A good fleet utilization rate is 100%, right?
It’s not that simple. Your fleet utilization goals likely depend on the type of work you are doing, the size of your fleet and several other factors. While some contractors might hope to hit 100%, most expect for this number to be much lower.
But at the same time, we can all agree that it’s crucial to keep close track of your fleet utilization data. Doing so helps you ensure you use your machines to their full potential, maximize your profit and run an efficient operation.
T3, the operating system for construction, offers a variety of tools to help you slice and dice this data so you can get the most out of your fleet. Here are two ways to view your fleet utilization rate:
One way to assess your fleet utilization rate is to determine what percentage of the workday your machines are in use. In the T3 Analytics app, our Fleet Utilization Dashboard allows you to see this data with just a few clicks of your mouse. You can run a single report for your entire fleet, or you can run segmented reports for specific machines and asset types.
Run time utilization rate goals can vary drastically across industries. For example, a demolition contractor might aim for 80%, while a utility contractor could shoot for closer to 20%. But both of these companies would agree that tracking this metric helps them right-size their fleet and reallocate underutilized machines to jobsites that need them.
For contractors with large fleets, fleet utilization can also be viewed as a percentage of assets currently assigned to jobs. We suggest aiming for a 70/30 ratio every day: 70% of your assets in the field, and 30% of your assets at your yards. This balance will give your company the capacity to routinely service machines and address unexpected maintenance issues without slowing down jobsite productivity. Plus, you will be able to take on new projects at any given moment without needing to remove machines from active jobsites.
To track this metric, start by using our geofencing tool to draw boundaries around your jobsites and your yards.
Then, use the Fleet Management Dashboard in T3 Analytics to view a breakdown of your geofences and calculate how many assets are currently assigned to jobsites.
Though the definition of “good” fleet utilization varies across companies and industries, the value of tracking this data remains consistent. When you understand how your machines are being used — both in terms of run time and jobsite assignment — you can improve your fleet management, project management, maintenance schedules, dispatching, ROI and much more.
Visit equipmentshare.com/T3 to learn more about our operating system and analytics dashboards.