Operational costs are 4 times capital costs in road logistics. Fuel typically accounts for 75% of running costs in HGVs (FTA). Currently, the road logistics industry focusses too heavily on minimising capital costs at the expense of operational costs.
If the road logistics industry adopted the aviation procurement culture, which looks at total cost, it would prioritise operational expenditure. However, this requires complex data analytics supplied with reliable independently verified data.
The industry needs reliable data on the products they are buying. Dynamon believes this can only be obtained from independent testing. The insight provided by Dynamon to improve procurement decision-making uses independently verified data to remove any potential bias that can be found in manufacture or brochure data.
In the UK alone, the road logistics industry accounts for over 7bn kg CO2 emissions a year (DfT). Dynamon has spent many years developing a service that helps the logistics industry to achieve significant and auditable reductions in CO2.
We aim to help fleets reduce their impact on the environment. The easiest and most impactful way to reduce emissions is improved procurement decision-making, such as tyre choice. Not only is this guaranteed to reduce environmental impact it can also significantly reduce costs.
Generic brochure data and small scale fleet testing on its own is not enough. Logistics companies need to know how a product will perform across their unique fleet operation and therefore how it will influence their operational costs. Dynamon has developed the only big data analytics service that can reliably identify procurement decisions that significantly reduce total-cost-of-ownership. This service has been validated by real world testing and is being used by major blue-chip logistics PLCs to make multi million GBP annual savings.