Fleet Management is the process of financing and managing a fleet of forklifts and material handling equipment. When managed incorrectly, a material handling fleet can cost companies thousands of dollars in lost productivity and reduced profit. An effective Forklift Fleet Management strategy is more than cost control and data management, it is an integrated effort to improve operations, lower operating costs and increase profitability.

1. Under-utilized Forklifts. Forklifts can be under-utilized for a variety of reasons. "Back-up" lift trucks are often purchased to compensate for ineffective maintenance practices or because material handling requirements are not fully understood. Lift trucks purchased to handle special loads may be used infrequently.
2. Retired Forklifts. Retired lift equipment that has not been disposed of is an eyesore and can be a safety hazard. Units are often retained because they have no trade-in value or because of the perception that parts can be used to repair other equipment.
3. Disorganized Or Crowded Service Area. A disorganized service area is a sure sign of inefficiency. Over-crowded service areas may not be sized right for the operation or may indicate that equipment is in need of frequent repair due to haphazard maintenance practices or forklift operator abuse.
4. Frequent Unexpected Repair Bills. Large, unexpected repair bills can be a symptom of many lift truck fleet management problems. Poor maintenance practices, lift truck operator abuse, or having the improper equipment for the application can all increase material handling costs.
5. High Percentage Of Equipment In Forklift Fleet Is "Aged." Equipment that is very old has generally exceeded its "Economic Life," which means that it is more cost effective to replace it than to keep it. Aged equipment is generally less ergonomic for the operator, reducing productivity. It also requires more maintenance and may require replacement parts that are less easily available. Some estimates indicate that over 50% of forklifts in operation have exceeded their economic life.