october2022 - 35

" Technician proficiency is a critical measure, especially with the cost of
labor continuing to rise, " Anderson continued. " That is also an important KPI
for ensuring the quality of the repair and customer satisfaction. "
Establish targeted KPIs
For the ultimate success with metrics and KPIs, don't let the data mislead
you. In any analysis of commercial vehicle service activity, it's important to
understand the metrics and KPIs, noted Joel Levitt, president of Springfield
Resources (and regular Fleet Maintenance columnist).
" Metrics are the data you watch and KPIs are the actual measures of success.
In effect, metrics tell you what happened while KPIs give you an opening
for action.
" For example, PM compliance is a metric while uptime is the KPI goal, " Levitt
explained further. " Similarly, adherence to SRTs can tell you how productively
technicians are performing while knowing actual labor times lets you find
the cause of inefficiency, such as high rates of indirect labor. "
With tight algorithms, it's less likely you'll be overwhelmed by data
because you can rule out what's not an issue and focus on what's important.
" Increasingly sophisticated technologies like AI can replace what was done
statistically up until just a few years ago, " Levitt said. " Let's say that in the
past you knew that a component would average a certain number of miles
before failure. Today, you can use sensors to see an impending failure and
then establish a plan for replacement.
" That helps achieve the ultimate goal of truly predictive maintenance and
the ability to use components for as long as possible and replace them for as
little cost as possible, " Levitt added. " It's why you should figure out the metrics
or indicators to track and decide which KPIs work best for your operation,
including those that may not always be obvious. "
For related content go to FleetMaintenance.com/shop-operations
Real-world service
management metrics
There are many service providers using KPIs to positively impact shop
operations. At PacLease, Willie Reeves, director of maintenance, related
specific areas of service management and their associated metrics:
* Shop throughput is an indication of asset downtime and can be determined
with the average number of days a unit has been down based on repair types.
* Technician proficiency is determined by taking standard repair times and
comparing them against actual clocked time on the job. This gives you each
technician's individual proficiency percentage and helps generate standards.
* Parts control, inventory, and costing require more in-depth KPIs. The total
inventory dollar amount as well as the number of each item currently on
hand is a start. Inventory turn metrics help determine which items to stock.
* Outside service provider repairs create a variable expense for the fleet.
Being able to track this cost for each unit helps provide valuable data
for determining your expected cost based on things such as unit type,
vocation, and application. Once the expected KPIs have been created,
managing not just this cost but the downtime in days becomes critical.
* Inspection and PM program accuracy measures in terms of " fix it right the
first time " rates and unscheduled repairs, which can help ensure quality PMs
are being performed. A related item is variable expenses due to breakdowns.
The higher your variable expenses, the lower your PM quality and accuracy.
Monitoring the total number of breakdowns, days the unit(s) has
been down, and even the revenue lost can generate KPIs for creating
standards, achieving the ultimate goal of reducing downtime.
Make sure the road
runs through your shop.
Build your business to fully service OTR vehicles
up to class 8 single- and multi -axle road tractors and trailers.
Scan or visit
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hunter.com/hd
See them in acti on at SEMA 2022.
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October 2022 | FleetMaintenance.com
35
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october2022

Table of Contents for the Digital Edition of october2022
