The Importance of Fleet Management to
An Organization’s Bottom Line
Presented by:
David Stuhlfire and Merisa Tomaro
Enterprise Fleet Management
Agenda
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Who we are and the basics of vehicle Fleet Management
True Cost of Ownership
Replacement Recommendations
Reimbursement Opportunity
Enterprise Fleet Management History
 Sister company to Enterprise Holdings (ERAC, National
and Alamo), and the Enterprise Holdings Foundation
 Founded in 1957
 Still family owned and located in St. Louis, MO
The Basics of Fleet Management
Current partners within National Organization of
State Associations For Children (NOSAC)
Families United
Friendship House
Children’s Home of York
Children’s Home of Reading
Children’s Home of Easton
Starr Commonwealth
Current partners within NOSAC
The Home for Little Wanderers
The Children’s Study Home
Community Resources for Justice
Doctor Franklin Perkins School
NFI Massachusets
Wayside Youth and Family Support Network
North Suffolk Mental Health Association
Current partners within NOSAC
New York Foundling Hospital
Cardinal McCloskey Community Services
Hope for Youth, Inc.
Little Flower Children and Family Services of New York
Episcopal Social Services of New York
Leake and Watts Services, Inc.
SCO Family of Services
Current partners within NOSAC
Arizona Health Care Contract Management Services, Arizona’s Children
Association, Chicanos Por La Causa, Child & Family Support Services, Child and
Family Resources, CODAC Behavioral Health Services, Community Bridges,
Community Intervention Associates of Yuma, Comtrans, Devereaux of Arizona,
Easter Seals Blake Foundation, Jewish Family & Children’s Services, Little
Colorado Behavioral Health, Mingus Mountain Academy, Mohave Mental Health
Clinic, Partners in Recovery, People of Color Network, PSA Behavioral Health
Agency, Southwest Behavioral Health Systems, Touchstone Behavioral Health
Systems, Valle del Sol, Verde Valley Guidance, West Yavapi Guidance, Youth
Development Institute
Current partners within NOSAC
Family Services of North East WI
Anu Family Services
White Dog
Great Circle
Child Center – Marygrove
ECH
St. Vincent Home for Children
Current partners within your local Association
Autism Services Center
The Methodist Home for Children
Baptist Children’s Homes of North Carolina
Monarch NC
Barium Springs Home for Children
NHRMC Home Care
Easter Seals UCP North Carolina and Virgina
Current partners within your local Association
Maryhurst
Arms of Hope (Medina Children’s Home)
BCFS Health and Human Services
Children’s Home of Lubbock
Presbyterian Children’s Homes and Services
Texas Baptist Children’s Home
Current partners within your local Association
Viaquest
SAFY
The Village Network
Understanding the Basics of Fleet Management
Expertise in the Automotive Industry with Emphasis on Cradle-to-Grave Vehicle Processes
The Building Blocks of Fleet Management
Core Cost Elements
Elements of Cost of Operating a Fleet
Vehicle Expense
•Depreciation (Acquisition less resale)
•Interest
•Sales Tax & Registration
Operating Expense
•Fuel
•Maintenance and Repairs (includes downtime)
•Insurance
Additional Economic Considerations
•Income Tax
•Cost of Capital
•Inflation (budgeting)
How We Help
 Vehicle selection to fit the needs of the organization
 Vehicle upfront cost and vehicle incentives
 Selling the vehicle
 Line of credit with competitive funding
 Maintenance and repair plans
 Monitor and controlling operating costs such as fuel and maintenance
 Proper replacement patterns
 Productivity gains from time savings
The Value of Replacement
The Value of Replacement
One of the important elements of Fleet Management is knowing the economics and the
customer’s business goals of when to replace vehicles
Enterprise monitors the following items:
 Used vehicle prices
 Maintenance and downtime considerations / customer service issues
 Fuel and fuel economy standards
 Appearance and branding
 Vehicle incentives
The most common objection to obtaining a new
vehicle is “lack of capital funds”
Monthly operating costs of a 2004 or
older Dodge Grand Caravan
Monthly Maintenance Costs: $225
($2500 annual average on a 9 year old van)
Monthly Fuel Costs: $600
(13mpg on old van at $3.75/gallon)
Total monthly cash outlay: $825
The most common objection to obtaining a new
vehicle is “lack of capital funds”
Monthly operating costs on a new
2014 Dodge Grand Caravan
Monthly vehicle payment: $330
Monthly Maintenance Costs: $62
Monthly Fuel Costs: $390
(20mpg on new van at $3.75/gallon)
Total monthly cash outlay: $782
Old van versus New van
Monthly operating costs of a 2004 or
older Dodge Grand Caravan
Monthly operating costs on a new
2014 Dodge Grand Caravan
$825/month
$782/month
If you can operate a newer fleet for the same operating cost as the old fleet,
there are distinct advantages to new:
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Reduced liability through a new fleet versus old, rundown vehicles
Reduced downtime associated with a new fleet
Organization image
Employee and client morale in new vehicles
For organizations currently reimbursing drivers
Over the past few years, many organizations are
moving from reimbursement programs to company
provided vehicles.
The math is simple.
Example of reimbursing versus car program
Employee driving 25,000
miles/year business miles
and reimbursed at 40
cents/mile receives
$10,000/year in
reimbursement.
A company vehicle
can be provided for
as low as 31
cents/mile, or $7,750
per year with 25,000
business miles.
$2250 x 30 drivers = $67,500 in annual savings
Other considerations
• Employee safety and organization liability (is the vehicle properly
insured, properly maintained, etc)
• Organizational image(Improve Retention and Recruitment)
• Employee morale
• Downtime and other operational issues
• Company Savings and Employee Savings
Evaluating Trends and Planning
Thank You / Questions