Right-Sizing Your Fleet
Putting Employees in the Right Vehicles
The automotive industry has experienced monumental shifts over the past few years. One change that often flies under the radar is the drastic difference in the types of vehicles that manufacturers are releasing to the public. Where sedans used to rule the road, they’re now fewer and farther between, with some manufacturers eliminating these models from their lineups entirely. Alternatively, where the tradespeople of the world used to operate a small cargo van as their mobile office, those offerings, too, have been diminished by automakers. The changing variety of car models being produced leaves fleets in an interesting position of needing to replace dependable favorites with new types of vehicles. This challenge could cost companies both time and money if not handled correctly. In this article, we’ll discuss how to match your employees to the right vehicle for their job(s) and how a fleet management company can assist you in making the decisions when “right-sizing” your fleet.
Matching the Vehicle to the Job
If you have to pound a nail, you use a hammer. If you have to cut a piece of wood, you use a saw. Matching the proper tool to the job is vital to running a successful operation; this also holds true when building a fleet of vehicles for your company.
Many fleets are finding the current upheaval in vehicle offerings to be a challenge. Organizations that previously relied on small work vans are scrambling to find replacements as the market offerings for these models have shrunk. While some fleets have pivoted to larger vans, others have realized that an SUV can accomplish the same job. These types of assessments are crucial in designing a fleet program that’s right for your team and is one of the many services Motorlease offers. Our experts look at everything from the mileage and resale value to the towing and payload requirements in order to assemble a comprehensive list of vehicles that will suit your fleet’s needs. By taking a holistic approach, we’re able to ensure that no matter how the industry shifts and evolves, we are able to put your drivers into the best-fit vehicles that will allow them to succeed in their work every day.
Do You have the Right Lease Term or Program for Your Business?
Deciding the appropriate lease term for your fleet is just as important as choosing the vehicles to fit your team’s needs. It may seem simple, but selecting the wrong lease term or program for your business can have severe financial ramifications. Explore the impact this type of mistake can have in the two following scenarios.
Fleet #1 provides their regional salespeople with mid-size SUVs to take to client appointments. These drivers have a well-defined territory and fairly predictable annual mileage. Since these are client-facing vehicles, the sales team will need to ensure that their cars are well maintained, both mechanically and in appearance. Comparatively, fleet #2 provides small pickup trucks to their employees, who often need to be on-site in construction zones. As a natural result of their work environment, the vehicles in their fleet often get beat up with dings, dents, and scratches.
These two fleets have very different use cases and, therefore, should have completely different leasing plans. Fleet #1, with predictable mileage and minimal damage, is a perfect candidate for a closed-end leasing program. Alternatively, fleet #2 may seek to avoid excess mileage and damage charges and may be more inclined to opt for an open-end or finance lease arrangement. These examples present a few of the many different considerations the Motorlease team would analyze when designing a fleet solution for your business. No two fleets are alike; thus, no two programs should be alike. At Motorlease, there are no cookie-cutter solutions. Each program is customized to your operation’s unique needs to ensure your team has the most efficient and comprehensive program possible.
For the latest insights on fleet leasing, vehicle trends, and automotive industry news, follow us on LinkedIn.
Ready to wave goodbye to fleet management headaches?Let Motorlease take the wheel! Our fleet experts will handle all your vehicle needs. Experience the joyride of turnkey fleet management!