A key term in the modern construction industry is DERV, an acronym for diesel engine road vehicles. The reason is that your company’s DERVs are one of the more fuel-intensive aspects of any construction business.
That also makes it one of the biggest expenses for your company, and you may be surprised at the amount of money you stand to save by addressing DERV fuel efficiency. Furthermore, ecological benefits can lead to kickbacks on those expenses.
Today we look at five ways a construction company can be more fuel-efficient that could save you a small fortune.
You may have impressive logistical plans baked into the way your business operates. But unfortunately, the general approach to logistics is timeline oriented. That makes sense; you have to meet your client’s deadlines.
In addition, slower operations lead to additional expenses in wages and ops rental fees. However, You can revisit your company’s logistics strategies for its DERVs.
Here you can make adjustments that focus on fuel efficiency, leading to better time management strategies for other resources.
Fleet Management Software
Fleet management software goes hand in hand with logistics but can offer additional benefits for resource management. With a focus on improved logistics, professional fleet management software solutions get tailored to meet your company’s needs.
The software does this by streamlining several processes surrounding your DERV fleet that would otherwise fall subject to human error.
Another excellent software innovation for you to consider for your business is construction management software. Although this software won’t impact fuel efficiency, it’s tailor-made specifically for construction companies.
Only two or three years ago, the prospect of a fleet of electric vehicles replacing a company’s DERVs was a novelty at best, a joke at worst. However, thanks to rapid technological leaps fueled by the severity of the global climate crisis, it’s a viable solution.
In the wake of Tesla’s massive strides toward practical electric vehicles, the technology spilled over into the industrial vehicle industry. Electric construction equipment is now considered the future of heavy machinery.
While the initial expenses are often daunting, you will benefit from decreased operational costs and various rebates that may apply to your state or country once you have invested.
While there are numerous things you can do to improve the efficiency of your DERVs, there is one factor that is hard to account for; the actual people operating the machines. By implementing incentives for cutting down on fuel expenses, you effectively create a company-wide culture of cutting down on fuel.
Carefully balanced financial incentives will come to a fraction of the money saved in cutting fuel expenses. That is particularly true when you can claim back some of the expenses of the incentives as a green expense. It won’t hurt your company’s image either.
Most company representatives will work basic projections for fuel expenses into their initial quotes. But unfortunately, that approach can be hit or miss. The reality of a contract may hold unforeseen fuel expenses, additional trips, and additional material requirements.
The most practical way to mitigate these costs is to make a comprehensive cost projection before presenting your client with an initial quote.