Enterprise Fleet Management

Based in St. Louis, Missouri, Enterprise Fleet Management is the largest

Written by Leslie Blaize Produced by Stephen Marino

Medium-sized businesses face some tough challenges in managing their fleets of 20 or more vehicles. Instead of spending valuable time addressing these issues, many companies turn to the experts, Enterprise Fleet Management, based in St. Louis, Missouri.

From the start, Enterprise’s goal was to help companies improve the way they operate their vehicles. “We create the right fleet plan for a customer,” explains Vice President Frank Thurman. “We buy and sell vehicles and develop fleet plans that drive productivity and control expenses.”

Jack Taylor founded Enterprise as a leasing company in 1957. In the early 1990s, the company expanded into the leasing business for the underserved small- to medium-sized fleets.

Enterprise now has an annual revenue of $26 23.9 billion and manages approximately two million vehicles. It serves companies, government agencies, and organizations with fleets of 20 or more vehicles and anyone looking for an alternative to their employee vehicle reimbursement program.

Enterprise’s full-service fleet management, award-winning

Taylor,

technology, and expertise benefit customers. It operates of network of more than 50 fully staffed offices.

Enterprise helps its customers with:

Selection of suitable vehicles

Fuel control

Maintenance

Buying and selling vehicles

Dealing with Supply Challenges

Thurman says the industry’s biggest challenges are vehicle availability and supply chain constraints. The scarcity of microchips is impacting production capabilities. As a result, Enterprise’s clients may have

difficulty getting the equipment they need for growth or to replace vehicles in the most advantageous timeframe.

Enterprise helps customers find solutions. “We’re putting a bigger emphasis on preventative maintenance,” Thurman says. “Our customers are probably going to keep their vehicles a bit longer. One of the ways you can do that is by taking really good care of them.”

Managing Fleet Costs

The firm is part of Enterprise Holdings and has a worldwide rental fleet of 1.5 million vehicles. In addition, Enterprise Fleet manages 650,000 vehicles.

“We’ve become extraordinarily good at planning to buy vehicles, executing the acquisition, and marking sure that we keep the vehicles in service for the right period of time,” Thurman reports. “There is an optimal replacement period.”

Enterprise works with clients to control their fleet costs. One way is through fuel economy, and the other is maintenance.

Thurman explains that as vehicles age, their fuel economy degrades, impacting costs. “We’ve helped

your customers and your profits will follow.”

Taylor, Founder

some companies reduce their fuel costs by more than $100 per month per vehicle.”

Another critical element of managing fleet costs is maintenance. Enterprise Fleet Management has a national service department that employs about 150 automotive service certified technicians. They’re former mechanics who work with shops calling for repair approval.

As part of their quality-control process, they’ll consider the following:

• Does a warranty cover the repair?

• Is it a duplicate repair?

Frank Thurman - Vice President

• Are the charges correct?

“In the past three years, we’ve saved over $40 million on maintenance and repairs on our customer’s behalf,” Thurman reports.

Enterprise’s clients benefit from the company’s expertise. “Most businesses focus on their core competency, and they aren’t focusing on their fleet,” he says.

Electrifying Vehicles

Enterprise keeps up with the latest technology, including the electrification of vehicles.

Thurman reports that Enterprise conducted a feasibility study in partnership with Geotab, its telematics partner, on about 90,000 of its existing lease vehicles. Results showed that about 13 percent of the vehicles were suitable for electrification. It was predicted that by 2025, 45 percent of the vehicles could be converted.

More electric pickup availability could extend the range of electric vehicles in the future. Thurman reports that as technology becomes more prevalent, costs also should fall.

Strategy Managers Personalize Services

Enterprise assigns a Cclient Sstrategy Mmanager to each customer to improve customer service. That individual is an expert in fleet management. It’s their responsibility to help navigate the best replacement plan for each customer. The manager will also make sure that customers participating in the company’s fuel or maintenance programs receive the full benefits. They will also review the drivers’ use of them.

In addition, there’s a Fleet Strategy

Manager who tracks what’s happening in the marketplace. They analyze the right time to buy and sell vehicles. “The client strategy manager and the fleet strategy manager work together to help companies make excellent decisions about operating a highly productive fleet with the lowest overall operating cost,” Thurman says.

Some clients have questions regarding the replacement of their fleet. Thurman suggests that clients could supplement their fleet through Enterprise’s rental partnership. For example, a

company may operate 45 vehicles full time and occasionally need more vehicles to meet business demandbut only use 35 regularly. One approach for these clients is to only keep the number of vehicles they need. Enterprise can supplement their fleet through it’s commercial rental offering or make additions if needed.

Case Studies

Experience Gives Perspective

As vice president, Thurman works with the sales and operational teams to understand what’s

important to customers. He evaluates new tools, products, and strategies to see if the company achieves its value proposition.

Enterprise’s leadership works to fulfill the vision of Jack Taylor, the company founder. He said, “If you take care of your customers and your employees, profits will follow.”

In his role, Thurman wants to understand what customers and employees are thinking. Then he can work to provide great customer service and successfully engage employees.

Great Work Leads to Advancement

At Enterprise, leadership recognizes hard work. “You are evaluated on your performance and ability to impact the customer and the organization,” Thurman reveals. Employees also are expected to follow the company’s founding values of respect, trust, and integrity.

He explains that Enterprise has more freedom than publicly traded companies that must be concerned about how decisions will impact their stock price or market value.

As a privately held business, “We can do things that are best for

Pep Boys is a complete auto care service provider—from inspections and routine preventive maintenance to brakes, tires, suspension and complex repairs, and for every make and model. Our team of ASE certified expert technicians works to ensure maximum up-time. We have serviced vehicles for Enterprise and some of the country’s largest national fleet companies.

With 1,000 locations nationwide, extended fleet service hours and priority scheduling, we keep businesses moving. We’ve built our success by focusing on long-term partnerships with our customers and delivering a highquality experience and value every time, for every vehicle.

So, whether you run five vehicles or 5,000, Pep Boys always delivers on our promise: We go further to help you go farther.

For more information, visit PEPBOYSFLEET.COM

Thurman says.

Benefits of ABC

Thurman says Enterprise benefits from its membership in Associated Builders and Contractors, a national trade association. “We’ve been a partner with ABC since 2004,” he reports. Enterprise participates with 44 different chapters throughout the country and values the association’s endorsement.

In addition, Enterprise personnel make beneficial connections through ABC. As a result, they learn what’s important in their local

marketplace and can work to bring value to that community.

Thurman says that Enterprise has about 1,100 clients who are ABC members. The company owns or helps manage about 60,000 vehicles for these association members.

Quality Partnerships

When Enterprise works with a maintenance partner, the company wants to make sure it provides quality service. The national service department and supply chain management personnel vet each potential partner. They consider their service quality, product

our customers and employees,”

quality, pricing, speed, and variety of service offerings.

“Over time, we also monitor how effective they are in execution,” Thurman says. Enterprise analyzes a partner’s timeliness and accuracy of repair orders.

“We also put a premium on making sure that local businesses represent the community we’re operating in. We’re thoughtful about building minority-owned and women-owned partnerships,” he says.

“We couldn’t meet our customers’ needs if it weren’t for these

exceptional wonderful partners and suppliers,” Thurman says. Enterprise treats these two groups with the same kind of appreciation shown to employees.

Attentive Listening Pays Big Benefits

Thurman received valuable advice early in his career: “Focus on your client’s needs first and let that be your north star. Then you will distinguish yourself in the marketplace.”

He also emphasizes that it’s important to be an active listener. “Give one hundred percent of your

“

“We have great tools, but you need to know what’s important to the person you’re sitting across from so that you can figure out how to craft a solution that will fit their needs.”

- Frank Thurman, Vice President

attention to the person you’re currently meeting with, whether it’s a coworker, client, or vendor partner. We live in a world where distraction and disruption are ever-present. People who can remain present have a significant advantage, and people can feel the difference.”

Thurman notes that Enterprise can teach people about fleet management and how to ask a question. “We have great tools,” he says, “but you need to know what’s important to the person you’re sitting across from so that you can figure out how to craft a solution that will fit their needs.”