July 24, 2018

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Editor's Analysis & Top Industry News

The Brain Drain Convergence

Government fleets are in a unique position. Many of them have had in-house maintenance operations for years and have provided a high level of service to increasingly complex assets. But as Mark Boada writes in his Public Interest Q&A with Steve Saltzgiver, BSBM, MAOM, CAFS, a perfect storm is brewing.

We read this week that the Trump administration is sparking a legal battle with California over the state’s strict emissions standards. In his video clip, Gary Lentsch, CAFM, puts politics aside and talks of the endurance of sustainability initiatives that government and corporate fleets are pursuing to reduce emissions and control fuel costs.

Janice Sutton
Editor in Chief

Thought Leadership

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

Disruptive Leadership — Master the principles of disruptive leadership

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: Sustainability: The Next Wave

All politics aside, sustainability initiatives are still very important to a lot of fleets out there – especially government fleets.

VIDEO: Making Fleets Safer

 Donlen Takes Improving Fleet Safety Very Seriously

When it comes to fleet safety, Donlen aims to be as proactive as possible.

VIDEO: A Great Perk for Drivers

 Three Great SiriusXM Programs for Fleet

SiriusXM offers three fleet-only discounted programs. Having SiriusXM in the vehicle is a fantastic retention benefit for drivers – and also a great reward for safe driving.

The Fleet Spot

Motus: 2018 Fuel Trend Report

Fuel prices have long been a volatile expense in our lives.

Over the spring season, the frequently shifting price of fuel has only gone up. What drives the change of prices at the pump? What can we expect in the coming months? What about the rest of 2018?

Learn the answers to those questions in the Motus 2018 Fuel Trend Report!

NAFA Webinar: The Keys to a Successful Global Safety Program

August 15, 2018 — 12:00 – 1:00 PM EDT — Online

Instructor: Ed Pierce, Communications Director, The CEI Group, Inc.

Multinational companies are under increasing pressure to match their North American fleet safety efforts worldwide, even in countries with much different driving landscapes. CEI’s Ed Pierce, Director of Communications, will explain the need for culturally-considered risk assessments and training, as well as data collection, integrity, and reporting. He will also illuminate the need for consultative services, single source data management, and consistent driver communications.

Register Today

Install the Hottest Vehicle Safety Tech―Upgrade to a Skilled Driver

So, who really trained that applicant you will be entrusting to safely operate your company vehicle?

By Art Liggio, President and CEO, Driving Dynamics

Fleet operators are perplexed. In the past few years sizable investments have been made in equipping vehicles with the newest safety technologies, implementing telematics, perhaps trying predictive analytics, increasing the frequency of MVR runs and adding other types of technology sophisticated, magic-button solutions. However, crash rates and traffic fatalities are increasing.


Trump Import Tariffs: Breaking Down the Impact on Fleets

By Mark Boada, Executive Editor

The news is awash with calamitous headlines about the Trump tariffs, not least of which proclaim potentially significant job losses for U.S. autoworkers and price increases on both domestically made vehicles and imports.

But I look at the headlines in view of a long-standing observation that people, in general, overreact to news, both the good and the bad, and particularly to the bad.

Now, I’m not here to say that Trump’s proposed tariff of up to 25 percent on imported cars wouldn’t result in a crushing increase in the cost for the typical buyers of a Mercedes Benz, Toyota or even a sub-compact Hyundai.


Public Interest

By Mark Boada, Executive Editor

A “perfect storm” is forcing government fleets to outsource an activity that the overwhelming majority still complete in-house: routine vehicle maintenance.

That’s the outlook from Steve Saltzgiver, a 30-year-plus fleet management executive who for the past six years has been a consultant with Mercury Associates, in an hour-long interview with Fleet Management Weekly. Mr. Saltzgiver had previously been the fleet manager for one city, two states and two corporations, executive director of the National Conference of State Fleet Administrators and is currently a member of the NAFA Board of Directors.

The interview came on the heels of the release last week of a report by OmniGov IQ, a fleet market intelligence company, stating that RFPs and bids for government outsourcing of routine maintenance increased by 40 percent in 2017, from 2,227 to 3,181. The report explained that as vehicles have become more technologically advanced “the work of maintaining government fleet vehicles has become more high-tech and specialized, and many government agencies don’t have specialists on their staffs that can do this work.”



Talent Management

By Dr. Jan Ferri-Reed

Have you ever wondered exactly how many employees hate receiving regular performance reviews?

The answer is … probably most of them! No one enjoys receiving negative feedback and employee performance reviews are often viewed as one-way discussions leading to criticism of the employee. However, the reverse is also true.

Few supervisors enjoy conducting reviews, because most people don’t enjoy giving negative feedback either. But performance reviews don’t have to be annual “torture sessions.” With a little advance planning, you can conduct performance reviews that you and your employees find informative, useful and (hopefully) effective.



A High Stakes Fight

Huffington Post

It’s a provocative move expected to result in a major legal battle.

The Trump administration plans to eliminate the special waiver that allows California to regulate automobile emissions as part of its proposed revision of Obama-era standards, Bloomberg and Reuters reported Monday.

It is likely the proposal, which is expected to come out this week, would trigger a high-stakes legal fight between the federal government and the nation’s largest car market.

Read the article at Huffington Post.

Fleet Trends & Issues

Waymo’s Self-Driving Commercial Service Begins This Year


Waymo’s fleet of self-driving vehicles is now logging 25,000 miles every day on public roads and has 600 self-driving Chrysler Pacifica Hybrid minivans on the road in 25 cities. It’s also adding 20,000 Jaguar I-Pace crossovers and has plans for another 62,000 Pacificas.

This newly shared goal signals Waymo is getting closer to launching a commercial driverless transportation service later this year. More than 400 residents in Phoenix have been trialing Waymo’s technology by using an app to hail self-driving Chrysler Pacifica Hybrid minivans.

Read the article at Autoblog.

Making the Wrong Bets on Future Transportation Now Would Be Costly

The New York Times

Autonomous cars have entered City Council meetings, political campaigns and state legislation where making decisions about what cities should build today, is unnerving some transportation planners and transit advocates.

Unrealistic hopes for driverless cars could lead cities into plans they may come to regret.

New forms of transportation like Uber and Lyft are heavily subsidized by venture capital today, and so cities that expect private services to replace public transit are counting on those subsidies, too. They’re betting that driverless cars will get here, changing the economics of transportation, before the venture capitalists lose patience.

Read the article at The New York Times.

GM’s Cruise is the Front-Runner in the Autonomous Race

USA Today

General Motors bought Cruise in 2016 as a 40-person startup. Today, it employs 740 people with an all-electric fleet of 180 vehicles travelling the hills of San Francisco, with 18 fast chargers in a parking garage.

For now, the Cruise AVs must have a human on board for safety for now. Its learning has made it a front-runner among competitors such as Waymo, Uber, Ford, Tesla and others to deliver on its promise to launch self-driving cars through a ride-sharing platform in 2019. GM has also quietly developed its own ride-sharing app called Cruise Anywhere and has been testing it with its employees.

Read the article at USA Today.

Drivers Value Car Safety, but They Also Want to be in Control


A national survey shows that drivers planning on buying a new or used vehicle in the next two years, are more interested in the crash-reducing safety features than the self-driving technology. Experts say the tech isn’t yet predictable enough for drivers to feel comfortable depending on it.

“These haven’t even been out long enough to have proven themselves safe, so it seems natural that drivers want to maintain control until the technology proves its effectiveness,” said Kelly Funkhouser, program manager for vehicle interface at Consumer Reports. “Consumers don’t yet think their cars are better drivers than they are—but they want their cars to help them become better drivers.”

Read the article at MSN.

A New Chief at Fiat Chrysler


Mike Manley, head of Fiat Chrysler Automobiles NV’s Jeep brand since 2009, has been chosen to replace Sergio Marchionne. Marchionne had a set retirement date of April 2019, but worsening health following complications from shoulder surgery accelerated the timeline.

Manley had already been tasked with the biggest job of the five-year plan: Doubling Jeep sales volume by 2022 from the 1.4 million vehicles sold last year. He needs a 40 percent jump this year alone to meet the 2018 marker of 2 million set out by Marchionne.

Read the article at Bloomberg.


Ready for the Storm

By Bernie Kavanagh

Imagine waking up one day to no fuel, damaged roads, and unknown damage to your fleet.

It’s the ultimate nightmare for a business with any exposure at all to mobility.

With the official start of the Atlantic hurricane season June 1, managers of fleets and transportation systems across the United States return to the annual game of unpredictable risk through Nov. 30, the official end of the season.

Historically, the most damaging tropical storms and hurricanes have occurred in August and September. But officials who manage fleets, fueling systems and transportation networks should be implementing best practices now in order to avoid a doomsday scenario later.



Tariffs and Potentially Severe Consequences

The Detroit Bureau

At the U.S. Department of Commerce’s public comment hearing on Friday, automakers warned that Trump’s higher auto tariffs will harm American families and workers, along with the economy and would raise the price of an imported car nearly $6,000 and the price of a U.S.-built car $2,000.

“The importation of motor vehicle parts is not a risk to our national security,” said Ann Wilson, MEMA senior vice president of government affairs. “However, the imposition of tariffs is a risk to our economic security, jeopardizing supplier jobs and investments in the United States.”

Read the article at The Detroit Bureau.

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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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