New Technology in Construction Equipment Management

By Charlie Brandt

KSM Business Technology, LLC

September 2009

The downward trend in consumer spending is forcing owners to reevaluate their business models and compensate for the decline in demand for services.  Staying competitive in this economic environment requires creative thinking and a shift in attitudes. The current environment presents an opportunity for businesses to utilize technology to reduce overhead and gain competitive advantages.

Applying new technology can be perceived as a large undertaking—not only because of the implementation timeline, but also because of the people and process challenges associated with using new technology. As with any investment, it is important to be diligent in understanding what your organization wants to achieve now and in the future by selecting technology that is capable and innovative enough to keep up with the organization’s changing needs.

Technological advances in the construction sector, such as the Global Positioning System (GPS), have given companies the means to use various reporting methods to collect data that provides valuable insight into the overall health of an organization. 

Though GPS tracking is most commonly used by motorists and preventative maintenance (PM) reporting, it is now being implemented for use as an asset management system within the construction industry. Through the use of cellular and/or satellite transmission, a GPS tracking device mounted on construction equipment can monitor and report data that can be detailed to the specific needs of the organization. By monitoring production issues such as location, fuel consumption, idle time, and run and roll time, businesses can achieve a better understanding of their overall asset management, and raise productivity rates, increase efficiencies, and realize overall cost savings. By analyzing data, businesses can become more competitive in the market and bid more accurately on potential projects. Data provided by the GPS system can also give companies information on current environmental issues and emissions regulations.

It is important for companies to understand their business goals and the impact installing new technology will have on the company’s culture before implementing it. An experienced partner can assist organizations in deciding which reporting metrics are important and drive the implementation of the correct solution to meet the business needs. Being diligent in the selection process of a GPS program and following through with the technology’s capabilities after implementation will ensure a quick return on investment and allow companies to stay competitive in today’s economy.