19 Mar 20

Fleet industry urged to update technology

Industry veteran, and ex ALD Automotive UK managing director Keith Allen, says too many fleets are being managed on old technology – and it’s holding them back.

Commenting on his new role as a consultant for fleet, leasing and mobility platform provider Bynx, he said that now, more than ever, innovation is key.

“Way too many businesses are still relying on 20 to 25 year-old legacy, backoffice systems for managing vehicle fleets and leasing contracts and it’s holding them back.” He stated.

Unable to transition to the new future

Allen specifically expressed concern for companies unable to transition fast enough into the ‘usership’ and car-sharing future.

“Companies relying on outdated systems are missing out on productivity increases and cost of delivery and quality of service benefits. Those are vital if they are to survive in a dynamic and very different future.

If these companies don't change, their cost to serve will escalate as the market becomes more transparent with more mobility options. They’ll also have to improve quality of service, which they can’t do unless they get their backoffice production systems into the 21st century.”

Interesting future for brokers and dealers

Allen thinks the market has never been more compelling for brokers: “They fit into the leasing companies, between them and end users. The roles are becoming blurred as private contract hire takes off. The big six leasing companies, now effectively wholesale finance providers, are dependent on brokers.”

Authored by: Alison Pittaway