How we helped
Overview
A major U.S. rental car company with $16 billion in assets and a fleet of 500,000 vehicles faced significant operational inefficiencies due to fragmented fleet planning processes and outdated optimization technology. Manual data creation and slow planning cycles resulted in underutilized assets, lost revenue, and a disconnect between strategic plans and operational execution, ultimately reducing profitability.
AlixPartners assessed the current state across process, data, and technology, then developed and rapidly prototyped an AI-driven optimization solution. The team assembled multiple squads to automate and enhance data pipelines, thereby improving accuracy and expanding the range of inputs. The team built and deployed a new AI optimization engine using advanced technologies, integrated automated workflows, and revamped the operating model with robust change management.
The transformation resulted in an annual improvement of over $120 million in EBITDA, primarily through better asset utilization, increased revenue per day, and reduced depreciation per unit. The time required to produce fleet plans was reduced from 14 days to just one day, and the company achieved tight alignment between planning and operational actions, demonstrating the power of data-driven solutions in driving financial and operational impact.