(404) 854-2543

Strategic Sourcing and Procurement Services

CALL NOW

(770) 853-9940

Success Story - "Fleet Management - Minerals"

Company Description

Midsized Midwest Minerals Extraction and Distribution Company

Company Situation and Problem

  • Fragmented Fleet Management with model selection and lease/purchase processes not fully centralized
  • Recent change in Fleet Services supplier without a formal RFP process
  • No Fuel Program
  • Fleet mileage information inadequate to aid fleet management for cost analysis, vehicle monitoring or control of fuel and maintenance costs
  • Supplier pricing not competitive and service levels needed improvement
  • Fleet policies and management practices needed strengthening.

Paladin Actions & Recommendations

  • Paladin worked closely with clients, compiled historical fleets costs and generated a complete fleet services Request for Proposal
  • Engaged the top global Fleet services suppliers in an RFP bid process
  • OEM suppliers contacted to achieve reduced vehicle acquisition costs
  • Fleet specifications modified to delete features and options not required by Client operations
  • Fleet Management Policies changed to reduce costs, strengthen controls and reduce risks

Client Results

  • OEM Discount improved between 3% and 11%
  • Acquisition Fees / Discounts improved between 51% and 400%
  • Reduced Lease Rates improved between 29% and 40%
  • Reduced Fleet Services fees improved between 13% and 46%
  • Reduced Maintenance and Fuel Costs improved between 1% and 2%
  • Reimbursements for prior service shortfalls
  • Improved service levels and additional cost avoidance/control savings

Significant Management and Operational Improvements with Better Reporting and Controls at Reduced Costs and Complexity