How to Avoid Over-Maintaining Vehicles
One way to reduce maintenance costs is by reexamining your fleet's maintenance schedule. Revised tire rotation, tune-up, and transmission guidelines could save a 1,200-unit fleet almost $500,000 a year.
Vehicle maintenance is one of the most expensive and least understood areas of fleet management. Although the fleet manager should keep the vehicle manufacturer's guidelines in mind when establishing maintenance procedures, he or she should also use discretion to realize cost savings. Here are a few suggestions to reduce cost while at the same time keeping vehicles in peak operating condition.
1. Discontinue Tire Rotation
Tire and automobile manufacturers set the standards where tire rotation is concerned. Some manufacturers state that tires should be rotated at 3,000-, 7,000-, or 10,000- mile intervals or anywhere in between. Front-wheel-drive vehicles tend to wear the front tires before the rear. Therefore, if you rotate the front tires with the rear, you have four worn tires at approximately 30,000 miles. If you don't rotate the tires, you will only have two worn tires, most likely the front tires, in need of replacement at approximately the same mileage. Refraining from tire rotation and replacing only the front tires at 30,000 mile realizes an enormous cost savings for your company and involves no safety risk.
The average cost of a tire for a Buick Century is $85. If this vehicle is kept on the road for 55,000 miles, all four tires will be replaced at least one if you rotate the tires according to the manufacturer's recommendation. The cost is approximately $340. By not rotating the tires at all, the replacement of the two front tires will cost only $170. For example, with a fleet of 1,200 vehicles, you could save approximately $204,000. You can purchase approximately 14 Buick Centurys with that savings!
The most important services to be performed regarding tires are to keep them inflated according to the label, which is usually located on the door post, and to monitor tread wear, dry rotting, flat spots, and wheel alignment.
2. Limited vs. Complete Tune-Ups
If a vehicle has accumulated 30,000 miles and the driver has no complaints about the engine's performance or fuel economy, and if the vehicle passes the state's emission requirements, why perform a tune-up?
There's no reason to tune-up a vehicle unless there's a complaint by the driver or the vehicle fails inspection. The average "complete tune-up" costs about $350, while a "limited tune-up" costs only $150.
A "limited tune-up" should include only an oil and filter change, filling all fluids, a vehicle safety check, replacement of both air and fuel filters, and a road test. By performing only a "limited tune-up" an a fleet of 1,200, you could realize a savings of $240,000.
To ensure the life of a new engine, administer oil changes in accordance with the automobile manufacturer's maintenance guidelines (usually printed in the owner's manual).
3. Don't Over-Inspect Transmission
Most automobile manufacturers' maintenance guidelines include the replacement of the transmission fluid and filter. The transmission is a completely sealed unit, and unlike the engine, it's not subjected to contamination from debris found in the air, oil, or fuel. The likelihood of the fluid becoming contaminated or the additives breaking down us little to none. The average transmission service costs approximately $50. A fleet of 1,200 vehicles would incur a cost of $60,000 by servicing each transmission once.
By checking the level and condition of the transmission fluid each time the engine oil is changed, you will not only eliminate this excess service, but you will ensure the reliability of the transmission.
Today's fleet managers are faced with many issues involving cutbacks and cost reductions. Vehicle maintenance should not be over-performed nor should it be forgotten. National accounts provide the most convenient method of vehicle repair service, but they should be monitored so that you can feel comfortable with the integrity of the service being performed and the cost incurred. Many service organizations don't like to hear this kind of talk, but then again, one should realize the profit margin enjoyed when it comes to vehicle maintenance.
It's necessary to reach a balance by staying in accordance with the vehicle's warranty and ensuring the vehicle is in safe operating condition. After that, it's up to you.
The preceding article was written by Alan Binstein, assistant manager of fleet administration for Revlon in Edison, NJ. Binstein is a NAFA member and a certified automotive instructor in New Jersey.
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