How many different jobs do we do in a day? If you're like most managers, you wear a lot of hats. You probably manage people, resources, equipment, timelines, budgets and more. Among businesses in fleet or construction, most have general managers, human resource managers, equipment managers and fleet or operations managers; but almost none have a Fuel Manager. I consider this surprising, given that fuel is now the highest operating expense in these industries - higher even than equipment and labor.

Without effective fuel management, your company may be wasting thousands of dollars each month. Fuel is like any other expense; it can be controlled only if it is measured, along with a number of other critical operating practices. But you need access to all that information.

The good news is that the technology exists so just about anyone can become a fuel manager. Good fuel management includes route planning, measuring fuel consumption and managing equipment operating practices.

First, add a GPS unit to all of your vehicles. For a modest monthly expense you can put billions of dollars worth of technology to work for you. Developed by the U.S. military, GPS employs 27 earth-orbiting satellites to locate a pocket-sized receiver's exact position, anywhere in the world. For transportation companies, the system is ideal for planning routes, avoiding certain roads and reducing drive time. Reduced driving equals reduced fuel costs.

Now that GPS has helped you minimize your travel time, what about the more important data directly related to fuel consumption? While GPS can't track consumption, there is technology available that can show you exactly where your fuel goes. Once you have that data, you're well on your way to improved fuel management.

Some onsite fuel providers use wireless systems to record fuel data - the amount and type of fuel pumped; the vehicle that received it; and the time and date it was pumped. This data is then made available online, where you can see either your entire fleet, or drill down to each unit's fuel consumption, both by date or fuel type. Fuel Management Online actually lets users track docket data and fuel price history, allowing users to compare unit to unit fuel consumption.

Another system, Advanced Mobile Asset Management Technology, records all re-fuelling information and then delivers it, via email, right to your desktop. A wireless data capture chip about the size of a silver dollar is attached to each piece of equipment for positive identification. Fuel and engine performance information is also recorded, giving you the data you need for effective fuel management.

Even more valuable is software that helps you analyze key operating metrics, such as excessive idling, speeding, aggressive acceleration and improper equipment maintenance. The biggest waste of fuel is inefficient driving. The information this type of software provides allows you to set thresholds for each of these metrics and compare each driver's performance, in turn reducing wasteful driving practices.

You can't control the cost of fuel, but you can control how much you consume. Having a program in place that allows you to measure and manage your fuel expenses (driver efficiency metrics, odometer readings, transaction volumes and other related fuel costs) should lead to improved month-over-month fuel economy for each vehicle, allowing you to calculate an actual return on investment for every gallon of fuel you buy.

Inefficient driving can cost your company as much as 35% in lost fuel economy. Using technology can help you save thousands of dollars per truck per year. You do the math…it adds up fast!