| Video News & Views
PEOPLE & IDEAS TO WATCH | How Green is Your Fleet? | | What type of fleet customer are you when it comes to greening your fleet? |
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August 26, 2010
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| Fleet Trends & Issues |
Opportunities & Successful Fleet Management |
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RFP 101 This is the first of a two-part article on the subject of RFPs and I hope I have piqued your interest today so that you will look forward to the next edition where I will share with you some disturbing practices that have been gleaned from years of first-hand experience that could impact your final RFP evaluation. As long as there has been competition there have been RFPs, and as long as there will be competition, there will be RFPs. Although RFPs have been around for what seems like forever, today's environment has changed the process dramatically. This is often overlooked by the decision makers, but it is critical to understand the changes in order to make the best decision for your company, not to mention your day-to-day fleet operation. The goal of an RFP is to select the best supplier who will provide you the greatest future value. They are more than 'suppliers' - they are your partner and you have to be confident that they will always deliver on their promise. Depending upon how long you have been in the Fleet Management field, you may or may not have participated in numerous RFPs. Either way, you might be thinking, who needs advice on an RFP? So, even if you think you are in RFP 101, please hang with me. Incidentally, the Fleet Advisors' team has done RFP consulting for 100 + companies. We are currently conducting RFPs for two Fortune 500 companies: one for their leasing company and the other for their manufacturer. When the decision is made, we guarantee that our analysis will prove to be a great asset and save major dollars for the company in relation to our modest fee. Before undertaking an RFP in today's environment, it makes sense to think about the pros and cons of: - Company Ownership
- Driver Reimbursement
- Leasing
Once you consider these options with your management team, you will have a better sense as to the direction you should be taking with your fleet. The answer to this process might not change your current fleet situation, but it might make you consider incorporating one or all of the three options for your funding needs. I believe the process should consider a review of the two finalists, not only from a rate standpoint, but also from a total contractual standpoint. Keep in mind that accounting changes slated to take place in the not-too-distant future will have an impact on your decision making. More on these issues in the next edition. Stay tuned, please! Author: Bob Ward, Founder and President of Fleet Advisors. He was previously CEO of three major corporations in the fleet/leasing business: Gelco (now GE), Avis and U.S. Leasing (Ford). bob.ward@fleetadvisors.com 1-800-337-4757
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| Managing Your Fleet Sector |
OEM & Equipment Manufacturer
Products & Services
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2011 Volkswagen Jetta The next generation Jetta will be larger than the outgoing model. Longer by 3.5 inches, this Jetta is very close in size to the previous-generation Passat. The added length of the 2011 Jetta translates to a substantially larger rear seat where head and legroom rival some full-size SUVs. Read more
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2011 Kia Optima The 2011 Kia Optima launches a new generation for Kia's midsize sedan, highlighted by the company's first hybrid powertrain option. The all-new Optima will have a choice of two new, impressively powerful four-cylinder engines. The first-ever Optima Hybrid is promising fuel economy approaching 40 mpg EPA Combined. Read more
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2011 Toyota Avalon The 2011 Toyota Avalon mixes a new look with new technology and what Toyota calls simple, familiar pleasures. Toyota's largest sedan infuses practical features, including a standard rearview video monitor and an updated, easier to use navigation system. The 2011 Avalon engine-transmission package sports Toyota's 24-valve, 3.5- liter V6, and a six-speed automatic. Read more
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| Association News & Views |
Activities, Events & Success Stories |
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Focus. Safe driving is serious business. Drive Safely Work Week is October 4-8, 2010 Drive Safely Work Week (DSWW) is the Network of Employers for Traffic Safety's (NETS) annual workplace safety campaign, providing a turnkey way to remind employees about safe driving practices. The 2010 campaign materials focus on the dangers of distracted driving, particularly as related to the use of cell phones and texting while driving. The program provides meaningful activities to: - Help prepare an organization for the launch of a new cell phone policy
- Reinforce an existing policy
- Build awareness of the issues related to distracted driving and help develop strategies to minimize distractions.
The DSWW tool kit has everything needed to launch a successful campaign: - Activities for each day, including interactive, electronic-based tools
- Daily communications messages
- Downloadable graphics
The DSWW campaign has been sponsored by the Network of Employers for Traffic Safety (NETS) since 1996. Although the national observance of the campaign takes place each year during the first week of October, the materials are not dated and can be used throughout the year for continued promotion of safe driving practices. Founded in 1989, NETS is a non-profit partnership of socially responsible public and private organizations dedicated exclusively to traffic safety in the workplace. DSWW 2010 tool kits can be downloaded FREE through September 20th.
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Janice Sutton, Editor
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Just a few short weeks until AFLA's 2010 Conference: Turn Change Into Opportunity - September 8-10 at the JW Marriott in Las Vegas. We attended last year's successful conference in Phoenix and came away with even more respect and enthusiasm for the organization. We know we'll meet the distinguished Tom Callahan, president and CEO of Donlen, who has recently been elected vice president of the 2010/2011 AFLA Board of Directors. We hope to see you there! Click here for more information NAFA's Sunshine State Chapter and the Florida Association of Governmental Fleet Administrators (FLAGFA) are teaming to present a conference for fleet managers September 15-17 in Daytona Beach, Florida. You will find more information on the conference in this week's Conference Planning Guide. Conference registration is just $50! Click here for more information A special shout-out to an old friend and colleague, Brian Barber, the newly appointed senior vice president of sales at LeasePlan USA. In his previous role as national vice president, client services, he racked up seriously impressive gains in client satisfaction and loyalty, and we have enormous confidence that he will be equally successful in his new position. Don't forget: Drive Safely Work Week is October 4-8, 2010. Read more about this annual workplace safety campaign in Association News & Views. Remember: DSWW 2010 tool kits can be downloaded FREE through September 20th. Janice Sutton
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| Places, Sites, and People for New Ideas
& Applications |
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Greenhouse Gas Management for Medium-Duty Truck Fleets Medium-duty trucks, identified as Class 3-6, are the workhorses of the American economy. These vehicles deliver food and beverages to restaurants and convenience stores; drop off packages at homes and offices; serve as mobile workshops for all types of technicians; and perform thousands of other daily tasks. They also use a lot of fuel - over 8 billion gallons a year. Read more
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Manheim 2010 Used Car Mid-Year Market Report In what remained a volatile marketplace in the first half of 2010, new and used vehicle retail sales volumes increased, wholesale used vehicle volumes declined and wholesale vehicle values reached record highs. These and a host of other industry trends are analyzed in-depth in the Mid-Year edition of Manheim’s Used Car Market Report. "Everyone with a stake in the used vehicle market needs as much information as possible to make
smarter decisions," said Manheim president and CEO Dean Eisner. "Readers from all corners of the
industry will find this report useful as they develop a deeper understanding of the state of the used vehicle
business."Read more
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Jim Blayne
A.R.E. Accessories
Commercial/Fleet Division Sales Manager
Riding Out a Rough Market
The past few years have been rough for the pickup truck market and equipment makers that service that market. Jim tells us that compared to cargo vans, the cost-per-mile of pickups with a truck cover offer fleets significant savings.
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Gary Mott
FLD
Vice President
Get Your Fleet $ Back to Work Fast
We asked Gary to tell us the advantages of selling used fleet vehicles through FLD. Hint: Do you want to know up-front what your profit or loss is going to be on each vehicle before it is sold...and receive the money in just a few days?
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Stuart Olson
Tennant Company
Fleet Manager for the Americas
A Most Happy Client!
When you have a great experience with a supplier, don't you just want to tell somebody? We talked with Stuart about his company's ten-year relationship with ARI and he gave us some insight into why he's such a satisfied client.
- [Read More] |
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AFLA 2010 Conference
JW Marriott Las Vegas Resort & Spa at Summerlin
Las Vegas, NV
September 8-10, 2010
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NTEA New Model Truck Product Conference-Business and Market Planning Summit
Hyatt Regency Dearborn
Dearborn, MI
September 13-16, 2010
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The National Safety Council 2010 Congress & Exposition
San Diego Convention Center
San Diego, CA
October 3-8, 2010
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2010 Green Fleet Conference
Towne & Country Resort and Convention Center
San Diego, CA
October 18-19, 2010
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Fleet & Asset Management Conference and Expo USA 2010
Marriott Atlanta Downtown
Atlanta, GA
November 17-18, 2010
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| Conference Planning Guide |
Exhibitors, Educational Sessions, & Events |
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NAFA’s Sunshine State Chapter and FLAGFA Team Up For Fall Conference NAFA’s Sunshine State Chapter and the Florida Association of Governmental Fleet Administrators (FLAGFA) will combine resources to present a conference for fleet managers September 15-17, 2010 at the Plaza Resort & Spa in Daytona Beach, Florida. The conference features quality educational sessions, a forum featuring manufacturers from both the automotive and heavy-duty truck industry, a presentation on NAFA’s newly updated Life Cycle Cost Analysis publication by NAFA’s Secretary, Ruth Alfson, CAFM, and a CAFM/CAFS certification examination. The conference also includes an expo floor with over 75 exhibitors and excellent networking opportunities. Conference registration is $50. For more information visit the events page at http://www.nafa.org
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Stats and Smart Charts
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Wholesale Used Vehicle Price Trends – July 2010
[Click to enlarge graphic]
 - Wholesale used vehicle prices in July averaged $10,060
- Down 2.2% from June and up 0.4% versus prior year
- According to ADESA Analytical Services’ monthly analysis of Wholesale Used Vehicle Prices by Vehicle Model Class
- Prices for fullsize SUVs took a hit in July, though they were still well above year-ago levels
- Minivans and mini SUVs (including crossovers in latter category) were only model class segments that showed month-over-month price increases
- These increases were modest 0.3% for minivans and 0.2% for mini SUVs/crossovers
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Last Minute News
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The Key to Safer Roads? The two biggest highway-safety issues right now, as far as Washington is concerned, are runaway Toyotas and distracted driving. But what if these aren't the most important factors driving the nation's annual highway death toll, which averages about 100 fatalities a day? Read more Chrysler's Charger Pursuit to challenge Ford's Police Car Dominance The cop car wars heated up Tuesday, when Chrysler Group LLC offered the first official look at its all-new 2011 Dodge Charger Pursuit. The Pursuit, available for delivery later this year, features a redesigned suspension tuned for performance, and specially calibrated electronic stability control to make it a pursuit vehicle. Read more Medium-Duty Truck Sales Soar in July U.S. retail sales of medium-duty trucks - Classes 3-7 - jumped 54.5% in July from the corresponding month a year ago, the largest year-over-year gain since mid-2005 and the biggest sales month this year, WardsAuto.com reported. Read more
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Fleet People Going Places
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Brian Barber
LeasePlan USA
Senior Vice President, Sales
LeasePlan USA announced the promotion of 17-year industry veteran Brian Barber to the position of senior vice president, sales. After leading the organization to record
highs in client satisfaction and loyalty results, Brian is now tasked with
delivering new clients interested in a premium level of fleet service. In his four years as national vice president, client services, Barber led
the successful implementation of a disciplined and rigorous approach around
the client activation process, resulting in an overall client activation
satisfaction rating of nearly 97 percent.
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Tom Callahan
Donlen Corporation
President and Chief Operating Officer
Tom Callahan, President and Chief Operating Officer at Donlen Corporation has been elected as Vice President of the 2010/2011 AFLA Board of Directors.
The Automotive Fleet & Leasing Association (AFLA) is the forum dedicated to improving communication between sellers, buyers, fleet managers, lending institutions, fleet management companies, used vehicle marketers, and allied automotive service companies.
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| Managing Your FleetTrends, Issues & Opportunities |
Heavy-Duty Pickup Testing Identifies Segment Winners
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The heavy-duty pickup market has heated up again with work truck sales and major improvements by Ford, GM and Dodge. PickupTrucks.com compared 3/4- and 1-ton models in rigorous tests and recommends the 2011 Ford F250 with gasoline engine, 2011 Chevrolet Silverado 2500HD with diesel engine, and GMC Sierra Denali 3500HD with diesel engine.
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Lincoln-Mercury and Buick Brands Take High Satisfaction Ratings
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Just released consumer satisfaction report (ACSI) gives Lincoln-Mercury (89) and Buick (88) brands top marks while overall satisfaction dropped 2.4 percent (to 82 out of 100). BMW AG, Mercedes-Benz Cars and Cadillac (tied at 86) round out the top five. Dodge and Jeep brands were at the bottom of the list.
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| Manufacturer DevelopmentsDesign, Production, & Services |
Toyota Restructuring North American Operations
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Even before the recent rash of safety issues, Toyota was planning to give more authority to top management execs at North American plants, under a program called "Project Self-Reliance," approved in 2002. The company announces it is moving faster on that initiative.
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Chevy Ousts Jim Campbell in Marketing Shakeup
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Jim Campbell, co-author of a controversial memo that angered Chevy fans, has been replaced by a former Hyundai executive as vice president of marketing at Chevrolet. Campbell moves to head up GM's performance division. Previously, he was general manager of GM Fleet & Commercial.
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| Driving Green Initiatives, Actions, & Implementations |
Ford Improves its Lithium-ion Battery Capability, Durability With Remote Wireless Monitoring
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Ford's global electrification plan depends on optimizing its lithium-ion batteries. It is doing so by testing them in the lab and in a test fleet which it monitors and reprograms via a secure wireless network.
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Martin Eberhard Expects 500 Mile EV Range from Laptop Batteries
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Martin Eberhard, a Tesla founder now in charge of engineering Volkswagen's electronics research lab, thinks range anxiety will go away within 10 years as electric vehicles are able to travel 500 miles on one charge. He's leading Volkswagen's efforts to bring 18650 cells to VWs, which is considered at the leading edge of battery development.
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| The Intelligent Vehicle Telematics, Telecommunications, &
Technology |
Reliability of Toyota Event Data Recorders Questioned
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NHTSA has been testing Toyota event data recorders for vehicles involved in alleged unintended acceleration claims. Toyota has been reluctant to reveal the contents of the crash data recorders, which some have used in lawsuits against the company.
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SmartDrive Captures Distracted Driver Behavior on Video
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The SmartDrive Safety program used in-vehicle recorders to capture video, audio and vehicle telematics data. Events like sudden stops, swerves and crashes trigger recording and experts evaluate the data to determine causes and recommend corrective actions. This data is published quarterly and shows disturbing proof that various distracted driving behaviors lead to many crashes.
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| Driver Safety Management Practices, Policy, & Training |
State Farm® Free 'On the Move' Android Widget Fights Distracted Driving
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State Farm Insurance has added the free Android smartphone widget 'On the Move' to its Pocket Agent suite in hopes of curbing texting distractions while driving. Users can compose custom messages to alert others that they are driving and can't respond or are otherwise indisposed.
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NHTSA Steps Up Corolla Investigation Over Stalling
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NHTSA is stepping up a probe into Toyota Corollas and Matrix hatchbacks 2005-07 based on 1,100+ complaints that the vehicle can stall at any speed and not restart. The 2006 models were already being investigated. Analysis has not yet led to a recall.
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| Fleet Vehicle Remarketing Marketing Strategies, Channels,
& Sales Data |
Late Model Luxury Vehicle Depreciating More than Counterparts, KBB Says
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The used-car market was relatively flat in July, but an onslaught of 2010-model vehicles at auction may push late-model luxury vehicles, including crossovers, to depreciate in value.
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Redesigned NADAguides.com Page Focuses on Certified Vehicles, Reviews
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NADAguides.com has redesigned its Certified Pre-Owned Car Center and the New and Used Car Reviews Center. Visitors to the sites can get updates on incentives and rebates for certified vehicles. They can also find pros and cons of different vehicles more quickly in the review section.
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