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fleet services and management

April 30, 2016

When it comes to choosing between changing the oil for individuals driving their personal SUVs and for fleet delivery vehicle managers you have to think about the full time, not just the amount of money charged per vehicle. It may be enticing to improve the oil for V-8 SUV owners at $45.00 a pop, rather than handle the cutthroat competition of bidding on fleet oil change services, but you've to keep in mind a very important factor; "The Money Is In the Time and Process, Not the Unit Charge Rate," so, let's talk transportation services.

You see, not long ago, I was reminded of the importance of production in the services business, when I was asked by way of a start-up entrepreneur of on-site auto maintenance. He asked point blank; "How many oil changes may be completed by way of a decent crew (I am assuming 2 people to a crew/truck) in an 8 hour day making use of your trucks and methods?"

Okay, listed here is my experience; with full production - Six Sigma style - vehicles in a row (fleets) the answer is 100s with a team of three. Personal cars, many different, you need very competent auto mechanics with experience 5-6 per hour with 2 people maximum. Of course, there is more to the story, in reality his next question was even blunter and I must say directly on target too; "Do the trucks you utilize work with one vehicle at any given time or multiple simultaneously?"

When doing fleets you utilize an assembly line methodology, so first, you start the motors on five vehicles, however, you pop the hoods on 15 in the row. After 8-minutes, you turn fully off the first five, start the second five, drain the first five drain plugs, you get the idea. Or, you utilize evacuation systems. It's a process, the money is in the "time" not the job or cost per unit. Travel time is job time in addition, including chasing parts, filters - especially when you're paying automotive technicians to fetch oil filters, fuel filters, and such gps tracker for car.

Indeed, I've always instructed our crews on the requirement to honor the idea of JIT - just with time inventory, that's to state have the supplier, NAPA Auto Parts for instance, deliver the filters needed seriously to the job site, why pay to stock the filters, inventory them, transport them, when these auto part companies deliver and will do anything to earn your company? If you will run an auto business if you are working with private owners of SUVs or those in control of large fleets of vehicles, then you definitely need to operate it with production in mind. Please think over all of this and think on it.

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