One of the most contentious aspects of vehicle asset management is around end of contract fair wear and tear but it needn’t be that way according to Nick Chadaway, managing director of vehicle movement specialists, DMN.

Fair wear and tear occurs when normal usage causes deterioration to a vehicle over the duration of a contract – that’s the simple explanation.

The BVRLA’s Fair Wear and Tear Guide is the industry standard and does a very good job of setting out the factors to consider.

Some operators choose to produce their own guidelines.

Either way, the key lies in communication with the fleet or consumer customer in the case of a PCP in the first instance and subsequent adherence to the standards set.

This is where consistency, efficiency and the training and skill of the vehicle inspector comes into play.

Disputes and resolutions

Supporting the case in point, during the first half of 2019, the BVRLA’s Alternative Dispute Resolution (ADR) service handled 1,317 complaint cases.

As in previous years, damage was the main reason for customer complaints, with common areas of contention relating to who is liable for causing the damage and whether damage should be deemed as fair wear and tear incurred during the length of the contract.

Amanda Brandon BVRLA head of operations, said, ‘It is extremely important for members to document everything when it comes to the condition of vehicles and the logging of any existing or new damage.’

The key principles

With any inspection, the overriding principle is to remove the subjectivity from the inspection process and ensure operations work transparently and in harmony, offering peace of mind to the end-user and security to the vehicle owner.

A detailed, process-driven inspection ensures that any vehicles delivered or collected to the end-user are ‘as expected’ with no surprises or unexpected complications smoothing the entire supply chain process and adding value.

Immediate removal from site of an inspected vehicle, following a customer’s sign off, is also another key component of providing them with a defining level of service as well as removal of ‘doubt’ from the process.

Behavioural psychology

These types of service provision play on the principles of behavioural psychology, proactively enhancing customer interactions and building brand recognition that decreases the chance of any contested agreements.

Deployment of technology, as in any business sector today, across all elements of the inspection process is a must in order to assist the process, to garner that all-important customer trust and create value.

However, one very important factor I have not referred to and, for me, is arguably the most critical is the human side of business.

People are still a company’s greatest asset and those carrying out vehicle inspections are ultimately the ‘face’ of the vehicle asset management business.

Well trained, well presented and, generally, friendly natured personnel help to make vehicle inspection a positive touch point for the asset manager’s brand – the aim for any service provision, especially one where the supplier has such little opportunity to directly ‘impress’ the driver customer.

For a consumer with a PCP deal from a broker the end of contract inspection process may be new to them and this will be the first time they have had contact with the broker after the initial vehicle delivery.

If they know what are signing for and why there should be no further customers issues to manage for the asset owner.

A good consumer experience is likely to encourage a repeat order for a new car, a bad experience means the consumer may well look to a new provider for their next car and share their pain points with family and friends thus further penalising the asset owner’s business.

The complexity of vehicle inspections is clearly far more than just arguing over wear and tear, in fact it’s quite the opposite.

As an asset owner get it right and it can be part of a great customer journey and add value to their business.

Get it wrong and you are forever dealing with dissatisfied customers and layering in costs to your business.

The choice truly is yours.

DMN, the vehicle movement people, has held the first of its inhouse workplace wellbeing programmes designed to inspire, engage and empower its workforce.

The programme, operated by The Inspire Group, saw DMN people engaged in a two-day programme of team building and activity courtesy of Inspire team coaches Steve Clarke, Alex Howard and Ryan Westley.

The Inspire Group exists to inspire sport, engage people and empower communities.

Business driven by people, supported by technology

‘We engaged with The Inspire Group to continue to develop our primary business assets – our people,’ explained DMN managing director, Nick Chadaway. ‘We are a business driven by people, supported by technology and ensuring we optimise both these areas within our business is crucial to our success.

‘We are working with The Inspire Group to help ensure our people are inspired, engaged and empowered as we continue to evolve in order to grow and meet our changing client requirements.’

‘We have received some great feedback from both the team at The Inspire Group and our team here in Birmingham and are excited to put into practice the learning and feedback which we have gained from the process.

Engage, inspire and empower

Steve Clarke, director at The Inspire Group, said, ‘We had a brilliant two days with the team at DMN, delivering the first of our workplace wellbeing assessments and look forward to continuing to work with them as part of our business engage, inspire and empower programme.’

Birmingham based DMN provides vehicle suppliers and fleet operators, throughout the UK, with all their vehicle inspection and movement needs.

DMN, the vehicle movement people, has introduced the most powerful version of its real-time automotive solutions App – MIVIS V3 – across its workforce.

MIVIS is a real-time automotive solutions App, designed to enhance communication and visibility across automotive operations. Web based and configurable across third party platforms, MIVIS offers immediate access to data – giving user’s transparency in real-time of each vehicle being inspected, collected or delivered.

Tailored to client’s requirements

Built from the ground up by DMN’s in-house development team, the robust, powerful and scalable solution can be tailored to each client’s specific requirements, no matter how complex.

MIVIS provides a multitude of functions to simplify the vehicle management process, including driver appraisals and fully-costed vehicle inspections.

Functionality is driven by process controls that guide the user, to ensure that a consistent approach is followed – providing reliable, uniformed and quality data.

All MIVIS information is available in real-time to ensure informed decisions can be made immediately, helping to enhance logistic efficiencies – adding value across the whole supply chain.

Inspect & Collect

Gary Xuereb, inspections and sales director at DMN said, ‘MIVIS sits at the very core of our newly formed Inspections and Customer Solutions division, and is the technology powering our Inspect & Collect service.

‘The real-time connectivity and tailored functionality of MIVIS provides a truly dynamic solution to assist businesses and fleet operators with their vehicle asset management portfolios, enhancing efficiencies and, ultimately, cost controls.’

Since launching MIVIS V3, DMN has already noted sizable developments across the business; from raised service levels, improved operational efficiencies and complete visibility – all due to real-time access to quality information. The seamless inclusion of Inspect & Collect has not only brought new business to DMN but also strengthened existing relationships by offering a competitive, inclusive service.

Automotive solutions

As the default solution for vehicle movements, the standard functions of MIVIS can be applied across other automotive solutions such as driver safety checks, compound inspections, post-repair audits, grey fleet checks, driver mileage, upstream remarketing and vehicle condition status.

MIVIS V3 features movement tracking; damage capture; vehicle imaging; costings; electronic signature capture; and geotagged inspection and appraisal for robust asset auditing.

To find out how MIVIS can support your automotive solutions, please contact Gary Xuereb on 02033 971 981 or email gary.xuereb@dmnlogistics.co.uk.