General Electric's Spin Machine - Company Business and Marketing

Industry Standard, The, Jan 22, 2001 by Mark Roberti

GE Capital's units are becoming more productive and delivering better customer service by using the Web. GE Capital Fleet Services, a $1.6 billion unit that leases cars and trucks to businesses, has been at the forefront of this effort. Contracts are still negotiated by salespeople, but about 60 percent of all new vehicles will be ordered online this year.

While that hasn't reduced the size of the company's call center, it has reduced the time it takes to fulfill an order. GE Capital Fleet Services has linked its Web site to its back-office system, so when a customer wants a vehicle, inventory can be checked in near real time. Fleet Services has also put a reporting application on its Web site that lets fleet managers see how they can run their businesses more effectively. And Fleet Services now sends invoices and reports electronically, saving about $5 million a year in printing and postage costs.

Will all this make Fleet Services more profitable? Probably not, because its competitors are doing the same things. Says Marian Powell, senior VP for e-business at Fleet Services: "Our competitors are definitely getting Web-enabled. We see ourselves neck and neck. It's a very healthy competitive environment."