Tips to Help Cut Construction Losses in 2021

As the country continues to navigate through the economic and health crisis that hit in 2020, this construction industry is optimistic about the economic recovery and future business growth. But knowing that meaningful change is still several months away, many in the construction industry are making adjustments to how they approach asset management that has increased revenue by cutting or drastically reducing potential losses.

Here are three ways to help cut losses and increase revenue in 2021!

Loss Due to Equipment Downtime

The cost of downtime is high for companies averaging about $260,000 per hour across most industries. Most companies have a goal of zero unplanned downtime, but 82% of companies experience unplanned downtime each year, lasting for 4 hours on average. The leading reason for equipment downtime is that companies are not aware of when equipment needs service or do not have a preventative maintenance schedule.

Cut this loss with complete asset visibility. Equipment management software can drastically minimize the threat that downtime has on a firm’s profitability. Asset Management allows users to schedule and complete maintenance tasks based on several different variables, such as elapsed time or engine hours. As maintenance milestones approach, notifications are generated and sent to the responsible parties.

Loss Due to Theft

An industry study reported that $300 million to $1 billion is lost annually nationwide due to construction theft, and only 23% is recovered. The number of thefts in the construction industry has grown annually by 10% and has shown signs of stopping.

Cut this loss with GPS Tracking technology. Surveillance and gated sites only provide a limited amount of relief since workers initiate many construction-related thefts. GPS Tracking allows parameters to be set and gives real-time alerts when equipment is taken outside the construction site. A company with this digital technology will have access to information anytime, anywhere, from any mobile device. Cutting down equipment costs due to theft will help keep money in revenue rather than replacement.

Loss Due to Lack of Inventory Visibility

One company reported that they spend 1-2 hours per day walking the equipment yard to count available equipment; if any equipment is missing, then a staff member will spend another hour or more contacting other sites to locate that equipment. That is nearly 40% of a workday not generating revenue!

Cut this loss with enterprise asset management. A daily search may be fun in other industries, but it means a delay in production for the construction industry. Digitizing a company’s asset tracking saves money, increases productivity and efficiency. The right enterprise asset solution gives fast access to inventory and quicker response in the field. With tags that communicate GPS coordinates via LTE, BLE, and Satellite, companies have several different options to connect available equipment to job sites.

Discover total visibility that fits in the palm of your hand.

The value of your construction equipment far exceeds the cost. It isn’t impossible to keep your eyes on what matters most to your business with Enterprise Asset Management. With the Apptricity cloud-hosted Asset and Inventory Management solutions, users gain complete visibility into their tools and equipment’s location and condition. Applications for desktop, tablet, and mobile ensure that the solution moves in sync with the project, maximizing assets’ value, and keeping projects under budget.

Apptricity is the leader in global real-time asset management and provides continuous asset tracking and supply chain solutions with the most secure, accurate, and dependable asset monitoring and data intelligence available.

Contact Us for More Information

You may also like:

Subscribe to our newsletter to receive updates

Connect With Us On Social!