How construction equipment leasing companies can earn more with IoT technology
In construction, there’s no room for excessive equipment downtime and maintenance issues. For construction equipment leasing companies, providing construction companies with equipment that they can trust can go a long way in nurturing relationships that can lead to further opportunities down the road.
One way to help ensure your equipment lasts longer, performs better and provides more value to your customers is by incorporating IoT technology into your operations.
Shifting gears to data-driven preventative maintenance
While maintenance issues are an inevitability, the ones that are preventable hurt the most. If one of your stump grinders breaks down at the job site, you may be called upon to retrieve and repair the asset or replace it with another grinder that could have been leased to another customer. This can cost time, money, labor, fuel and customers’ patience.
Having equipment fitted with IoT sensors can help you collect important data including engine hours, mileage, cycle time, idle ratios and more. Combined, these can tell a complete story of the overall health of your equipment at any given time, allowing equipment rental companies to determine, with data, when their assets need service. Keeping equipment in optimal shape carries a lot of benefits including enhanced performance and efficiency, increased longevity and boosted resale value, which can be further increased with a detailed maintenance history outlining that it’s been taken care of.
Construction equipment comes at a significant cost and, in many cases, theft is all too common. Around 85% of construction companies have been a victim of equipment theft in the US. For construction leasing companies, having equipment stolen can be a painful experience that involves insurance claims and having to join a waitlist to buy replacement equipment.
IoT technology can play a key role in helping to protect your valuable construction assets from theft and tampering. Using geofencing, construction leasing companies can be alerted to any signs of equipment leaving their designated work area. Plus, if allowable operating hours are known for each job site, this can also be used to help detect unusual activity. Adding this level of protection to your operations can ensure that your equipment is being watched in the same consistent and comprehensive way—regardless of the job site.
Maximizing equipment utilization for construction rental companies
When you’re renting out millions of dollars’ worth of equipment, knowing where equipment is and how it’s being used is critical. This is especially true in construction and its harsh, often-remote environment which can be difficult on equipment.
Location data can help improve utilization by ensuring each piece of equipment is either being currently rented or is readily available for a customer, rather than sitting in a yard somewhere collecting dust. Overutilization can also be identified, allowing leasing companies to share the workload amongst their entire equipment fleet to avoid decreased performance and excessive wear and tear on select units.
Stay connected with cellular-satellite connectivity
Every job site needs equipment, even those that are working in rural regions with little to no cellular coverage. Choosing to support your IoT-enabled construction equipment with dual-mode connectivity—cellular with satellite backup—can help you serve those needs while also ensuring data is being collected from your equipment. Having this capability unlocks visibility into where your equipment is and how it’s being used, which can reduce business risk associated with renting to remote job sites.
Unlocking new capabilities with construction IoT
Construction equipment leasing companies have a lot to gain from incorporating IoT in their business: improved efficiency, reduced maintenance costs, boosted equipment security and so much more.
Learn how ORBCOMM construction IoT solutions can help your leasing company win more business, drive operational efficiencies, reduce carbon emissions and more by reading our free eBook.
Chris Ryan is ORBCOMM’s Director of Sales for NA Heavy Equipment. With extensive experience in construction and transportation, Chris helps construction and heavy equipment customers drive their decisions with data using the latest ORBCOMM IoT telematics technology .