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Title: Fleet Replacement At Florida Power & Light Company
Author: Donald R. Ashton,
Source: American Gas Association 1985
Year Published: 1985
Abstract: replacement. The policies and practices thai have guided the replacement o vehicular equipment have focused on the condition, age, mileage, maintenance cost, Or expected life of specific vehicles. Because of (his, the fleet asset has been particularly vulnerable to the vagrancies of economic cycles. As the economy contracts, the question is asked: Can we keep that truck operating one more year? Since the answer is almost always yes, the budget is easily cut by dropping that vehicle, and the short-range feast or famine cycle continues. The tleet is a corporate asset, not just a disjointed collection of trucks. Because of this, it is our responsibility as tleet managers to manage the total operation not just manage individual trucks. Serious fleet management requires hard work and scrupulous analysis oall factors making up total cost. The answer to controlling cosi becomes a complex mix, including alterations to purchasing practices, maintenance and repair requirements, operating procedures, vehicle mix, and fleet size. The answer also requires a hard look ai long-term corporate goals and the fleet requirements to meet (hose goals. It has been our determination at Florida Power & Light thai fleet replacement (renewal) be treated as a long-term financial decision, which is structured to maintain a certain viability in the asset. The decision is made considering the fleet as a complete or total asset with an integral role in the corporate asset mix required lo reach the companys longterm goals. Individual vehicles are noi factored into the initial determination.

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