Three Things Every Procurement Professional Should Know About Fleet Management
Sponsored by Element Fleet
If you’re new to fleet management, it can feel like you’re stepping into a world with its own language and rules. With so many moving parts, it’s easy to get caught up in the complexity. But at its core, managing a fleet is about aligning business goals with practical, forward-thinking strategies. At ISM World 2025, Philip Chow, Director of Strategic Procurement at Element Fleet, broke down this complex topic into three clear takeaways that every procurement professional should master.
Whether you’re focused on creating a more sustainable fleet, working with diverse suppliers, or leveraging technology to enhance safety, these tips will help you get started.
1. Decarbonization is a strategic priority
You already know sustainability isn’t just a buzzword; it’s table stakes for organizations today. But if your fleet is a large contributor to your company’s carbon emissions, how do you start making meaningful changes? The key lies in choosing a fleet partner that truly supports your decarbonization goals.
Fleet partners can help you assess and plan the shift to more sustainable solutions like electric vehicles (EVs), hybrids, or even alternative fuels such as hydrogen. On top of that, they can provide telematics systems that give you detailed data on things like fuel consumption and route optimization. With this kind of actionable data, you can make smarter, more informed decisions about your fleet’s sustainability strategy.
Ask yourself this when evaluating partners: can they help you hit your sustainability goals with tools, data, and guidance? Do they have a plan to support your organization in making this transition effectively?
2. Employee safety is front and center
Your fleet is only as strong as the people behind the wheel. Prioritizing employee safety isn’t just about meeting regulations—it’s about creating a culture of care that reduces risks and builds trust.
Driver safety starts with proactive measures. Telematics systems can pinpoint risky behaviors like speeding or harsh braking, giving you the tools to coach drivers effectively. Regular training sessions keep safety top of mind and ensure everyone is equipped with the latest knowledge.
Don’t forget the vehicles themselves. Preventive maintenance is key to keeping your fleet safe, reliable, and on the road. When you invest in safety, you’re investing in the people who keep your business moving.
3. Supplier diversity drives innovation
Fleet management is about more than controlling costs. It’s about creating value. An often-overlooked value of the right fleet management partner is the ability to increase your supply chain diversity. When you work with minority-owned, women-owned, veteran-owned and other diverse businesses, you’re not just meeting a quota. You’re bringing new perspectives and innovation into your operations that benefit both your business and the communities you serve.
To champion supplier diversity, start by understanding where your current vendor spend is going. Analyzing fleet expenses with detailed data can uncover opportunities to work with minority and underserved suppliers. A strong fleet partner will help you take an honest look at your spending habits and identify where you can diversify.
The impact isn’t just about optics or corporate social responsibility. By investing in diverse suppliers, you build stronger community ties, support economic equity, and gain access to innovative solutions that can give your fleet an edge. If you’re serious about this, look for partners who share that commitment to diversity and can actively support you in achieving it.
Digital transformation powers efficiency
Technology is the backbone that supports and enhances these three pillars. If you’re not using the right technology to manage your fleet, you’re leaving money on the table. The digital tools available today go far beyond tracking — they enable smarter, more strategic control over safety, budgets, and risks.
Telematics is one of the most impactful technologies in this space. These systems provide data on vehicle performance, driver behavior, and fuel efficiency. When used strategically, you can proactively prevent issues and cut unnecessary expenses.
Fleet management software has also transformed procurement processes. Automated workflows make managing orders, negotiating contracts, and tracking costs faster and more transparent.
When assessing fleet partners, make sure their technology checks all the boxes. Can they provide real-time tracking and integration with your existing systems? Do they use data to help you make better decisions? A fleet partner with strong digital capabilities isn’t just a nice-to-have; it’s the foundation to future-proof fleet management.
Put your fleet to work for you
Fleet management is a strategic pillar of business success. By focusing on key priorities like decarbonization, employee safety, and supplier diversity, your fleet can become a catalyst for meaningful impact across your entire organization.
What could your fleet achieve with the right strategies in place?
