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Hachette book real savings

Posted on: 03/23/10

For a business that literally runs on its ability to visit clients face to face across New Zealand, it’s absolutely vital to keep a mobile sales force humming along. Committed to reducing its environmental impact and reduce fuel costs, Hachette NZ called on GreenFleet.

Key features of the audit were:
• Transition of 3 vehicles has resulted in annual fuel savings of $1,300 and reduction of CO2 emissions by 1.5 tonnes.
• Other measures including keeping luggage compartments clear made potential fuel savings of $7120 and CO2 reductions of 2.6 tonnes.   

Background
Hachette is a subsidiary of Lagardere, a French media company. The North Shore based company markets publications to book retailers throughout New Zealand. Supporting sales staff members are spread throughout the country.

Hachette NZ originally approached the Sustainable Business Network with a view to taking the Get Sustainable Challenge. They also participate in the SBN GreenFleet programme, helping to reduce the variable costs of their sales fleet and contributing to team building, as well as offsetting vehicle emissions through native tree planting.

Team members have been involved as a company, all mucking in during a tree planting day on June 5th 2009 at Oakley Creek, Point Chevalier, Auckland.

The Challenge
Hachette’s fleet consists of 13 sedan vehicles to support sales operations with 2 further management vehicles.  Sales representatives visit retailers in urban locations with book samples. Some are also required to make trips to regional towns, necessitating extensive highway driving.

Their key needs are:
• Sufficient boot capacity and engine power to carry sample books.
• Vehicles that are safe and reliable, especially for visits to rural locations and highway driving.

Fuel costs in 2008 were $70,215: the fleet consumed 39,629 litres of fuel, and each vehicle travelled, on average 30,500km per year.

An individual Fleet Check was conducted that would determine opportunities to:
• Reduce the amount of fuel used in the fleet.
• Reduce CO2 emissions related to the fleet.

Specific opportunities to improve fuel economy are divided into two types: operational or housekeeping measures that can be implemented with little direct cost, and measures that involve changes to vehicles, vehicle numbers or significant cost.

The Opportunities.
 Hachette drivers use fuel cards and also provide monthly odometer readings to their office in Auckland. This made it a relatively easy job to get a picture of the current fuel economy of the fleet. This data was used to produce a league table of the best performing vehicles and to set a target for the remaining drivers.

 It became apparent that Honda Accord Euro vehicles were the best performing vehicles in the fleet when balanced with the needs for luggage compartment space and safety ratings. 
 
Key Recommendations
The audit found 6 key recommendations. 

1. Remove unnecessary loads.
An extra 50kg of weight in a vehicle can reduce fuel efficiency by 2%. Removing unnecessary books from the boot of each sales vehicle could save the fleet $682.00 (404 litres) annually.

2. Transition V6 vehicles to smaller capacity engines.
Switching V6 vehicles to Honda Accord Euro models to match the majority of the fleet will save:
• 284 litres of fuel per vehicle/year
• $451.00 in fuel costs per vehicle/year
• $720.00 in lease costs per vehicle/year
• 520kg of CO2 per vehicle/year
In addition to the savings, this transition has improved the average safety rating of the fleet.

3. Checking fuel records
A system was recommended for regularly identifying vehicles that are performing at less than average or benchmark fuel economy would help identify drivers needing assistance.

4. Regular reporting of fuel use and economy to drivers.
Reporting fuel use and vehicle fuel economy to drivers encourages them to be mindful of their driving habits. Getting vehicles with lower fuel economy to perform at the current average would save $1688 (999 litres) annually.

5. Provide training for sustainable driving.
This should include implementation of EECA’s 7 Habits of Fuel Efficient Drivers:
1. Avoid unnecessary driving.
2. Drive with a smile – go easy on the pedal.
3. Remember your maintenance obligations.
4. Keep vehicle loads to a minimum.
5. Turn off the extras like air conditioning.
6. Switch off the engine if idling more than 30 seconds.
7. Choose the right vehicle for the job.

6. Initiate regular (fortnightly) tyre pressure checks.
Improving average tyre inflation to closer to recommended pressures would improve fuel economy by 1%, saving $669.00 (396 litres) annually. This will also result in safety benefits. Correctly inflated tyres corner and stop more effectively, and lengthen tyre lifespan.

Outcomes and benefits
At the end of the lease, Hachette replaced the V6 vehicles with Honda Accord Euros, which should result in the saving of 2,556 litres of fuel over the lease period of these vehicles.    


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