June 26, 2018

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Editor's Analysis & Top Industry News

Honesty & Transparency

We welcome a new monthly columnist this week: Dr. Jan Ferri-Reed, author, speaker and president of KEYGroup®. A thought leader on the Millenial generation, her first article for FMW is Need to Revive Your Workplace? Try Performing CPR! She says, “Honesty and transparency are the watchwords in today’s organizations.”

In his video, Paul Lauria, president of Mercury Associates, warns about the existential threat bearing down on the fleet industry as more baby boomers retire. Paul says, “You can get by on past practices, experience, subjective judgment, and first-hand observation when your fleet manager has 30 to 40 years of experience. What happens when those individuals retire?”

Janice Sutton
Editor in Chief

Thought Leadership

Customer Driven — Engage your organization to create customer loyalty, trust, and superior service

Fleet Asset Management – Best practices for work truck management

Fleet Marketing – Guiding principles for fleet providers to improve marketing and increase sales

Fleet Spectator A 360 view of the fleet industry

Globally Speaking — Perspectives on the multinational fleet

In the Public Interest — Successfully managing the government fleet

On Fleet Driver Management Solutions to improve your fleet’s accident rate and cut costs on collision repairs

Safety & Risk — Impactful driver safety and risk management tools and techniques

Talent Management — Smart guidelines to help you manage the talent in your workplace

Think, Execute, Win!Leadership tips from NBA Star and motivational speaker Walter Bond

VIDEO: A Perfect Storm is Bearing Down on Fleet

There’s a perfect storm that’s bearing down on the fleet industry, and one of the biggest threats is an incredible loss of industry knowledge as more and more baby boomers retire.

VIDEO: Truck Routing Services

 What Bing Maps Has to Offer Fleet Management

Fleet management has always been a key industry for Bing Maps, and they’re upping their game with some new offerings, including truck routing services.

VIDEO: The One Second Advantage

 Safety Tip: Driving in Extreme Heat

Are your vehicles properly prepared for summer driving? This one second safety tip from Driving Dynamics can help reduce the risk of breakdowns caused by extreme heat.

The Fleet Spot

Chevin Launches Global Consultancy Service

Chevin Fleet Solutions has launched a brand-new global consultancy service that is to be headed up by its newest team member, Bill Griffiths.

Working closely with clients to evaluate business processes and fleet management practices, Griffiths will add significant value in his role as Vice President of Global Consulting and Client Services, by identifying – and building on – both strengths and weaknesses in existing, internal programs.


Cyber-Authority Tyler Cohen Wood to Keynote at AFLA 2018 Annual Fleet Conference

AFLA announces Tyler Cohen Wood will speak at this year’s Annual Corporate Fleet Conference (AFLA 2018) with a session focused on Information Security.

The AFLA 2018 conference, to be held October 1-3 at the JW Marriott Grande Lakes in Orlando, FL, will feature engaging presentations on key topics related to the corporate fleet industry with a theme of “Catch That Magic Moment Right Now.”


A Lesson in Being Customer Driven from a Four-Legged Friend

By Tracy Mandelka, Assistant Vice President, Business Development, Wheels Inc.

One of the most fulfilling parts of my day is walking through my front door and being greeted by my dog, Cali.

I have a 75-pound mutt (I use this term affectionately) jumping on my couch, with two paws on the armrest the other two on the couch cushions, waiting impatiently for me to open up the door. I’ve often wondered why, when I know it’s coming and that she is breaking many house rules, this simple act puts me instantly at ease. And then one day it hit me – Cali’s ritual is purely customer driven. She anticipates my needs and customizes her actions accordingly.


Driving Through Wonderland

By Art Liggio, President and CEO, Driving Dynamics

Be honest. Just admit it. We all daydream from time to time; maybe a bit more than we realize.

Can be kind of fun, sometimes relaxing, perhaps good for our mental health but the truth be told, it can also be a deadly activity when we operate a vehicle.

Just how dangerous is daydreaming while driving?


Talent Management

By Dr. Jan Ferri-Reed

Are your employees engaged or disengaged?

That may seem like an easy question, but employee disengagement is a real dilemma for many managers. By the time they notice employees slipping into poor habits or bad attitudes it may already be too late.

For example take Matt, a manager for a Fortune 500 company with whom I recently consulted. After ignoring many signs that his team was “less than engaged” (i.e., grumbling about assignments, not taking the initiative, subtly sabotaging change efforts, etc.) Matt couldn’t figure out why he was losing his top performers to competitors. Even worse, he didn’t realize he could have prevented employee disaffection by simply applying a little “CPR.”



In the Public Interest

Gary Lentsch, CAFM, fleet manager for the Eugene Water & Electricity Board, discovered a problem when he tried to meet the new federal regulation that requires vehicles with a gross vehicle weight of 10,000 pounds or less to be equipped with rear-view cameras.

What he found was that many of the devices on the market don’t meet the regulation’s requirements for full rearward visibility.

Lentsch looked to PRECO Electronics, based in Boise, Idaho, to help him retrofit his fleet vehicles. In the article below, which appears on PRECO’s website, Lentsch talks about his experience trying to comply with the new rule and how fleets can be sure their drivers, vehicles and pedestrians are properly protected.



The Medium Duty Silverado

FMW recently talked with Ed Peper, General Motors’ U.S. vice president for fleet, about the company’s re-entry into the high end of the medium-duty commercial truck market. Below is an edited transcript of his interview with Mark Boada, FMW’s executive editor

What are GM’s new commercial trucks?

This year we’ve launched the Silverado 4500, 5500, 6500 conventional medium-duty truck product. We’re really, really excited about this product and about getting back into a segment of the market we haven’t played in since 2009.

What made GM drop out of that market and why did you decide to get back in?


Fleet Trends & Issues

Diesel Commercial Fleets Switching to Electric Nationwide

The New York Times

Commercial vehicle fleets across the country are replacing their diesel buses, delivery vans and garbage trucks with their electric equivalents.

Electric motors offer the low-speed torque such vehicles need, without the noise or exhaust of their diesel counterparts. Range anxiety is not a concern as operators of buses and similar vehicles tend to stay close to home, needing a range of 100 miles or less.

“McKinsey & Company, the management consulting group, forecasts that electric light- and medium-duty trucks — a group that includes pickups, flatbeds and some trash haulers — could achieve between 8 percent and 34 percent sales penetration by 2030.”

Read the article at The New York Times.

Ford Improves in J.D. Power’s Initial Quality Study


Poorly working touch screens and phone connectivity were top complaints that Ford received and addressed by switching partners and spending years to smooth out the system’s features.

Audio, communication, entertainment and navigation systems remain the most problematic category of problems consumers are having with new cars, but the industry has improved for three straight years, contributing to the best overall quality ever, according to J.D. Power.

“Our competitors are about two to three years behind us now,” Jim VanSlambrouck, director of quality for the Americas said. “They are still refining how their tech works, and these are things where we’ve gotten out in front and will stay there.”

Read the article at Bloomberg.

Autonomous Cars May Mean More Miles Driven

The Verge

According to a government report, if self-driving cars are successful, people might take more car trips, which could lead to Americans consuming more energy even if the new autonomous vehicles are electric or hybrids.

The benefits of hands-free driving could entice people to hit the road more often, and might discourage people from taking local public transportation or allow people without licenses to drive.

Researchers calculate that there would be a 14 percent increase in the number of driven miles in 2050, from 3.3 trillion miles to 3.8 trillion upping the energy demand by 4 percent.

Read the article at The Verge.

Strategies for Advancing Women in the Workplace


Although the majority of women aspire to hold top leadership and board roles, today only 5.2 percent of the CEOs of S&P 500 companies and slightly more than 21 percent of their board seats are held by women. How can that change?

It has to start at the top with identifying high-potential women and helping them get to the next level by encouraging mentors and sponsorships. Mentors can help employees think about their career growth, while sponsors can actually help make it happen.

Companies have to set goals, measure them and hold leaders accountable.

Read the article at Forbes.

Proposed Auto Tariffs

The Washington Post

Although Mexico, Canada and Japan would likely be affected, Trump has singled out German vehicles in particular with his proposed auto tariffs.

Germany’s prosperous city of Stuttgart, lays justifiable claim to being “the cradle of the automobile.” The region is packed with assembly plants, parts makers and engineering firms — all supporting an industry that is considered a pride of the nation.

“We are watching the U.S. debate very closely,” Porsche said in an emailed statement. “A third of our sales are in North America and since we don’t have production sites there, we have to take the situation seriously.”

Read the article at The Washington Post.


Made in America

The Detroit Bureau

According to a new survey by Cars.com, the Jeep Cherokee is the “Most American” car, which is made at the company’s plant in Belivdere, Illinois.

The Cherokee, last year’s No. 2 car on the index, has a domestic parts content of 72% for the 2018 model year — and all engines and transmissions from the U.S., the Illinois-built Cherokee topped more than 100 vehicles to top the list.

“Being American made, or at least considered so, is important in today’s climate. Cars.com surveyed more than 1,000 licensed drivers, and 83% named assembly location as an important factor in determining economic impact.”

Read the article at The Detroit Bureau.


Many Ways to Get Around

San Francisco Chronicle

Uber and Lyft are both heading towards a future in which they’ll handle every conceivable way to get you from Point A to Point B — and in the process disrupt the very concept of personal car ownership.

Both ride-hailing companies have joined the many firms ready to release electric scooters, launch electric-bike rental services, provide rentals of people’s personal cars and use an app that will let users buy public transit tickets.

“Not many people in our country take bikes and scooters for utilitarian trips, for going to work, the grocery store, out at night even though it’s a low-cost healthy way to get around,” said Paul Mackie, director of research and communications at the Mobility Labs think tank. “It’s great that Uber and Lyft are putting money and publicity and building interest in these other great ways to travel. It lends credence to them as mobility companies, not just tech companies.”

Read the article at the San Francisco Chronicle.

Fleet Management Resources
AFLA – Automotive Fleet & Leasing Association
Providing the advanced forum for corporate fleet professionals to network with industry leaders.
The CEI Group Inc.
CEI is North America’s largest provider of fully integrated fleet accident management, driver safety and risk management services.
NAFA Fleet Management Association
NAFA is the association for the diverse vehicle fleet management profession regardless of organizational type, geographic location, or fleet composition.
Offering a nationwide vehicle delivery and relocation service; serving the corporate and commercial fleet industry.
Since 1965, Donlen has been the fleet management industry’s leading provider of comprehensive, integrated financing and asset management solutions — and that spirit of innovation continues today.
PARS' mission is to provide you with high-quality service at competitive prices for all of your transportation needs.
Driven fleet professionals. Driving results.
Driving Dynamics
Driving Dynamics was established to help corporate fleet drivers develop expert, safe driving skills using proven, advanced driving techniques.
Wheels, Inc.
First in fleet for 79 years. Wheels helps you build tomorrow’s fleet today.

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