Rising transportation costs, freight capacity issues and driver shortages aren’t new problems for procurement professionals, but when you add a global pandemic to the equation, those issues exacerbate quickly. In analyzing the relationship between procurement and fleet management, the Institute for Supply Management (ISM) found that the cooperation between these two functions is growing for increasingly strategic reasons.
“While traditional reasons such as the need for department level cost-cutting help drive procurement and fleet collaboration, addressing the emergence and deployment of new technologies that improve fleet performance but can also drive complexity are generating more cause for collaboration,” ISM points out in its report. “The need to support aggressive, overarching enterprise goals also brings the two teams closer together throughout the fleet management lifecycle.”
