Economic analysis of Navy ownership vs leasing of vehicles
Loading...
Authors
Myers, Larry Daniel
King, Claude Vernon
Subjects
vehicle leasing
lease vs buy
economic analysis of vehicle leasing
GSA vehicles
lease vs buy
economic analysis of vehicle leasing
GSA vehicles
Advisors
Tibbitts, J.C.
Date of Issue
1977-09
Date
Publisher
Monterey, California. Naval Postgraduate School
Language
en_US
Abstract
During recent years of austere Department of Defense funding coupled with rising costs, Congressional appropriations for procurement of administrative use motor vehicles, such as pickup trucks for the Navy, have fallen short of the amount required to replace older vehicles which have reached the end of their economic life. As a result the Navy-owned vehicle fleets have continued to advance in average age and accumulated mileage leading to increased operations and maintenance costs, excessive downtime and reduced vehicle availability. Vehicle leasing has been used in private industry as an alternative to ownership.
This thesis investigates the relative merits of the forms of leasing available to the Navy. The whole life cost of Navy ownership is quantified by analyzing transportation cost data from PWC San Francisco. This cost of ownership is then compared to the cost of leasing an equivalent fleet of vehicles under various forms of leasing. The alternative of leasing only a selected portion of the required vehicles while continuing to own and operate the remainder is analyzed. Finally a current large scale leasing program at PWC San Diego is addressed to determine its effectiveness in actual practice.
Type
Thesis
Description
Series/Report No
Department
Administrative Sciences