VEHICLE MANAGEMENT

1. PURPOSE

The purpose of this policy is to provide guidelines for managers and employees affected by the policy. It also outlines the standard of conduct and rules applicable to employees that are in use of company vehicles for business.

2. Approval

(Version at end of page)

Signed V7 SZ 04.06.2024

3. Scope

The process covers all documents and process and products as defined in the SOP.

This Policy must be read-with and comply with the Protection of Personal Information Act 04 of 2013, ("POPI"), the Company POPI Policy, PAIA Manual and processing of personal information envisaged under this Policy must be done in accordance with the aforementioned.

4. Responsibilities

Approval: Author of the document, Henry Manyike, Managing Director

Changes: Author of the document, Simangele Zungu, HR Officer

5. Definitions

Vehicle - a thing used for transporting people or goods, especially on land, such as a car, lorry, or cart.

6. Abbreviations

NCR – Non Conformance Record

SOP - Standard Operating Procedure

7. References

ISO13485

8. Procedure

COMPANY MOTOR VEHICLES POLICY

Responsibility & Authority

Within the provisions stated in this Manual, it is the Company’s policy to provide a company car serviced and maintained by the Company, to employees qualifying for a company car.
A Company motor vehicle will only be provided where it is deemed necessary by the Board of Directors for work purposes.
Any vehicle provided will be of a type as decided upon by the Board of Directors in their sole discretion.
A copy of the Company Motor Vehicle Policy can be found under HR Forms.

Drivers Licence

Eligible staff who qualify for a Company vehicle must be in possession of a current, valid and un-endorsed South African drivers licence.
All persons allocated a Company vehicle must, at their own cost, ensure that they at all times have in their possession a valid and current driving licence when driving a Company vehicle.
A copy of the employee's driver’s licence must be lodged with management prior to the handing over of the Company vehicle to the employee.
Any endorsement of that licence, withdrawal or loss of it must be notified to the Company on the day such endorsement, withdrawal or loss occurs and then confirmed to the Company in writing by the employee within 36 hours of such endorsement, withdrawal or loss.

Vehicle Code of Conduct

Any employee provided with a company vehicle, should adhere to the company code of conduct when operating the vehicle.
At no time, should the employee operate the vehicle, or behave in a manner which is reckless, and may endanger themselves, those around them, or company property.
This includes, driving at excessive speeds, and not following the appropriate rules of the road, as set out in the Road Traffic Act.
Any driver found to have been driving a Company vehicle under the influence of alcohol or driving negligently will be held fully responsible for all costs, damages, prejudice suffered by the Company should the Insurance Company repudiate all or part of any claim.
Any employee found to contravene this code of conduct, will be subject to immediate disciplinary action and may be held liable for any costs or damages incurred.

Traffic Offences

It is Company policy that the driver of a company vehicle will be personally responsible for all traffic fines incurred whilst driving the Company vehicle.
Employees must submit all traffic fines issued to them on the same day by end of business. Fine capture by speed trap, etc. must be presented to the employee concerned as soon as it is received.
All fines must be paid in full on the next pay date from date of receipt.
The Company will however pay the fine to the traffic department as soon as it is aware of it and the employee has been identified and confirmed.
if the amount of the fine is not paid to the Company as stipulated in point 1. the employee concerned will be required to complete an Acknowledgement of Debt . The amount will then be deducted from the employee's next salary over a maximum period of 3 months.
Based on the fines received by the Company, employees found to have been driving over a speed limit by 10km or less will be allowed a payment arrangement of 2 (two) instalments and over 10km a once off deduction from the next salary date of issue of relevant fine.
Drivers must submit all traffic fines and the required payment to the Company at their earliest convenience before the due date and the Company will pay the fine to the traffic department.
The amount of the fine, if not paid to the Company as contemplated above, will then be deducted from the employee's salary and the employee is then required to consent to such a deduction in writing.
All correspondences addressed to the Company’s address in regard to a vehicle/s e.g. traffic fines will be opened by the Company irrespective of whether they are addressed to an individual or not.

Right of Termination

When an employee who has the right to the use of a Company car, ceases to be employed by the Company for whatsoever reason, the Company vehicle must be handed over to a person nominated by the Managing Director or a General Manager, together with the keys, etc. by no later than close of business on the last day of work.
Unless otherwise agreed in writing, a Company car does not form part of the contract of employment (remuneration ad benefits) and as such should an employee for whatsoever reason not work out the required notice period the company car will not be provided for during such notice period.
A comprehensive vehicle inspection will be done before keys are relinquished (sign-off) by the national Logistics Manager or Supervisor, and any damages found on the vehicle, shall be paid for by said employee assigned to that vehicle.

Private Usage

Company cars are primarily granted for business purposes, but reasonable private usage is permitted. Any excessive private usage in a calendar month will be investigated in conjunction with the responsible driver by the Company.
Employees who are allocated a Company vehicle may use the vehicle for holidays and weekends/long trips but this privilege is subject to obtaining written permission from Management prior to such use. If the use is not permitted, then the keys need to be relinquished to the Business Administrative Manager, or nominated staff member. A comprehensive vehicle inspection will be done before the keys are handed over, and once said staff member is back from annual leave.
When an employee is on sick leave the Company vehicle is not to be used unless the employee has to visit a hospital, Doctor, clinic or similar venue / person.
When an employee is on sick leave the Company vehicle is not used, and must be left at the branch, upon discretion of the manager or Supervisor.
An employee is required to return the vehicle to the Company during leave periods, including car keys and log books, unless otherwise agreed in writing with the National Logistics Manager.
The company vehicles will not be used in lieu of private vehicle, to save personal petrol money or transport costs.

Procedures (Fuel and Repairs Costs)

All fuel for a Company car must be purchased at ENGEN Linbro Park with their allocated Engen Petrol Card, unless otherwise agreed.
When proceeding on annual leave using a Company vehicle, such vehicle may be fueled at Company cost but on return to duty the tank must be filled on resumption of duty at the cost of the person to whom the vehicle is allocated. All receipts must be submitted to the Business Administrative Manager on the day of resumption of duty. All costs while on leave will be for the cost of the person to whom the vehicle is allocated.
Lubricants and puncture repairs are to be paid for by the person to whom the vehicle is allocated and claimed back from the Company, except when on annual leave when the person to whom the vehicle is allocated must pay such costs. Such claims must be supported with a valid proof of payment. Should the vehicle still be in a drivable state, then the repair can be organized at the company's preferred service provider.
Company vehicles are strictly forbidden for use in motor car rallies, police reserve work, lift clubs, security organizations or the like.
The person allocated a Company vehicle is responsible for ensuring that the vehicle and it’s use complies with all requirements of the Road Traffic Act, as well as municipal and provincial laws on licensing, number plates, etc. as well as the Company’s insurance requirements.
Hands free kits e.g. earphones must be used if a cellular telephone is used whilst driving. This will not be for the company to issue, but for the staff member to purchase from their own pocket.

Vehicle Accessories

The Company will ensure that all vehicles are fitted with the following accessories on delivery (included in the benchmark value):

1. Radio - tape deck / CD player
2. Alarm and/or immobilizer
3. Gear lock if no Alarm or Immobilizer is fitted
4. Passive satellite tracking system (excluded from benchmark value).

Car radio / tape decks / CD players are not covered by the insurance policy and in the event of loss or damage for whatsoever reason the driver will be responsible for making good to the Company such loss or damage.
In agreeing to accept the use of a Company vehicle and if a loss of any item contemplated in previous point above occurs, then the employee agrees to refund the Company for such loss should any insurance not cover such loss. Such refund will be made as a deduction from remuneration after agreeing to such deduction in writing.
Company vehicles shall not be fitted with accessories such as luggage racks, towbars, search lights etc. unless prior permission has been obtained in writing from management. The cost of such accessories and their maintenance will be borne by the employee and installed at the employee's own risk. Company vehicle insurance will not and does not cover such items.

Drivers of Company vehicles must ensure that they familiarize themselves with the terms and conditions of the Company Vehicles Insurance Policy.

Vehicle accidents : Liability of employees and procedures

In the event of a Company vehicle being involved in an accident, it is the driver's responsibility to (if possible) :-

1. Immediately check for injury to any person and implement appropriate measures to assist if injury/ies occurred.
2. Immediately obtain personal details of the other driver/s and details of their vehicle/s.
3. Obtain the names and addresses of all witnesses and vehicle registration numbers (if applicable).
4. Report the nature and extent of the accident to the nearest police station within 24 hours and obtain details of the accident file number (CR number), police official's name and rank.
5. Report the accident and details thereof to a General Manager or National Logistics Manager within 24 hours.
6. Under no circumstances must liability be admitted to an outside party.
7. Comply with any requirements of the Company insurance policy.
8. A police report to be made to the police as soon as possible.

Insurance Excess

Insurance excess in respect of an accident, damage to a vehicle, loss of or from a vehicle will be payable by the Company.
In the event that an investigation has shown that the driver is at fault, company disciplinary process will be initiated, and the driver will be liable t pay the excess.
Should the insurance company not pay for the repair due to negligence or substance/alcohol abuse, then the driver may be liable to pay for the full repair of the vehicle.
In the event of a hijack responsibilities will differ. If possible under the circumstances 10.1 (a), (c), (d), (e), (f), (g) should apply, save at (d) a report to be made to the police should be done as soon as possible.
Any insurance excess in respect of an accident, damage to a vehicle, loss of or from a vehicle will be payable by the person to whom the vehicle was allocated, which will be refunded to the employee if the excess is refunded to the Company.
In the event of a hijack, the Company at it’s discretion and investigation of all relevant facts and circumstances will consider waiving any or all excess payments by the employee involved.
Should the insurance approve vehicle hire, then the vehicle will be issued with one or two drivers licenses, and only they are allowed to drive this vehicle. The company will cover the insurance costs plus any petrol deposit. It is the responsibility of the driver to ensure that they treat this hired vehicle as per the company vehicle policy.

Care of company vehicles

Each company car will be issued with the car manufacturers service log book. Cars must be maintained by the employee responsible for the car, in terms of the log book and drivers must ensure that regular services are carried out in accordance with the manufacturer's recommendations. This log book will be subject to periodic examinations by the Company.
Staff members need to inform the National Logistics Manager before the vehicle is due for the service. National Logistics Manager will book the service at the preferred service provider. (Please see SUPPLIER RECORD for details.) The Driver will drive the vehicle to the garage, at the designated time, and collect said vehicle once the vehicle is serviced. Should the vehicle take longer than a day, then it is up to Management's discretion, on whether a hire vehicle will be organised.
It is the responsibility of employees who are allocated a Company vehicle/s to maintain the appearance of the car at an acceptable standard of cleanliness and repair at all times. A Weekly Cleaning Logbook needs to be filled in before the driver drives a vehicle, and this must be submitted with the weekly vehicle check that is signed off by Management.
Employees must ensure that the Company vehicle/s allocated to them are properly and safely parked at all times when not in use. This includes parking of the Company vehicle at an employee/s residential premises, when they are at home. A Company vehicle/s should not be parked and left unattended overnight or over week-ends in public places. When at home, the Company vehicle must be kept behind a lockable gate.
Should an employee not be able to provide safe parking on private property overnight or at week-ends they are to advise the National Logistics Manager of this. Any directive the national Logistics Manager issues in this regard must be compiled with. Safe parking is defined as the vehicle being parked behind lockable gates (as per insurance requirements).
When it is time for a vehicle to be returned to the Company, the employee to whom the vehicle was allocated will be responsible for restoring the vehicle to its original condition, fair wear and tear excepted.

Unauthorized Drivers/Passengers in Company vehicles

At no time may recipients of Company cars carry passengers in their vehicles whilst on duty unless such passenger's are being transported for Company business purposes. Permission by Management must be obtained in advance should it be necessary to transport non-business passengers.
Drivers of Company vehicles are not permitted to allow any other person including a spouse or children to drive such Company vehicle unless a written consent has been given by the Management or a valid, proper and responsible reason exists.

Driving under the influence

Driving a Company vehicle under the influence of alcohol or any other intoxicating substance is strictly prohibited. Disciplinary action will be taken against any employee found to be in contravention of the above. This may include suspension and/or termination. The employee may be held fully responsible for all costs, damages, prejudice suffered by the Company should the insurance company repudiate all or part of any claim.

Passive Satellite Tracking System

To carry out core business, the Company is heavily reliant on motorized transport. As the cost of operating motor vehicles is increasing at an alarming rate it has been decided by the Company to implement satellite tracking in Company vehicles, which are utilized in the core business and may also be installed in vehicles where the cost and need are justifiable.
Satellite tracking is a cost effective, electronic vehicle management and monitoring system which provides both the Company and drivers with extensive information on how to efficiently operate vehicles and manage related costs. Reports that can be spooled include, but not limited to, detail on excessive idling, harsh braking, harsh concerning, and speeding.
Drivers are advised that the location of a vehicle is tracked 24 hours a day, 365 days of a year in terms of satellite tracking. Such information is downloaded from a vehicle continuously.
It is the right of the Company to monitor employees to ensure that they are working during working hours is entrenched. It is appreciated that monitoring will still occur outside working hours but unless this policy is breached or an employee/s has/have acted illegally, irresponsibly or negligently action will not be taken against an employee/s for private use of the Company vehicles allocated to him / her.
Employee/driver must therefore not have any expectation of privacy regarding the location of the vehicle.

Vehicle Inspections

Random inspections of all vehicles will be conducted by the Company under the direction of the General Manager/Business Administrative Manager.
All damages found must be repaired as soon as possible and the responsible party must make payment at the same time.
The forms that are used to perform the checks, (Vehicle Inspection Form)

Business running costs of company vehicles

All business running costs (fuel, oil and maintenance) of Company vehicles will be met by the Company. Oil and punctures must be paid for by the person to whom a vehicle is allocated who on presentation of a valid cash slip/receipt will be refunded.
All Company motor vehicles will be comprehensively insured through the Company's insurance policy, which will be arranged and paid for by the Company.
Drivers of Company vehicles must ensure that they familiarize themselves with the terms and conditions of the Company vehicle insurance policy.
Should any driver of a Company vehicle fail to report an accident, damage to a vehicle, theft of or from a vehicle timeously and in terms of the Insurance Policy and/or the Law, the driver will be held responsible for such loss or damage and the cost thereof which will be recovered from the driver by the Company.

Road Assistance Services

The Company will allocate each vehicle with a laminated information booklet with all important details required by employee such as contact numbers in the event of roadside emergency i.e. flat battery, flat tyre, locked keys, fuel assistance, minor roadside running repairs, etc. This pamphlet (information booklet) also includes the insurance information needed, should immediate assistance be required.

Avis loan cars / Courtesy cars

From time to time, the Company may have an additional vehicles.
Responsibility for and control of any such car is the responsibility of the General Manager/Logistic and Operations Manager.
Where applicable all the policies and rules applying to Company Motor Vehicles apply to the pool car and any employee driving the pool car including insurance excesses.
The hired vehicle may only be used for Company business and private usage as stated in this policy.
An employee may not use such vehicle without consent and then only when his / her car is off the road for servicing, repair etc. or otherwise authorized by a General Manager/Logistic and Operations Manager of the Company.
The hired car may not be used by an employee for the purpose of “saving” his/her vehicle or keeping another Company vehicle’s mileage down.

Documents found in the Vehicles Management Folder in the Google Drive:

9. Risk Based Approach

In the event of non compliance follow SOP NON CONFORMANCE CORRECTIVE ACTION

Risk Based Approach Report

[Risk Assessment to is found in SOP PREVENTIVE ACTION RISK ASSESSMENT refer Document]

9.1 Trend Analysis and Continual Improvement

The analytical reviews of supplier performance, and any other quality related matters, are reported to management and as part of the input to management review refer Data Analysis

The Trend analysis may identify any potential and recurring incidents, where corrective action must be reported at the management review to facilitate continual improvement.

10. Revision History

Revision 7, 04.06.2024 - SZ - approval by HM

Revision 5, 26.11.2021 - NT - adding the document links and additional information to the SOP

Revision 4, 17.11.2021 - NT - signed off from TNA

Revision 3, 04.02.2021 (TNA) amending SOP to new Format

Revision 2, Digitally signed on 10.07.2019 by NT

Revision 1, unknown due to googlesite change to new googlesite

11. Records

Name Retained by/ in Retention period Hard copies Destroyed by

Any Vehicle documentation Google Indefinite n/a

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