According to research reported by Automotive Fleet - The Car and Truck Fleet and Leasing Management Magazine earlier this year, Brazil is the largest fleet market in South America.
According to research reported by Automotive Fleet - The Car and Truck Fleet and Leasing Management Magazine earlier this year, Brazil is the largest fleet market in South America. Companies such as Kraft, Pirelli, Proctor & Gamble, and Honeywell operate major fleets in Brazil, and over half of the country's 4 million corporate vehicles are located in the southeastern portion of Brazil. With all of these cars and huge companies controlling them, you'd think fleet management and preventative maintenance wouldn't be an issue.
However, Automotive Fleet noted several significant challenges including the fact that GM, Fiat, and Volkswagen control 75 percent of the Brazilian market. Not only are new fleet vehicle choices limited, and thus, pricey, the sheer size of Brazil and its road conditions take their toll on cars. To make matters worse, the availability of parts is inconsistent and the reliability of the country's vehicle maintenance and service provider network is questionable in some parts of the country. Each of these factors on their own create a compelling case for preventative maintenance; combined, they make preventative maintenance not only important, but essential.
In countries with a competitive fleet market and readily available parts, the occasional breakdown isn't necessarily catastrophic. A car may be out of commission for a day or two while it undergoes repairs. But in countries such as Brazil where parts are not readily available, a car may be out of commission for many weeks while parts are sourced and transported. Even then, due to scarcity, parts could be priced higher than expected.
Brazilian automotive fleet issues such as the availability of parts and logistical considerations in transporting them could also extend to industrial equipment. In both cases, many breakdowns can be prevented through regular preventative maintenance. With a solid preventative maintenance program in place, companies can control costs, extend the life of equipment and vehicles, and minimize downtime.
The cost of new fleet vehicles in Brazil is affected by a lack of competition, interest rates, and a complex tax structure. With limited options as far as new vehicles and equipment goes and higher-than-expected acquisition costs, it makes sense to extend the life of existing vehicles as much as possible. Preventative maintenance can also improve resale value when the time comes to retire used vehicles and equipment.
Preventative maintenance isn't just about the bottom line; it is also about safety. Well-maintained cars and industrial equipment are less likely to cause injuries or fatalities due to preventable malfunctions. Worn parts and potential problems can be often be discovered and repaired during preventative service calls, avoiding both costlier repairs and potential accidents.
Preventative maintenance is important to companies around the world, particularly in countries with competitive, fleet maintenance, part availability, and logistical issues such as Brazil's. Whether a Brazilian company has a large fleet of company cars and trucks or a factory filled with industrial and manufacturing equipment, preventative maintenance can save money, reduce downtime, improve safety, extend the life of equipment and vehicles, and improve resale value.
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