Preventive Maintenance Costs Remain Flat in 2017
Continued stability in crude oil prices, along with longer oil drain intervals, are helping to offset the higher cost of synthetic motor oils that are now required by more automotive OEMs.
Continued stability in crude oil prices, along with longer oil drain intervals, are helping to offset the higher cost of synthetic motor oils that are now required by more automotive OEMs.
Fleet operating costs remained stable in CY-2017, primarily due to the lower volatility of fuel prices. But, there is upward pressure on maintenance labor rates and higher commodity prices that will impact the cost of replacement tires.
The stability of fuel pricing has been the No. 1 factor contributing to keeping operating costs flat in calendar-year 2017. Since fuel makes up the largest portion of fleet operating costs, it has helped keep a lid on overall fleet spend.
For the past four years, tire costs have been stable. But new cost pressures have emerged in 2017, primarily with higher prices for commodities used to manufacture tires and the trend to larger diameter, more expensive, tires.
In an industry that is fully embracing the evolving wave of new technology and seeing more and more aspects of it becoming digital, the human touch provided by professional fleet managers is that much more important.
Dmochowsky is the senior global fleet manager for Mondeléz International. He oversees a global fleet of over 10,000 vehicles operating in numerous countries.
While the concept of defensive driving has been around for 50 years, in-cab driver training company Instructional Technologies Inc., makers of Pro-Tread, have developed an update to apply the concept to modern roads, trucks and drivers.
Fleet maintenance costs have remained flat over the past 12 months, with the primary factor being increased overall vehicle quality. Other repair costs adjusted for inflation, were, on average, consistent with those in CY-2016.
The postal service company and ARI formed a strategic alliance to assist fleets in the United Kingdom with maximizing compliance and minimizing downtime via the services that the organizations have to offer.
Last December, for the first time, the American Petroleum Institute started licensing two different approved heavy-duty diesel engine oils. CK-4 adoption is going largely as expected, but very few fleets are using FA-4 yet – because very few engine makers so far are recommending it.
Trailer aerodynamics and glider kits might get a reprieve from the fuel-efficiency rules, but backing away from national rules would turn California loose, some warn.
Commercial fleets, including those in the pharmaceutical industry, use an array of tools and perks, such as in-vehicle infotainment that can keep drivers entertained from Point A to Point B, to increase driver retention, as long as the drivers avoid distraction.
The IARA standards committee has begun exploring the idea of creating a set of unified pre-sale certification standards. It has begun putting together a survey that it will be distributing to IARA members in order to gather feedback as to whether there would be member interest in creating something like this.
The International Automotive Remarketers Alliance (IARA) Canadian Committee has grown in spades since its inception in 2011. What started off with 13 members several years ago now is up to 35 member companies.
Recently retired from Manheim after almost four decades in the business, Chuck Novince is happy to see the industry’s move from an ‘entertainment’ focus to a more ‘analytical’ one.
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