Avoid Losses by Paying Attention to the Vehicle’s Effective Life

Pay attention to the Vehicle’s Effective Life for Maximum Company Efficiency

One way a company can improve efficiency is by optimizing spending on operational fleet. In addition to its operation and maintenance, it is also necessary to take into account the vehicle’s life. A company must be able to measure the vehicle’s productivity and maintenance, and compare them. 

When the car is brand new, productivity is high because it is always available for use, while the maintenance is very minimal as it is usually just the regular maintenance. Over time, however, the car productivity begins to deteriorate as a result of tear and wear, while the maintenance increasingly becomes time-consuming and costly. This period is called the vehicle’s effective life.

In reality, the effective life varies among vehicles as it also depends on its usage and the maintenance schedule. In general, a company's operational fleet is ideally used for at least 3 years, though this can be extended up to 5 years. 

This is provided that the fleet is not overused in its day-to-day operation, for example, traveling less than 100 km per day, carrying a load not exceeding 1.000 kg, and run on urban roads (not hill/mountainous or steep roads).

In addition to the car’s age and how it is used, maintenance also determines the car’s effective life. Car maintenance is indeed time-consuming and costly, but a critical factor in extending the car’s effective life. 

Keep in mind that neglected damage or delayed maintenance can lead to a more severe damage accumulation. In the end, maintenance will be more costly; thus reducing the car’s efficiency and effectiveness.

There is another factor that affects the vehicle’s effective life that is often overlooked by companies. It is the use frequency or how often the car is used. A company may assume that the car’s effective life is 5 years, but it is in fact lower than that as the car is only used a few times a month. 

In contrast, the costs incurred by the purchase of the car as well as the payment for its taxes, maintenance fees, and other related spendings are not small. Wouldn't it be better if the funds were allocated to improve the company’s productivity?

A better solution to maximize the vehicle’s effective life of is to rent cars. Apart from not having to think about the maintenance cost and schedule, the car conditions and types can certainly be adjusted to your needs. By renting cars, companies will always get new cars with excellent conditions and more affordable operating costs.

That being said, you must not randomly choose a rental company. Make sure that the rental company you choose has years-long experience with a good reputation. One of such companies is TRAC by Astra group. 

Established in 1986, TRAC offers comprehensive transportation solutions. TRAC is now the leader in the transportation solution market, managing thousands of vehicles from cars, motorcycles, to buses. Not only for companies, TRAC also provides car rental solutions for individual clients. Various types of cars are available for various needs, from Daihatsu Ayla, Toyota Avanza to Toyota Fortuner and Toyota Alphard.

As one of its main advantages, TRAC makes use of technology to facilitate and guarantee good customer services. Reservations can be easily made via the TRAC website and app. With the support of an extensive network spread across more than 50 cities in Indonesia, TRAC is ready to serve your transportation needs in a number of regions. 

As for TRAC To Go application, available on the Play Store and Apps Store, it does not only accommodate car, bus, and airport transfer reservations, but also presents many other benefits. For example, the app informs its users about the driver's position, special promos for transactions via the app, etc. TRAC system and app are connected through the Fleet Management Solution technology to ensure a safe and comfortable travel in a precise and real-time manner.

One of TRAC's products for companies is the Corporate Daily Car Rental which allows companies to rent cars only as they need them. Each car reservation can be adjusted to the rental period needed. The minimum rental period is 4 hours and can be extended at any time depending on needs.

Supported by a corporate reservation mobile app; car reservations can be made online anywhere. Employees with access can login and make reservations themselves via the corporate app on their phone.

Companies can designate persons with such an access to make reservations, either for employees or important guests. Furthermore, these authorized employees can monitor and regulate car usage with a special dashboard.

TRAC also assists companies in analyzing transportation expenses based on the results of regular reports to help companies achieve cost efficiency. Companies can also plan their transportation costs for each of their division. 

For peace of mind and safety during the rental period, customers are protected by insurance, and our fleet is always excellent. In case of emergency, customers can call its Customer Assistance Center at 1500 009 for help, information, or to place an order. This service is available 24/7. With the various services and technologies that TRAC provides, car rental will feel more convenient, more efficient, and safer.