Fleet Management by Tom Borman

1. Fleet Managementby Tom Borman Preventive maintenance program (PM) Equipment chargeback rates Tracking of equipment operating costs Repair and diagnosis of equipment Training of technicians Measure fleet availability & downtime Statutory and regulated inspections Utilization tracking Technician productivity Parts inventory management

2. Preventive Maintenance Program (PM) • Mileage or hour limit • Month limit • Follow anufacturer’s recommendations • Technicians trained in detailed procedures • Quality parts and materials

3. Equipment Chargeback Rates • Review annually • Must recover your actual operating cost fully burdened • Includes overhead and fuel cost

4. Tracking of Equipment Operating Costs • Computer software to keep track of the costs • Must manage and audit data entry to insure accurate data • Meter reading most important

5. Repair and Diagnosis of Equipment • Qualified technicians • ASE Certification • Strong basic training • Quality diagnostic testing equipment • Updated versions of cartridges • Shop manuals/electronic shop manuals

6. Training of Technicians • Technology is moving faster every year • Technicians need to keep up with technology • Manufacturer’s training limited • Specialized training companies

7. Measure Fleet Availability & Downtime • How long does it take you to get a vehicle in the shop? • How long are you waiting for parts? • Do you need more technicians? • Do you need a bigger shop? • Do you need special equipment?

8. Statutory and Regulated Inspections • Smog Inspections (annually) • BIT Inspections (every 90 days) • Diesel Opacity Testing (annually) • Diesel Particulate Filter Maintenance (annually) • Compressed Natural Gas Tank Inspections (45 day and 3 Years)

9. Utilization Tracking • How many of your vehicles are used on a regular basis? • Do you have a policy for usage limits? • How do you track usage?

10. Technician Productivity • Are you scheduling correctly? • Needed to evaluate training needs of your staff. • Do you need new testing equipment?

11. Parts Inventory Management • Know the value of your inventory • How fast is it turning over? • How much do you need on the shelves • Is there excessive downtime due to parts not stocked? • Are they being posted to the work orders?

12. Business Plan • A resume for your operation • Helps market your operation to the decision makers. • Helps you evaluate how your operation is working. • Facilitates strategic thinking and goal setting • Provides an unbiased perspective on how well your operation is meeting its goals.

13. Business Plan (cont) • Vision and mission statement • What services fleet provides • Summarize how you do business • Key performance measures and trends toward meeting targets • Provide a strengths, weaknesses, opportunities and threats (SWOT) analysis to assess where fleet is and where it’s headed. (www.quickmba.com/strategy/swot)

14. Service Level Agreements • Identifies parties involved • Set forth the purpose of a service agreement • State the agreement between parties • Identify administrator and program activators • Term of the agreement and how to renew

15. Service Level Agreements • Failure to perform conditions • Termination clause • Hours of service • Define fees • List locations of shops • Outline areas of responsibility for provider, customer and safety.

16. Replacement, Specifications and Procurement • Determine what units need replacement • Consult with the customer about the use of the vehicle to establish accurate specifications • Develop bid specifications • Work with purchasing to award bid

17. Replacement, Specifications and Procurement