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Compliance

Why fleet compliance is essential for the entire company

The importance of compliance when it comes to handling vehicle fleets is undeniable and many countries have strict regulations in place that need to be monitored and put in place correctly. Taking over the task of managing compliance for fleets can be a time consuming and challenging task as not meeting all legal obligations may end in severe consequences.

May 21, 2021

The importance of compliance when it comes to handling vehicle fleets is undeniable and many countries have strict regulations in place that need to be monitored and put in place correctly. Taking over the task of managing compliance for fleets can be a time consuming and challenging task as not meeting all legal obligations may end in severe consequences. Today, we are taking a look into which impacts compliance regulations have on different departments of a company and vice versa. 

The impact of fleet compliance for different company departments

Managers and business owners

Depending on the company size, leadership may be more or less involved in making fleet management decisions, addressing compliance and insurance claims issues and also making suggestions to improve performance. The daily operations are however usually carried out by dedicated fleet managers, or as a side task by assistants, controllers, or front desk representatives. 

Businesses and their respective owners or managers are directly impacted by the level of compliance of a fleet as they can be fined for any form of non-compliance as official owners of the fleet. However, in Austria for example managers can delegate the liability to the fleet manager based on §9 VStG as owner of the fleet instead. 

Fleet management

Fleet managers are responsible to ensure a compliant fleet business. By law, they need to ensure that vehicles are safe and roadworthy so that they can safely carry out the tasks expected of them. Furthermore, they are also in charge of making sure that driver’s licenses are regularly checked, fines are paid and that employees are trained in how to safely drive the vehicles 

As mentioned above, fleet managers can be held responsible as ‘owners’ of a fleet for all occurring fines, which can make it a tedious task. In addition to the fines, a possible recourse claim by the insurance company could be a financial risk that needs to be taken into consideration as well. This is why conducting risk assessments and setting up compliance processes that give a detailed overview of vehicle actions is essential.

Finance department 

The Finance department is involved in compliance when it comes to insurance risk. Their task is to monitor and cover all costs of the company, which might not be the case when operations are non-compliant. If a company does not ensure driver’s license checks or accident prevention regulations, insurances might not pay in case of accidents or damages to the vehicle or drivers. This shows that the finance department also benefits from a well-set compliance process that ensures a cost-friendly fleet policy.

Employees 

Last but not least, employees have a direct impact on achieving compliance in a company. As they are actively using vehicles on a regular basis, they need to ensure they stick to traffic regulations as well as regularly participate in driver’s license checks and/or driver’s training. Companies should promote a culture of safety among all employees to make sure that they understand the importance of compliance policies and proactively follow along with it. Regular training sessions on policy and best practice within the company can be a great way to ensure employees remain aware of their responsibility. 

Join our compliance webinar and gain valuable insights for your fleets

Managing compliance has never been easier. In our free webinar (in German) on May 26th our expert Teresa Dehoff will give you a deep dive into what you have to keep in mind to achieve compliance for your company. We will dive into the rules and regulations with a special focus on driver’s license checks and look into the responsibilities and legal requirements that come with managing fleets. Experience how easy and seamless it can be done with Avrios!

Does this sound interesting to you? Sign up here. 

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