Cost Objective Model for Construction Equipment Replacement Policies

Autores/as

  • Raji Al-Ani Professor in Civil Engineering
  • Annas Al-Saadie

Palabras clave:

Plant Management, Construction Management, Site Management, Resource Management

Resumen

Most construction companies, particularly companies whose projects are primarily constructed with earthmoving equipment, depend heavily on their construction equipment fleets, which represent substantial locked capital investment and require acceptable utilization levels to recover expenses incurred and losses from this investment. The equipment, which possesses a finite physical and economic life, inevitably requires replacement, and equipment maintenance costs increase with the equipment life. Different methodologies are employed to establish the replacement schedules of construction equipment, including a cost optimization model that identifies the best schedule for optimizing (minimizing) expenses. This paper investigates the mechanics of one of the most widely used replacement analysis theories and its implementation in a practical and simple mathematical cost optimization model. This research develops an objective function, which utilizes data sheets provided by equipment manufacturers that can be applied to any type of heavy construction equipment. A Matlab program was employed as a decision-making computer-aided tool to assist the project manager or the procurement department in setting the replacement policies for the company projects. Keywords: construction equipment, earthmoving equipment, optimization model 

Biografía del autor/a

  • Raji Al-Ani, Professor in Civil Engineering
    Professor in Construction Engineering and Management

Descargas

Publicado

2014-07-03

Número

Vol. 4 Núm. 2 (2014)

Sección

Research Articles

Licencia

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