Analysis
25 Dec 23

Ikhwan Rosli, BP: “International or Local?” from a Fleet Efficiency Perspective

During the Global Fleet Summit Virtual Experience on 5 December 2023, fleet professionals were invited to provide a short, but to-the-point response to one of 12 central questions.

Ikhwan Rosli, Global Category Manager at BP, answers the question: “Is an international fleet approach more efficient than an local one?”

BP Fleet

BP operates a fleet of 6,000 vehicles worldwide. Ikhwan Rosli outlines the intricacies, revealing a lack of a singular global fleet owner and a multitude of vehicles predominantly dedicated to business use. He emphasizes the presence of both global guidelines, such as driving safety and vehicle specifications, and the prevalence of local entitlements and budgets.

Ikhwan Rosli shares BP's journey, highlighting a tripartite approach—understanding data, assessing the market, and grasping controls and benefits. This meticulous groundwork is essential before charting a course between international or local fleet strategies.

Centralizing: Benefits and Challenges

The balance between local and global strategies is scrutinized, weighing risks and opportunities. Controls and benefits are subsequently delineated, emphasizing the significance of governance structures, service level agreements (SLAs), and key performance indicators (KPIs) at both local and global levels.

Rosli underscores the benefits and challenges faced when opting for an international fleet strategy. Centralizing 85% of BP's fleet data proved instrumental in generating comprehensive insights, enhancing data analytics for strategic decision-making. This centralization facilitated agility, minimized resource allocation, and enhanced standardization across multiple facets.

Over-Standardization

However, Ikhwan Rosli emphasizes the pitfalls of over-standardization, cautioning against inhibiting adaptability to local conditions. Challenges surface, including resistance to change, varying supplier performances across regions, communication barriers, and the omnipresence of limitations and constraints, especially in certain global regions.

Despite challenges, BP reaps rewards, leveraging relationships with preferred partners, optimizing operational efficiency, and realizing cost savings through a hybrid model that balances 85% global and 15% local strategies.

Relive the “Answers that Matter” from the Global Fleet Summit Virtual Experience

Authored by: Yves Helven