| Video News & Views PEOPLE & IDEAS TO WATCH | Some Big Opportunities to Reduce Costs | | Paul Lauria, president of fleet management consulting company Mercury Associates, on some areas fleets should consider when they're looking to reduce costs. Read the full article in The Fleet Spot! | | | | | |
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August 25, 2011
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| Fleet Trends & Issues |
Opportunities & Successful Fleet Management |
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Improving the Productivity and Safety of Mobile Professionals By John Norris, President of AmeriFleet Transportation As we contemplate improving both the productivity and safety of mobile professionals, there’s a dichotomy that’s becoming apparent. Look at the work truck environment and it’s obvious that over the years there’s been tremendous attention paid to the interiors of those vehicles to make the users more efficient, more effective and to keep them safe from flying debris in the event of an accident. If, however, you look at white collar vehicles, which in today’s environment have become as much a work environment for white collar professional as the work truck is for service professionals, the white collar vehicle is now the office, the warehouse, the conference room and storage facility. Yet the same level of attention hasn’t been paid to making white collar professionals efficient in their mobile work space as has been for service vehicles. Add to that the safety, or lack of safety that becomes evident in a crash when you have unsecured items in a vehicle. Therefore, with AmeriFleet’s focus on improving the productivity and safety of mobile professionals, we asked ourselves, "why not apply some of the same concepts and ideas from the work truck world to white collar executive fleet vehicles?" Read more
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| Focus On... |
Current Fleet Topics
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Drive Safely Work Week October 3-7, 2011 Focus 360°... Getting There Safely is Everyone's Business The Network of Employers for Traffic Safety has partnered with the U.S. Department of Transportation to offer a free comprehensive toolkit to help companies address distracted driving and improve the driving safety of employees, employee family members and the members of the community in which the organization operates. Employee traffic crashes, both on and off the job, cost employers an estimated $60 billion annually, according to the most recent government study. The 2011 Drive Safely Work Week (DSWW) tool kit was developed by the Network of Employers for Traffic Safety (NETS) with support from the U.S. Department of Transportation. The theme of this year’s campaign is “Focus360°...Getting there safely is everyone’s business.” The DSWW materials are designed to support employer efforts to initiate or sustain a corporate mobile device policy and to increase awareness on behaviors that contribute to distracted driving-related incidents. The campaign’s materials go beyond what can be done as drivers to reduce distracted driving and also consider the roles and responsibilities of being a safe passenger, pedestrian and cyclist. "I applaud NETS for making this valuable resource available to companies and organizations across the country. Employers have the potential to reach up to one-half of the nation's population, and their support in our fight to stop distracted driving is crucial," said U.S. Secretary of Transportation Ray LaHood. "When employers adopt policies against texting and cell phone use while driving, our roads become safer for everyone.” In 2010, nearly 5000 organizations participated in Drive Safely Work Week, reaching more than 20 million employees. The free tool kit provides easy-to-use Web-based resources to support targeted activities for each day of the campaign week. In addition, the materials encourage employers to position their organization as a corporate role model within the communities in which they operate. “Employers are stepping up and initiating workplace mobile device policies to help prevent distracted driving-relating incidents,” said Bill Windsor, NETS Chairman and Associate Vice President of Nationwide Insurance. “The Drive Safely Work Week campaign is not only an opportunity to reinforce and sustain existing policies, but to also affect employee family and community members with activities and messages designed to merge workplace safety culture with personal safety culture.” Click here for more information
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| Association News & Views |
Activities, Events & Success Stories |
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NAFA’s Canadian Advanced Fleet Management Seminar Comes To Toronto The timing couldn’t be better for NAFA’s Canadian Advanced Fleet Management Seminar (AFMS) which will take place in Toronto September 21-23. Held at the Doubletree by Hilton Airport hotel, the AFMS is an intense, upper-level course designed for veteran fleet managers – those with 5 or more years of experience in the field. The seminar will take place a day after the 2011 Canadian Fleet Conference concludes at the same hotel, allowing attendees to continue their fleet education with some of the brightest minds in the industry. NAFA’s Canadian AFMS features Canadian-specific content and addresses all of the major disciplines of fleet management for both public service and corporate fleet managers. Taught by some of NAFA’s most experienced and knowledgeable fleet experts, the seminar focuses on Business Management, Professional Development, Asset Management, Financial Management, Fleet Information Management, Risk Management, Vehicle Fuel Management, and Maintenance Management. “The seminar was designed to cover the tougher concepts in the CAFM curriculum in an environment offering interactive discussion with subject matter experts and practical exercises in two disciplines to let attendees gain simulated experience to ensure mastery,” said Mario Gionet, NAFA’s Vice President for Canada. Attendees currently enrolled in the CAFM or CAFS program will be able to take their certification tests upon the conclusion of the seminar on Saturday, September 24. The cost for the AFMS is $1070 for NAFA Members and $1570 for non-Members. Registration includes three days of seminars from 8:00 a.m. to 5:00 p.m. and includes a continental breakfast and lunch for each day as well as an AFMS reception on the first day. This will be the only AFMS held in Canada this year. With fleet professionals from throughout Canada expected to meet in Toronto for the Canadian Fleet Conference, spots for the AFMS are filling up quickly. Click here for more information or to register online.
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"This is the kind of collaborative effort that is required to address the big global challenges of energy independence and environmental sustainability." -- Ford President and CEO Alan Mulally on teaming with Toyota on hybrid and telematics technology.
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Janice Sutton, Editor
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Mercury Associates chief Paul Lauria knows a great deal about fleet management, in both the public and private sectors. When we queried him about the consulting company's focus, he said unhesitatingly, "Our focus is on helping organizations reduce fleet costs." And he means it! Paul says they know exactly where to start looking for those hidden costs that ding a fleet's budget. Read his interview in The Fleet Spot. Drive Safely Work Week is rolling around again. Last year, more than 5000 organizations participated; let's kick that up this year. "Focus 360º ...Getting There Safely is Everyone's Business." October 3-7, 2011. Read all about it in Focus On... At NAFA I&E we talked with John Norris, president and CEO at AmeriFleet, about how unsafe a car interior can be in the event of a crash. A small, unsecured item can turn into a lethal projectile in an accident. Now AmeriFleet has done something about it and it looks great. Read John's article "Improving the Productivity and Safety of Mobile Professionals" in Fleet Trends & Issues. Drive Safety, Janice Sutton
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Last Minute News
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Toyota blitzes U.S. with new models to move beyond crises Toyota Motor Corp.'s new Camry will start a blitz of U.S. model releases to regain sales lost to rivals such as Hyundai Motor Co. after three years that included recession, recalls and an earthquake. Read more Honda Civic, Hyundai Elantra win KBB test Detroit's automakers are finding it hard to dislodge the Asians from the top ranks of the compact sedan segment, according to a comparison test by Kelley Blue Book, the car pricing experts. Read more AAA unveils its new electric-car recharging trucks AAA is showing off North America's first roadside assistance for electric vehicles. But instead of fixing flat tires, these trucks will focus on providing fast power to electric vehicles that have run out of juice on the road and are stranded. Read more
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| Places, Sites, and People for New Ideas
& Applications |
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Paul Lauria
Mercury Associates
President
Helping Fleets Uncover Cost Savings
Working with fleets to reduce costs is what this fleet management consulting company does, and does very well indeed. We asked Paul to identify some areas where he believes fleets may find some cost savings and to tell us how Mercury consults with its private and public sector clients to achieve results.
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Patrick Barrett
LeasePlan USA
Regional Vice President
LeasePlan USA announces the appointment of Patrick Barrett to the position of regional vice president, sales for the company's Truck Division. In this role, Barrett will be responsible for lease origination in a 10-state territory. He will be relocating to Atlanta to work from the company's corporate headquarters. Patrick has more than 20 years of experience in truck fleet leasing with a tremendous amount of relationship building expertise.
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Robert Hughes
LeasePlan USA
Vice President, Commercial Development
LeasePlan USA recently appointed Robert Hughes to vice president, commercial development. In this role, Hughes is responsible for identifying and developing new and innovative product and service offerings. With his forward-thinking leadership skills, he assists the sales and client relations teams in
growing the business while also helping to streamline the sales process
with new tools and procedures.
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| Managing Your Fleet Trends, Issues & Opportunities |
PHH Arval Introduces Short-Term Equipment Rental Services
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PHH Arval has introduced its Equipment Rental Management Services for fleets that rent equipment for short-term projects. The service is designed for fleets needing assistance in securing and/or managing storage trailers, construction trailers, forklifts, lift trucks, aerial lifts or other material handling equipment for projects throughout the U.S. PHH rental specialists manage all aspects from equipment delivery to pick up at the end of the project. The Center for Transportation Safety, a PHH Arval company, provides operator training to ensure the safe and efficient use of the equipment.
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Wright Express, Pep Boys Launch Fleet Services Program
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Wright Express and Pep Boys have teamed to launch the Pep Boys Fleet Services Program. Pep Boys will offer business customers a proprietary charge card for automotive tires, maintenance, repairs, parts and accessories and is launching a co-branded universal fleet card program, which can be used at over 180,000 Wright Express accepting locations. Pep Boys Universal Fleet Card offers custom card controls and a secure driver identification requirement that tracks fueling transactions.
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| Driver Safety Management Practices, Policy, & Training |
U of Michigan to Study Effectiveness of Connected Vehicle Technology
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The University of Michigan has been awarded a $14.9 million federal contract to study the potential of "connected" vehicles on the streets and highways of Ann Arbor. The advanced technology will be tested in a major year-long study, beginning next August and continuing for one year. The U.S. Transportation Department said the study results could help significantly reduce the number of vehicle crashes on the nation's roads by up to 90%. The project will include the installation of wireless devices in up to 3,000 vehicles that will evaluate the effectiveness of connected vehicle technology to prevent crashes in an everyday environment.
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Training Sought for U.K.'s Aggressive Young Drivers
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A report issued by U.K. road safety charity IAM says young drivers under age 20 are 15 percent more likely to crash than older drivers because of mistakes at the wheel or reacting badly to risks on the road. Contributing factors in crashes by younger drivers include loss of control, traveling too fast for road conditions, exceeding the speed limit, and sudden braking. Alcohol was a factor in 4.6 percent of crashes for the 17-24 age group compared to three percent for the 25-69 age groups. Young car drivers made up 27 percent of all car driver fatalities, and more than 2000 were killed or seriously injured in 2009.
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| Manufacturer Developments Design, Production, & Services |
Owners to Save $35B Under New Fuel Efficiency Standards for Heavy Vehicles
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The National Wildlife Federation released a study that says the first-ever fuel efficiency standards for heavy vehicles such as semis, garbage trucks, buses and heavy-duty pickups will save owners $35 billion in fuel costs over the life of the vehicles. Fuel consumption will be reduced by 7 - 20%, depending on the class of vehicles. The federal rules will take effect in 2014 and run through 2018. Fuel economy of large trucks and vans will increase from 14.9 miles per gallon in 2010 to 16.7 mpg in 2018.
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Toyota, Honda Top List in Best Cars for Families Awards
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U.S. News Best Cars released the Best Cars for Families Awards, identifying the best family cars across twenty automotive categories. Toyota and Honda tied for the most awards, with five each, followed by three awards for Ford, the most of any domestic automaker. Best Cars for Families Award winners are the cars that score highest in safety, reliability, comfort and affordability. The full list of winners is available at usnews.com/cars-trucks/Best-Cars-for-Families.
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| Driving Green Initiatives, Actions, & Implementations |
Ford, Toyota Partner to Develop Large Vehicle Hybrid Technology
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Ford and Toyota are partnering to develop the next generation of hybrid technologies that will specifically bolster the fuel efficiency of pickup trucks and sport-utility vehicles. The new alliance is in response to recent federal mandates requiring automakers to boost fuel economy to 54.5 miles per gallon by 2025. Already the world's two leading manufacturers of hybrid vehicles, Ford and Toyota now are challenged with expanding the technology to ensure that the largest vehicles can deliver better mileage. The two automakers also plan to work together on advanced telematics systems.
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Ford, SunPower Corp. Partner to Offer Solar Charger for Focus Electric
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Buyers looking at the new Ford Focus Electric will have a chance to go even greener by adding an optional solar charging system. Ford is partnering with SunPower Corp., Silicon Valley's largest supplier of solar power arrays, to provide a 2.5 kilowatt rooftop charging system that could replenish a drained lithium-ion battery pack in about 10 hours. After a deep discount of more than 40% off the normal price tag, the rooftop system will still cost $10,000 after receiving a federal tax credit. Charging a Focus Electric from the grid each day would cost about $10 a week, making the payback period for the SunPower system about 20 years.
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| The Intelligent Vehicle Telematics, Telecommunications, &
Technology |
Using Text Messages to Unlock Car Doors, Start Engines
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Researchers recently demonstrated an attack on a Subaru Outback equipped with a vulnerable alarm system by using a computer to send alarm commands to unlock the doors and start the engine. Car alarms, GPS systems and other devices are increasingly connected to cellular telephone networks and can receive commands through text messaging. Devices that receive texts generally cannot refuse them and the commands encoded in them. Users can't block texts; only operators of the phone networks can.
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Catalytic Converter Thefts on the Rise in U.K.
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Thieves and organized criminals in the U.K. are targeting vehicle catalytic converters for their precious metal value. If properly recycled, they can be worth between £50 and £100. A new catalytic converter can cost more than £2,000 to retrofit. Keeping vehicles garaged or parked in well-lit, camera-monitored areas is the best advice. Several companies offer indelible marking which can render the parts less attractive to thieves.
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| Fleet Vehicle Remarketing Marketing Strategies, Channels,
& Sales Data |
TrueCar Will Acquire ALG
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TrueCar is spending $83 million to acquire "industry bible" ALG, known for setting the standard when it comes to car values at trade-in or lease expiration. Founded in 2008, TrueCar focuses on the "bottom of the funnel," helping customers find accurate pricing information - so they'll know what to expect to pay for specific models, as well as the "real cost" to auto dealers for particular vehicles.
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ADESA Will Acquire OPENLANE
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KAR Auction Services' ADESA subsidiary has agreed to acquire OPENLANE's equity for $210 million in cash. OPENLANE CEO Peter Kelly will remain and will report to Jim Hallett, KAR's CEO. OPENLANE is expected to sell over 300,000 vehicles this year while bringing in revenue of approximately $100 million.
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2011 AFLA Conference
Paradise Point San Diego, CA September 14-16, 2011
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2011 CVSA Annual Conference & Exhibition
Hilton Austin Austin, TX September 25-29, 2011
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Green Fleet Conference 2011
Gaylord Texan Grapevine, TX October 3-4, 2011
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Hybrid Truck Users Forum National Conference & Expo 2011
Baltimore Convention Center Baltimore, MD October 10-13, 2011
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Fleet & Asset Management USA 2011
Hotel Melia' Atlanta, GA November 16-17, 2011
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Stats and Smart Charts
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Average Value of a 1 to-3-Year-Old Vehicle in July 2011
[Click to enlarge graphic]
- Kelley Blue Book predicts that new-car sales and leasing slumps of recent years will impact used-car values for years to come
- In response to supply reductions, average value of 1- to 3-year-old used vehicle has increased from $15K in 2008 to more than $23K in 2011, nearly 16% each year
- It will take several years of strong new-car sales to replenish shortage of used vehicles driving values up today
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