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When it comes to running the company car fleet, objectives such as cutting the cost of operation, reducing the administration burden for in-house staff, while continuing to provide drivers with an acceptably wide choice of vehicles are aims that many companies would be keen to achieve.

One business that has been successful in all three is Avery Dennison, best known in the UK for its Avery branded office products. By switching the management of its fleet of company cars online, it has been able to achieve major cost and administration savings for managers and company car drivers alike, while still giving incentive-driven sales staff a wide range of vehicles to choose from.

The company, which is based in Pasadena, California, and has worldwide turnover of $4 billion from the supply of pressure sensitive technology and self-adhesive solutions for business and consumer markets, operates three divisions in the UK with a total fleet of 60 cars.

The vehicles, primarily for the company’s UK sales force, are supplied on 30-month/ 75,000 mile contract hire packages with full maintenance by Watford-based online contract hire and fleet management specialist, Tuskerdirect.

According to Avery Dennison European Human Resources Director, Bob Wilson, the introduction of web-based leasing and fleet management has brought considerable benefits in the operation of the Avery Dennison fleet. He explains: “Because the system we are now using is Internet-based and everything is online, we have seen real savings in the administrative burden associated with running our fleet. At the same time, this allows our supplier to reduce their own administration costs – savings which can be passed on to us in more attractive leasing rates and allow our staff to have better cars than they might have expected.

“Because staff can specify and order any cars of their choice – with the only proviso that they must be four-door saloons or five-door hatchbacks – they are very happy with their vehicles, with none of the envy or disputes that can often surround the provision of company cars.“Staff feel empowered in that they can choose the vehicles they want and we now have a very happy sales force with very few driver complaints.”

There have been cost saving benefits for the company too: “Since we have been using Tuskerdirect’s Fleet Desk system, and because of the savings the system has brought, we have not had to increase our leasing allowances for some time as staff can opt for better cars than they would have previously,” says Bob Wilson.

Another benefit, that Avery Dennison has noticed over its previous offline leasing supplier, is the clarity and simplicity of online operation. The web-based system flags up to the HR department when drivers’ cars are due for renewal, three months before the renewal date.

“At that point, we give the drivers a password which allows them online access. The system is set up to our parameters and limits and drivers can see how much they have to spend for their grade, how much they want to add of their own money (they can pay up to an additional £100 to their monthly leasing allowance if they wish), what specification they can have, what extras, and what their tax liability will be.

The system is completely flexible. It allows drivers to add extra items of specification and then see what their tax liability is going to be – and if it looks too expensive to change the specification to a more suitable amount. It really does empower the drivers – without allowing them to stray outside our chosen parameters.

“Once they have made their vehicle choice, it comes to me for approval and I pass the order through to our supplier. When the car is ready, they then supply me with information on the due delivery date. It could not be more straightforward,” says Bob Wilson.

Tuskerdirect Sales Director, David Hosking, added: “Operating an online fleet management system delivers the real benefits of e-business – higher quality service for drivers, internal efficiency savings for fleet managers and cost savings for the company. It brings total flexibility and freedom of choice for drivers, removing most of the envy and dissatisfaction often connected to choosing a company car.” Company car drivers at Avery Dennison have welcomed the flexibility and ease of use of the Fleet Desk online fleet management system.

Users of the system highly rate the ability to be able to compare the company car tax bills of several different vehicles at the same time. And, they also like the way that extra items of equipment can be added to the car of their choice and the effect on their tax bills is clearly shown.

“It really helps in choosing the right car and making the right decision,” says Naomi Thomas, national account manager for retail and mass markets, who now drives a Volkswagen Golf 1.9 TDI after choosing it through the online system.

Through Fleet Desk, drivers can research makes and marques, cost-in extras, view live vehicle quotations, make side by side comparisons and see the tax implications of the cars of their choice.“I used the system to help me find the best car for the money I had available,” says Naomi Thomas. “I compared three or four cars that I liked and checked the impact of each of them on my company car tax bill. I also compared the differences between petrol and diesel models.

“I was then able to arrange a test drive of two of the cars, and after making a few further adjustments to the specification, place an order with my HR department for the one I wanted. It was very straightforward and very positive throughout, “ she says.

Jane Done, account manager in the ticketing division, certainly agrees. Jane, from Bicester, Oxfordshire, now drives a Volvo S40 1.8 litre petrol four-door saloon after selecting the car through Fleet Desk.“I wanted as much as possible for my money, and I wanted something different and distinctive. So I looked on the system at an Audi, which I couldn’t afford, and then several Renaults and Volkswagens, which I rejected because their emissions were too high.“It seemed to me that the best car I could afford within my monthly allowance was the Volvo S40. I’d not had a Volvo before, and I loaded up the specification with leather upholstery, CD player, Black Sapphire metallic paint and 17in alloy wheels – and it was still within my monthly budget.”

For further information, please contact: David Hosking, sales director, Tusker direct tel: 0870 9006123; Mike Gunnell, MGMedia, tel: 01832 275060; or visit: www.tuskerdirect.com

(This article was originally published in Director of Finance 2004 edition)