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Ross Grassick

7 Advantages of Outsourcing Materials Handling Management

Businesses with large fleet requirements, vehicles and equipment, know that the cost involved with owning and maintaining each unit is costly. What are the advantages of outsourcing fleet management? Fleet companies already own the equipment and will loan fleets and maintain each unit for a contracted long term period. The major benefit for business is the transparent financial forecasts for the term of the contract with the guarantee each unit in the fleet is serviced and maintained.

Fleet-Management-Infographic

What are the other advantages to outsourcing a fleet for your business? Here are 7 reasons why you would consider this service for your business:

1. Customise your fleet to maximise the workflow of goods with an experienced consultant

     Fleet management is a tailored service that’s specifically designed to meet your business’s handling requirements. Fleet management isn’t a one size fits all approach and your workspace can achieve increased productivity when the right materials handling equipment in place. Fleet consultants arrange to visit your workplace and appraise your space, handling needs and discuss short and long term expectations to develop the best fleet strategy for your operation. A major advantage when negotiating a long term contract is finding which service suits your business’s short and long term goals before you commit to a contract.

2. Guaranteed technical assistance when you need it:

     Preventative maintenance plans reduce the likelihood of major breakdowns. Scheduled services reduce the risk of major faults occurring which can be expensive, time wasting as well as dangerous to operators and others in the workplace. Fleet management services will keep every fleet unit recorded and notify you when fleet units are due for a service. Regular services should be at least every 12 months or as per the manufacturer’s standards. Book services before they’re overdue, secure your qualified technician and plan to stay productive in advance around it.

Companies who manage fleets know that mechanical issues do occur unexpectedly. Fleet services generally offer emergency assistance, some with 24/7 availability, and dispatch a technician to repair the unit so you don’t experience long downtime periods.

3. Upgrade to newer models if they change:

     When you agree to a fleet contract you will generally begin the term of the agreement with new equipment. The advantage of the fleet provider supplying you with new equipment is that their own qualified service technicians maintain each units. Ask your forklift management service if they offer upgrades when new models are added to their fleet.

Ensure you review your fleet plan throughout the contract. If handling volume change or floorplans revised speak to your service manager and make sure your fleet plan is still maximising productivity.

4. Maximum productivity:

     Time is money, money is time! This is true for every business and if your operation relies on maintaining strict schedules you need a plan B in the event of a major breakdown. If you have a forklift management service, you have a plan B! You will be supplied with a replacement unit while the other forklift is repaired offsite.

5. Detailed fleet reports to monitor performance:

     Fleet performance is measured using various KPI that provide an accurate cost and productivity scope to analyse each unit. Quantify the cost of the fleet with certainty. KPI’s include; individual hour readings, inactivity, cost of parts, cost of labour, downtime, etc.

6. Plan to fail! Hire an experienced management service to take all the service responsibility:

     Spend time working on your business, not in it. Choose a fleet management service you are confident will provide the right solution for your business. Secure a service to be available when you need it and supports the long term growth of the business.

7. Plan for the future:

     Fleet management is a long term arrangement. Find an established service provider that can fulfil all of your materials handling needs for the full term of the contract. Careful planning can safeguard your business’s plans for the future.

     Did you also know that fleet management is tax deductible for some businesses? That’s a bonus advantage to consider. Consult your accountant to see if your business qualifies.

Fleet management is one of many long term solutions businesses can consider to hire materials handling equipment. Lencrow Materials Handling is one of the original forklift hire companies in Sydney. Lencrow is Australian owned and family operated with a range of services tailored to suit the needs of local business. Would you like to know more? Explore Lencrow’s fleet online at http://www.forkliftsrental.com.au/ or phone 1800 FORK HIRE (1800-3675-4473) for personalised service about the best forklift hire for you.

Author

Ross Grassick

Ross Grassick

Ross founded Lencrow Group with his father back in 1976. Since then Ross has built a nationwide business, pioneered new technology and services in the materials handling industry. Ross is an industry veteran, an advocate for vocational training and a fountain of knowledge on all things mechanical.
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