Why ETMS (Employee Transportation Management Solution) is important for SMEs

ETMS is an acronym for any employee transportation management solution. Primarily it is an end to end software to cover all processes from employee request, to the roster, routing, cab allocation to the employee, routes transmission to drivers, live tracking, Billing for cab vendors and MIS.

Organizations have offered transportation to employees for a lifetime. Traditionally organizations have always treated employee transportation as a part of admin department relegated to a status of building maintenance, security maintenance and likewise.

Employee transportation needs better attention from CEOs and CFOs to start with. One of the money involved is high, at an average of a minimum of Rs. 5000 per employee per month going all the way to Rs. 10,000 per employee per month, even for a 100 employees transport base, you are talking about Rs. 5 Lac to Rs. 10 lac per month (A whopping Rs. 60 lacs to Rs. 1.2 Crore expense, in dollar terms $ 7000 to $14000 per year). Take it to 1000 employees availing transportation and we are looking at Rs. 6-12 Crore budget (up to $140000 expense).  This is a bare transport expense. The additional expense going into manpower deployed to manage the process is on the top. After employee salaries, employee transportation normally accounts for the second-highest expense item in an organizations expense budget.

Second, what is at stake! Your employee satisfaction and retainment are at stake. Not only that the employee behavior will drive your end client experience. In today’s world, what is the most difficult and expensive item to manage in a business, it is employees. An employee coming late to work is a loss to the organization, will lead to disruption in client processes and ultimately lead to business inefficiencies. An employee going home late, just because your transportation was not efficiently managed, will lead to employee dissatisfaction.

Traditionally the transportation process has been managed on Excel sheets. Technology has moved miles ahead with #cloud-based platforms being abundantly available, smartphones are with everyone, and ride-hailing platforms have brought transparency into the taxi operations. Self-service by employees in requesting transport has become a de-facto standard.

At minimum what an ETMS can give to the CEO and CFO of an organization? Transparency into the process, ETMS gives the ability to automate end to end process, live tracking to employees, can take women employee safety several notches up. CxOs can view in real-time the Ontime Arrival and Departure from an operational perspective, and Seat Utilization from a cost perspective, and more.

Employees ability to know ETA of vehicle, ability to book, reschedule, cancel from the convenience of smartphone and ability to provide instant feedback, raise security alerts, enhances employee trust and experience into the system.

To top it all, ETMS can pay for itself. The potential of economy in operations, leading to RoI can be higher than the money you spend. Though no player will commit savings you can obtain because of multiple operational aspects involved beyond the control of a software provider, if done right, #savings to the tune of 10-15% are sure to come. Software is provided as SaaS (software as a Service), the control is with the client as to how long to use.