Success Story - "Fleet Management - Medical"

Company Description

Privately Held Mid-West Based Medical Equipment Manufacturing Company

Company Situation and Problem

For service reasons, the Client had recently moved to a large national Fleet Services supplier from a smaller, regionally oriented provider. This change was completed without a formal RFP process.

• Fleet mileage information was inadequate to aid fleet management for cost analysis, vehicle monitoring and control of fuel and maintenance costs.
• Supplier pricing was not competitive and service levels needed improvement.
• Fleet Policies and management practices needed strengthening.

Paladin Actions & Recommendations

Paladin worked closely with the Client, compiled historical fleet costs, generated a complete fleet services Request for Proposal and engaged the top global Fleet Services suppliers in the new bid process.

• In addition, OEM suppliers were contacted to achieve reduced vehicle acquisition costs.
• Fleet specifications were modified to delete features and options not required by the Client‘s operations.
• Finally, the Fleet Management Policies were changed to strengthen controls and reduce risks.

Client Results

With competitive negotiations, the Client received:

• Significant discounts from OEM Suppliers (up to 11%)
• Reduced Lease Rates (29%)
• Reduced Fleet Services fees (46%)
• Reduced Maintenance and Fuel Costs
• Improved service levels
• Additional cost control savings