Case Study Car hire cuts mileage reimbursement costs and attrition to employees’ vehicles

Investors in People is the UK’s most successful framework for business improvement through people management

The Challenge

Investors in People Scotland consultants used to travel to all parts of the country from their (GLQEXUJK�RI¿FH�XVLQJ�WKHLU�own cars and then recharge the mileage covered. In some cases, employees were driving more than 15,000 miles a year in their own cars, which caused D�VLJQL¿FDQW�DPRXQW�RI�ZHDU�and tear.

Roz Haughey, business growth co-ordinator for Investors in People Scotland, said, “We could see that our employees wanted an alternative to having to use their own vehicles. Even though we offered a good mileage reclaim option, the distances they were covering meant their own vehicles were being run into the ground.”

Investors in People is the UK’s most successful framework for business improvement through people management. Investors in People Scotland is a not for GLVWULEXWHG�SUR¿W�VXEVLGLDU\�RI�Scottish Enterprise and Highlands and Islands Enterprise, operating under licence from the UK Commission for Employment and Skills.

Introduction

We could see that our employees wanted an alternative to having to use their own

vehicles. Even though we offered a good mileage reclaim option, the distances they were covering

meant their own vehicles were being run into the ground.

“

“

enterprise.co.uk | 01784 221 300

Investors in People Scotland looked for a more effective way to keep employees mobile and daily rental emerged as a strong option. This provides an alternative to employees using their own vehicle, as well as reduced costs and lower CO2 emissions, as daily rental cars are newer and PRUH�IXHO�HI¿FLHQW�

Employees book vehicles quickly and directly using the online booking tool. This platform means vehicles can be booked even at the last minute, and gives full control of rentals in real time without Investors in People Scotland having to telephone.

The Solution

enterprise.co.uk | 01784 221 300

Case Study Car hire cuts mileage reimbursement costs and attrition to employees’ vehicles

Daily rental is an easy solution. We have branches all over the country and can make

sure a vehicle is with the customer very quickly DQG�HI¿FLHQWO\��ZLWK�QR�SDUNLQJ�LVVXHV��ORZHU�

emissions and thorough maintenance.

“

”

The Results

Investors in People Scotland

has dramatically reduced

its travel costs by replacing

mileage reimbursement with

car hire through a partnership

with Enterprise Rent-A-Car.

The organisation estimates

that it has saved an average

of £1,500 per-driver per-year,

as well reduced attrition to

employees’ cars.

Roz Haughey continued: “Daily rental means we have access to a pool of well-maintained, IXHO�HI¿FLHQW�YHKLFOHV�DW�DOO�times at a pre-agreed rate. The Enterprise Rent-A-Car branch is also very close to us, which means we can easily rent cars at the last minute if we need to.

“Even though we are only a small business using one or two vehicles at a time, we have already seen the positive impact of using car hire.”

Adrian Bewley, head of

business rental for Enterprise

Rent-A-Car, said, “Replacing mileage reimbursement with car hire can have an immediate impact on costs, even for small businesses where only a few people need to drive for work.

“Previously, many organisations saw mileage reimbursement as a discrete ‘perk’ and worried that employees would resist any effort to remove the casual income that is possible when you drive your own vehicle.

“Today, as is the case with Investors in People Scotland, employees see that mileage reimbursement places a huge toll on their own cars and affects resale values. Instead, daily rental is an easy solution. We have branches all over the country and can make sure a vehicle is with the customer very TXLFNO\�DQG�HI¿FLHQWO\��ZLWK�QR�parking issues, lower emissions and thorough maintenance.”