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As you refine your equipment costing structure, understanding how to properly track and categorize costs is paramount for transparency and effective asset management. In addition to the core elements of equipment costing—such as capital costs, operating costs, and depreciation—there are several specialized coding systems that help further break down and allocate costs. These systems, namely Job Codes, Component Codes, and Modifiers, are key to managing complex equipment repair, maintenance, and operational data. This blog post will provide a detailed exploration of these systems, based on our experience working with OEM’s, equipment dealers, and end users, as well as insights from Mike Vorster’s Fundamentals of Equipment Economics. Understanding Equipment Costing Beyond the Basics To ensure that your equipment costing structure provides a full picture of asset performance, it’s essential to dive deeper into the specialized coding systems that will allow you to track costs at a granular level. These coding systems offer a way to link specific activities, parts, and work orders to your overall equipment expenses. And while you may be drawn towards measuring everything to the finest detail, please remember to keep it simple. It is way to easy to make this complicated so ensure that it is something that your organization will use while creating value for the organization. Job Codes: Efficient Tracking of Labor and Service Tasks What are Job Codes? Job Codes are used to define specific types of work performed on equipment. These codes are crucial for categorizing labor and service tasks associated with maintenance, repairs, and installations. When setting up your equipment costing structure, it’s important to have a clear and standardized system for assigning job codes to each type of task. Common Job Code Categories While there are a couple hundred job codes that you could use ensure that these codes work for you and the level of complexity that your organization can handle. We recommend starting with 3 categories: Remove and Install: These codes are used to track costs associated with removing and installing major components or parts in your equipment. For example, if an engine needs to be replaced or a major transmission component needs to be removed, these job codes will help track the labor and associated costs. Repair or Maintenance: These codes track routine maintenance tasks and repairs. For example, "Oil Change," "Hydraulic Fluid Top-Up," or "Brake Repair" would each have distinct job codes. Proper classification ensures that these routine tasks are tracked and managed within the overall cost structure. Clean and Inspect: This is a catch all for various inspections, cleanings, and exploration of problems that need additional review before the repair can be completed. How to Set Up Your Job Code System Setting up a job code system involves creating a standardized set of codes that represent each type of task. It’s important to ensure that all workers, technicians, and users are trained to use these codes correctly to avoid misclassifications. The codes should also align with your accounting and asset management systems, so that costs can be seamlessly tracked and allocated to the correct equipment and work orders. Component Codes: Tracking Equipment Parts and Components What are Component Codes? Component Codes are used to track the specific parts or components of a piece of equipment. These codes provide detailed insights into what parts are involved in a repair, maintenance, or replacement process, and they help ensure that costs are accurately tracked at the part level. While you can definitely allow this list to grow into thousands of codes below is our recommendation for those getting started. Common Component Code Categories Component codes are assigned to key parts within an equipment asset, such as: Engine: Includes components such as the engine block, pistons, turbochargers, and valves. Regular maintenance involves oil changes, filter replacements, and diagnostic checks. Hydraulic System: Comprises hydraulic pumps, cylinders, hoses, and valves. Maintenance is crucial to prevent leaks and ensure optimal performance in lifting and operating equipment. Transmission: Encompasses components such as gearboxes and differentials. Regular inspections and fluid changes are necessary to maintain proper transmission function. Electrical System: Includes batteries, wiring, alternators, and starters. Maintenance focuses on preventing electrical failures through testing and replacing faulty components. Fuel System: Consists of fuel tanks, filters, injectors, and pumps. Regular fuel filter changes and system cleaning are vital to ensure optimal engine performance. Cooling System: Comprises radiators, water pumps, thermostats, and hoses. Maintenance involves checking for leaks, coolant levels, and regular flushes to prevent overheating. Undercarriage/Tires: Involves components such as tires, tracks, rollers, idlers, and sprockets on tracked vehicles. Regular inspections and adjustments help prevent wear and ensure proper alignment. Ground Engaging Wear Items (not UC): Involves components such as cutting edges, bucket teeth, and wear plates. Regular inspections help prevent excessive wear into mole boards, buckets, and shanks. By assigning a unique component code to each part, you can easily track its lifecycle costs and performance. Whether you’re managing a single component replacement or tracking a series of repairs across multiple pieces of equipment, these codes allow you to evaluate part usage and make informed purchasing decisions. How to Set Up Component Codes Creating component codes involves assigning unique identifiers to each part or system within your equipment. It’s important to make sure that your component codes align with industry standards, as well as your internal inventory and accounting systems. You may want to work with your equipment manufacturers or suppliers to ensure that your component codes match those used in warranty tracking and spare parts purchasing.

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Gauge Telematics is excited to announce the appointment of Mike Kucharski as the new Vice President of Sales and Marketing. With his extensive experience and deep industry knowledge, Mike is poised to lead the company into a new era of growth and innovation. Michael Paredes, CEO of Gauge Telematics, shared his enthusiasm about Mike joining the team: "Mike Kucharski is an industry expert in the heavy equipment and telematics space. His extensive background and proven track record make him the perfect fit to drive our sales and marketing strategies forward." Mike brings with him a wealth of experience, having worked with some of the top companies in the heavy equipment and telematics industries. His expertise spans various aspects of the field, from sales and marketing to customer relations and strategic planning. This experience is crucial as Gauge Telematics continues to expand its market presence and enhance its product offerings. Paredes further emphasized Mike's unique approach to business: "Mike has a remarkable ability to quickly implement brand and sales strategies that drive growth while retaining Midwest-style customer service. This balance is essential as we aim to expand our reach without compromising on the quality of service our customers have come to expect." In line with this new leadership, Gauge Telematics is reinforcing its commitment to providing cutting-edge solutions for connected job sites. Mike will be spearheading this initiative, ensuring that the company’s offerings align with the evolving needs of the industry. His leadership will be instrumental in advancing the company's goals of enhancing operational efficiency, improving safety, and streamlining workflows through innovative telematics solutions. Gauge Telematics has been at the forefront of Maintenance 2.0, offering advanced features designed to revolutionize maintenance practices across industries. With a focus on mobile-friendly design, real-time information access, and streamlined workflows, Gauge Telematics empowers businesses to optimize their operations. Key features such as the ability to consolidate multiple maintenance requests, highlight critical events, and utilize enhanced sorting and filtering capabilities, set the stage for unparalleled efficiency in maintenance operations​​​​. Under Mike's guidance, Gauge Telematics aims to build on these strengths and continue to innovate, providing customers with the tools they need to succeed in an increasingly connected world. The company is excited about the future and confident that Mike's leadership will drive significant growth and success. For more information on the fundamentals of a connected job site and how Gauge Telematics is leading this initiative, please visit our website here .

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Gauge worked on the DOE Super Truck II trailer.