What Data Should You Analyze to Make Vehicle Replacement Decisions?
ARI’s supply chain expert Partha Ghosh tells which real-time data can eliminate the guesswork.
Partha Ghosh, director of vehicle supply chain and remarketing for ARI, discusses how using vehicle data can help with fleet sales decisions, in a recent article published by Food Logistics titled: “Tapping into Vehicle Data to Make Fleet Sales Decisions.”
Although company fleets are known for being an expensive part of any operation, many continue to view it as a necessary cost of doing business. Between acquiring new vehicles, managing the supply chain and selling the vehicle at the end of its life cycle, a fleet costs time and money to run. When looking at how your company manages each step involved in fleet operations, you may want to consider using real-time data to eliminate the guesswork and possibly identify opportunities that will positively impact your bottom line.
Generally, fleet manager’s instincts are to hold on to a vehicle as long as possible to delay the cost of replacing it, but there comes a point when it begins to negatively affect your long-term expenditures. “Being able to recognize critical moments in a vehicle’s lifespan can be a big challenge for fleet managers” said Ghosh. “When making fleet sales decisions, Fleet Managers should rely on technology that produces and analyzes data on each vehicle’s age, fuel usage, maintenance costs and total downtime.”
When the time does come to sell your vehicle, consider the rest of its lifespan to ensure that you’re getting the most value out of the vehicle being replaced. “There are plenty of remarketing options available, so choosing the right one may be confusing. Optimally, you’re looking to remarket the vehicle in a way that offers a maximum exposure, quick sales, minimal hassle and the highest returns” said Ghosh. He also mentioned that identifying a vehicle life cycle is becoming easier as technology continues to evolve; allowing fleet manager’s to focus on more strategic aspects of the operations.
To read the entire story, please visit Food Logistics.