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In a recent survey of the transportation industry by Teletrac Navman, 39% of fleets named reducing costs as a top business goal in 2017.
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Ford featured 10 winning models, which included the Taurus, several Ford Transits, and a few vehicles from the Ford F Series,
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The advantages of tracking driver spending can't be overstated, as the data provided can help fleet managers assess if drivers are efficiently purchasing fuel, as well as identify high-performing vehicles and drivers who can serve as examples to the rest of the fleet.
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Extending truck replacement cycling parameters beyond stated fleet policy is typically a short-term tactic used by senior management to solve a budgetary constraint; however, there are long-term fleet consequences to this strategy.
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The stability of fuel pricing over the past 36 months, along with ongoing improvements in vehicle fuel economy, have been the key factors keeping fleet operating costs relatively flat.
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Senior management exerts intense pressure on fleet managers to control and/or reduce vehicle acquisition and operating expenses. To accomplish this, a fleet managers can pursue three different cost-control strategies — cost savings, cost deferral, or cost avoidance. In order to implement a successful cost-control strategy you need to institutionalize the mechanisms to curb money-wasting behaviors.
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Fleet cost-reduction programs typically focus on the asset; however, there’s a limit to how much a fleet manager can modify truck specs without impacting the fleet mission. True cost savings are to be found in areas beyond the asset.
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Ford and Nissan vehicles appeared most prominently among the vehicles chosen as having the best fleet value by Vincentric for the 2017 model year, the firm that analyzes total cost of ownership announced.
Read More →Depreciation is a necessary evil in our industry. Knowing your risks and knowing your OEM partners won’t make depreciation go away but it can make it more manageable.
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