Home-to-school transport tech and management company StudentSafe AU explains how school transport encompasses both hard and soft costs, each contributing to the overall financial burden on educational institutions.
StudentSafe AU says managing student transport is a vital component of independent school operations, ensuring not only the safety of students but also maintaining the school’s reputation for quality and reliability.
However, it says, beneath the surface of apparent efficiency, the financial implications of maintaining a school transport system can be substantial and often overlooked.
Understanding the costs of school transport
Hard costs include:
- Vehicle acquisition and leasing: the initial outlay for purchasing or leasing vehicles represents a significant investment.
- Operational expenses: fuel, maintenance, and repair costs are ongoing expenses that can add up quickly.
- Insurance premiums: comprehensive insurance coverage is essential but can be a substantial recurring cost.
- Personnel costs: hiring qualified drivers and administrative staff for scheduling and oversight is necessary.
- Regulatory compliance: schools must adhere to strict regulations, which can involve additional costs for compliance.
Soft costs include:
- Administrative management: co-ordinating schedules, routes, and communication with parents and staff can be resource-intensive.
- Risk and liability management: managing risks and liabilities, including safety concerns and potential incidents, is crucial.
- Resource allocation: efficiently allocating resources to avoid waste and optimise transport efficiency is a constant challenge.
Could your school benefit from consolidating its entire transport spend?
Many independent schools use multiple transport providers for daily commutes, excursions and charter trips, StudentSafe AU says.
“This approach can lead to fragmented spending, inefficiencies and missed opportunities for cost savings. Additionally, schools often stick with existing providers without exploring potentially better rates and service elsewhere,” it says.
According to the company, the consequences of not consolidating transport spend can include:
- Escalating costs: without consolidation, schools may miss out on bulk-purchasing discounts or favourable terms from long-term contracts, leading to higher per-student transport costs.
- Variable service quality: using different providers can result in inconsistent standards of safety, reliability, and overall service quality.
- Increased administrative burden: managing multiple contracts and providers increases complexity, requiring more administrative resources and potentially diverting attention from core educational functions.
StudentSafe AU: your partner in optimised school transport
StudentSafe AU offer independent schools a comprehensive consultation service to uncover hidden costs and provide a clear picture of their transport systems. This enables schools to make informed decisions that can lead to significant cost savings and improved efficiency.
Discover how StudentSafe AU saved a UK prep school AU$245,000 per year by optimising their transport spend.
For more information, join StudentSafe AU’s waiting list for a consultation.