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Creating a More Productive Relationship Between Procurement and Fleet


Creating a More Productive Relationship Between Procurement and Fleet

In this issue definition paper from the NAFA Foundation, the non-profit explores:
- What this evolution entails
- How to speak the same language
- Observations from fleet professionals
- The “eight dimensions of fleet”
- How fleet and procurement can build a solid foundation together
 
Driven by increasing demands from executive management to control costs, over the past decade procurement professionals have assumed a position of increasing influence over automotive fleet management. This ranges from simply being granted a more assertive role in selecting vehicles and suppliers, to the absorption of fleet into the procurement domain. In some cases, procurement goes so far as the complete replacement of fleet teams with procurement personnel, charged with both selecting suppliers and managing them.
 
With each level of increased influence, however, procurement assumes increased responsibility for optimal results, and without a sufficient grasp of the demands and best practices of fleet management, procurement runs the risk of adverse outcomes.
 
Already high, the stakes for those who manage fleet have never been higher.  Faced with entirely new paradigms for fleet management, it’s vital that all players with significant roles in running the fleets of tomorrow — both those whose background is in fleet and those who come from the world of procurement — form a strategic partnership based on expanded knowledge of each other’s discipline.
 

The NAFA Foundation, a not-for-profit charitable organization formed in 1976 to promote, encourage, support, and assist the fleet industry support the fleet industry, drives the advancement of the profession through the promotion and encouragement of education and research projects.  It also makes grants and gifts to aid in and support persons, institutions, and organizations in the development, maintenance, and expansion of educational programs related to the management of motor vehicle fleets.
 

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