ByFrom data skimming to unreported purchases and beyond, fuel theft can cease your fleet operation’s progress in its tracks.
While the appropriate figures are challenging to calculate because of the lack of records and other components, several industrial sector insiders estimate that fuel theft can account for up to 6% of a fleet’s total fuel cost.
No matter what you perceive as the issue, fuel theft has negative impacts on your finances and reduces your revenue margins.
So, if you suspect this crime might be occurring in your business’s fleet, you must implement a prevention approach to assist in monitoring and controlling fuel purchases.
In this article, you will discover measures to safeguard your business from fuel theft.
Actions To Consider Fuel Card Fraud
Fuel card fraud in fleet management can occur in various forms, incorporating some form of fuel card misuse or unauthorized use.
Here are some instances of fraud or signs that might indicate suspicious activity.
- Unauthorized purchases: These are fuel card transactions that the fleet manager did not approve.
- Overcharging: It includes charging more of the actual cost of the service and pocketing the difference.
- Multiple transactions: Several transactions made in efficient succession might indicate that a fraudster is attempting to maximize the use of a cloned card before you can indicate the suspect.
- Fuel card skimming involves copying a card’s information and using a device to craft a duplicate card, which is then used to purchase goods.
- Phantom fill-ups: Reporting a fuel purchase that never appears is called phantom fill-ups. The fraudster usually pockets the money instead of using it for fuel.
Methods To Prevent Fraudulent Activities
The methods mentioned below can help you save on fuel theft.
1. Provider Driver Training
To enhance security and safeguard your business from fuel theft, it is essential to train drivers to be observant about both physical and digital theft risks.
However, to save the fleet from potential issues, educate the drivers on how to spot signs of draining or tampering with fuel tanks. In addition, impart them insights on the importance of monitoring their surroundings and being aware of unauthorized individuals near the vehicle during fuel stops.
Furthermore, provide training sessions to drivers, which will help them recognize potential credit card skimming devices at fuel pumps. The training will also help them acknowledge the importance of checking for unsure attachments.
On the other hand, provide tips on crafting strong passwords and keep them aware of changing passwords regularly.
Thus, training drivers with the knowledge and tools to detect and prevent theft can strengthen your overall security strategy.
2. Fuel Card Reconciliation
Tracking and incorporating fuel receipts into your monthly credit card statement can help you identify fuel theft in all its forms.
Therefore, we suggest you incorporate smart fuel cards in managing the fleets. This automated receipt collection and matching will provide you with all the lost records and mismatched data.
When making a purchase, you will receive a digital receipt. Now, if the holder forgets to collect a recipe, you will have a record of the transactions. For effective services you can get in touch with www.radius.com/en-gb/
3. Fuel Usage Policies
Fuel usage regulations are a set of guidelines on how and when drivers are allowed to use their fuel cards.
For instance, effective fuel usage policies comprise of:
- Maintaining fuel logs.
- Penalties for unauthorized purchases.
- What constitutes an authorized fuel purchase.
- Fuel receipt management.
4. Onboard Fuel Management System
By incorporating advanced hardware with intuitive software, this system goes beyond traditional telematics to offer a more granular look at each vehicle’s fuel consumption.
Thus, implementing a fleet management system will allow your business to gather information on:
- Real-time insights into fuel usage patterns.
- Identify discrepancies.
- Take proactive measures against fuel theft.
Similarly, you need to maintain a precise monitoring technique. This will enable you to:
- Detect unauthorized fuel access.
- Set alerts for unusual activities.
- Generate detailed reports that help improve overall efficiency.
So, make a smart move and invest in onboard fuel management and monitoring solutions. These will help you safeguard your assets, facilitate cost savings, and enhance operational control.
Similarly, technology can ultimately alter how your business coordinates fuel consumption.
5. Include Telematic Services
Fleet management software is an invaluable tool for monitoring and optimizing fuel consumption across your fleet. You can gain insights that drive efficiency by analyzing various factors, such as routes taken, traffic patterns, and driving behaviors.
For instance, if data show that drivers frequently accelerate rapidly from stops, implementing training programs focused on smooth acceleration could lead to substantial fuel savings. Even subtle adjustments, like altering travel routes to avoid heavy traffic, can enhance fuel efficiency.
Overall, the detailed analytics provided by fleet management software enable you to make informed decisions that reduce fuel costs and promote more sustainable driving practices.
By leveraging this data, you can ensure your fleet operates at peak efficiency, benefiting your bottom line and the environment.
How Can Fuel Cards Mitigate the Problem?
When you include smart fuel cards in your operations, you can gain robust spending controls to set precise rules for drivers and vehicles. It includes:
- Number of fuel purchases.
- Fuel tank capacity.
- Day and time.
Smart fuel cards offer high-end features that boost security and oversight for fleet operators. By incorporating telematics, the cards can automatically decline transactions if a vehicle is not physically present near a fuel pump. This action will eventually reduce the risk of unauthorized purchases.
In addition, these fuel cards’ reporting capabilities allow you to examine fuel consumption patterns and driver behaviors closely. This real-time data can instantly alert you to suspicious activities or declined transactions.
So, whether your primary concern is to address internal employee theft or external threats, smart fuel cards effectively provide multiple layers of protection for fuel assets.
Wrapping Up
Supporting fleet and fuel cards comes equipped with several advantages regarding security features.
From the EMV chip in every card to secondary security verification via text messages or spending controls for each card, protecting your fleet from theft is an important measure you must consider undertaking.
So, consider the above-mentioned measures and contact the best fleet management service provider to protect your business from potential fuel theft.
