February 09, 2018
DEMAND FOR TRUCKS CREATING DELAYS
Written by Devon Tamagi
Don't get caught waiting months for your new fleet assets.
THE SURGE IN TRUCK DEMAND
2018 is going to be an interesting year for truck fleets. According to FTR Transportation Intelligence, truck capacity is almost at its peak and could hit the 100% capacity mark by spring of 2018. With the implementation of ELDs, the continued issue of driver retention, and a host of other problems, shippers are having trouble finding the space to transport their goods.
Coinciding is a nationwide aging of fleet assets. These factors have caused a surge in demand for class 5-8 trucks. When demand suddenly increases, manufacturers of the various components such as chassis and tires are pushed to their operational capacities. For example, commercial truck chassis sales increased by almost 17% in late 2017 when compared to 2016. This creates a series of back-orders that cascades down the entire line of production. The increase in demand and subsequent delays means fleet managers could be waiting a long time for new vehicles resulting in operational inefficiencies, wasted resources, and lost opportunities.
Plug N Track GPS helps fleets increase the longevity of their vehicles and equipment. Here’s how:
1) Extend Vehicle Health
Monitor the health of your fleet vehicles and equipment with Plug N Track Service Alerts. Our system allows you to easily schedule maintenance and service, receive engine diagnostic alerts, and record maintenance history.
By properly scheduling maintenance, fleet managers can extend the life of their fleet assets. And with engine diagnostic alerts you can address a service issue immediately which reduces wear and tear, and the likelihood of a catastrophic failure.
2) Improve Driver Behaviour
Aggressive driving can have a severely negative impact on vehicle longevity. Our multiple alert tools help reduce speeding, aggressive acceleration, hard braking and excessive revving/idling. All which contribute negatively to the health of a vehicle, through improper use or overuse. By improving driver behavior you can extend the life of your assets and reduce operating costs.
Instead of putting in orders for new vehicles when there is a spike in demand, increase the longevity of your existing fleet. This can have a twofold effect on your bottom-line. Firstly, by increasing the longevity of fleet assets, you will be spending less in the long run. For example, replacing service trucks every 4-5 years has a higher capital and depreciation cost associated with it than if those service trucks were replaced every 6-7 years. Secondly, by extending the lifecycle of fleet assets you will be able to avoid these spikes in demand, which will reduce the wait times and price of these assets.
Want to see how Plug N Track GPS can? Book a FREE demo today!
Let Plug N Track GPS help your fleet be more productive and profitable!