Being a fleet operator in today’s climate is tough – skyrocketing operating costs, exacerbated by volatile fuel prices, only intensify the financial pressure operators face from 2020. The expectation is to achieve more with less—less budgets, less skilled workers and outdated technology has established a tough new rule for operators.
Additionally, the lack of technological innovation that has long plagued these industries means that leaders now use too many different systems to manage their day-to-day operations, and these require more manual overhead than is available. Operators face a proliferation of data that cannot be applied to all aspects of their business because of these siled systems. Worse, it allows hidden cost centers like fraudulent spending to quietly eat away at the bottom line.
To shed light on how pressing these issues are today, Motive surveyed 1,000 leaders in trucking and logistics, construction, oil and gas and more to understand the depth of these challenges. Taken for the first time Physical Economy Perspectives Reportrespondents revealed that fragmented fleet and financial operations are at the core of their challenges.
Basic information:
- Rising costs are one of the biggest challenges facing businesses in 2023.
- 46% of leaders admitted to using more than 10 individual tools to manage their operations.
- One in three said they don’t have the visibility they need to do their job effectively.
- 44% of leaders believe that fraud has a large financial impact on their business, but do not know how to detect it.
Integrated Finance: Ushering in a new era of profitability by connecting fleet and spend
Embedded finance is increasingly being adopted across industries to integrate financial services and products, such as expense management and credit cards, into non-financial platforms. However, only recently has this type of end-to-end solution become available for physical economy industries such as trucking, supply chain services, construction and agriculture.
This integrated approach erases the fragmented experiences of the past, giving operators full control of their business on one platform. This eliminates the hassle of multiple logins or context switching and finally puts an end to the time-consuming work of manual agreements and mapping.
Even better, through data integration between fleet and spend, operators can proactively protect their bottom line through valuable insights that help identify missed savings opportunities and fraudulent and wasteful spend.
What was once a complex and remote web of fleet operations and finances has now been simplified. From spotting untapped savings to flagging fraudulent transactions and unnecessary spending, this holistic view turns data into trusted insights, ushering in a new era of profitability.
Motive Card – an integrated expense management solution
Motivation is the only platform that consolidates fleet and spend into a single integrated platform streamlining financial operations, unlocking cost efficiencies and increasing savings. For example, Motive’s new Missed Savings feature will give fleet managers visibility into drivers who are unnecessarily spending on higher-priced fuel. They can reveal information to guide their drivers, update spend profiles, or even block specific merchants to prevent future lost savings. This feature is unique to Motive with shared fleet and spend data providing a 360-degree view of driver journeys, fuel prices and Incentive card partner discounts to enable this feature.
Similarly, shared data on Motive’s platform also uncovers hidden fraud using data such as GPS location, telematics and fleet card spend, and has the potential to boost profitability by up to 19%. Suspicious transaction alerts for vehicle and expense location mismatches or irregularities between purchased fuel and fill volume help businesses detect fraudulent fuel transactions in near real-time, turning potential losses into profits.
Customers using the Motive platform to manage both fleet and spend can realize real savings, for example; Hardy and Harper reduced fuel costs by 24%. Adam Stowers, Equipment Manager, said: “Instead of just monitoring our fuel expenditure, we can implement active measures to control it. Drivers must also verify their identity with the Motive Driver app, which helps reduce fraud.”
Cascade Environmental has also seen benefits by adopting Motive’s all-in-one platform, with Alex Amort, VP of Compliance stating “The Motive Card has shown that it has additional features and additional savings. So, not only is the card now integrated into the application, we can achieve real, documented, direct savings all the way through.” By adopting Motive, Cascade Environmental has saved over 800 hours per month in IFTA reporting as a result of breaking down silos data.
Learn more about managing your spending using the Incentive Card at gomotive.com/motive-card.