Hertz 2008 Annual Report Download - page 14

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12 Innovation…Driving Global Growth
We launched our global efficiency program in 2007 to become
the lowest-cost, highest quality, most customer-focused rental
company in the markets we serve. Efficiency and high qual-
ity go hand-in-hand, and we have made great strides forward
combining leading edge process improvements with “Best-in-
Class” service innovations to enhance the customer experi-
ence. As measured by our Net Promoter Score (NPS) system,
customer service improved by 3% in the US and 26% in Europe
last year, underscoring our commitment to enhance service
delivery while simultaneously reducing costs.
Our efficiency initiatives yielded overall savings in 2008 of
approximately $300 million, bringing cumulative, two-year
savings to more than $500 million. We have implemented
literally hundreds of efficiency initiatives, ranging from small,
local changes to global process improvements. Some notable
efficiency initiatives in 2008 included:
l Transporter Efficiency: Reduced wasted time and non-value
added processes in our on-location and off-location vehicle
movement practices. Savings: $18 million
l Claims Management: Centralized claims handling resulted
in reduced costs, higher capacity utilization and logistical
efficiency. Savings: $11 million
l Vehicle Maintenance: Improved every aspect of the main-
tenance process, and better matched our mechanics’ skill
sets to vehicle service requirements. Savings: $4 million
l Equipment Turnover: Reduced staff overtime and other la-
bor costs by reducing rental turnaround time from over one
hour to several minutes. Savings: $5 million
We have identified more efficiency opportunities in 2009, and
plan to eliminate an additional $350 million of costs, with a
commitment to maintain service levels.
Efficiency
On a Global Basis