamine their vehicle replacement plans, since the market conditions impact the value of their vehicles and ability to procure replacement vehicles.

Telematics Tracking More Important Than Ever

While Telematics isn’t new for the fleet industry, there is a demonstrated increase in Telematics software functionality that positively benefits fleets today, especially regarding driver safety. With technology becoming more intelligent, fleets will be able to benefit from features like:

The fleet management industry is in a constant state of evolution. In 2022, fleets can expect many changes to strategy, operations, and technology—but it will be nothing they cannot handle if they prepare accordingly.

To learn more about how to prepare for these 2020 fleet trends, contact the AssetWorks team for a custom consultation.

Summary
2022 Fleet Management Trend Forecasting
Article Name
2022 Fleet Management Trend Forecasting
Description
Trend forecasting involves researching and developing data-backed predictions for different industries. There have been many documented trends throughout the fleet industry’s history, from the inception of barcoding on the shop floor to the integrated fleet and fuel management systems of today. In this post, our team outlines the top forecasted trends for 2022 and what your fleet can do to keep up with these trends.
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AssetWorks
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2022-03-02T15:39:29-05:00

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