This customer was under intense pressure to reduce costs associated with its material handling equipment used in its facilities. The customer operated approximately 70 units, mostly forklifts, in 11 sites around the United States. Each facility handled its own maintenance needs using a variety of manufacturers/providers. There was no centralized oversight or visiblity into costs and effectiveness.
Thorough site surveys and an open network of providers
Element conducted thorough, on-site surveys of the customer's material handling equipment inventory and uncovered more units than the customer thought it had. In addition, as a brand-neutral third party, we were able to incorporate all the OEMs the customer had been using into an open network of providers. Now all maintenance transactions and billing came through us to manage. A material handling equipment analyst, with 20 years of forklift experience, was dedicated to the customer's account; he audited and analyzed all repair invoices, and negotiated invoice credits and adjustments where costs/repairs were above industry standards.
With Element managing the maintenance process and ensuring that proposed work was necessary and priced properly, the customer saved 22% in the first quarter after implementation- or nearly $36,000 in three months. The customer also benefited from enhanced uptime, as Element ensured the work was done in a timely manner to maximize asset productivity. In addition, the customer now has complete visibility into its assets and costs, as well as seamless and comprehensive administration with consolidated billing and payment of supplier invoices.
- Business Services
- Title, Licensing & Regulation
- Personal Usage & Expense
- Fleet Partnership Outsourcing Solutions