By Stuart Miles, chief revenue officer at Nexus

A new era of artificial intelligence (AI) powered fleet management has arrived, and with it comes a critical responsibility to shape technology for good.

AI is transforming the fleet industry, helping to push forward new levels of efficiency, safety and environmental performance across fleets around the country.

But, as the awareness and use of AI grows, so does the responsibility to ensure it is used in the right way, sustainably, ethically and with people remaining at the heart of businesses. This forms part of our ethos.

We strongly believe that AI technology should be there to support human intelligence, not replace it. We also believe that progress in this area should not come at the expense of the planet, which is why we keep sustainability and ethics at the forefront of our minds when implementing new technology.

We built Iris, our vehicle rental management software, on that exact principle – to support human-decision making, rather than remove it, meaning we can help fleet operators work smarter, not harder.

By making use of AI-based systems to handle complex data analysis and the more repetitive processes, we are able to free up our team to do what they do best, provide top quality service to our customers. It can never become a substitute for human judgement, but rather an enabler for more productive work. The higher value work requires human judgement and empathy, something AI-based technology could never replicate.

From customer relationships and service quality through to operational decision making and strategic planning, creating opportunities, ensuring people are integrated through every process is at the forefront of our approach to sustainable AI integration. It is about designing, deploying and managing technology in ways that can benefit the business and the wider environment, but also protecting the people who play a key role in fleet operations.

The growing awareness of AI’s impact – both within our business and across the wider industry – is starting to spark the right conversations. We have become much more deliberate in the questions we ask and the way we approach new technology. Every new piece of tech or AI tool is carefully considered before we implement it, ensuring that it aligns with our sustainability goals. We understand that data centres consume vast amounts of electricity, and while this technology brings clear benefits, we must ensure that we are not simply moving inefficiencies from the road to data centres.

One way we’ve utilised AI in a sustainable way is through Iris’ supplier allocation model. The system uses AI to ensure that the vehicle allocated to a customer is as close to them as possible, whilst also still considering price value and supplier quality. By making supplier allocation more data-backed and multi-criteria, we are creating a credible governance narrative that doesn’t exist elsewhere in the industry. It covers efficiency gains for suppliers and customers but also builds future-proofed AI models that can track and evidence ESG outcomes, supporting accountability and compliance in the industry for the likes of carbon reporting and similar.

This type of allocation has a huge impact when applied across our entire vehicle network of over 550k vehicles, 100k plant vehicles and 50k HGVs. With one vehicle, this type of model wouldn’t be industry-changing, but on the size and scale that we can deploy it, a small optimisation such as this is incredibly significant. Some advantages of this model are lowered CO2 emissions by reducing non-essential travel, reduced fuel consumption across a rental network, improved vehicle utilisation and faster service for customers. We are able to lower emissions while maintaining service quality.

Alongside other improvements already deployed, and due to be introduced, to Iris, we encourage our team to make use of AI tools to improve efficiencies but to be cautious about the ways they are used. New technology can be intimidating, especially for those who are not in tech-focused roles, but it is important to bring all members of a team on the journey. By providing the right training and guidance, we always work to ensure staff feel confident in what they are doing and utilise AI for the opportunities it presents. No new technology is inherently bad, what matters is the way people use it.

Ethics are a major part of the AI conversation. The fleet industry relies on data, such as vehicle usage, driver behaviour and maintenance records to influence decisions, and AI relies on the same data to drive accurate insights. Ethical use requires transparency and strong governance to protect individual users and businesses alike. The type of data utilised by Iris® covers standard driver behaviour for safety reasons and carbon emission measurements by journey, location or customer segment. Not only does this support decarbonisation strategies for businesses, it also allows for transparent reporting to help businesses meet ESG and regulatory requirements. To tackle this, we ensure our team members are trained to correctly and safely manage this data.

Additionally, general use of fleet rental in business can support the transition to low-carbon vehicles. AI technology and data can help predict where electric vehicles could perform well in a business, based on trip patterns and charging infrastructures. It can also help manage charging schedules and look at which vehicles should be electrified first to maximise carbon reduction whilst still supporting overall business growth. Transport is considered the UK’s largest emissions emitting sector, with cars and taxis being the biggest contributor at 55% of 2019 domestic GHG emissions.

By approaching AI in a way that enhances human capabilities and places environmental performance as a key factor, we are aiming to set an example for the wider fleet industry. It is an incredibly practical tool to help reduce emissions and create a greener future, but we must remember that empowering the people behind the business and technology is just as important.

The future fleet industry is inevitably going to be AI-powered in many ways, but one powered by sustainable AI is a choice every business must make.