Transcript Fleet Management - American Public Works Association

Fleet Management
by Tom Borman
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Preventive maintenance program (PM)
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Equipment chargeback rates
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Tracking of equipment operating costs
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Repair and diagnosis of equipment
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Training of technicians
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Measure fleet availability & downtime
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Statutory and regulated inspections
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Utilization tracking
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Technician productivity
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Parts inventory management
Preventive Maintenance Program (PM)
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Mileage or hour limit
Month limit
Follow anufacturer’s recommendations
Technicians trained in detailed procedures
Quality parts and materials
Equipment Chargeback Rates
• Review annually
• Must recover your actual operating cost
fully burdened
• Includes overhead and fuel cost
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
Repair and Diagnosis of Equipment
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Qualified technicians
ASE Certification
Strong basic training
Quality diagnostic testing equipment
Updated versions of cartridges
Shop manuals/electronic shop manuals
Training of Technicians
• Technology is moving faster every year
• Technicians need to keep up with
technology
• Manufacturer’s training limited
• Specialized training companies
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?
Statutory and Regulated Inspections
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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)
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?
Technician Productivity
• Are you scheduling correctly?
• Needed to evaluate training needs of your
staff.
• Do you need new testing equipment?
Parts Inventory Management
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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?
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.
Business Plan (cont)
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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)
Service Level Agreements
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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
Service Level Agreements
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Failure to perform conditions
Termination clause
Hours of service
Define fees
List locations of shops
Outline areas of responsibility for provider,
customer and safety.
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
Replacement, Specifications and
Procurement
This is to establish a standard by which qualifying vehicles are given a numbered count total to assist in prioritizing replacement.This is based on the APWA Vehicle
Replacement Guide August 2001.Section 5 Process of selecting units to be replaced. This system uses a weighted points system based on age, usage, type of service,
reliability, maintenance and repair costs and overall condition of the vehicle.
Many fleet organizations have developed a weighted point system that mixes factors cited above into a formal review process. This has the advantage of taking most of
the politics out of the replacement process because all the stakeholders understand the factors being considered.
The following is the point system I propose to evaluate replacement needs.
Age
Usage
Type of Service
Maint and Repair
Condition
One point is given for each year of age, based on inservice date
Under 18 points
One point is given for each 10,000 miles or 2000 reported PWACAS hours
18 to 23 points
One point for Sedans A and Trucks A ( Admin or Inspection Services)
24 to 28 Points
Two points for Trucks B & C ( M&O Services)
Above 28
Three points for Trucks D and greater.
Four points for Heavy Off Road Equipment
One Point for repair cost under the Class avg
Three points for repair cost above Class Avg.
Five Points for total life cost greater then actual purchase price.
One to Five points based on the overall condition of the unit with 5 being poor condition.
Keep unit
Keep unit
Qualifies for replacement
Needs immediate consideration
The above points system is used to determine the vehicles which should be replaced that year. There needs to be a replacement program setup to define the age and meter
requirements for replacement considerations. This replacement program would set up a depreciation schedule based on the years the vehicle is estimated to be in-service
to allow for the collection of funds to cover replacement cost when the age of the equipment reaches the age established by a replacement program.
Based on a Survey by the APWA, on life cycles for replacement programs, here are samples of how Alameda County Public works compares.
Based on the suggested replacement list.
Class of vehicles
APWA ACPWA
APWA
ACPWA
Class of vehicles
APWA ACPWA APWA Avg.
ACPWA Avg
Replacement List only
Age
Age
Miles/Hours Miles Hours
Total Fleet
Age
Age Annual Meter
Miles Hours
Sedans
8
14
91,229.0
57,558.0
Sedans
8
6.5
11,403.6
6227.4
Light Trucks
9
13
93,546.0
88,469.5
Light Trucks
9
7.8
10,394.0
7713.8
Medium Duty Truck
10
12
104,000.0
82,480.0
Medium Duty Truck
10
10.4
10,400.0
7279.2
Heavy Trucks
11
15
118,497.0
115,370.0
Heavy Trucks
11
11.7
10,772.5
9689.7
Heavy Equipment
12
22
8,553.0
5,592.0
Heavy Equipment
12
14
712.8
560.0
Trailers
15
25
N/A
N/A
Trailers`
10
9.2
N/A
N/A
Avg Age on Replacement list
16.8
Based on the survey results Alameda County Public Works keeps vehicles longer and the avg annual miles driven is less then other public
agencies. This could be explained by the relative size of the County to other Counties with Alameda County being a smaller County in land
size.