Asset Management Flashcards
AFTR
Automated Fuel and Tax Reporting
Available Capital
Money that is allocated for specific purposes
B4A
Before Advertisement
BAFO
Best and Final Offer
BARFO
Best and Revised Offer
Benchmarking
The comparison of performance of one organization to other organizations.
Bid Document Boilerplate
Lists the rules of a proposal or contract
Bulk Incentive Structures
The purchase at one time, and often at a reduced price, of a large quantity of a particular commodity.
Component Rebate
Discount given for special equipment added to vehicle orders.
Cost-Benefit analysis
This is the analysis of the costs and benefits as associated with a particular course of actions (such as purchasing a vehicle)
Dealer Invoice
The invoice amount the dealer pays the manufacturer for a specific vehicle, not to be confused with the dealers “actual” cost for the vehicle.
Direct Dealer Stock
Vehicles that are available on a lot or from a dealer
Factory Stock
Vehicles that are ordered directly from the manufacture bypassing a dealer.
FASB
Financial Accounting Standards Board; regulates accounting and reporting aspects of a transaction.
Fleet Manager
Responsible for the fleet during it’s full life cycle.
Holdback
An amount paid from the factory to the dealership to offset normal costs of doing business.
Lease
Rental that, by contract, is cleared defined as to the length, cost and stipulations.
Lein
The right to keep possessions of property belonging to another person until debt owed by that person is paid.
MSPR
Manufacturers suggested retail price
OEM
Original Equipment Manufactuer
Open-end Lease
Generally one or two year minimum term but can be extended until the agreement is terminated.
Performance Bond
Financial guarantee up-front protecting the buyer from vendor non-compliance.
RFI
Request for Information - open enquiry that spans the market seeking broad data and understanding.
RFP
Request for Proposal - Business requirements-based request for specific solutions
RFQ
Request for Quotation - business process inviting suppliers to join the bidding process on a specific product or service.
RFT
Request for Tender - opportunity for protentional supplies to submit an offer to supply goods or services against a detailed tender.
Single Purchase Incentive Structures
To buy a product or service
Strategic Sourcing
Organizational procurement and supply management process used to locate, develop, qualify and employ suppliers that add maximum value to the buyers’ products or services.
TRAC
Terminal Rental Adjustment Clauses - Usually included in open ended leases, tying the leasee to whatever difference may exist between the book and selling values of a unit upon Remarketing.
Threshold Incentive Structures
Minimum or Maximum value which serves as a benchmark for comparison or guidance and any breach of which may call for a complete review of the situation or a redesign of a system.
Triple Net Cost
Manufacture-to-dealer invoice price less holdback less advertising & financing. (Invoice - Holdback - Advertising- Financing = Triple Net Cost)
True Cost of Capital
The cost of funds used for financing a business or a function of business.
Volume Rebate
Discount given for ordering a number of vehicles/units at the same time.
Performance Improvements
Improving cycle time, cost, quality and delivery performance.
