Fleet Management Performance Monitoring

The principle goal of this project was to enhance and expand the analytical modeling methodology previously developed as part of the “Fleet Management Criteria: Disposal Points and Utilization Rates” project completed in 2010. The enhanced and expanded methods were focused on the management and analysis of equipment, usage, costs, and optimal life cycle for equipment in the NCDOT equipment fleet. Most important, a strategic goal was to develop, test, and refine a flexible and capable analytical model which can serve the long term management needs of the Fleet and Material Management Unit. A second approach to economic life modeling, based on dividing the present value of the life-to-date cost by usage (cost/mile or cost/hour) was integrated into the analytical capability, in addition to the equipment analysis model employing equivalent uniform annual cost. This rate model provides a second economic measure which presents an alternative perspective for the optimal life of some classes with high data variability in the fleet. The sum of years’ digits method of depreciation was selected to model the decline in equipment value as the machine ages. Equipment which have no measured usage data (odometer or hour meter), such as various equipment attachments, were analyzed on an annual cost basis. The developed modeling application automates basic steps such as development of utilization and fleet age histograms and also automates calculations of economic life based on both the EUAC and rate models. Most importantly, it provides management with the capability to examine “what if” scenarios based on various levels of fleet reduction. Utilization, while an important metric, is limited in ability to reflect the actual wear and tear experienced by equipment. Consequently, model options were provided which reflect both utilization and equipment usage (hours or miles per year) since this parameter more directly reflects operating costs (fuel, maintenance and repairs) and cost related trends. In the long term, it is likely utilization will become a less important measurement tool and more emphasis will be given to actual equipment usage.

Language

  • English

Media Info

  • Media Type: Digital/other
  • Edition: Final Report
  • Features: Appendices; Bibliography; Figures; Tables;
  • Pagination: 204p

Subject/Index Terms

Filing Info

  • Accession Number: 01490306
  • Record Type: Publication
  • Report/Paper Numbers: FHWA/NC/2012-07
  • Files: TRIS, ATRI, USDOT, STATEDOT
  • Created Date: Aug 12 2013 11:43AM