City of Kitchener increased fleet availability by $190,195 a day
Lean review of Kitchener's fleet repair and maintenance: 10% less downtime, worth $190,195 a day in fleet asset availability and 3,792 hours.
The challenge
Divisions including Roads and Traffic, Parks and Cemeteries, Gas and Water, Sanitary and Stormwater, and Facilities Management depend on the City's fleet, and the number of days vehicles were out of service had been a recurring complaint. Overdue preventive maintenance and inspections were the largest contributor to downtime, averaging over three days, with parts unavailability the second driver. The maintenance and parts system was largely paper-based.
The approach
Leading Edge interviewed managers and supervisors in seven divisions in August and September 2019 and analyzed the City's downtime and parts purchasing data. After a project orientation and Lean training session, two value stream mapping workshops were held, one with fleet mechanical and user groups and one with fleet mechanical and the parts team. The analysis found, for example, that special order parts were 11% of the value of parts on hand but generated 51% of purchasing activity, and it set out recommendations for the stockroom, fleet and user communication, supplier performance and IT systems.
The result
The review sets out 10% less downtime, worth $190,195 a day in fleet asset availability, and 3,792 hours of operator productivity a year. These figures are drawn from the City's 96.46% fleet uptime baseline and its downtime data for 2019.
How it holds
Before the report was issued, the City had begun work on a method for measuring parts lead times by supplier and was preparing to launch an electronic tracking tool for special order parts, replacing the paper-based process and giving fleet staff a live view of expected delivery dates.
Results
What changed
| Measure | Before | After | Change |
|---|---|---|---|
| Fleet uptime baseline | 96.46% | ||
| Fleet downtime | 3.54% | 10% less | |
| Daily fleet asset availability | $190,195 a day | ||
| Operator productivity | 3,792 hours a year |
Source: Fleet Downtime Lean Review, City of Kitchener, prepared by Leading Edge Group, December 18, 2019
FAQ
Common questions
The review found that overdue preventive maintenance and periodic commercial vehicle inspections were the largest contributor, averaging over three days out of service, and that parts unavailability was the second driver. Gaps in communication between fleet mechanical, user groups and parts supply, and a largely paper-based system, added to delays.
The City's fleet assets had a purchase value of $53,727,610 and a downtime rate of 3.54%, so about $1,901,950 of assets were out of service at any given time. A 10% reduction in downtime equals $190,195 a day in fleet asset availability, as set out in the review.
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