Maximize Your Fleet’s Availability with a Good Replacement Plan

In fleet management, keeping vehicles available and on the road is essential. Maintaining a high availability is essential— it’s the “number one metric for any fleet to track,” says Marc Canton, RTA’s head of product & consulting and 20+ year veteran of the fleet industry.  

Achieving a high availability rate relies heavily on a good, strategic replacement plan, which is often overlooked by many fleets. By investing in timely asset replacements, you can reduce downtime, improve resource efficiency, save money, and ultimately create a smoother, more efficient operation.  

Watch this episode of The Fleet Success Show podcast to learn more about how your backlog is impacting your availability: 

When fleet availability stalls, many assume it’s due to maintenance delays or repair inefficiencies. But as Marc points out, low availability often points to deeper issues in the replacement strategy: “If you have low availability, something’s wrong with your replacement planning or your replacement execution."  

A proactive approach to asset replacement helps maintain a younger fleet, which in turn means fewer breakdowns, less frequent maintenance needs, and a higher likelihood of vehicles being ready for duty. 

Understand the “Replacement Backlog” 

If you had to replace your entire fleet today, how much would it cost? That’s a number every fleet manager should know off the top of their head, according to Marc. Before you can start improving your fleet availability through replacement planning, you need to have the figure at hand.  

And do you have a list of all the vehicles in your fleet that need to be replaced?  

If you have any vehicles on that list, that’s your replacement backlog. Having these two pieces of information will help you improve your replacement planning strategy.  

"Essentially, this figure reflects the expenses required to update all assets to current standards, providing a snapshot of how far behind a fleet might be on replacements. Managers should be aware of their fleet’s backlog percentage and how it impacts availability. If this number is over 25%, you have serious issues,” says Marc, because older vehicles are more prone to downtime and higher repair costs, ultimately lowering availability. 

Now that you have that information, you can start building your replacement plan.  

Customizing Replacement Cycles to Fit Your Fleet 

Different vehicles have different lifespans, so a one-size-fits-all replacement policy isn’t ideal. Light-duty sedans, for instance, might benefit from a replacement cycle of around three to four years, while heavy-duty equipment might serve well for closer to eight or nine years.  

Fleets that tailor replacement cycles based on asset type avoid premature replacements while still retiring aging assets before they become reliability liabilities. 

Marc highlights the importance of establishing target life cycles for each asset type, which can be based on either age or usage (or both). He states, “If you’re targeting eight years, seven years is fine, nine years is fine…fifteen years, not fine.”  

Using these target cycles enables fleet managers to plan for and execute replacements systematically, optimizing fleet performance over time. 

The Hidden Costs of Delaying Replacement 

The cost of delaying replacements often goes unnoticed because it’s indirect. As Marc explains, older assets aren’t just costly to maintain but also bring about “hidden costs,” such as increased downtime and a need for a larger spare fleet.  

These “hidden costs essentially raise the operational expense (OpEx) in areas you might not immediately recognize,” warns Marc. 

When vehicles stay in the fleet too long, maintenance demands can spiral, forcing managers to divert funds into frequent repairs instead of investing in new assets. This results in a fleet that, while technically operational, isn’t reliably available, leading to last-minute rentals or backups that strain budgets.  

Marc observes, “Stop investing in OpEx…invest in CapEx,” because the real solution to availability issues lies in long-term capital investments in replacement rather than short-term repairs. 

Leveraging Consultants for Buy-In and Strategy 

Many fleet managers find it challenging to secure the capital budget needed for replacements, especially when decision-makers are primarily focused on minimizing immediate expenses. Marc suggests that bringing in a consultant can bridge the gap: “If you do bring in a consultant, they can help do this work with you, supplement your narratives, [and] help make the case better.” 

Consultants can help managers quantify the real costs associated with delayed replacements and demonstrate the long-term savings of a proactive replacement plan. By articulating the link between a strategic replacement program and fleet availability, managers are better positioned to secure stakeholder buy-in for essential capital investments. 

Benefits Beyond Availability 

Implementing a good replacement plan doesn’t just help with availability. Newer vehicles often come with improved safety features, better fuel efficiency, and reduced emissions. As one fleet expert mentions, simply upgrading from an older diesel model to a new one brings environmental benefits and lowers fuel costs without the need for a full EV transition. 

Additionally, a newer fleet is likely to boost driver morale and safety. “You’re going to have happier drivers,” one host points out, adding that newer vehicles generally come with more safety features, which is particularly valuable in high-risk industries like transportation. 

Availability Through Replacement: Moving Forward 

To ensure fleet readiness, availability, and overall efficiency, managers must prioritize a strategic replacement plan. As Marc states, "If you're struggling with availability...start with your replacement program."  

By calculating replacement backlog, setting realistic life cycles, and considering the hidden costs of aging assets, fleet managers can make the case for a replacement strategy that pays dividends in availability, safety, and operational efficiency. 

Taking the Next Steps 

For fleet managers ready to tackle their backlog and improve availability, the advice is clear: prioritize a structured replacement plan and reduce your backlog gradually.  

If you’re struggling with availability and don’t even know where to look, start with your replacement program. With a solid plan in place, you can boost your fleet’s reliability, control costs, and ultimately enhance your operation’s overall success. 

Need help getting your replacement plan on track? Make sure you’ve got the right fleet maintenance management system in place, and then reach out to our consultants to see how we can help you improve your availability. Schedule a consultation today.