Fleet Management is a science where Key has experience in a disciplined approach to extracting maximum value from fleet assets. Here is a 10-point plan that highlights the first 3 items and issues behind these vital factors.
1. Vehicle Selection – Vehicle selection removes the risk of placing the wrong vehicle into a specific task.
2. Procurement – Vehicle procurement links into timing and efficiency – particularly for trucks that require specialized cargo bodies.
- Timing of purchase (impacts depreciation, resale price)
- Dealer selection
- Approved bodybuilders & accessories dealers
- Dealer service & delivery time
- Pricing & discounts
3. Funding – is the cash flow impact – how will this fleet asset be funded in relation to the other financial needs of the business?
- Financiers selection (e.g. Banks)
- Funding Rates
- Cash Purchase
- Hire Purchase
- Financing leasing option (use vs. ownership)
- Residual value / Balloon payments