Fleet Management Diagnostic Approach

Holistic approach to diagnosing fleet management practices Assessment of fleet management practices will encompass a broad diagnostic approach across numerous key areas Asset disposal practices Financing Maintenance and repairs Fleet planning and acquisition Equipment Utilization Operating practices Data capture and KPI’s

Assessment of fleet management practices will encompass a broad diagnostic approach across numerous key areas

Asset disposal practices

Financing

Maintenance and repairs

Fleet planning and acquisition

Equipment Utilization

Operating practices

Data capture and KPI’s

Asset disposal Determining the Useful Economic Life (UEL) of an asset is a critical first step and involves determining the UEL for each vehicle type based upon historical data Once the UEL is known for a vehicle type, individual vehicles that have exceeded the optimum undergo an assessment to determine if they are candidates for disposal. Our approach is to verify the cost data for completeness, identify the UEL by asset type, develop an assessment outline for individual assets, and establish the procedures for asset disposal.

Determining the Useful Economic Life (UEL) of an asset is a critical first step and involves determining the UEL for each vehicle type based upon historical data

Once the UEL is known for a vehicle type, individual vehicles that have exceeded the optimum undergo an assessment to determine if they are candidates for disposal.

Our approach is to verify the cost data for completeness, identify the UEL by asset type, develop an assessment outline for individual assets, and establish the procedures for asset disposal.

Finance review The financial review is a look at how lease decisions are made. Critical areas of examination are: Lease vs. buy analysis. Are all critical elements accounted for? Lease terms Is the length of the lease set at the anticipated UEL? Does the maintenance contract make sense given the UEL and anticipated maintenance expense Output Summary and recommendations for further action

The financial review is a look at how lease decisions are made. Critical areas of examination are:

Lease vs. buy analysis.

Are all critical elements accounted for?

Lease terms

Is the length of the lease set at the anticipated UEL?

Does the maintenance contract make sense given the UEL and anticipated maintenance expense

Output

Summary and recommendations for further action

Maintenance and repair issues Areas for investigation revolve around examining the factors impacting the most cost effective methods of maintaining a fleet Outsource or in house analysis Outsource major repairs but maintain capability to perform running repairs in house. Combo analysis Process review of preventive maintenance practices, pre and post trip inspections Data recording and accuracy Shared maintenance services between divisions Outputs will be results of analysis and recommendations for further action

Areas for investigation revolve around examining the factors impacting the most cost effective methods of maintaining a fleet

Outsource or in house analysis

Outsource major repairs but maintain capability to perform running repairs in house. Combo analysis

Process review of preventive maintenance practices, pre and post trip inspections

Data recording and accuracy

Shared maintenance services between divisions

Outputs will be results of analysis and recommendations for further action

Fleet planning The goal is to provide the right number of vehicles for the right amount of time. The process will be to review the current fleet planning approach with particular attention to Vehicle utilization Spares Total need estimates Disposals Peak coverage strategies

The goal is to provide the right number of vehicles for the right amount of time.

The process will be to review the current fleet planning approach with particular attention to

Vehicle utilization

Spares

Total need estimates

Disposals

Peak coverage strategies

Operating practices A review of current operating practices as it relates to costs Domicile of vehicles Daily and seasonal demand fluctuations impacting the number of required operators Spare equipment factors and A review of current management practices as it relates to monitoring cost and service control Data accuracy KPI’s

A review of current operating practices as it relates to costs

Domicile of vehicles

Daily and seasonal demand fluctuations impacting the number of required operators

Spare equipment factors and

A review of current management practices as it relates to monitoring cost and service control

Data accuracy

KPI’s