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TRANSCRIPT
1 1www.conexpoconagg.com
Making a Business Case for Telematics
Presented by
Tim Morgan Greg PuckettDan Samford
Stan Orr, CAE,
Moderator
2 2www.conexpoconagg.com
Speaker Introduction
• Tim Morgan
Equipment Foreman
Branch Highways, Roanoke, VA
• Greg Puckett
Director of M2M Solutions
Oldcastle Materials, Charlotte, NC
• Dan Samford,
Vice President Equipment Assets
Herzog Contracting Corp, St. Joseph, MO
3 3www.conexpoconagg.com
About AEMP
• The premier resource for professionals in
equipment maintenance & management.
• Our Mission:
– provide education & support to users
of heavy equipment, serving as a
clearinghouse for technical, industry, &
regulatory information.
– Develop, coordinate, & implement
programs to enhance the profession &
industry.
– Interact with other organizations
sharing common resources, purposes,
and goals.
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About AEMP
• Coined the phrase The Equipment
Triangle in 2002, serving as the
cornerstone of AEMP’s philosophy
regarding the vital relationship between
the End User, Distributor, and
OEM/Supplier in the life cycle of a piece
of heavy equipment or product.
• It serves to remind us that everyone in
the Triangle is entitled to receive the
respect they deserve, and together with
AEMP’s Standards of Ethical Conduct it
creates a level playing field for all sides
of the Triangle.
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About the AEMP Standard
• In the spirit of the Equipment
Triangle Philosophy, AEMP in
2008 worked with Caterpillar,
John Deere, Komatsu, and Volvo
to seek a solution to effectively
utilizing telematics.
• Resulted in the first AEMP
Standard, featuring 5
standardized data points in one
feed.
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About the AEMP Standard
• Data included:
– Make/Model/ID/Serial #
– Cumulative Operating
Hours
– Location
– Fuel Used
– Distance Traveled
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About the AEM/AEMP Standard
• Serial Number*
• Asset ID*
• Hours*
• Location*
• GPS Distance Traveled*
• Machine Odometer*
• Fuel Consumption*
• Fault Codes
• Idle Time
• Fuel Level
• Engine Running Status
• Switch Input Events
• PTO Hours
• Average Load Factor
• Max Speed
• Ambient Air Temp
• Load Counts
• Payload Totals
• Active Regen Hours
* In Current Standard
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About the AEM/AEMP Standard
* In Current Standard
• Engine Coolant Temp
• Engine Oil Pressure
• Coolant Level
• Engine Oil temp
• Hydraulic Oil Temp
• Transmission Oil Temp
• Engine Overspeed
• Transmission Oil Pressure
• Water in Fuel Indicator
• Transmission Oil Filter, Blocked
• Air Cleaner
• Fuel Supply Pressure
• Air Filter Pressure Drop
• Coolant System Thermostat
• Crankcase Pressure
• Cool Water Temp, Outlet Cooler
• Rail Pressure System
• ECU Temp
• Heater
• Boost Pressure
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About the AEM/AEMP Standard
• Axle Oil Temp, Front
• Axle Oil Temp, Rear
• Intake Manifold Temp
• Secondary Steering Pressure
• After-treatment Reagent internal Filter
• Crankcase Ventilation
• Outgoing Brake Pressure Status
• Brake Pressure, Output
• All Wheel Drive
Hydraulic Filter, Blocked
• Brake Pressure ACC
Status
• Injection Control
Pressure
• Brake Circuit Differential
Pressure
• Brake Pressure Actuator
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About the AEM/AEMP Standard
• Reserve Steering Control Pressure
• HVAC Water Temp
• Rotor Pump Temp
• Refrigerant Temp
• Alert & Alarms to help power down machine
quickly
• Multiple Pressure Indicators
• Switching Gear Events
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Terms
Size
0
2000
4000
6000
8000
10000
12000
Size
For purposes of today’s
discussions, fleet sizes as
defined by AEMP are:
Small: <500
Medium: 501-2,500
Large: 2,501-10,000
Mega: >10,000
12 12www.conexpoconagg.com
Terms
Fleet Definition
• Fleet is any asset for which a valid
use case for telematics exists.
– E.g. Theft Recovery non-mobile tools
– Light fleet in support of equipment-
pickups, mechanics trucks, fuel trucks
13 13www.conexpoconagg.com
The Business Case
In this session we’ll outline how Telematics can
address current business concerns and the
benefits, recommendations and justification for
its use.
We’ll discuss detailed project goals,
performance measures, assumptions,
constraints, and alternative options.
14 14www.conexpoconagg.com
The Issue
Most fleets do not have the capability to electronically gather hours, fuel burn, equipment
location, or equipment health. In Addition, there are other opportunities for improvement that
can be found leveraging telematics:
Equipment Utilization
Excessive Idle
Preventive Maintenance Compliance
and Management
Equipment Location
Equipment Availability
for jobs
Pre and Post Inspection
Electronic Proof of
usage-3rd
Party verification
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Equipment Utilization
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The Issue
Most fleets do not have the capability to electronically gather hours, fuel burn, equipment
location, or equipment health. In Addition, there are other opportunities for improvement that
can be found leveraging telematics:
Equipment Utilization
Excessive Idle
Preventive Maintenance Compliance
and Management
Equipment Location
Equipment Availability
for jobs
Pre and Post Inspection
Electronic Proof of
usage-3rd
Party verification
17 17www.conexpoconagg.com
Excessive Idle
18 18www.conexpoconagg.com
The Issue
Most fleets do not have the capability to electronically gather hours, fuel burn, equipment
location, or equipment health. In Addition, there are other opportunities for improvement that
can be found leveraging telematics:
Equipment Utilization
Excessive Idle
Preventive Maintenance Compliance
and Management
Equipment Location
Equipment Availability
for jobs
Pre and Post Inspection
Electronic Proof of
usage-3rd
Party verification
19 19www.conexpoconagg.com
Preventative Maintenance
20 20www.conexpoconagg.com
The Issue
Most fleets do not have the capability to electronically gather hours, fuel burn, equipment
location, or equipment health. In Addition, there are other opportunities for improvement that
can be found leveraging telematics:
Equipment Utilization
Excessive Idle
Preventive Maintenance Compliance
and Management
Equipment Location
Equipment Availability
for jobs
Pre and Post Inspection
Electronic Proof of
usage-3rd
Party verification
21 21www.conexpoconagg.com
Equipment Location
22 22www.conexpoconagg.com
The Issue
Most fleets do not have the capability to electronically gather hours, fuel burn, equipment
location, or equipment health. In Addition, there are other opportunities for improvement that
can be found leveraging telematics:
Equipment Utilization
Excessive Idle
Preventive Maintenance Compliance
and Management
Equipment Location
Equipment Availability
for jobs
Pre and Post Inspection
Electronic Proof of
usage-3rd
Party verification
23 23www.conexpoconagg.com
Availability for Jobs
24 24www.conexpoconagg.com
The Issue
Most fleets do not have the capability to electronically gather hours, fuel burn, equipment
location, or equipment health. In Addition, there are other opportunities for improvement that
can be found leveraging telematics:
Equipment Utilization
Excessive Idle
Preventive Maintenance Compliance
and Management
Equipment Location
Equipment Availability
for jobs
Pre and Post Inspection
Electronic Proof of
usage-3rd
Party verification
25 25www.conexpoconagg.com
Electronic Vehicle Inspection
• RFID/QR Codes
26 26www.conexpoconagg.com
The Issue
Most fleets do not have the capability to electronically gather hours, fuel burn, equipment
location, or equipment health. In Addition, there are other opportunities for improvement that
can be found leveraging telematics:
Equipment Utilization
Excessive Idle
Preventive Maintenance Compliance
and Management
Equipment Location
Equipment Availability
for jobs
Pre and Post Inspection
Electronic Proof of
usage-3rd
Party verification
27 27www.conexpoconagg.com
Electronic Proof of Location
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Solution
Fleets can leverage OEM and 3rd party telematics as asolution for the issues identified previously. Some of theways that this technology will achieve its desired resultsare…
Low Earth Orbiting
Satellite Network or cellular
Provider
Server
OEM Application
Hardware
AEMP User Databases and Applications
29 29www.conexpoconagg.com
End User Collection Programs:
Now a Reality
Copyright © 2014 Iron Portal, Inc. All rights reserved. Iron Portal is a trademark of Iron Portal, Inc. All other
trademarks, trade names and logos are the property of their respective companies or mark holders.
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Solution
Telematics can provide:• Equipment Managers with a real-time view of
equipment availability and location
• Equipment Managers with idle time data, which if
managed leads to less fuel, and less frequent PMs
• Stakeholders with actual equipment hours, vs.
manually gathered or guessed hours
• Fuel Burn information for reconciliation, did we budget
correctly, did we have theft
• Operations folks with equipment utilization
31 31www.conexpoconagg.com
Idle as business case:
We all understand that limiting
idling improves your efficiency but
it’s also good for your equipment’s
engine. During idle, a modern
diesel doesn’t combust fuel as
efficiently, which over time can be
detrimental to component life.(*Assumption is 200HP or greater)
I Hour of Idle
Time
Cost
Fuel 4.00
Maintenance and
Repairs
6.00
Total 10.00
• 200 assets* 2000 hours of production
• 20% reduction=200K
• 30% reduction=400K
• 50% reduction=600K
Small Fleet (assumption 30% Idle)
• 1000 assets* 2000 hours of production
• 20% reduction=1.2M
• 30% reduction=1.8M
• 50% reduction=3.0M
Medium Fleet (assuming 30% Idle)
For purposes of today’s discussions,
fleet sizes as defined by AEMP are:
Small: <500
Medium: 501-2,500
Large: 2,501-10,000
Mega: >10,000
32 32www.conexpoconagg.com
Making a Business Case for Telematics
Thank You
Tim Morgan Greg PuckettDan Samford
Stan Orr, CAE,
Moderator
For More Information Go To www.AEMP.ORG
Or contact Stan Orr, [email protected]