Chapter 2 Fleet Management
Introduction
Without fleet (commercial vehicles) a logistics organisation cannot exit, and fleet is usually the second highest operating cost (it may be the highest in specialist logistics businesses) in any route-based logistics company. Commercial vehicles (HGV or LCV) have a finite economic life budgeted for by applying depreciation costs, the lifespan of a commercial vehicle can range from four years (small high-mileage LCV) to ten years depending on the model type and average annual mileage, with some businesses conducting a mid-life refurbishment to extend the working life of the vehicle. Businesses have to invest capital (or enter into contract lease deals) annually to introduce ...
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