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André Knipe
12 August 2010, Johannesburg
1
The Agenda
• Policy priorities
• Drafting and implementing fleet & transport
management policy
• The role of fleet & transport managers
• Reporting in fleet & transport management
• Examples of fleet & transport policies
2
Typical International Policy
Priorities
National land
transport issue
National land transport
program response
Congestion Congestion management
Climate change Environmental improvement
Social exclusion National mobility & access
Safety & health Safety & health
3
SA’s Policy Priorities
• To support the goals of the Reconstruction and Development
Programme for meeting basic needs, growing the economy,
developing human resources, and democratising decision making
• To enable customers requiring transport for people or goods to
access the transport system in ways which best satisfy their chosen
criteria
• To improve the safety, security, reliability, quality, and speed of
transporting goods and people
• To improve South Africa's competitiveness and that of its transport
infrastructure and operations through greater effectiveness and
efficiency to better meet the needs of different customer groups,
both locally and globally
• To invest in infrastructure or transport systems in ways which satisfy
social, economic, or strategic investment criteria
4
Transport Policy & Regulation
• Need for and elements of sound transport
policy
• SA Road Transport Policy & legislation
• Conforming to RTQS (operator, vehicle &
driver fitness)
• Loading vehicles in accordance with legislation
• Regulation pertaining to permissible loads,
vehicle dimensions, mass distribution &
vehicle plating
5
Public Policy Making Process
• Problem identification & formulation
• Gathering of information
• Policy agenda
• Policy formulation
• Legitimation of policy proposals
• Relationship between policy formulators &
implementers
• Policy implementation
• Administrative feedback
• Policy analysis
• Policy innovation
6
Planning and Strategy
Formulation
Strategic
Vision
Strategic
Mission and
Purpose
Strategic
Goals,
Objectives
and
Activities
Strategy
Formulation
[budget, hr
plan,
procedures,
org. structure,
strategies]
Environmental
analysis/scoping
SWOT analysis
Service delivery environment
7
Formulating Strategies & Action
Plans
• Review: SWOT provide insight into efficiency of existing
strategies
• Strategy should convert weaknesses into strengths; threats
into challenges
• Identify 5 types of strategies:
– Offensive: exploit opportunities from a premise of strength
– Developmental: convert weaknesses into strengths
– Diversification: harness strengths to minimise impact of threats
– Defensive: organisation is vulnerable; may require professional
help for business re-engineering
– Combination: harness advantages of each; circumstances will
dictate
8
Formulating Strategic Objectives
• Break each strategy down into strategic
objectives (narrowly defined area of
achievement)
• Objectives should include:
– service delivery indicators;
– indicate what is to be accomplished;
– measures to quantify results
9
Consultation & Agreement
• Policy & the related strategic plan is the
responsibility of Accounting Officer in
consultation with relevant role players
• What to do:
– Submit and agree on policy/plan
– Amend plan according to budget allocations
– Publish plan on dates determined
10
Example of a Transport & Fleet
Management Strategic Plan
• 1. Introduction
– 1.1 Aim
– 1.2 Objectives
• 2. The Strategy - Meeting operational demand
– 2.1 Service Provision
• 2.1.1 Key Customer Services
• 2.1.2 Service Level Agreements
• 2.1.3 Charges
• 2.1.4 Alternative Service Provision
– 2.2 Vehicle Acquisition
• 2.2.1 Vehicle Evaluation and Approval
• 2.2.2 Vehicle & Equipment Specification
• 2.2.3 Fleet Matrix
• 2.2.4 Procurement
– 2.3 Vehicle Replacement & Disposal
11
Example of a Transport & Fleet
Management Strategic Plan
– 2.4 Fuel
– 2.5 The Environment
– 2.6 Performance Monitoring
– 2.7 Collaboration
– 2.8 Resource Management
• 2.8.1 Staff
• 2.8.2 Sites and Security
• 2.8.3 Systems – Computer and ISO 9001:2000
• 2.8.4 Budgetary Control
• 3. Management of the Vehicle Fleet Strategy
• Appendix
– Fleet Services & Supplies Staff Organisation Chart
12
Role-players and their
Responsibilities
• Accounting Officer (Head of the Department)
– Ensure effective, efficient & transparent systems of financial &
risk management & internal control
– Prevent unauthorised, irregular, fruitless & wasteful expenditure
– Take disciplinary action
– Manage assets
– Budgetary control (prevent unauthorised expenditure
– Report on the use of vehicles
• Chief Financial Officer (CFO)
– Delegated responsibilities
• Head of Supply Chain Management
– Support CFO
13
Role-players and their
Responsibilities
• Transport Officer
– Asset register
– Proper completion & administration of records & returns
– Monthly vehicles performance summaries
– Coordinate use of vehicles
– Provide budget input
– Control maintenance
– Safeguard vehicles
– Acts as a link
– Liaise with other departments
• Drivers and other staff
14
Implementation
• Staff at all levels MUST contribute
• Following elements should be present:
– Structure:
• Organisational structure should follow strategy
– Leadership:
• Senior management should guide; must have ability,
experience & personality
– Compatible culture:
• Shared values, norms & expectations
15
Implementation
• Following elements should be present:
– Team effort:
• Commitment of team; communication; problem-
solving; trust; co-operation; performance evaluation
aligned with strategy
– Accountability for implementation:
• Empowerment; delegation; reporting
– Access:
• Policy must be accessible to responsible people
16
Revision, Monitoring & Reporting
• Policy and related plan is a ‘living’ document;
must remain dynamic to adjust to changing
environment
• Improve through trial, evaluation and
feedback
• Assess performance (KPAs; service standards)
• Revisit at least annually
• Management committees can be mechanism
to review strategic direction and progress
17
Financial Reporting
• Value of assets reflected in balance sheet
• Expenditure on assets in income statement
• Depreciation and accumulated depreciation
also reflected in balance sheet
18
Managing Transport & Fleet
Services Effectively
• Establish and maintain policies and procedures
for use of vehicles
– Part of internal controls
• Provide systems to keep records of activities of
vehicles
– Management information & performance
management
• Establish an organizational structure within which
vehicles can operate
– Determined by strategic & operational plan
19
Managing Transport & Fleet
Services Effectively
• Provisioning of human resource capacity and
skills to operate vehicles
– Skills development & training
• Manage the expenditure for and income/revenue
from vehicles
– Money collected from members of the community
– Expenditure on stock & equipment
• Management of vehicles and equipment
– Regular inspections, services & maintenance
– Replacement of vehicles
20
Example of a Fleet & Transport
Strategy
21
Example of Fleet & Transport
Policy
22
Example of Fleet & Transport
Policy
23
Example of Fleet & Transport
Policy
24
Example of Fleet & Transport
Policy
25
26
André Knipe
+27 (0)724174084
aknipe@telkomsa.net

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Fleet & transport policy - Envision International (Conf 2010)

  • 1. André Knipe 12 August 2010, Johannesburg 1
  • 2. The Agenda • Policy priorities • Drafting and implementing fleet & transport management policy • The role of fleet & transport managers • Reporting in fleet & transport management • Examples of fleet & transport policies 2
  • 3. Typical International Policy Priorities National land transport issue National land transport program response Congestion Congestion management Climate change Environmental improvement Social exclusion National mobility & access Safety & health Safety & health 3
  • 4. SA’s Policy Priorities • To support the goals of the Reconstruction and Development Programme for meeting basic needs, growing the economy, developing human resources, and democratising decision making • To enable customers requiring transport for people or goods to access the transport system in ways which best satisfy their chosen criteria • To improve the safety, security, reliability, quality, and speed of transporting goods and people • To improve South Africa's competitiveness and that of its transport infrastructure and operations through greater effectiveness and efficiency to better meet the needs of different customer groups, both locally and globally • To invest in infrastructure or transport systems in ways which satisfy social, economic, or strategic investment criteria 4
  • 5. Transport Policy & Regulation • Need for and elements of sound transport policy • SA Road Transport Policy & legislation • Conforming to RTQS (operator, vehicle & driver fitness) • Loading vehicles in accordance with legislation • Regulation pertaining to permissible loads, vehicle dimensions, mass distribution & vehicle plating 5
  • 6. Public Policy Making Process • Problem identification & formulation • Gathering of information • Policy agenda • Policy formulation • Legitimation of policy proposals • Relationship between policy formulators & implementers • Policy implementation • Administrative feedback • Policy analysis • Policy innovation 6
  • 7. Planning and Strategy Formulation Strategic Vision Strategic Mission and Purpose Strategic Goals, Objectives and Activities Strategy Formulation [budget, hr plan, procedures, org. structure, strategies] Environmental analysis/scoping SWOT analysis Service delivery environment 7
  • 8. Formulating Strategies & Action Plans • Review: SWOT provide insight into efficiency of existing strategies • Strategy should convert weaknesses into strengths; threats into challenges • Identify 5 types of strategies: – Offensive: exploit opportunities from a premise of strength – Developmental: convert weaknesses into strengths – Diversification: harness strengths to minimise impact of threats – Defensive: organisation is vulnerable; may require professional help for business re-engineering – Combination: harness advantages of each; circumstances will dictate 8
  • 9. Formulating Strategic Objectives • Break each strategy down into strategic objectives (narrowly defined area of achievement) • Objectives should include: – service delivery indicators; – indicate what is to be accomplished; – measures to quantify results 9
  • 10. Consultation & Agreement • Policy & the related strategic plan is the responsibility of Accounting Officer in consultation with relevant role players • What to do: – Submit and agree on policy/plan – Amend plan according to budget allocations – Publish plan on dates determined 10
  • 11. Example of a Transport & Fleet Management Strategic Plan • 1. Introduction – 1.1 Aim – 1.2 Objectives • 2. The Strategy - Meeting operational demand – 2.1 Service Provision • 2.1.1 Key Customer Services • 2.1.2 Service Level Agreements • 2.1.3 Charges • 2.1.4 Alternative Service Provision – 2.2 Vehicle Acquisition • 2.2.1 Vehicle Evaluation and Approval • 2.2.2 Vehicle & Equipment Specification • 2.2.3 Fleet Matrix • 2.2.4 Procurement – 2.3 Vehicle Replacement & Disposal 11
  • 12. Example of a Transport & Fleet Management Strategic Plan – 2.4 Fuel – 2.5 The Environment – 2.6 Performance Monitoring – 2.7 Collaboration – 2.8 Resource Management • 2.8.1 Staff • 2.8.2 Sites and Security • 2.8.3 Systems – Computer and ISO 9001:2000 • 2.8.4 Budgetary Control • 3. Management of the Vehicle Fleet Strategy • Appendix – Fleet Services & Supplies Staff Organisation Chart 12
  • 13. Role-players and their Responsibilities • Accounting Officer (Head of the Department) – Ensure effective, efficient & transparent systems of financial & risk management & internal control – Prevent unauthorised, irregular, fruitless & wasteful expenditure – Take disciplinary action – Manage assets – Budgetary control (prevent unauthorised expenditure – Report on the use of vehicles • Chief Financial Officer (CFO) – Delegated responsibilities • Head of Supply Chain Management – Support CFO 13
  • 14. Role-players and their Responsibilities • Transport Officer – Asset register – Proper completion & administration of records & returns – Monthly vehicles performance summaries – Coordinate use of vehicles – Provide budget input – Control maintenance – Safeguard vehicles – Acts as a link – Liaise with other departments • Drivers and other staff 14
  • 15. Implementation • Staff at all levels MUST contribute • Following elements should be present: – Structure: • Organisational structure should follow strategy – Leadership: • Senior management should guide; must have ability, experience & personality – Compatible culture: • Shared values, norms & expectations 15
  • 16. Implementation • Following elements should be present: – Team effort: • Commitment of team; communication; problem- solving; trust; co-operation; performance evaluation aligned with strategy – Accountability for implementation: • Empowerment; delegation; reporting – Access: • Policy must be accessible to responsible people 16
  • 17. Revision, Monitoring & Reporting • Policy and related plan is a ‘living’ document; must remain dynamic to adjust to changing environment • Improve through trial, evaluation and feedback • Assess performance (KPAs; service standards) • Revisit at least annually • Management committees can be mechanism to review strategic direction and progress 17
  • 18. Financial Reporting • Value of assets reflected in balance sheet • Expenditure on assets in income statement • Depreciation and accumulated depreciation also reflected in balance sheet 18
  • 19. Managing Transport & Fleet Services Effectively • Establish and maintain policies and procedures for use of vehicles – Part of internal controls • Provide systems to keep records of activities of vehicles – Management information & performance management • Establish an organizational structure within which vehicles can operate – Determined by strategic & operational plan 19
  • 20. Managing Transport & Fleet Services Effectively • Provisioning of human resource capacity and skills to operate vehicles – Skills development & training • Manage the expenditure for and income/revenue from vehicles – Money collected from members of the community – Expenditure on stock & equipment • Management of vehicles and equipment – Regular inspections, services & maintenance – Replacement of vehicles 20
  • 21. Example of a Fleet & Transport Strategy 21
  • 22. Example of Fleet & Transport Policy 22
  • 23. Example of Fleet & Transport Policy 23
  • 24. Example of Fleet & Transport Policy 24
  • 25. Example of Fleet & Transport Policy 25