What is an example of transportation in business?

What is an example of transportation in business?

Transportation in business is playing a crucial role in driving efficiency and supporting employees. From reducing operating costs to streamlining daily commutes, there are several key transportation solutions that a business can leverage. In this blog we will explore 5 key examples:

Corporate Shuttles

What are corporate shuttles? A corporate shuttle is a tailored transport service designed around, and exclusively for employees to provide a reliable, efficient and manageable daily commute to and from the workplace.

Who benefits from a corporate shuttle? From a business perspective, you do! Larger workplaces based in areas with limited public transport can see a host of benefits when investing in a shuttle service. Corporate shuttles can improve employee retention and productivity, drive recruitment and increase employee satisfaction by ensuring a hassle-free commute.

Factors that influence the cost of a corporate shuttle include (but are not limited to):

1. Frequency and duration - How often will your employees be using the service; will you be running it daily, weekly or monthly?

2. Occupancy - How many of your employees will be using the service?

3. Vehicle Type - Will you be opting for a 12 seater diesel minibus or looking to go green with a 52-seater EV motorcoach? Or will you split the difference and go hybrid? Each of these will have varying operating costs.

4. Route Complexity - Are you implementing a park and ride style service, last mile from a public transport node or home to work shuttle (which involves multiple pick up locations)?

‍Measuring the ROI of a Corporate Shuttle

While the upfront cost of a corporate shuttle might seem like a significant expense, the ROI extends well beyond mere cost savings:

Enhanced employee productivity - When employees arrive to work on time and without enduring the stresses of commuting, they are prone to higher levels of productivity.

Cost savings - Have you thought about what the cost of building or maintaining parking infrastructure would set you back? Or, what you might spend on employee turnover? 

Sustainable Impact - By reducing the number of single occupancy vehicles on the road, your organization can contribute to significantly lower scope 3 emissions through the use of shared rides.

Ride Sharing

What is ride sharing? Ride sharing is a flexible transport solution where employees can carpool to work, either independently or through various apps like Lyft or Uber.

Who benefits from ride sharing? Employees working for companies situated in suburban or rural locations are ideally suited to ride sharing, particularly when dispersed across urban areas. Ride sharing promotes a more cost effective commute and lowers the number of single occupancy vehicles on the road.

Key features include:

• Flexibility - the ability to book rides via apps
• Cost - sharing the financial burden of the daily commute as opposed to being solely responsible for shouldering the cost.
• Carbon footprint - lowering carbon emissions by taking a significant amount of cars off the road

Vanpools

What are vanpools? You would typically find a group of employees travelling together in a shared van, either organised by the employer, or independently by the travellers, typically when covering longer commutes.

Who benefits from a vanpool? Employees working for companies situated in suburban or rural locations are ideally suited to vanpools, particularly when they are limited by public transit availability. Vanpools offer a level of scalability and flexibility when utilised by small to medium sized teams.

Key features include:

• Fixed routes - the ability to tailor routes to the individual needs of the group
• Cost - sharing the financial burden of the daily commute as opposed to being solely responsible for shouldering the cost
• Parking - reduces congestion and significantly reduces the time and money spent by employees looking for adequate parking.

Cycle to work schemes

What is a cycle to work scheme? Encouragement of employees to commute by bicycle, either through tax incentives or company sponsored subsidies.

Who benefits from cycle to work schemes? Ideally suited to businesses with access to cycling infrastructure. (Cycle lanes/paths from local transit depots that are safe for the employees to travel on). Such a scheme also promotes physical and mental wellbeing while supporting company wide sustainability targets.

Key features include:

• Subsidy - supporting employees with subsidized bike purchases or rentals
• Wellbeing - promotes a healthier way of life and supports employees physical and mental wellbeing
• Environmental impact - cycling is a zero emission method of transportation, emitting no pollutants to the environment

Subsidized Fares

What are subsidized transport fares? This is where companies typically cover public transit costs for their employees, either partially or fully; though some businesses choose to “loan” their employees the cost of transport up front and then deduct from take home pay.

Who benefits from subsidized fares? This typically works best when employees have a robust public transportation system available to them; either in a city or town with adequate transit infrastructure. This can be a great way to incentivize employees, particularly for companies reinstating in-office attendance. 

‍Key features include:

• Cost-efficacy - companies are able to issue discounted or reimbursed transportation passes, which can often otherwise be a significant cost to their employees.
• Parking requirement - reduces the need for excessive parking infrastructure and lowers congestion around the workplace.

It's important when evaluating transportation solutions for your business that you consider the following:

Workforce need - It's important to understand the actual commuting needs of your employees rather than just making general assumptions. Survey your team and find out exactly what the unique challenges are that they face in getting to work.

Budget - Decide how much your business can actually invest in transportation alternatives

Sustainability goals - Gearing up to tackle significant carbon reduction targets? Why not consider prioritising environmentally friendly options where possible.

Whether you are looking to engage a corporate shuttle service, encourage your employees to cycle into work or promote ridesharing as a viable alternative, make sure you align your business transportation solution to your business goals.

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