Could a refueling service drive your efficiency? Email
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Monday, February 08, 2016 02:00 AM

 

Swingle propane tanksOutsourcing the refueling process has increased efficiency for Swingle Lawn, Tree and Landscape Care’s fleet management. With 170 vehicles to manage and many needing a fill-up more than once a week, the service saves staff time, congestion and addresses safety issues.

Swingle’s fleet manager, Terry Overhuls, shared with Colorado Green NOW how the process works and how it has boosted overall company efficiency.

Three nights per week a 3,000 gallon tanker truck with a 50-ft. hose wheels into Swingle’s yard and fills vehicle and equipment tanks with gas, diesel and off-road diesel. Fees are cost-plus based on gallons used. In other words, the price per gallon includes a mark-up to cover fueling time and the same per-gallon rate applies whether a truck needs 3 gallons or a full tank. 

Most of Swingle’s vehicles are filled by the service. Exclusions are the 25 or so trucks that run on propane and during the winter, the 30 or more vehicles which must be parked inside the garage to keep the tanks and plumbing from freezing.  Fueling services are not allowed to refuel indoors, so garaged vehicles are refilled by Swingle staff using underground tanks in their yard. Propane-powered vehicles are also refilled from on-site tanks.

What are the benefits of a refueling service?

“The tradeoff is less downtime and reducing the risk of accidents,” says Overhuls. Swingle’s in-house cost studies have shown that it is both safer and cheaper to use the refueling service.

“When drivers come in at night, they’re ready to go home – not stand in line to refuel their trucks – and it’s the same in the morning. A line at the fuel pump means downtime while people are still on the clock and a later start or end to their day. It also creates inconvenient bottlenecks in the yard.” 

Refueling at retail locations brings similar concerns. When companies do fill-ups at retail stores, the crew not only stops for gas but also takes time getting drinks and food. “The other drawback is being in a congested location with more exposure to accidents,” says Overhuls. Weighing the costs and the risks, the Swingle team believes they are best served by outsourcing the refueling process.

Will a refueling service work for a small fleet?

“We have more than 100 vehicles serviced, so it will be a little cheaper for us than for a fleet of 10 vehicles.  But even with a small fleet, it’s worth taking the time to shop the price.” There are not many vendor options, he says – maybe only 3 or 4 services in Denver. The firm that refuels their Denver location also services their smaller fleets at their Fort Collins and northwest Denver branches. 

If there is another company in your area that uses the service, Overhuls says that might help you get a better rate even if your fleet is a small one. It could be worth talking to another company near yours to see if they use a service or if they are considering one. Shopping together might help both firms get the best price.