Located in the heart of East Anglia, The Flagship Group is a social housing company driven by a bold mission: to end the housing crisis in the East of England.
With unwavering dedication to building, improving and safeguarding homes, the non-profit prioritises financial responsibility while placing employees at the forefront. Its charity, Hopestead, dedicated to homelessness relief, enjoys robust support from the company, forging a strong link between their initiatives.
Flagship Group’s well-maintained vehicle fleet plays a crucial role in the company’s mission, ensuring teams can efficiently manage and maintain properties across the region.
Heading it up is Catherine South, who assumed her current position two years ago, which uniquely combines her proficiency in payroll management with a newfound responsibility of overseeing fleet operations.
South explains that the company hasn’t yet expanded to the point of having a specialised fleet department, which is why in addition to her monthly payroll responsibilities she takes on the role of fleet management. “When I first started, I had zero knowledge about fleet management but plenty about payroll,”
she shares.
“I had to quickly immerse myself in learning about vehicles. Fortunately, with the support of my manager and a team of two administrators, we faced the challenge together. It was a steep learning curve, but now I feel confident in my abilities.”
For South and her employees, working for Flagship Group is more than just a job; it’s about making a tangible difference in people’s lives. “In our dynamic departments, dedicated efforts are underway to tackle the housing crisis head-on,” remarks South.
Focusing on vans
The fleet is diverse, comprising approximately 30 cars and 680 vans, including the Flagship Services Fleet, a separate division consisting of around 400 vans.
Regarding the van proportion of the fleet, South highlights a significant challenge concerning drivers who frequently cover long distances. “The issue persists; the vans haven’t caught up yet. While our car drivers cover ranges exceeding 300 miles, vans are barely managing around 200 miles in real-world conditions, which currently presents logistical challenges for us.”
The fleet is currently collaborating with Drive Electric leasing company to explore options for transitioning the van fleet. “This process is still evolving, and we’re actively engaged in finding solutions,” South says. For now, the fleet is considering the continuation of plug-in hybrids or traditional fuel vehicles for their vans to keep the business moving. “However, we aim to secure them on shorter leases as
we progress toward our ultimate objective,” notes South. “Hopefully, manufacturers will prioritise developments in this area in the near future.”
The payroll and fleet department being grouped together at Flagship is unique, and South explains that unlike traditional fleet departments, Flagship Group’s model fosters accessibility and responsiveness to employee inquiries. South says, “The way I see it is HR, payroll and fleet are all services you offer your employees, so grouping them together makes a lot of sense.
“When someone needs information about their company vehicle expenses, they can easily approach us in the office. We can provide them with all the necessary details without the hassle of going back and forth between fleet and payroll,” explains South.
This unique integration of two departments has another specific benefit too. South considers it instrumental in achieving the fleet’s goal of carbon neutrality by 2027. “Electrification has given us a good direction to move towards,” she says. “It’s a significant selling point for electric vehicles when we can inform individuals that their company vehicle tax will only be 2%, increasing by just 1% the following year. Having all this information readily available in one place is really beneficial to the company and drivers,” South adds.
Leading the charge
To support its electric vehicle drivers, the company provides charging infrastructure at its five primary flagship offices, with chargers installed at three of them through a partnership with Mer UK. Additionally, some of the company’s smaller offices have individual chargers. “We are actively expanding and maintaining this network, aiming to integrate into a broader charging network,” notes South. “Addressing logistical concerns such as security and access to car parks is underway, and we’re exploring collaborations with local companies and government bodies to facilitate this process.”
The company extends support to drivers by facilitating home charging through a partnership with PodPoint, subsidising up to £850 for a home charger installation for its essential users. While its perk vehicle drivers still receive a discount from PodPoint, they are responsible for covering the full cost. South says, “To ease the financial burden, we offer the option to pay upfront or spread the cost over 12 months through a payment plan.”
South says PodPoint’s affiliation with EDF proves advantageous for the fleet, particularly for drivers living in flats where installation complexities arise. “PodPoint conducts surveys and provides tailored advice to our drivers, leveraging their expertise as an energy company to optimise our charging solutions.”
According to South, the feedback from drivers regarding electric vehicles has largely been positive. However, as with any new initiative, challenges are inevitable. From her experience of introducing electric vehicles to the fleet drivers, South says around half of the drivers have been initially receptive to getting an electric vehicle right away, half have some questions and around 15% of these are initially less enthusiastic.
South understands that change can be daunting, and some individuals have been resistant. “We encounter drivers who have never operated an automatic vehicle before, and the concept of electric power adds another layer of adjustment,” she explains.
The team initiates conversations with the drivers, willing to make exceptions if they can’t install a home charger due to living circumstances, like living in a flat. Yet, once the drivers experience driving an electric vehicle firsthand and understand its simplicity, South says any apprehensions usually dissipate. “Once people drive an EV and realise how easy it is, half the battle is won. We keep a few demo vehicles on hand for trials, and often it’s just a matter of encouraging someone to get behind the wheel. The typical reaction is surprise and excitement,” South continues.
By showcasing the practicality, cost-effectiveness, and environmental advantages, the company has successfully transitioned most drivers to electric vehicles, with plug-in hybrids as an option for those hesitant or unable to switch immediately, or those vans which aren’t quite meeting range requirements yet.
“We can offer existing plug-in hybrid vehicles from the fleet and typically reassess within a year,” South explains. It’s an incremental process supported by open-minded employees. Our approach involves open discussions, highlighting practicalities such as nearby charging points, and emphasising that finding solutions is a collaborative effort.”
Since starting in her role two years ago, South says the company has encountered various challenges beyond just electrification, including the repercussions of Brexit, the pandemic, rising living costs and global conflicts. “At one point, our lead time for new vehicle orders stretched from the usual six months to a staggering 18 months due to parts shortages, causing significant strain. Consequently, we relied heavily on hire vehicles, exacerbating the situation. However, we’re seeing improvements now, and we’re hopeful for smoother operations moving forward.”
Keeping drivers safe
Although a big focus of South’s has been electrification since starting in her role, she also has placed driver safety as a priority. Although the fleet hasn’t implemented dashcams yet, South mentions they have explored the possibility. “Having dashcams as a safety measure could provide evidence in case of accidents, protecting our drivers. This is something we’re considering for the future, purely for driver safety, not to monitor their every move.”
The fleet already checks the licences of its drivers through Davis and has an internal health and safety team which offers online driver training to its company vehicle drivers, so South believes that is sufficient to keep them safe. “At the end of the day, we have a responsibility to ensure our drivers are safe and that their vehicles are legal, must adhere to the law, and while we can provide resources and support, they are ultimately responsible for their behaviour on the road,” says South. Recently, her team discussed the implications of enforcing speed limits and concluded that it’s not their place to reprimand drivers for legal violations – “that’s the law’s job,” she explains. “Our role is to ensure vehicles are safe and legal and to offer support and resources.”
The United Kingdom aims to reach its electric vehicle goals by 2035, although South wants to achieve it by 2027. But this ambitious target introduces risks, as the costs and durability of new technologies are uncertain. South believes that considering the longevity of electric vehicle batteries is crucial for the fleet’s future. “We’ve shifted from contract purchasing fuel vehicles to buying them at the end of their contracts and selling them for a profit, which is a great way to use our funds wisely,” she notes.
However, all of the fleet’s PHEVs and EVs are on contract hire, so they will be returned to the leasing company at the end of the lease. “This approach mitigates the risk, as we are unsure how these vehicles will hold up, the cost of battery replacement, and other long-term factors,” South explains.
She adds, “Moving to contract hire alleviates the pressure of owning vehicles that might devalue or become difficult to resell. In a few years, we might face challenges with lower mileage vehicles and their roadworthiness, similar to all new vehicles. Adapting to new technologies and the accompanying challenges is part of our ongoing strategy.”
Another priority for South’s team is ensuring everyone drives a vehicle they enjoy. “It’s a pleasure to provide someone with a nice new vehicle, especially for new starters who all receive a brand new vehicle unless they opt for an existing one from the fleet,” South says. Many employees have never driven a brand-new vehicle before, making it a special experience. “Our goal is to make sure everyone is happy, feels heard and has all the options available to them. We strive to help them get the best vehicle possible.”
When it comes to value, the company listens to its employees’ preferences.
“If someone is passionate about vehicles or has a favourite brand, we do our best to accommodate their choices while considering costs,” South adds. “We treat everyone equally, ensuring that regardless of their position within the company, they receive the same level of respect and opportunities. While some roles may have different cost allocations, our commitment to equity and providing equal opportunities remains unwavering.”
