FORKLIFT FLEET REPLACEMENT REVIEW
Document Reference: OPS-CAPEX-2026-014
Prepared by: Operations Review Group
Review Period: January 2025 – May 2026
Version: 1.7
Distribution:
Operations Management
Engineering Services
Health & Safety
Finance
Procurement
Governance Review Group
Executive Summary
This document provides an overview of forklift fleet performance, maintenance expenditure, operational utilisation, replacement considerations and associated governance requirements for the current fleet replacement review programme.
The purpose of the review is to assess whether existing assets continue to provide suitable operational capability while remaining aligned with budgetary, safety and maintenance expectations.
The review considers operational performance, maintenance records, incident history, training requirements, procurement considerations and financial implications.
Background
The current forklift fleet consists of seven primary operational vehicles and two reserve units deployed across warehouse, dispatch and goods receiving operations.
Forklift 04 entered service during March 2013 and has therefore completed thirteen years of operational service.
Routine maintenance activity has been undertaken in accordance with manufacturer recommendations, although several additional engineering interventions have been recorded during the review period.
Maintenance Overview
Engineering records indicate an increase in reactive maintenance requirements associated with hydraulic performance, steering reliability and battery charging systems.
A total of 27 maintenance interventions were recorded between January 2025 and May 2026.
This compares with 11 maintenance interventions during the preceding review period.
The increase does not necessarily indicate immediate asset failure but does indicate an emerging reliability concern requiring ongoing monitoring.
Operational Utilisation
Operational usage records indicate that Forklift 04 remains one of the most frequently utilised assets within the dispatch operation.
Average utilisation levels exceeded fleet averages during eight of the previous twelve reporting periods.
Warehouse supervisors have reported intermittent availability issues associated with planned and unplanned maintenance activity.
These issues have occasionally required operational workarounds involving alternative vehicle allocation.
Health and Safety Considerations
No reportable injuries have been associated with Forklift 04 during the review period.
Three near miss observations have however referenced visibility concerns during reversing manoeuvres in congested loading areas.
The observations do not directly attribute responsibility to equipment condition.
The observations have nevertheless been recorded within the Health and Safety management system.
Training Considerations
Sixteen operational staff currently maintain certification for Forklift 04.
No training compliance concerns have been identified.
Should replacement proceed, familiarisation and conversion training may be required depending upon final procurement outcomes.
Financial Overview
Current estimated replacement value is £38,000 excluding VAT.
Forecast maintenance expenditure for the next operational period is estimated at £6,800.
The Finance Team has noted that the asset is fully depreciated.
Capital expenditure approval thresholds will apply should replacement be approved.
Procurement Considerations
Market review activity has identified three potential replacement suppliers.
Lead times currently range between 14 and 26 weeks.
Further supplier engagement may be required before final recommendations can be confirmed.
Governance Considerations
Replacement activity exceeding local approval thresholds will require review through the Capital Expenditure Governance Process.
Final approval authority will depend upon confirmed procurement values and funding arrangements.
Recommendation
The Review Group recommends continued monitoring while simultaneously progressing replacement planning activities.
This recommendation reflects maintenance trends, operational utilisation patterns and anticipated future expenditure requirements.
A final replacement decision should be revisited during Quarter 3 following completion of supplier engagement activities and updated budget forecasting.
Appendix A – Maintenance Activity Summary
Appendix B – Utilisation Data
Appendix C – Near Miss Records
Appendix D – Procurement Comparison
Appendix E – Capital Approval Framework