{"id":7652,"date":"2021-11-09T18:46:54","date_gmt":"2021-11-10T02:46:54","guid":{"rendered":"https:\/\/routeware.com\/blog\/blog-top-five-ways-to-pay-for-fleet-automation-in-180-days\/"},"modified":"2025-05-05T10:42:18","modified_gmt":"2025-05-05T17:42:18","slug":"blog-top-five-ways-to-pay-for-fleet-automation-in-180-days","status":"publish","type":"post","link":"https:\/\/routeware.com\/en_gb\/blog\/blog-top-five-ways-to-pay-for-fleet-automation-in-180-days\/","title":{"rendered":"Top five ways to pay for fleet automation technology in just 180 days"},"content":{"rendered":"<p>While digital transformation is a top priority for many municipal and private haulers, justifying the cost of a fleet automation solution can be a challenge. Yet the savings that these tools provide more than makes up for the initial investment. In fact, most haulers find that fleet automation pays for itself in six months by:<\/p>\n<ul>\n<li><em>Reducing vehicle time on the road;<br \/>\n<\/em><\/li>\n<li><em>Providing reliable documentation of extras;<br \/>\n<\/em><\/li>\n<li><em>Increasing fleet efficiencies;<br \/>\n<\/em><\/li>\n<li><em>Coaching and rewarding drivers; and<\/em><\/li>\n<li><em>Stopping service until payment is made<\/em><\/li>\n<\/ul>\n<p>Read on to find out exactly how they do it, by the numbers.<\/p>\n<p><strong>Reduce vehicle time on the road<\/strong><\/p>\n<ul>\n<li>With 25 trucks, save $97,500 in six months<\/li>\n<li>Save at least $1.67 per minute that a truck is not on the road<\/li>\n<li>Eliminate unnecessary go-backs<\/li>\n<\/ul>\n<p>Go-backs zap resources. Yet many municipal and private haulers return to residences and businesses after a phone call because they can\u2019t show their customers what was at the curb \u2014 or not \u2014 the first time a driver stopped to collect.<\/p>\n<p>With photos snapped automatically at the collection point, the customer service team can share documentation with customers who call and eliminate go-backs or charge for them.<\/p>\n<p>With photo documentation, a 25-truck fleet can save at least $97,500* in six months.<\/p>\n<p><em>*Assumptions: Garbage trucks cost an average of $1.67\/minute to run. Go-backs per day take 15 minutes on average for a 25-truck fleet operating six days per week.<\/em><\/p>\n<p><strong>Easily record extras \u2014 and charge for them<\/strong><\/p>\n<ul>\n<li>With 25 trucks, realize an additional $46,800 in six months**<\/li>\n<li>Increase logged extras by 300%<\/li>\n<li>Charge for every service<\/li>\n<\/ul>\n<p>Using paper to record extras is cumbersome for drivers and doesn\u2019t create transparency for customers, who often request for evidence of services rendered before paying for them.<\/p>\n<p>Fleet automation software provides this evidence and allows for proper billing, often resulting in a 300-percent increase in logged extras. An average hauler with 25 trucks can bill about $46,800* in six months.<\/p>\n<p><em>**Assumptions: Commonly, extras increase by 300 percent at $2 per extra, per route, with a 25-truck fleet.<\/em><\/p>\n<p><strong>Find fleet efficiencies<\/strong><\/p>\n<ul>\n<li>Save $37,050 in six months<\/li>\n<li>Recoup lost time on each route<\/li>\n<li>Automatically collect fleet data<\/li>\n<\/ul>\n<p>Saving time \u2014 even five minutes a day per truck \u2014 adds up to significant savings over time.<\/p>\n<p>Fleet automation and management tools allow haulers to increase service time by identifying inefficient landfill stops and longer-than-allotted breaks. By trimming about five minutes of idle time a day per truck, the average hauler with 25 trucks will save $37,050 in six months.<\/p>\n<p><strong>Coach and reward drivers<\/strong><\/p>\n<ul>\n<li>Save $18,135 every six months***<\/li>\n<li>Reduce recruiting and training costs<\/li>\n<li>Help struggling drivers improve and retain great drivers with coaching data<\/li>\n<\/ul>\n<p>The driver shortage is real, and waste haulers experience up to 50 percent turnover in the first year of a driver\u2019s employment.<\/p>\n<p>Fleet automation tools help stem the tide by providing supervisors with information that enables them to coach drivers who need help while rewarding top performers.<\/p>\n<p><em>***Assumptions: Not recruiting\/training one driver saves $2,260 to $10,550. If an average 25-truck hauler hires 13 drivers\/year, they may expect to lose about six of those drivers \u2014 or three drivers every six months.<\/em><\/p>\n<p><strong>5. Effectively stop service until payment is made<\/strong><\/p>\n<ul>\n<li>Increase revenue by $11,250<\/li>\n<li>Prompt bill payment<\/li>\n<li>Let drivers know when not to pick up \u2014 in real time<\/li>\n<\/ul>\n<p>When Waste Management stopped providing service to customers with unpaid bills, about 75 percent of delinquent accounts (225) paid in full, resulting in $11,250 in increased revenue.<\/p>\n<p>On average, about 20 percent of customers may have unpaid bills. What could this mean for your operation?<\/p>\n<p><strong>The bottom line<\/strong><\/p>\n<p>A hauler with 25 trucks operating six days a week with 30 drivers can realize $210,735 in lowered costs and increased revenue the first six months:<\/p>\n<ul>\n<li>$97,500 saved by eliminating go-backs<\/li>\n<li>$46,800 additional revenue from logged extras<\/li>\n<li>$37,050 additional revenue from five more minutes of service time<\/li>\n<li>$11,250 by skipping pickups for non-paying customers<\/li>\n<li>$18,135 saved on driver recruitment and training<\/li>\n<\/ul>\n<p>In less than a year, fleet automation can easily pay for itself by adding $421,470 to the bottom line.<\/p>","protected":false},"excerpt":{"rendered":"<p>While digital transformation is a top priority for many municipal and private haulers, justifying the cost of a fleet automation solution can be a challenge. Yet the savings that these tools provide more than makes up for the initial investment. In fact, most haulers find that fleet automation pays for itself in six months by: [&hellip;]<\/p>\n","protected":false},"author":8,"featured_media":2043,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","footnotes":""},"class_list":["post-7652","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","resourcetype-blog","aud-government","aud-hauler","loc-north-america","sol-business-operations","sol-collection-operations"],"acf":[],"_links":{"self":[{"href":"https:\/\/routeware.com\/en_gb\/wp-json\/wp\/v2\/posts\/7652","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/routeware.com\/en_gb\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/routeware.com\/en_gb\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/routeware.com\/en_gb\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/routeware.com\/en_gb\/wp-json\/wp\/v2\/comments?post=7652"}],"version-history":[{"count":0,"href":"https:\/\/routeware.com\/en_gb\/wp-json\/wp\/v2\/posts\/7652\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/routeware.com\/en_gb\/wp-json\/wp\/v2\/media\/2043"}],"wp:attachment":[{"href":"https:\/\/routeware.com\/en_gb\/wp-json\/wp\/v2\/media?parent=7652"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}