ExxonMobil has launched a free Guide explaining Total Cost of Ownership (TCO) for heavy duty vehicle (HDV) commercial fleets. The Guide is designed to help HDV owners and operators reduce the costs incurred over a vehicle’s lifecycle against a backdrop of challenging industry conditions.
Challenging economic conditions and volatile markets are continuing to challenge the HDV industry. Combine this with increased emissions regulations and urban height and weight restrictions and it is clear to see why keeping a strong bottom line is front of mind for fleet owners.
The term TCO is often discussed, but the definition can be confusing. The ExxonMobil guide provides a clear explanation of the term and reinforces the importance of viewing an HDV purchase, not just as one up front cost, but for all associated costs throughout ownership through to disposal. Understanding TCO ensures fleet owners are in a more informed position to make smart decisions on how to minimise avoidable expenditure, in order to maximise returns.
For example, investing in high-performance lubrication is one measure that can reduce TCO. By providing excellent protection and reducing unexpected maintenance – the advanced formulation of high performance lubricants can help to avoid costly maintenance bills while maintaining optimum performance. Benefits including extended oil drain intervals and improved fuel economy can be achieved, so it’s important not to see lubricants simply as a short-term cost to keep low, but a long-term, strategic investment that will ultimately help reduce TCO.
The guide also offers top tips on vehicle acquisition, fuel efficiency measures and disposal – as well as expert insight from the Freight Transport Association (FTA) on the changing nature of the modern fleet.
“The term TCO is often discussed, but we wanted to provide real clarity on its meaning and clear, practical advice on how fleet owners can effectively reduce it.” said Guillaume Malandain, CVL marketing advisor for Europe, Africa & Middle East, ExxonMobil. “A small change, such as switching to high performance synthetic lubricants, can have a big impact when it comes to reducing total cost of ownership, ultimately making a business more profitable.”
James Hookham, deputy chief executive of the FTA, added: “Total Cost of Ownership is a hot topic. The landscape of the industry is changing as emissions regulations and restrictions on HDVs are creating challenging times. But this provides fleet operators with opportunities to really re-evaluate how cost-efficiently their fleet is operating, which can only be a good thing.”