Entering the new millennium, few companies across all industries had a watchful eye toward environmental stewardship, particularly throughout the heavy-duty truck transportation industries.
However, just a few short years later, governments in many countries began to better understand the benefits that could come from corporations curbing their carbon emissions output, and new greenhouse gas mandates began to take effect by the early 2000s.
Sustainability insight
In the early 2000s, the use of data analytics began to help fleets run their operations more efficiently. These companies realized the importance of leveraging resources to help not only comply with the new environmental regulations but serve as model corporations regarding environmental stewardship.
Asset management companies that believed in ESG from the start understood the importance of being the future of truck leasing by advocating solutions that would significantly reduce emissions over time. By 2011, leading fleet consultants had begun to make strong recommendations against the use of older-model equipment because of toxic emissions.
They introduced never-seen-before emissions scorecards, and innovative replacement programs with financial flexibility in mind that made it beneficial to operate newer, clean-diesel engines. These programs also helped fleets meet new GHG-1 Federal mandate standards and calculated fuel economy gains at 2.5% MPG and CO2 reductions.
Focus on environmental stewardship
Between 2016 and 2021, leading industry players continued their mission to help fleets change the way they see the environment, as well as their impact. Advanced asset management strategies helped companies reach environmental, social, and governance (ESG) goals while promoting sustainability through shortening asset life cycles, optimizing vehicle specifications to be more fuel-efficient, and aligning with the duty cycle as well as geographical locale. New approaches also specified lighter components that allow for longer maintenance intervals which reduce environmental hazmat waste disposal.
Today, fleet companies are boasting vastly improved environmental records while implementing ESG strategies in front of their customers, regulators, and other critical stakeholders.
Socially conscious organizations
In addition to environmental stewardship, social criteria are also within companies’ ESG strategies. It’s important that organizations are operating the newest and safest trucks that keep all motorists safe and help attract and retain a greater pool of diverse drivers and other staff.
Fleet specification experts must work with each company to design new trucks for maximum safety, fuel efficiency, lowest maintenance cost, and highest resale values through innovative programs that focus on upgrading to newer trucks with advanced safety features. By focusing on safety proactively, fleets are recognizing risks that they may otherwise not likely identify, as well as a solution that could save millions of dollars in cost reduction while avoiding damage to their corporate image and brand identity.
Socially responsible organizations today also recognize that a more diverse approach to the transportation industry unlocks more potential growth for organizations through the advancement and empowerment of a gender-diverse workforce.
Governance and corporate leadership
Governance is an area many companies have struggled with in recent history. This pertains to the governance factors of decision-making, from sovereigns’ policymaking to the distribution of rights and responsibilities among different participants in corporations, including the board of directors, managers, shareholders, and stakeholders. Governance factors highlight the processes for organizations. Fleet experts today provide analytics, processes, and transparency so that clients can meet legal requirements and satisfy every stakeholder in the process.
Today and beyond
Progressive fleet companies are leveraging life cycle asset management, data analytics, and overall strategies to help make better decision-making. Leading companies today are proud of the culture they have created internally, and many are strong examples of how diversity and inclusion in the workplace can have a substantially positive impact on their organization, employees, customers, and the surrounding communities.
They believe that the long-term success of any business calls for a diverse body of talent that can bring fresh ideas, perspectives, and viewpoints into the workplace. Organizations now strive to create a culture of diverse individuals from all races, ages, genders, education levels, and cultural backgrounds.
Ultimately, leading companies that provide asset management have a broader goal than just the total cost of ownership. They strive to help the industry become as sustainable, socially conscious, and governed with as much integrity as possible. Every effort these leading companies put forth is to benefit all—the environment, clients, stakeholders, and local communities.
Katerina Jones is VP of marketing and business development at Fleet Advantage, a provider of truck fleet business analytics, equipment financing, and lifecycle cost management.
