Fleet management involves several challenges, from operational cost control to creating appropriate acquisition and disposal strategies. Below, we will highlight some of the top challenges your organization will likely face in 2023, especially as more businesses evaluate how commercial fleet leasing companies can support vehicle acquisition and long-term planning.
Managing vehicle inventory
Sourcing new vehicles will be daunting as the limited manufacturing capacity allocation per customer trend will likely persist in 2023.
Aging fleets will experience increased downtime due to limited access to replacement parts due to supply chain disruptions and labor shortages, especially maintenance technicians.
Cost management
Fluctuating fleet costs, including repair, fuel, and driver costs, might be a major cost management challenge in 2023.
Consider investing in a cost management tool to make managing fleets easier if you have at least five vehicles.
Handling disruptions in repair shops
Not only are replacement parts on back order, repair shops are experiencing dire labor shortages. You will have to contend with service disruptions for these reasons.
Fuel price fluctuations
Persistent changes in fuel prices will continue, so creating a defined program for drivers to buy fuel within limits and monitor for compliance will bring a significant benefit.
Repair vs replace
With scarce access to new vehicles, it’s best to stick to repairing vehicles, but within reason.
Make use of preventive maintenance services to enhance your fleet’s useful life.
Use tools that help rank vehicles due for replacement (their service cost must outweigh their buying cost).
Gleaning data insights
If organizations delay handling admin tasks of processing invoices, arranging services, and carrying out compliance, they can lose out on timely data insights, which helps reduce costs and improve safety.
Designing a maintenance management program
Fleets require constant maintenance (regular servicing, repairs, and recalls), but it costs the company as the fleet in shop ≠ fleet on the road.
Operations must design a management program that optimizes maintenance costs and downtime.
Because we’re in unprecedented times, taking a second look at how your company manages these challenges is a profitable idea. Many businesses turn to commercial fleet leasing companies not just for vehicle financing, but for help with acquisition planning, replacement timing, and fleet strategy. Want unbiased advice about your fleet program? We’ll assess activities and report in an executive-level format, so don’t hesitate to reach out.