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Michelin Tyre plc needed an effective database and IT system to manage the complex tyre related activity of 60,000 leased vehicles. The number of variables in leasing policies means that service agreements range from charging a fixed rate, through charging by mile, to charging by number or cost of vehicles.
Within three months, Ethitec had delivered a bespoke IT system with a powerful rules engine to automate the process of authorising work and invoicing across the range of policies.The new system, Phoenix FASTTRACK, allows users to input a fleet of vehicles, then track any work that is performed. It verifies whether the vehicle is in contract; whether work requested is appropriate for the vehicle; and finally, ensures that the rate charged is in keeping with the agreement in place.
Keeping track of 60,000 leased vehicles with a number of different policy permutations is no mean feat. So when Victor Rivera moved to the UK to head up Michelin Tyre's Truck Fleet Contract Support, Finance and Administration, he quickly realised that the company needed an effective database and IT system to manage its fleets' tyre related activity.
The company was awaiting a corporate solution due to be delivered by the global Michelin Group, but a first analysis suggested that this may not cover a substantial part of the needs of the UK business. At the very least a stop gap solution was required, and Rivera was clear that it needed to be delivered quickly so that the business could reap the benefits of a fully up-to-date fleet management system.
"The number of variables in leasing policies means that authorising work and invoicing is an extremely complex process. Service agreements range from charging a fixed rate, to charging by mile, or charging by number or cost of vehicles. The implementation of an effective IT system to control this and ensure accurate processes was clearly a prerequisite to enhanced business performance," explained Mr Rivera.
An independent consultant was brought in to assess the situation, and propose an IT strategy that would meet Michelin Tyre's UK needs. The recommendation adopted wasto take the Phoenix system used by sister Michelin company, ATS Euromaster, and identify an IT partner who could enhance the system to meet Michelin's requirements.
Mchelin appointed IT solutions provider, Ethitec, as its preferred partner to carry out the bespoke development required to enhance the system. The contract included all development work to meet Michelin's specifications, as well as IT support for the system.
Ethitec set to work immediately, and within three months, had delivered a system that succeeded in fully automating Michelin's fleet management requirements.
The new system, Phoenix FASTTRACK, allows users to input a fleet of vehicles, then track any work that is performed.Moreover, the new system was designed by Ethitec to include a rules engine that verifies whether the vehicle is in contract; whether the work requested is appropriate for the vehicle; and finally, that ensures the rate charged for the work is correct and in keeping with the agreement in place.
The result of the development work has been to create a comprehensive fleet management system that fully automates the administration of fleets' tyre related activity. The volume of paperwork eliminated by the new system has been significant, allowing Michelin to allocate its people resource to more added value tasks.
The system is now being used by both Michelin Tyre plc and ATS Euromaster, delivering system compatibility between the two companies and enabling the simple transfer of information where appropriate. Crucially, Ethitec moved quickly to ensure that a fully functional system could be deployed by Michelin so that the business benefits could be reaped immediately.
Michelin's appointment of Ethitec as its IT partner to carry out the bespoke development work led to a number ofbenefits for the company.
As a result of the fast deployment of the system, Michelin has been quick to reap the rewards of its investment. The company is expecting a significant reduction in the operating costs to be delivered by Phoenix. FASTTRACK, with the automation of processes resulting in greater accuracy, time savings, and therefore efficiency.
"Put simply, the new system gives us the tools we need to manage fleets much more effectively, deliver a better service, and therefore improve our revenues," concludes Mr Rivera.