The covid-19 outbreak has exposed several challenges for the construction sector. While some of us in construction are still building temporary hospital wards, installing complex and life-saving oxygen systems, and building the infrastructure that society needs to function, others have shut down.
While we see a slight rise in our Downtime Index, the number of active machines keeps declining. This means that less machines are getting more work done. During these times, availability of services across OEMs, rentals and contractors provides an opportunity to focus on getting the general health of machines into a better state.
Downtime Index Explained
The Downtime Index compiles weekly harmonized engine utilization changes. Engine utilization is defined as voltage activity on a machine’s alternator. We express the changes as index numbers to allow for quick international comparisons. The index starts at week 4 and is referred to as the base week. In subsequent weeks, percentage increases push the index number above 100, and percentage decreases push the figure below 100. An index number of 102 means a 2% rise from the base week, and an index number of 98 means a 2% fall. The underlying data comes from a fully anonymized cohort of approximately 150,000 off-highway construction machines in Europe and North America with high densities in France, Germany, Denmark and the US (40% all together).
Week 14: Less Machines Are Getting More Work Done
The 6% increase of the Downtime Index from week 13 to 14 indicates that machine utilization is surprisingly going up after 2 weeks of steady decline. In week 14, the Downtime Index slowly climbs up and almost hits the 78th mark. However, this still means that machines are now utilized 22% less compared to what we’d expect and a considerable 25% less compared to 2019.