Since 2005, the Fleet Challenge team has completed dozens of fleet reviews (more than 150) for public and private sector fleets in all business categories from muncipalities to over-the-road trucking.
Fleet Analytics Review (FAR) is a Fleet Challenge process and a service that features a proprietary software tool that was developed by our team in 2016 for data modeling and completing fleet reviews and audits. Data is King! – FAR was designed to provide a “deeper dive” into big data for fleet reviews requiring more complex analysis.
FAR is used as the foundational analysis and data-modeling platform for our work in helping fleets achieve optimal levels of efficiency and cost-effectiveness.
The road ahead must begin by knowing the starting point. In fleet planning, this is the current-day baseline. The FAR process uses historical cost metrics and vehicle operating data (i.e., miles/kms-driven, engine hours, fuel usage, repair and maintenance costs, unit age, acquisition cost, cost of capital, downtime, residual value, etc.) to establish financial and service level baselines (i.e., utilization, availability/uptime).
FAR highlights the exception units – vehicles that are performing in a sub-standard way in terms of cost and performance; it identifies the reason(s) why, thereby enabling management action(s).
Data Modeling is a Critical Step
Data modeling is critical step in fleet planning. In fleet management, costly errors from guesswork can multiply quickly. For example, if a fleet acquires a vehicle type that turns out to be a poor performer the impact can be negative and costly. But multiply that impact many times – such as when a fleet which has chosen to standardize on purchasing dozens, or even hundreds of these same poor-performing units, the cost increases exponentially — it can become insurmountable for some enterprises.
Similarly, making a business process change – for example, outsourcing maintenance, or perhaps leasing versus owning vehicles – any significant change being considered should be researched fully beforehand. That’s why data modeling in FAR is a first step in making changes.
Go-Forward Action Planning
Once today’s baseline has been established through the fleet review process, and options for fleet improvements have been data-modeled and their cost-effectiveness evaluated in FAR, a go-forward fleet action plan is developed. For options that are found to deliver ROI, a business case based go-forward plan is developed for our client’s consideration.
FAR analysis is the first step in developing go-forward recommendations for our clients. It provides defensible, business case based strategies based on actual historical data.
Software tools, including FAR which we use in our consulting projects are incuded in the overall project price and we license the tools we use in perpetuity at no charge to our consulting clients for their own use post-project. Optionally, the software tools can be purchased for clients own use.