http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/ The Fleet Maintenance Blog, where Editor Mark O’Connell comments on what’s right and wrong in the industry. Sun, 23 Nov 2008 20:09:22 +0000 http://wordpress.org/?v=2.3.3 http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/#comment-41 FleetCard Gal Tue, 22 Jan 2008 15:09:08 +0000 http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/#comment-41 I think that the principle of FIFO (first in, first out)is critical to not having waste in regards to parts. If you have an organized computer system, and stick to the principle, then the chances of parts becoming obsolete before they're used are lessened. I think that the principle of FIFO (first in, first out)is critical to not having waste in regards to parts. If you have an organized computer system, and stick to the principle, then the chances of parts becoming obsolete before they’re used are lessened.

]]> http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/#comment-37 JOHN O'BRIEN Mon, 21 Jan 2008 18:44:14 +0000 http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/#comment-37 It is pretty obvious that most fleets tend to stock pile items that are for specific maintenance. When a vehicle is sold or traded we forget about the inventory until it becomes obsolete. I took over a Ford Dealership only to find I had One Million dollars is obsolete inventory. Computers are great! I listed all of my inventory in magazines and web sites. My garage sold everything. Wish I had more to sell. Swap meets are great also. We sold an eighteen wheeler each weekend. It is pretty obvious that most fleets tend to stock pile items that are for specific maintenance. When a vehicle is sold or traded we forget about the inventory until it becomes obsolete. I took over a Ford Dealership only to find I had One Million dollars is obsolete inventory. Computers are great! I listed all of my inventory in magazines and web sites. My garage sold everything. Wish I had more to sell. Swap meets are great also. We sold an eighteen wheeler each weekend.

]]> http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/#comment-13 Bob Burdge Fri, 04 Jan 2008 13:19:59 +0000 http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/#comment-13 The fleet I joined about 3 years ago had a very disorganized parts room. In some cases they had stocked more of some parts than a vendor would. First was to set up shelving that was user friendly and to utilize the space I had. I then organized the parts in VMRS code order and used bin numbers. This made since as we track our maintenance by VMRS code and it made it eassier for the mechanics to find parts. Once this was done a physical inventory was performed with a huge negative variance of 32% that equalled about $35,000.00. Once we took the hit we started into cycle inventories weekly doing one bin per week. Our next physical inventory was a 5% variance and the last one was 2.7%. I was also able to reduce the inventory value from $85,000.00 to $65,000.00. The organization and cycle counts work. The fleet I joined about 3 years ago had a very disorganized parts room. In some cases they had stocked more of some parts than a vendor would. First was to set up shelving that was user friendly and to utilize the space I had. I then organized the parts in VMRS code order and used bin numbers. This made since as we track our maintenance by VMRS code and it made it eassier for the mechanics to find parts. Once this was done a physical inventory was performed with a huge negative variance of 32% that equalled about $35,000.00. Once we took the hit we started into cycle inventories weekly doing one bin per week. Our next physical inventory was a 5% variance and the last one was 2.7%. I was also able to reduce the inventory value from $85,000.00 to $65,000.00. The organization and cycle counts work.

]]> http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/#comment-3 Fleet Guy Thu, 20 Dec 2007 13:32:13 +0000 http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/#comment-3 I like that you added this blog. Were always looking for ways to save some money around the shop, and inventory issues are always a big concern. Eager to hear some suggestions. I like that you added this blog. Were always looking for ways to save some money around the shop, and inventory issues are always a big concern. Eager to hear some suggestions.

]]> http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/#comment-2 Robert Peck Sat, 15 Dec 2007 00:10:27 +0000 http://www.fleetmag.com/interactive/2007/12/10/a-word-to-the-wise/#comment-2 Sometimes its the timing that makes one look good. For instance, I go out annually for bids on commodity items such as batteries, filters, and lubricants. I recently had a conversation with the vendor that is currently supplying us with batteries and after just four months into this years contract he is losing 40% per battery to us because of the shortage of lead in the U.S. Normally we would not stand to save that much with our annual contracts but, like I said, it's all about timing. The timing was perfect this year. Sometimes its the timing that makes one look good. For instance, I go out annually for bids on commodity items such as batteries, filters, and lubricants. I recently had a conversation with the vendor that is currently supplying us with batteries and after just four months into this years contract he is losing 40% per battery to us because of the shortage of lead in the U.S. Normally we would not stand to save that much with our annual contracts but, like I said, it’s all about timing. The timing was perfect this year.

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