Know your Key Performance Indicators in Rental Management

By Chris Aiello | Business Development Manager at TVH Parts Co. As the calendar turns to December, it’s hard to believe that it’s been over a year now since becoming a regular contributor in this Aftermarket column. In last month’s edition, I wrote about the topic of relational capital; the intangible asset that encompasses the network of relationships you build with your customers, partners, and employees. My personal relational capital has allowed me to regularly get inspiration for content to contribute to this monthly column. So, with that, this month’s inspiration came from my attendance at the recent MHEDA Rental and Used Equipment Management Conference in Chicago. The goal of the conference was not only to enhance rental and used equipment management skills, but also to increase the profitability of said departments. A common topic shared after speaker presentations and during round-table discussions was the topic of having dedicated technicians for your rental equipment. Let us further explore this topic. Many dealerships I visit tend to have a dedicated rental equipment department. The rental department managers are responsible for making the service and parts decisions for the equipment within. Many of the rental management professionals I spoke to at this conference shared the same sentiment: When it comes to managing a rental fleet, where efficiency and reliability are paramount, the role of dedicated technicians cannot be overstated. Whether your dealership rents forklifts, construction equipment, or any other type of machinery, having a team of specialists solely focused on maintaining and servicing your rental fleet can be a game-changer. Three important rental management KPIs that are related to aftermarket parts and service include: Maintenance Costs: Monitoring the expenses related to maintaining your rental fleet. Costs include technician labor, spare parts, as well as any other 3rd party maintenance costs. Regular maintenance can extend the lifespan of your equipment and reduce long-term costs. READ FULL ARTICLE >>