Stacy Clark, MBA, Fleet SME

Stacy Clark 2011

 Asset Lifecycle
Buy

Liquidate Fuel

Refurb Maintain

Stacy Clark 2011

Total Cost of Ownership (TCO)

Depreciation
Fuel
Maintenance

Stacy Clark 2011

How do I manage and optimize my TCO?

Purchasing

Fuel Maintenance

Stacy Clark 2011

 Purchasing Excellence
Key to Success: Considerations:
Data Driven Decision
Establish a data
Light Duty Shorter
driven asset Med/Heavy Duty Mid
holding period that Specialized Longer
can be supported Vendor Competitive Bid (RFQ)
Management Own vs. Lease
by CAPEX and
Green Strategy (AFVs)
OPEX. Refurbishment strategy
Competitive/Timely
Remarketing

Specification Residual
Optimization Value

Stacy Clark 2011

 Fuel Excellence
Key to Success: Considerations:
Evaluate Internal Fuel Cards, Bulk, Mobile or a
combination
versus External
Green Strategy (Alt Fuel)
strategies to Driver Training
provide the Sourcing Accountability via Telematics
Strategy MPG & Idle Tracking
balance between Inventory Management
price, flexibility Reporting (IFTA,
and report Location/Driver Perf)
automation.
Driver
Asset
Training &
Strategy
Accountability

Stacy Clark 2011

 Maintenance Excellence
Considerations:
Key to Success: Operator Coordination
Operator Inspections
Align
Timely/Thorough PMs
maintenance Rework/Breakdowns %
programs to Communication Parts sourcing/stocking
strategy
holding period
Corrective Maint Strategy
strategy. DOT Safety

Quality Safety

Stacy Clark 2011

How can we help?

Stacy Clark 2011

 TCO/Synergy Baseline
Baseline
Evaluate TCO data CAPEX and OPEX
Benchmark TCO data CPM, CPH and CPA
Evaluate current holding period by asset type
Light, Medium, Heavy and Specialty
Evaluate current fueling strategies External (Fuel
Cards & Mobile) and/or Internal (Bulk Tanks)
Evaluate current maintenance program alignment
with current holding period PM Interval, PM Type,
CM Rationalization and overall quality

Stacy Clark 2011

TCO-Purchasing Component

Purchasing
Evaluate vendor/bid solicitation strategies
and results
Evaluate core asset specifications and how
they drive cost, reliability and remarketability
Evaluate current green/AFV strategies
Evaluate liquidation strategies/returns

Stacy Clark 2011

 TCO-Fuel Component
Fuel
Evaluate current fueling strategy
Evaluate current pricing, flexibility and
reporting
Evaluate green/AFV opportunities
Evaluate current results to include MPG, idle
and inventory accuracy
Evaluate driver training/accountability
opportunities

Stacy Clark 2011

TCO-Maintenance Component
Maintenance
Evaluate current maintenance strategy
Evaluate current communication/scheduling
process and service levels
Evaluate quality of current maintenance via
hands on inspections and rework/breakdown
data points
Evaluate current parts sourcing/stocking
strategies
Evaluate current asset safety

Stacy Clark 2011

TCO-Summary and Implementation
Summary Document
Provide executive summary of findings backed by
detailed executable recommendations to favorably
improve TCO

Implementation/Change Management Asst.

Provide assistance with the implementation of
Purchasing, Fuel and/or Maintenance Excellence
recommendations
Establish game plan, initiatives for performance and
process improvement opportunities
Assist in the transformation of the organizational
culture regarding all facets of asset optimization
Institute improved data tracking & metrics to ensure
ongoing situation awareness and favorable trends

Stacy Clark 2011

Questions?

Stacy Clark 2011