For manufacturers, warehouse operators and logistics companies, forklifts and other material-handling equipment (MHE) are indispensable assets. But a surprising number of companies don’t know exactly how large their fleets are, or what condition their vehicles are in.
This lack of data hurts their bottom line.
MHE fleets are often comprised of equipment that comes from a variety of manufacturers and are deployed across different locations, sometimes different countries. These vehicles are on different maintenance schedules, and while some are brand new, others are nearing the end of their productive use phase.
It’s a complex picture, and without efficient technology management, companies risk interruptions to the supply chain when aging equipment breaks down. Without complete visibility into the entire fleet, down to every battery in every vehicle companies will face a range of other hidden costs that can slow productivity and drain the budget.
CHG-MERIDIAN partners with companies to manage their deployments of material-handling equipment.
One of our largest clients was challenged with tracking its large deployment of MHE, which spanned multiple worksites. We began our work by performing a thorough audit of all technological assets the company had in the field, including its forklifts. CHG-MERIDIAN was able to find 400 forklifts—some of them sitting idle—that the company was not aware it owned.
Our audit also found that as many as a quarter of all the forklifts the company had were short-term rentals that came at a considerably higher cost.
We were able to reduce the number of short-term rentals to five percent of the total fleet, converting many of those to leases that benefited our client. We gave our client a thorough and accurate accounting of every vehicle in the fleet, including those the company was paying for but not using.
Because of its partnership with CHG-MERIDIAN, the company realized savings of 30 percent on its MHE fleet.
This company now proactively manage its fleet using TESMA®, our technology management system that provides end-to-end transparency for technology management, from procurement through active use to eventual remarketing or disposal.
Our client no longer settles for short-term equipment rentals that erode the bottom line. They realize full value by partnering with CHG-MERIDIAN, financing experts that tailor the right lease terms to every client.
Today the company knows exactly how many vehicles they have at each site, and exactly where each vehicle is in its individual lifecycle. This company uses a data platform where maintenance schedules can easily be accessed. It proactively manages its fleet and doesn’t suffer from interruptions to its supply chain that occur when equipment unexpectedly breaks down.