Efficiency, optimisation and cost reduction are key phrases in any business, this service offers fleet operators a cost effective solution with the aim of adding value and achieving these objectives.

Dependant on your business transportation may not be considered your core function, however if you own, manage or lease a fleet of vehicles it means distribution forms an important link in your company’s total supply chain, consequently impacting on the profit and loss of your business.

Commercial vehicles serve a dual purpose, conveying product and brand marketing the effectiveness of which is largely dependent on driver behaviour and physical condition. A fleet of vehicles will complete thousands of kilometres per year and are constantly exposed to elements such as adverse weather and road conditions, traffic congestion and driver abuse. These elements are largely responsible for the accelerated wear and tear of vehicles.

Dealers offer numerous after sales products when purchasing a vehicle such as service and maintenance plans in addition to factory warranties, at additional costs. Similarly operational and maintenance options are available when leasing, these services are designed to offer owners and the lessee added cover, however they do not cover against negligence and abuse.

The effective maintenance of a vehicle requires preventative action in conjunction with scheduled maintenance. When leasing preventative maintenance is a pre-requisite, furthermore the lessee is obliged to conform to the ‘savrala’ fair wear and tear guide, this guideline serves as a indicator to the required standard of a vehicle at the end of a lease period, the lessee is therefore liable for all costs related to repairing the vehicle to meet this standard. Maintaining the vehicle throughout the lease period is crucial in avoiding exorbitant expenses at the end of a lease term.

One of the largest overhead expenses incurred as a commercial vehicle owner will be costs incurred due to unexpected repairs as a result of negligence and abuse. To quantify the cost reduction through preventative maintenance you need to consider both tangible and intangible costs of corrective action such as vehicle downtime, loss in production, loss in sales, customer perception, service levels etc.

Studies have shown that fleet operating costs may be reduced by as much as 20% through effective preventative maintenance resulting in a 30% reduction in vehicle downtime, increased productivity and a reduction in CO2 emisions.

As an example the average operating costs for a vehicle with a engine capacity of between 2500cc and 300occ travelling 50000km per annum is approximately R85 000. These include relative fuel, servicing, repairs, tyres and lubrication costs, if consistent effective preventative maintenance is applied will result in a significant annual saving of approximately R17 000.