A proactive and data-led approach is essential for fleets seeking to optimise operational total cost of ownership (TCO), according to insights shared at an expert round table hosted by i247 Group earlier this month.
Held on 4th November and titled ‘Fleet futures – redefining TCO in a changing landscape’, the event brought together senior automotive leaders to explore how fleets can better manage TCO, in an evolving environment.
The discussion revealed that fleets need to move beyond a reactive, transactional management approach to their operational TCO.
Panellist and commercial director for i247 Group Steve Thornton described how fleets are adopting differing TCO strategies.
Thornton said: “We’re seeing two distinct approaches – TCO management versus TCO optimisation – and they deliver very different outcomes.
“Most organisations understand their fleet operating costs, but many still take a reactive maintenance approach – dealing with issues as they arise, limiting decision making to immediate fixes.
“When choices are driven by convenience, such as using the nearest provider or selecting the product in stock, it often results in higher operational costs and downtime.
“By contrast, TCO optimisation leverages data analytics and technology to enable a strategic, proactive approach that unlocks smarter decisions, where providers and products can be chosen for better performance as well as long term value and savings.”
Technology and data were highlighted as critical tools for fleets.
Effective utilisation of vehicle connectivity and real-time data was called out as key enablers for predictive service, maintenance and repair (SMR) management – reducing breakdowns and minimising downtime.
Chris Horbowyj, commercial director for Targa Viasat UK, explained how the proactive use of data supports both cost control and duty of care.
Horbowyj said: “Connected vehicle data allows fleet managers to see what’s happening and what needs attention. An interesting use case is proactive SMR data.
“That isn’t just about cost, it’s about safety too – if a warning light comes on, that’s a duty of care issue.
“Enriched, real time data can take TCO optimisation further – for example, spotting a tyre that’s underinflated before it even triggers a warning light.
“That means proactive action can be taken, the driver can be asked to top up the air which reduces tyre wear, improves vehicle efficiency and avoids unnecessary downtime from a flat tyre.”
Panellists identified the need for fleets to be open to emerging technologies such as digital twins of their fleet, artificial intelligence (AI) and vehicle-to-grid systems.
AI was seen as an important TCO tool for turning complex vehicle data into actionable insights – supporting predictive maintenance, dynamic cost modelling and greater automation across fleet operations.
Other critical focus areas for fleet consideration included driver education and behaviour, which influence nearly every aspect of TCO, along with the smarter management of tyres and glass being noted as critical components of an optimal cost management strategy.
The independently-chaired session took place at Zoom’s ‘Boardroom of the Future’ in the Zoom Experience Center, Holborn, London.
Other panellists included John Howe, managing director UK & ROI of Michelin, Jack Cousens, head of roads policy at The AA, Amanda Brandon, director of member engagement at the BVRLA, and Felicity Kelly, head of connected mobility at Motability Operations Ltd.
The panel also hosted Samantha Harrison, head of commercial B2B at Autoglass®, Matthew Lees, enterprise sales lead at Flock Insurance, Malcolm Fryer, head of European remarketing & UK Fleet Sales for BYD, and John Peters, head of consulting at Arval BNP Paribas Group.
A full report summarising the event insights is being produced by i247 Group and will be released via the company’s website.
The Group is planning further round table discussions in 2026.
