Business Models – Quickest Time to Value

Admar is the largest independent construction equipment rental and supplies provider across New York, Ohio and Pennsylvania. With a 47-year history, the company understands what the market needs and takes prides in the customer experience it provides.

Downtime has many meanings, and to Admar, it is equipment off-rent. Assets that for whatever reason; service, damage, or in-transport, and not in stock or on-site earning income.

Coming into the busy season, it was noticeable that too much equipment was not available to rent and so an investigation took place. The deeper the review, the wider the problem became. Five key causes were unearthed; equipment serviced only when needed, siloed responsibilities, long standing work-arounds, no KPIs in place and management had limited focus on the problem.

Customer satisfaction is key to Admar, therefore it was essential to reduce downtime, not only to increase the opportunity to say ‘Yes’ on machine availability, but also to increase turn-around on equipment returns, which leads to improved utilisation of stock. Increased availability also reduces the need for additional fleet and releases revenue needed for other expenditure.

Admar achieved its objectives by implementing a set of processes which involved management and staff across all departments collaborating and taking ownership of their activity. Setting KPIs and providing objectives to management and staff has encouraged communication and led to more consistent management decisions. Equipment is now reviewed on return to assess the maintenance required and scheduled into the shop to ensure maximum availability.

The company reduced downtime by 30 percent, which is a multi-million-dollar improvement in rental revenues. New Downtime Projects include introducing technology to support the process, and a field service review to eliminate downtime in the current manual process.