Though its only recently gained popularity in the last two to three years, telematics has been around much longer than people think. A web-based system that is compatible with all current computers and can be accessed from any standard device that’s used to access the web, telematics is simple and cost-effective.

The system provides owners and operators a handful of benefits that include equipment utilization, machine maintenance, equipment security, and billing and estimating. This article details just how contractors can use this technology to better manage equipment, boost profitability and improve how business gets done.

Necessity is the mother of invention. An old proverb, but completely accurate as it relates to backhoes and how they’ve evolved over time.  The original 1957 backhoe loader was born from a need for a solution that was integrated from the factory and warranted by a single OEM, as contractors were retrofitting farm tractors with loaders and backhoe arms.

That necessity/invention pattern has continued. The extendahoe option on backhoe loaders wasn’t just a great idea – as regulations in northern climates dictated that water pipe had to be placed deeper and deeper to avoid freezing problems, there was a need to dig deeper. It also helped contractors digging around trenches perform that work while having the machine positioned further away – helping maintain the integrity of the trench and the safety of the operator.

The construction industry continues to grow as the economy improves; more jobs are out to bid – yet contractors still find themselves in a competitive environment where it’s important to find every edge possible. One area where contractors can get more competitive is in lowering the owning and operating costs of equipment – and one of the greatest opportunities for lowering those costs is in fleet management/maintenance practices.

In this article, we’ll look at three areas where fleet managers can help keep owning and operating costs down: remanufactured parts, planned maintenance contracts and telematics. 

Each job, machine and application is different – but there are a few universal things you can do with each piece of equipment to make its operation more practical and cost effective. Here’s a look at 11 things that can have a direct effect on your bottom line.  

1. Control idle times

Undercarriage maintenance and upkeep is not a short-term effort. The only a time a machine’s undercarriage is not experiencing wear is when it’s standing still – and machines that stand still don’t make money. The undercarriage also represents a high percentage of the total operating cost of the machine over its life. With dozers, approximately 20 percent of the purchase price and 50 percent of the maintenance cost sits in its undercarriage.

It’s also the mechanism that gives tracked machines much of their power and stability. Proper operation and maintenance play a critical role in controlling operating costs over the life of the machine.