Have you considered Outsourcing your Fleet Parts Procurement?
Often Government and Private commercial fleets efficiency halfway through a proficient and cost-reducing parts procurement process and halfway through a slow and expensive, often work-stopping parts procurement process.
Which situation is your fleet facing?
In the pre-COVID world of full staffing, limited production delays, and on-time shipping, parts procurement was still a challenge. Do you have the lowest cost of parts on every piece? Do you have too many parts for old vehicles that you haven’t used in a few years? There are many benefits to outsourcing your fleet parts and allowing a professional parts company to run your parts room in a pre-COVID world. There are many benefits to outsourcing your parts operation, including delayed production and slower shipping.
Parts cost
Are your parts costs based solely on your fleet or status as a Government entity, or a large transportation firm? A professional parts management company aggregates parts cost based on their customers fleet across the nation. This buyer power can be 10-20 times the size of a typical fleet. These savings are passed to our customers with a minimal, and a single cost-plus structure. With today’s inflation at record rates, as we see below, it may be worth a look at a partnership with a parts management company:
Parts Procurement Consumer Price Index Tracker April 2022
Motor Vehicle Parts and Equipment – 14.5%
Tires – 15.7%
Vehicle Accessories, Other Than Tires – 12.5%
Motor Oil, Coolant, and Fluids – 17.1%
Motor Vehicle Repair – 5.3%
Parts holding cost
These are real costs that the fleet bare and sometimes pays dearly for. From shrinkage to overstocking and obsolete parts. This is a large monthly expense fleet shoulders each day, year after year. Contracting your parts operation means your parts contractor bares the monthly parts holding cost and takes all the risk. As a professional parts supply and Management Company, our refined parts procurement process means lower costs for our customers, reducing risk and providing on-time parts delivery and procurement.
Parts procurement personnel
Oftentimes, parts personnel can be the entry-level employee in the fleet department. Lacking experience and worse yet, lack of continued training and growth. Look for a parts management supplier with an internal ASE Parts training program and certifications. Like your ASE Certified Technicians, your Parts personnel need to be ASE Parts Certified and invested in their career, to make a difference in your fleet operation.
Our advice is to look a little deeper inside your fleet operations today and ask a professional parts management company to look over your parts operation. Often, the results will surprise even the most seasoned fleet managers.
