Fleet Performance Measures

Presented by

Henry Canipe, Principal Consultant, AgileAssets Inc.

Arif Beg Senior Consultant, AgileAssets Inc.

Fleet Performance Management: Session (S31)

Overview

• Introduction

• AASHTO & State DOTs’ fleet performance metrics

• AgileAssets clients fleet performance measurement examples

• Lessons Learned

• Questions & Answers

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Performance Measurement – Why?`

• Organizations “manage what is measured” • Identify cost effectiveness and efficiency • Support benchmarking with private sector and other

entities

• Address stakeholder information demands • Internet has led to increased stakeholder information

expectations • Public sector organizations must prove their necessity

and ability to perform

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Agency-wide Performance Measurement - Current Use

• Annual Performance Reports (or similar) – DOT examples: Alabama, Alaska, Arkansas, California,

Colorado, Maryland, Mississippi, Missouri, New Mexico, Pennsylvania, Washington, others.

• Internet-based “Dashboard” reports on key aspects of agency performance – DOT examples: Louisiana, North Carolina, South Carolina, Utah,

Virginia, Wyoming, others.

• Link district/division and individual performance to Agency’s strategic goals – DOT example: Ohio

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Fleet / Equipment Performance - Linkage

• Fleet performance is strong linked to many critical agency performance measures • Asset Conditions

• Fleet/equipment is a highly visible and recognizable asset • Fleets and fleet maintenance are frequent targets of

taxpayer/stakeholder scrutiny/criticism • DOT fleet replacement values can easily exceed $500M

• System Operations • Worker efficiency and responsiveness are strongly linked to

equipment availability (readiness to perform) and capability (ability to meet mission needs)

• Fleet performance is critical to snow/emergency operations

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AASHTO / State DOT Fleet Initiatives and Performance Measures

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AASHTO-supported Performance Measures

• AASHTO and the State DOTs have been in a multi-year effort to develop a set of national metrics for transportation performance (see NCHRP Project 20-24 (37)L)

• Intent is to provide a basis for individual states to view their own performance relative to peers and provide a national transportation performance picture

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AASHTO-supported Fleet Initiatives

• AASHTO created the Equipment Management Technical Services Program (EMTSP) with a vision to serve as, “the comprehensive national resource supporting effective and efficient governmental highway equipment fleet management. – Funded through voluntary contributions of DOT member states – Partners with the four regional organizations of State Highway

Agency (SHA) Equipment Managers • Midwest • Northeast • Southeast • WSHEMA

• EMPSP held its first national conference in Summer 2012 • Participated in the four Regional Equipment Manager meetings

held in 2013

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AASHTO-supported Fleet Performance Measures

• AASHTO Subcommittee on Maintenance passed Resolution 12-03, identifying four national DOT fleet performance measures:

1. Utilization

2. Preventive maintenance

3. Retention

4. Availability/downtime

• Identified in “Pass / Fail” terms

• States to submit reports on these four measures to EMTSP in January and July each year

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AASHTO-supported Fleet Performance Measures (continued)

• Reporting is to be categorized in accordance with National Association of Fleet Administrator (NAFA) equipment classes:

– Class 1-2: Light Vehicles under 10,000 GVW

– Class 3-6: Medium Vehicles 10,000 – 26,000 GVW

– Class 7-8: Heavy Vehicles Over 26,000 GVW

– Class 9: Off-road & Construction Equipment

– Class 0: Non-self propelled*

*Utilization not measured for non-self propelled equipment

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AASHTO Fleet Performance Measures - Defined

1. Utilization – Indicates how frequently a vehicle or piece of

equipment is used within a given time period (i.e. month, quarter, or year)

– Measured in hours or mileage, or percent

2. Preventive Maintenance – Planned maintenance activities (i.e. oil and filter

change) that are designed to improve life and avoid any unplanned maintenance activity/breakdown

– Typically performed on a calendar/hour/mileage interval

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AASHTO Fleet Performance Measures - Defined

3. Retention – Measurement of the extent to which vehicles

or equipment are within or exceed established replacement criteria

– Replacement criteria is usually expressed in terms of age and/or usage (in miles or hours)

4. Availability/Downtime – Availability: Amount of time a unit is “in

service’ and capable of performing its primary function. To calculate availability, downtime must be known.

– Downtime: Amount of time a unit is unavailable and unable to perform its primary function due to a maintenance issue (scheduled or unscheduled) versus non-utilization during seasonal timeframes

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Other Fleet Performance Measures

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Examples

Other Agency-level Fleet Performance Measures

• Asset Condition – Total fleet cost per mile and/or hour

– Maintenance and repair costs by mile or hour

– Ratio of scheduled maintenance to unscheduled maintenance

• System Operations – Equipment/employee ratios

– Equipment within utilization standards

– Fleet MPG

• Safety – Miles/accident ratio

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Fleet/Shop Level Performance Measures

• Efficiency – Shop labor rate (fully burdened)

– Ratio of direct to indirect labor hours

– On-time Preventative Maintenance ratio

– Supervisor to technician ratio

– Vehicles (or VEUs) per technician

– % of vehicles returned to service in 1 day, 2 days and 3 days

• Effectiveness – Return repairs (bring-backs)

– Accident ratio (miles or hours)

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Fleet Performance Measurement

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Examples from AgileAssets Clients

Preventive Maintenance Tracking

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• PM Activities • PM Thresholds Setup • PM accomplishments – Repair Orders • Next PM Due calculations • PM Accomplishment timeliness can be tracked • Available via Reports

Preventive Maintenance Tracking

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• PM due accomplishments tracking • PM due timeliness tracking • Reports

Fleet Replacement (Retention) Analysis

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• User defined Criteria driven vehicles replacement analysis • Typical parameters:

• Max Miles, Max Age, • Life Repair Cost, Ratio of Repair & Purchase cost • Downtime, • Utilization % • Multi-criteria Index

Fleet Replacement (Retention) Analysis

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Operations Costs & Usage Summary

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Downtime Calculation

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• Downtime Entry Tab in Repair Orders Progress window • Multiple downtime records • Downtime Reason & time Duration (hrs down) • Downtime Reports available

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Downtime Calculation

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Utilization Calculation

Shop Rates Analysis

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Fueling Miles Per Gallon Calculation

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• Fueling Data available • Usage available • MPG Calculation • Exception reports to track non-representative MPG vehicles

Fueling Miles Per Gallon Calculation

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Fleet Performance Measurement

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Lessons Learned

Fleet Performance Measurement - Lessons Learned

• Agency and individual program “buy-in” is critical

• Fleet performance measures must tie to the Agency’s overall performance and accomplishing its mission

• Focus on a few, critical fleet measures, tracking and reporting on them on a regular and consistent basis (monthly / quarterly / annually)

• In the near term, measures used for fleet reporting are subject to system capabilities and data quality

• Fleet performance levels must be managed and tracked at the Agency, organizational and unit level to accomplish the desired overall outcomes

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Fleet Performance Measurement - Lessons Learned (continued)

• Tying individual performance to agency goals should be the ultimate goal

• Operations and fleet management personnel must work as a team to accomplish goals

• Training is a key component on designing and implementing any performance measure program

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Thank You.

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