Fleet Vendor Management Services
Vendor Management is a process to extract value out of your suppliers in the long term.
Effective management involves striking a balance of cost control and risk reduction whilst consistently delivering good quality services.
Vendor relationships are a two-way process, so we ensure we support vendors to provide the best possible service which aligns with your organisation’s objectives.
Our Fleet Vendor Management Solution
At EVP Solutions, our experts combine deep domain expertise with extensive fleet management skills to provide a best-in-class vendor management service. Years of experience and understanding enable us to structure contracts to the benefit of our clients and understand what vendors will tolerate and what they can deliver.
We consolidate management information into one dashboard, which gives a central viewpoint of overall fleet activity. This system also allows us to make accurate comparisons across our customer base and inform evidence-based decisions.
Please take a look at our most recent case studies or get in touch with a member of our team for more information.
The Benefits of Vendor Management
Contract Compliance
Often contracts are executed then put in a bottom drawer. However, holding fleet vendors accountable for the services you are paying for is paramount.
Increase Cost Control
Prices can often creep up over time if they are not effectively reviewed and controlled. This is especially so in the fleet leases where the fleet management company can adjust several pricing elements.
Vendor Engagement
The vendor management process creates an open and transparent dialogue encouraging innovation and commitment from both parties. In addition, the engagement process can help shape the service delivery to the benefit of the customer. In the longer term, the customer can understand what they need from a supplier, which will help when contracts are due for renewal.
Risk Reduction
Reduces the risk of non-delivery of services through holding the vendor to account for their performance. As a result, issues get addressed promptly and are not ignored by the supplier or the customer.
Find out more about the benefits of vendor management by getting in touch with a team member on 0161 973 8579, or email us at hello@evpsolutions.co.uk.
Vendor Management Challenges
Skills and Expertise
Fleet management strategy can be a complex area to understand. However, specialist skills ensure you can manage the contract correctly. Otherwise, the vendor will pull the wool over your eyes unless you know the fleet category well.
Resource
Managing vendors can be a time-consuming activity, especially where there isn’t a dedicated team in place. Vendor management may be part of a role where other activities are seen as a priority.
Systems and Processes
For many organisations, information can be spread throughout the business and not held in a central location.
The Process
Set the Strategy
Establish SMART objectives with a broad group of stakeholders who have an interest in the fleet. This way, all stakeholders know they have had input into the process and their needs addressed. It also ensures the supplier uses the correct metrics rather than what the supplier wants to report.
Assign Roles and Responsibilities
Include the Vendor’s and the customer’s responsibilities, so everyone within the process knows what they are signing up to. Seek representation from across regions or divisions to ensure you cover all business needs. Tier roles according to a RACI matrix, so you only engage stakeholders where they need to be.
Consolidate Information
Gather relevant information from across the supply chain both internally and from the Vendor. Data will come from various sources and may involve data in different formats and across different time zones. In these instances, normalise and link data together where appropriate and add value to any analysis you are likely to conduct.
Performance Criteria
Criteria may vary according to service provision and should link to the overall strategy. Areas such as driver satisfaction will form part of this and business-related commercial indicators such as cost, quality, and delivery. Jointly assess risks over the contractual term and establish joint plans to address issues at different thresholds.
Agree and Implement
At the end of the agreement, both parties will need to formalise the vendor management process and commit to managing the process together. The process should always strike a balance using empirical data and human qualitative input.