Most small organizations that have 25 to 50 pieces of equipment seldom consider how much it’s really costing them, and how much fleet maintenance software can help them save.
Once your fleet exceeds 20 pieces of anything, managing it becomes more of a challenge, even for the most diligent and thorough.
Consider the following:
Company A and Company B each have 25 units of heavy equipment. Each unit is in the shop once a month for major repairs, oil and fluid top-ups, and/or scheduled maintenance and planning. The cost of labour averages out to $30 per hour for administrative staff and mechanics. Both companies spend $100,000 on parts each year.
Company A uses a photocopied fleet maintenance work order on the shop floor. The mechanic hand writes basic information on the work order about the maintenance, e.g. unit number, driver, date, symptoms, and parts. When the maintenance is complete, the work order is photocopied and information is entered into a fleet management spreadsheet, and then sent to the accounts payable for payment (if applicable).
In terms of time, Company A spends:
5 minutes creating a hand-written work order and making sketchy notes.
5 minutes making entries in a fleet management spreadsheet, photocopying for accounts payable, processing associated purchased through an accounting package, and filing.
5 minutes to search and inquire at a later date, often months after the service has been completed.
Additionally, given that 2% of all parts purchased for heavy equipment are actually covered under warranty and where Company A does not track parts warranty, this too must be taken into account.
Each year, Company A spends $4,100 just to manage maintenance and repairs. And because the work order is handled and transposed many times, there is a much greater chance for errors and omissions.
Company B uses Fleet Harmony Online Fleet Maintenance Software.
In terms of time, Company B spends:
2 minutes entering a work order into the system, including mechanic crib notes.
2 minutes processing associated purchased through an accounting package, and filing. If using Sage accounting, Fleet Harmony's Sage compatible invoices feature cuts this time in half.
Seconds to search and inquire at a later date.
Because Company B tracks part warranty by unit with Fleet Harmony, the number of missed warranty claims is virtually zero.
Each year, Company B spends under $1,500 managing maintenance and repairs using the equipment maintenance log within Fleet Harmony. This includes the cost of Fleet Harmony. And because the work order information is centralized, the chance for errors and omissions is greatly reduced.
The point
You are never too small to save time and money! In fact, smaller organizations often stand to gain the most from fleet maintenance software because, let’s face it, losses are harder to absorb if you are small, plus, fleet maintenance management is only one part of your job.
If you have between 25 and 50 pieces of equipment and you are still trying to manage it with handwritten work orders, notepads, sticky notes, and spreadsheets, it’s time to seriously consider Fleet Harmony Online Fleet Maintenance Software.
Have specific needs unrelated to fleet management? We can help! Fleet Harmony specializes in software design services for the web, windows, and AS400 / Iseries.
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