Inside Eliminate Downtime

This is an unprecedented time for all of us. The effect that COVID-19 has had on businesses, people and communities was unforeseen. We are experiencing unplanned downtime, to a very high degree. To measure exactly how much the construction industry has been affected by the pandemic, we, at Trackunit, have developed the Downtime Index. The index illustrates the changes in weekly engine utilization of around 150,000 off-highway construction machines in Europe and North America. Much of the data (40%) comes from the United States, Denmark, Germany and France. Using this index will allow us to see how much and when the construction industry has been affected by the coronavirus.

The graph above depicts the Downtime Index, where we can identify a large change in utilization following week 11. By week 14, however, we see a 6% increase in the Downtime Index. Meaning that after two weeks of gradual decline, machines are now being used more. However, the utilization still lies 22% below what we would have expected, and 25% below the utilization we experienced in 2019. Interestingly, if we look at the machine activity, there is a 2% fall from week 13. Indicating that less machines are being used more frequently at the construction sites. This could mean that a more general construction machine is now being used for a variety of tasks. To take a closer look at the Downtime Index and specifically week 14, check out this blogpost. The question still lies in how we can take advantage of this situation. What can we do in this time of unplanned downtime to better ourselves, our businesses and the communities we live in? The Downtime Index can help organizations leverage downtime. Workers in areas where construction sites are shut down, can use the time to acquire new skills and prepare themselves for the other side of the pandemic. OEMs can set their sights on long-term R&D, instead of looking to make quick fixes in the short-term. And rental companies can get a better understanding for the demand of their machines based on geographical location, thereby allowing them to optimize their machine allocation services based on data.

COVID-19 will have a grave impact on all of us. But it is how we respond to this impact that will determine what lies ahead. This month I wanted to share some reads on how leaders are showing resilience in these times and how this pandemic is leading to a higher digital divide.

This Month's Key Questions:

How can the construction industry take advantage of this unplanned downtime?
What traits are important in a resilient leader?
How can traditional businesses minimize the digital divide to the inherently digital organizations?

KEEPING INNOVATION ALIVE

MIT Sloan Management Review: "Managing the Flow of Ideas in a Pandemic"

While many decisions on potential ideas are made during hallway conversations or coffee breaks, this is no longer a possibility. Organizations will have to find new ways in which the flow of ideas will remain constant to keep innovation going. This article from the MIT Sloan Management Review, highlights different ways in which organizations can keep the spark alive. The author describes how data can be used in the workplace to determine effective pathways of communication and how they can be altered to become most effective. Of course, this is difficult to implement for many organizations but the idea is to get an understanding for how people within the organization are communicating and how this can be tweaked to become most efficient and effective. The article goes on to describe the importance of sharing ideas for the organization but also the personal lives of the people working there. This is a great read on how organizations can keep innovating in these difficult times.