---
title: "16 Simple Ways to Plug Profit Leaks and Save Thousands per Vehicle for Distributors"
description: "Vehicle-related expenses can drain thousands of yuan annually per vehicle through fuel, maintenance, private use, and parts swapping. This article offers 16 practical management measures, including painting license numbers on parts, installing GPS and dashcams, publicizing fuel and maintenance records, and setting speed limiters, to help distributors reduce costs and improve oversight."
author: "New Distribution"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
telephone: "+8615854817671"
published: "2015-09-25"
language: "en"
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original_source: "https://mp.weixin.qq.com/s/q-OOdhsKrQkbwnZMpdUKaA"
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# 16 Simple Ways to Plug Profit Leaks and Save Thousands per Vehicle for Distributors

> Vehicle-related expenses can drain thousands of yuan annually per vehicle through fuel, maintenance, private use, and parts swapping. This article offers 16 practical management measures, including painting license numbers on parts, installing GPS and dashcams, publicizing fuel and maintenance records, and setting speed limiters, to help distributors reduce costs and improve oversight.

It is said that in the old state-owned units, a driver responsible for one vehicle could cover the family's food and drink expenses, at least ensuring his own tobacco and alcohol costs. Now, although private companies tightly control vehicle expenses, there are still many ways to make money from vehicles, such as various vehicle consumption costs (fuel, tolls, parking, maintenance, etc.), using company vehicles for private purposes (even for commercial operations), lending vehicles privately, and swapping parts for cash.
A vehicle can cost anywhere from a few thousand to over ten thousand yuan annually. Although bosses know there are many tricks, due to professional and energy constraints, they can only focus on the big issues and let the small ones go. Here are some small management measures for vehicles (especially delivery vehicles) as details that need attention in company vehicle management.
1. Simple paint numbering of vehicles:
Use paint to write the corresponding license plate number on parts such as batteries, tires, wheel hubs, and spare tires. This makes it easier to find them after borrowing and prevents confusion, and also prevents drivers from privately swapping parts.
2. Designated maintenance and repair points:
The company should designate a specific maintenance and repair point, preferably chosen by the boss himself. Note that you cannot run a tab; settle each transaction individually. Accumulated settlement can easily cause problems. If drivers choose their own maintenance points, there will be more issues.
3. Install driving recorders (dashcams):
This is a must-have. There are too many cases of fraud (staged accidents), and it also serves as a supervision for drivers. Remember to enable the simultaneous audio recording switch, connect the power to the vehicle's electrical circuit (rather than using the cigarette lighter), and have a built-in battery so that it can continue working for a while after the vehicle is turned off.
4. Install GPS trackers (with built-in SIM card):
This is a must-have. The device costs only one or two hundred yuan, and the annual SIM card data fee is only two or three hundred yuan. It serves four purposes: theft recovery tracking, real driving route, real mileage recording, and setting electronic fences to monitor whether the vehicle is used for unauthorized outings. You can see the driving route and stop times on the computer, but don't just let the boss see it alone; install monitors in the employee office or finance office so everyone can see together.
5. Publicize daily fuel and mileage:
Set up a public statistical table within the company. Each time a driver refuels, they must fill in the amount of fuel and the odometer reading at the time of refueling on the same day. This data must remain public and visible to all employees.
6. Publicize maintenance and repair costs:
Record every maintenance and repair expense for each vehicle in a running account format, and also make it public. Drivers who are up to tricks can easily fool the boss, but it's not so easy to fool their peers.
7. Regularly check the odometer:
Many years ago, ordinary mechanical odometers could be adjusted at will. Now, electronic odometers can still be adjusted. You can use the mileage recording function of the GPS tracker to record the vehicle's true mileage.
8. Emphasize the purchase of third-party liability insurance:
At least buy coverage of 500,000 yuan or more. Remember, it should not be lower than the local average compensation standard for traffic accident deaths.
9. Insurance expiry reminders:
When there are more than three vehicles, designate a person to record and remind about each vehicle's insurance expiry date and renewal matters. Never let insurance expire without timely renewal, and then an accident happens in that gap.
10. Install tire pressure monitoring systems:
It costs only a few hundred yuan and is very necessary. It monitors tire pressure at all times. Low pressure wastes fuel and can prevent blowout dangers in advance.
11. Carry dry powder fire extinguishers:
Place them in the cab for easy access in case of fire, or to fend off robbers trying to steal cargo money.
12. Must-have violation reminders:
Install a traffic violation reminder app on the vehicle manager's phone. As soon as a violation occurs, a notification will be received. If no one in the company has a smartphone, check the traffic management bureau's website at least twice a week. When there is a violation, hold the driver accountable promptly and handle it in time. Never wait until the driver resigns to receive the violation notice.
13. Transfer vehicle ownership to the driver:
This is an alternative safety plan. Consider transferring the delivery vehicle's ownership to the driver. The driver writes a cash IOU (not a promissory note) to be kept by finance, and then sign a vehicle lease agreement with the driver. In case of a major accident, this can avoid company risk to a certain extent.
14. Proactive maintenance:
Never wait until the vehicle breaks down to arrange repairs. That is risky and expensive, and it doubles the downtime. Instead, conduct regular proactive maintenance. Arrange for the maintenance point's technician to proactively inspect the vehicle at least once a month (choose a time when vehicles are collectively idle), and combine this with the driver's self-reported condition. Proactive maintenance not only eliminates potential accident hazards but also reduces later repair costs and avoids vehicle downtime due to sudden failures.
15. Emphasize vehicle speed limits:
Nine out of ten accidents are caused by speeding. Simply verbally asking drivers to slow down has little effect. Instead, install speed limiters on vehicles. For vehicles with a driving computer, it's even simpler: set the speed limit directly through the OBD diagnostic computer.
16. Break the private space feeling of the cab:
Most drivers have a certain sense of private space in the cab, which can easily breed illegal thoughts. Arrange for other personnel to clean the cab daily or weekly. On one hand, it keeps the vehicle clean; on the other hand, it directly breaks the driver's sense of private space, making them feel that others are always entering this small space, creating a psychological feeling of being supervised, thereby reducing the generation of illegal thoughts to a certain extent.
Source: Baijiu Distributor Academy
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