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Learn how the Internal Equipment Triangle can benefit your operations at CONEXPO-CON/AGG

DCN-JOC News Services
Learn how the Internal Equipment Triangle can benefit your operations at CONEXPO-CON/AGG

MILWAUKEE. — An education session entitled Your Internal Equipment Triangle: The Key to More Successful Fleet Management at this year’s CONEXPO-CON/AGG will focus on improving fleet management, whether you are in finance, operations, or maintenance.

The session will be held on Thursday, March 12 from 1 p.m. to 2:30 p.m. at CONEXPO-CON/AGG 2020 in Las Vegas. During the session, the equipment management team from Schlouch will provide examples of how the process works in the real world and discuss the key results they have been able to achieve including improved reliability, lower operating costs and improved operator satisfaction.

Schlouch Incorporated was hit with a series of catastrophic equipment failures in 2005 which prompted a change in the way the Pennsylvania-based heavy civil construction firm managed their fleet.

The company chose to take a collaborative approach instead of relying on a traditional siloed approach to fleet management, where operations, fleet management and accounting are often at odds.

The company calls the method the Internal Equipment Triangle and it’s an extension of the idea behind the equipment triangle — that equipment end-users, manufacturers and distributors all deserve respect and that transactions should be a win-win for all parties, states a release.

“At most construction firms the fleet manager is responsible for all three areas. What we try to do is bring expertise from different areas to the decision. We believe the best decision for the organization is one that all parties agree on,” said Kevin Reimert, fleet co-ordinator for Schlouch Incorporated, in a statement.

Three members form the team which meets weekly to discuss pending decisions each bringing their unique perspective and expertise to the process.

According to the release, one member examines the financial impact of decisions, co-ordinates fuel hedging and financing along with analyzing and reporting fleet results. Another offers data on performance related to equipment maintenance, changing the P.M. program, comparisons of fuel efficiency and maintenance costs, and analysis related to equipment disposal.

The third member is responsible for the overall vision for the fleet as well as relationships with OEMs and dealers.

The collaborative process to equipment management eliminates decision-making based on gut judgments or “good old boy” connections rather than quantitative methods because if the three team members don’t agree, they won’t move forward.

The success of the approach has been proven over time, as evidenced in improved uptime, gains on the sale of equipment or at trade-in, and scheduled versus unscheduled repairs, the release indicates. The team from Schlouch was also awarded with The Association of Equipment Management Professionals Fleetmasters Award in 2016.

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