Jeff
Corcorran doesnt have time to deal with every aspect of his business.
The president/owner of Landscape Management Services in Houston directs
a company that manages more than 100 commercial and residential accounts.
Its 85 employees generate annual revenues exceeding $3 million.
The last thing he needs to worry about is when to sell his old trucks
and buy new ones to maintain his fleet of 20 vehicles. He leaves it up
to a company like Enterprise
Fleet Services that knows all about cycling, which is
the term the fleet management industry uses for knowing when to dispose
of older vehicles. We not only save considerable dollars, we save considerable time
by outsourcing to fleet management experts, says Corcorran. The problem: old, unreliable vehicles
The poor economy combined with a soft used car market has caused many
business owners and fleet managers to hold onto older vehicles longer.
But higher maintenance and fuel costs, frequent breakdowns and expired
warranties are more counterproductive in the long run due to missed appointments
and lost productivity. The solution: cycling
Vitals Company: Landscape Management Services President: Jeff Corcorran 2002 gross revenue: $3 million plus Employees: 85 Services: Design/build, maintenance, plant care Customer mix: 55% residential, 45% commercial |
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How and when a company decides to sell its vehicles depends on time of
year, mileage, vehicle type, age and maintenance history. A good way for a business owner to determine how and when to sell
vehicles in its fleet is by performing a vehicle analysis that looks at
each vehicle in the entire fleet and how the company uses its vehicles,
says Steve Bloom, vice president of Enterprise Fleet Services, which specializes
in serving businesses with 15 to 125 vehicles. From that analysis,
the strongest time of the year to re-market or cycle is determined for
each vehicle. Many fleet services companies have vehicle replacement cycling systems
that ensure vehicles are replaced at appropriate intervals to achieve
optimum performance and the best resale value. Specially trained re-marketing
professionals can help business owners take the guesswork out of this
process. These programs consider everything from future trends and the
current used car sales market to vehicle warranties, mileage and the possible
wear and tear a business will inflict on a vehicle. By looking at and reviewing automotive trends throughout the year
and analyzing how each customer uses their vehicles, it is possible to
take the guesswork out of the process, says Bloom. |