Runzheimer International
Runzheimer Park
Rochester, WI 53167-0009
262-971-2200
800-558-1702 (U.S.)
800-263-8762 (Canada)

Runzheimer's Groundbreaking Survey Reveals Business Vehicle Program Trends


 

December 29, 2006

Runzheimer International’s Annual Total Employee Mobility Benchmarking Survey again reveals market trends and statistics relating to business vehicle programs. This groundbreaking survey identifies and measures against key benchmarks in the area of employee mobility management, defined by Runzheimer as "programs that support relocation, international assignments, travel, corporate aircraft, business vehicles, and mobile/home office services."

Overall survey findings relating to business vehicle programs follow:

Types of Business Vehicle Programs
With many organizations having more than one type of vehicle program in place, 70% of survey participants offer company-provided vehicles and 52% of respondents use an employee-provided business vehicle program.

Table 1: 

Type of Vehicle Programs*

Type of Vehicle Program Percent of Respondents
Company- Provided 70%
Employee- Provided

 

52%

* Amounts exceed 100% because many organization have more than one type of program in place.

Anticipated Changes in Spend & Number of Drivers

When asked about their plans to change spend on business vehicle programs and/or fleet, 39% expect no change in their fleet spending in the coming year, whereas 29% expect to increase spending and 14% plan to decrease their spending. Eighteen percent of respondents do not know how their spending will change.

Table 2: 

Anticipated Spend on Business Vehicle Program/Fleet

Anticipated Change in Business Vehicle Spend

Percent of Respondents

No Change 39%
Increase 29%
Decrease 14%
Do Not Know 18%

Similar to the statistics depicted above, when participating organizations were asked how their number of drivers was expected to change, 39% of respondents anticipate that their population of employee drivers will stay at its current level; 31% of firms predict that their number of drivers will increase in the coming year; 15% of respondents anticipate a decline in their number of drivers and 15% do not know how this number will change.

Liability Concerns

Forty percent of respondents indicate that they are concerned with liability for company-provided vehicles whereas 24% are not concerned. The balance of the respondents report that they are either indifferent, do not know, or that the question of liability obligations relating to company-provided vehicles is not applicable to their operations.

Table 3: 

Level of Liability Concern

Liability Concern? Percent of Respondents
Yes 40%
No 24%
Do Not Know 22%
Not Applicable 12%
Indifferent 2%

Responsibility for Business Vehicle Program

When asked about which department or function has responsibility for business vehicle program administration and management, 16% of respondents had placed business vehicles under the umbrella of Purchasing/Procurement.  Human Resources and Accounting/Finance were both cited as owners in 14% of the cases.  Sales and Marketing were cited as owners by 7% of respondents.  Additionally, 14% indicated there was no central department managing this area.  The remainder of respondents (30%) assigned ownership over business vehicles to a variety of other departments.

Table 4:

Department Responsible for Business Vehicle Program

Department Responsible for Business Vehicle Program

Percent of Respondents
Other Misc. Departments

30%

Purchasing/Procurement 16%
Human Resources

14%

Accounting/Finance 14%
No Central Department 14%
Sales/Marketing  7%
Administration  5%

                                           

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About Runzheimer International
Founded in 1933, Runzheimer International serves 60 percent of the Fortune 500. Recognized for providing innovative solutions relating to total employee mobility, Runzheimer is the global leader in business vehicle reimbursement programs, travel management consulting, employee relocation and compensation, virtual offices, and corporate aircraft.


For more information, contact Luella Dooley at Runzheimer International, Runzheimer Park, Rochester, Wisconsin 53167, (262)971-2277, ljd@runzheimer.com, www.runzheimer.com.