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June 24, 2010
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| Fleet Trends & Issues |
Opportunities & Successful Fleet Management |
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What a Fleet Should Look for in a Fleet Management Company By Bryan Steele While there are many factors to consider when your company is looking for the right fleet management partner, the key component is ensuring they have the capability to provide the services you require and the financial stability to fund your vehicles. However, there are many other elements to take into account, such as offering: - A variety of innovative leasing, funding and acquisition options
- The ability to provide, understand and measure your costs using analytics – and then from this, provide proactive cost saving and process improvement recommendations
- Flexibility and agility, specifically in regard to funding and the ability to offer services a la carte
- Responsiveness to requests and issues in a timely manner
- A trained, certified and dedicated account management team – CAFMs on staff are always a plus
- The use of online fleet management tools to promote efficient operations
- Consultation on your fleet policy in order to create a cohesive risk mitigation policy
- Expertise in vehicle upfitting in order to spec a vehicle that’s right for the required work application
- The financial stability and resources to absorb additional vehicles from a company merger or acquisition
- A global footprint in order to provide fleet management to multi-national companies
- Strategic planning that entails understanding your company’s key objectives and partners with you to meet your milestone objectives
- A "green" program to help you track, trend and reduce carbon emissions
- The ability to present your true total cost of ownership through data flow and data integration from multiple sources
- A solid and consistent track record with remarketing performance
- A live call center available 24/7/365 to quickly respond to your drivers' needs
- A staff of experienced and knowledgeable maintenance and repair technicians that negotiate with vendors to actively avoid unnecessary costs
- Different degrees of support, such as a driver contact center
- An easy transition process
Bryan Steele serves as national vice president, client relations, for LeasePlan USA , a leading fleet and vehicle management company. As a subsidiary of LeasePlan Corp. N.V. with offices in 30 countries around the world, multi-national companies can easily manage their fleet on a global level through LeasePlan. LeasePlan offers a broad range of vehicle acquisition options including open-end leasing, closed-end leasing, purchase and disposal and a budgeted lease/maintenance product. The company also offers a comprehensive suite of fleet management services such as maintenance and repair management, accident management, fuel, emergency roadside services, license and title, remarketing and more. To complement its service offerings, LeasePlan provides clients with access to ePlan®, an online fleet management tool, developed with strategic and tactical management capabilities to increase the efficiencies of corporate fleets. Each client is supported by a dedicated account management team that utilizes a multi-layer team approach to make sure clients are always taken care of.
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| Managing Your Fleet Selector |
OEM & Equipment Manufacturer
Products & Services |
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2011 Chevrolet Silverado HD The Chevrolet Silverado HD is being thoroughly revised for the 2011 model year. Apart from a couple of nuts, bolts and badges, everything on this lineup of heavy-duty pickups has been changed. There will be 11 different 2500 models (sometimes called 3/4 ton) and eight 3500 models (sometimes called 1-ton). Vinyl-floor WT (Work Truck) to luxury LTZ trim levels are offered, and a new Crew Cab 3500 short bed (6.5 foot) model will be available. Read more
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2011 Honda Odyssey The word minivan generates all sorts of images, but it's safe to say that lightning bolts aren't among them. Yet the lightning bolt will be a key element in the design of the fourth generation Honda Odyssey, unveiled as a concept at February's Chicago Auto Show. Although it was presented as a concept, the Odyssey's exterior is 99 percent production accurate, according to a Honda insider. It's a much sportier look for Honda's popular people-hauler. Read more
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2011 Infiniti M The 2011 Infiniti M37 and Infiniti M56will add considerable power, technology and style without a commensurate increase in weight. Just half an inch longer than the outgoing model, the 2011 Infiniti M looks better because it is lower, two inches wider, and the roofline flows into a brief decklid with curved upper lip. Jaguar's XF profile comes to mind. However, the M's compact nose with sloping hood and mild fender bulges mixes Infiniti FX elements with wheel arches like Mazda and Mercedes sedans. Read more
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| Association News & Views |
Activities, Events & Success Stories |
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National Conference of State Fleet Administrators To Co-Locate Annual Conference With NAFA in 2011 The National Conference of State Fleet Administrators (NCSFA) is proud to announce that it will co-locate its annual conference with the NAFA 2011 Institute & Expo in Charlotte, North Carolina. NCSFA recently cancelled its 2010 conference due to the downturn in the nation’s economy and the related travel restrictions placed on state government attendees. "For over twenty-five years NCSFA provided a unique forum where state fleet administrators could network and share best management practices," said Chris Hoffman, CAFM, NCSFA President and Transportation Manager for the Oklahoma State University. "By partnering with NAFA and joining their annual event, NCSFA can be a part of the largest fleet gathering in the world and provide our members with even more value than before." NAFA’s 2011 Institute & Expo (I&E) takes place April 9-12, 2011 at the Charlotte Convention Center. I&E is regularly attended by nearly 2,000 fleet professionals and features more than 60 hours of education and training, abundant networking and social opportunities, and an exhibit floor unmatched in the industry in both size and scope. "We are very pleased to welcome NCSFA into NAFA’s big tent," said Chris Amos, CAFM, NAFA President and Commissioner of Equipment Services for the City of Saint Louis, Missouri. "I&E has something for everyone, regardless of the type of fleet you manage or who you manage it for, so NCSFA will fit very naturally. I hope we can grow this partnership into a long-lasting tradition."
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Janice Sutton, Editor
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Congratulations to Ford!Congratulations to the entire Ford team. Last week, J.D.Power and Associates released their Initial Quality Study of 2010 vehicles and Ford's leadership propelled the Detroit 3 to outperform foreign nameplates for the first time. According to the report, " In particular, initial quality of Ford models has improved steadily for the past nine years. In addition, as a corporation, Ford Motor Company (including Volvo) has 12 models that rank within the top three in their respective segments in 2010-more than any other corporation." On the heels of this groundbreaking news, Kelley Blue Book editors ranked the Ford F-150 as the top full-size pickup in a comparison with the Chevy Silverado 1500, Nissan Titan, Ram 1500, and Toyota Tundra. If you haven't read Tony Gratson's interview in The Fleet Spot, do so - you'll want to hear what he has to say about what's afoot at this dynamic company. In Fleet Trends & Issues this week, we examine "What a Fleet Should Look for in a Fleet Management Company." Mark Conroy, VP of Sales and Marketing at Union Leasing , recently sent us a vintage photo of some fleet folks and we got to thinking that some of you may have photos lying around that you would like to share with us. I have a few of my own. If you do, please scan them or mail them to me. .We will publish them in an upcoming issue. I'm counting on you! Janice Sutton
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| Places, Sites, and People for New Ideas
& Applications |
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Understanding the Distracted Brain Why driving while using hands-free cell phones is risky behavior. Vision is the most important sense for safe driving. Yet, drivers using hands-free phones (and those using handheld phones) have a tendency to "look at" but not "see" objects. Estimates indicate that drivers using cell phones look but fail to see up to 50 percent of the information in their driving environment. Distracted drivers experience what researchers call inattention blindness, similar to that of tunnel vision. Drivers are looking out the windshield, but they do not process everything in the roadway environment that they must know to effectively monitor their surroundings, seek and identify potential hazards, and respond to unexpected situations. Read more
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BLUE BOOK Market Report JUNE 2010 The strength that prevailed in the used-car market for the first part of the year subsided in May, with values increasing a modest 0.9 percent from the previous month. Values are continuing to stabilize, as evidenced by the modest uptick this month relative to the 1.7 percent increase reported last month. It’s important to note that strength between January and May each year is generally inconsistent with seasonal factors; however, this year a limited supply of good condition vehicles and increased demand from budget conscious consumers is keeping the market lukewarm. Read more
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Chris Amos, CAFM
City of St. Louis
Commissioner of Equipment Services, President of NAFA
Building a Body of Knowledge
Chris says his personal philosophy about involvement in NAFA is that he doesn't want to spend time doing things he's good at; he wants to find out what he doesn't know. He says, "Working as a group we become experts together." Chris needs no further introduction from us.
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Randy Shadley, CAFM
Corporate Claims Management
Director of Safety Programs
Risky Business
Some companies have said that the biggest lawsuits they have had were not in company vehicles, but were people driving their own vehicle on company business or were renting a vehicle while traveling on company business. The potential liabilities caused by a problem driver are enormous.
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Tony Gratson
Ford Motor Company
Government Sales Manager
Focus on Government Fleets
Ford has been a shining star, racking up impressive sales gains while some crosstown competitors have struggled to keep afloat. Tony focuses on government fleet sales and talks about the exceptional lineup of vehicles targeted to this market.
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FedFleet 2010
Phoenix Convention Center Phoenix, AZ July 13-15, 2010
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Plug-In 2010 Conference & Exposition
San Jose Convention Center San Jose, CA July 26-29, 2010
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National Auto Auction Association
New York Hilton New York , NY September 7-10, 2010
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AFLA 2010 Conference
JW Marriott Las Vegas Resort & Spa at Summerlin Las Vegas, NV September 8-10, 2010
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Green Fleet Conference 2010
Town & Country Convention Center San Diego, CA October 18-19, 2010
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| Conference Planning Guide |

Exhibitors, Educational Sessions, & Events |
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2010 AFLA Conference: Turn Change Into Opportunity If you haven't already registered, it's time to start thinking about AFLA's 2010 Conference held this year in Las Vegas from September 8th to the 10th at the beautiful JW Marriott Las Vegas Resort & Spa at Summerlin. Take a look at just a few of the sessions: The Current State of the Auto Industry: John McElroy, Auto Industry Expert and Producer of Autoline Detroit Extending Vehicle Replacement Cycles and How it Can Impact Your Fleet: Panel discussion of the implications of extended cycling Is your Fleet Exposed? Legal Implications that Affect your Fleet Policies: Richard D. Alaniz, Senior Partner at Alaniz and Schraeder Electronic Toll Systems and Considerations for Corporate Fleets: JJ Eden, COO for the North Carolina Turnpike Authority Click here for more information
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Stats and Smart Charts
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Wholesale Used Vehicle Price Trends – May 2010
[Click to enlarge graphic]
- Wholesale used vehicle prices continued to stabilize at high levels in May
- Falling modestly from all-time high in April and registering 3rd month in row at average above $10,500
- Previous all-time highs were around $10,400 registered in July and August 2001 before wholesale prices crashed on 9/11
- Current high wholesale price levels have translated into retail prices for used vehicles that approach or exceed 60% of price of new vehicle
- Comes from ADESA Analytical Services' May 2010 market report
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Last Minute News
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Ford F-150 Takes Top Spot in Kbb.com Full-Size Pickup Truck Comparison Test Kbb.com Editors Detail 'First to Worst' as They Rank Five Full-Size New Pickup Trucks The Ford F-150 took the top spot in an all-new full-size pickup comparison test, 'First to Worst: Kbb.com Ranks Five Full-Size Pickups,' by the expert editors from Kelley Blue Book www.kbb.com, the leading provider of new car and used car information. The kbb.com editors lauded the F-150 not only because it was outstanding in all areas, but because it offered a well-rounded, thoroughly developed package that does everything to a high standard, saying "If you can't find something here to suit your fancy, you need to look again." In addition to winning high marks in driving dynamics due to its enhanced level of ride and handling, the kbb.com editors praised the F-150 for both its exterior and interior styling, noting that it strikes "a nice blend of the style and function that should define a pickup." The F-150 also scored well because it is the only pickup in the segment to offer Roll Stability Control as standard, coupled with its AdvanceTrac electronic stability control. Read more
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Fleet People Going Places
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Jon Parker
GE Capital Fleet Services
Senior Vice President of Sales
GE Capital Fleet Services announced the appointment of Jon Parker as senior vice president of sales. Parker will be responsible for leading GE Capital Fleet Services’ strategic sales efforts and will also work closely with product development teams to ensure customer needs and insights are reflected in new products and services. Parker is taking over the sales leadership role from Deb Frodl, who was recently named as chief strategic and product development leader. Most recently, Parker served as chief commercial officer for GE Capital Financial Inc. Since joining GE in 1994, Parker has held roles of increasing responsibility with a variety of GE Capital’s commercial finance businesses. Prior to joining GE, Parker was a sales leader at Northern Trust Company in Chicago. He holds a bachelor’s degree in Economics from DePauw University in Indiana.
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Mike Lewis
Donlen
Vice President and General Manager, Equipment Leasing
Donlen has named Mike Lewis as Vice President and General Manager, Equipment Leasing. Mike comes to Donlen with more than 20 years of truck and equipment leasing experience. Prior to Donlen, he held positions such as President at PHH First Fleet, Executive Vice President at First Fleet Corp., and Senior Vice President at The CIT Group where he led the transportation asset finance business.
Mike has a Bachelor of Science degree in Business Management from Park College and an MBA, Finance, from Boston University. He is active on various committees with the Equipment Leasing and Finance Association (ELFA) and the Truck Rental and Leasing Association (TRALA), and is involved in inner city youth mentoring programs in the city of Little Rock, AR.
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| Managing Your FleetTrends, Issues & Opportunities |
Difficulty Recruiting Drivers Will Drive Up Freight Costs
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The improving U.S. economy is increasing freight demand, but drivers are unwilling to come back for reduced wages. Those that are hired will need to be trained, but trucking companies have reduced capacity there, too, making a return to normal operations difficult.
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Telematics Feedback Monitors Driver Behavior, Saves Money
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GreenRoad telematics system specializes in monitoring driver behavior and helping improve it by providing in-vehicle feedback as dangerous or fuel inefficient actions occur. Data downloads wirelessly for management review of routes and plotted incidents when vehicle shuts down.
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| Manufacturer DevelopmentsDesign, Production, & Services |
Ford Scores Well in Latest J.D. Power Quality Rankings
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Thanks to Ford, Detroit automakers surpassed the imports in the J.D. Power initial quality survey for the 2010 model year. Detroit-3 vehicles averaged 108 problems per 100 vehicles while Asian and European vehicles averaged 109 problems. Ford - with less than one problem per model - led the way with 12 models ranked high in their segments. GM's initial quality slipped and Chrysler fell below the average.
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GM Expects Cruze To Crack Small Car Market
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The Chevy Cruze rolls out this September, hoping to overcome small-car safety stigma and garner younger buyers worldwide. Quality and reliability will be key issues if GM wants to make the Cruze a key profitability player. "They can't afford to get it wrong," said Michael Robinet, VP, Global Vehicle Forecasts, CSM Worldwide.
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| Driving Green Initiatives, Actions, & Implementations |
No Obvious Winner Yet in Plug-in Car Race
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As automotive marketers and car buyers anxiously await the launch of well- publicized green cars like the Chevy Volt and Nissan Leaf, there's no clear path yet for major OEMs on which types of plug-in vehicles will have the most advantages. Panelists at last week's Automotive News Green Car Conference expressed competitive perspectives.
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Panelists Debate Benefits of Natural Gas, Biofuels, Batteries
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Panelists at a recent Lazard Capital Markets' Alternative Energy Investor Summit in New York debated the strengths and weaknesses of alternative fuel vehicle energy sources, and whether natural gas, biofuel, or battery-powered was dominant. Everyone on the panel seemed to agree any alternative fuel will take a very long time to make a dent in the supremacy of crude oil-based gasoline.
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| The Intelligent Vehicle Telematics, Telecommunications, &
Technology |
Chrysler Develops Smartphone App to Deliver Vehicle Info
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Chrysler is releasing a smartphone application so customers can download vehicle information. The 2011 Jeep Grand Cherokee is the first to utilize this app. Customers can download operating instructions, contact customer care and call for roadside assistance.
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Growing Acceptance by U.S. Consumers to In-Vehicle Voice Reminders Impacting Safety, Operation
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Telematics vendor ATX Group study finds growing acceptance of in-vehicle, interactive voice recognition (IVR) system-delivered messages about scheduled maintenance and safety issues like recall notices. They are making the case for this technology coupling the new findings with previous findings that U.S. consumers want real-time, location-specific alerts about traffic and weather.
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| Driver Safety Management Practices, Policy, & Training |
States Stepping Up Efforts to Eliminate Distracted Driving
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The Governors Highway Safety Association (GHSA) has released a new report listing state provisions to eliminate distracted driving by tackling it the same way they did drunken driving. The report is available for download on the GHSA website.
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Nav Systems Blamed for Car Crashes
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GPS-assisted navigation systems are increasingly sophisticated and regularly blamed for crashes resulting from following bad instructions. No legal case law exists yet. Drivers must remain in control of their vehicles in spite of bad instructions.
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| Fleet Vehicle Remarketing Marketing Strategies, Channels,
& Sales Data |
ADESA's Dealer Preferred Program Helps Boost Market Confidence
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ADESA says its new Dealer Preferred program can help both buying and selling dealers gain confidence in the wholesale market. Participating dealers get top lane placement at auctions, and when buying, they enjoy a 60-day buyback guarantee.
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Manheim's Mobile MMR Launched as Dealers Want More
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Manheim recently added an enhancement to its relatively new Mobile Manheim Market Report to help dealers source and manage their pre-owned inventory anywhere. The company highlighted how the capabilities of Mobile Search associated with its Mobile MMR incorporate a trio of dealer-oriented functions.
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