Digital Solutions Case Study
Probox OnDemand™ Solves Tool Loss for Mechanical Contractor
IoT tool tracking solution takes visibility and accountability to the next level.
Summary
A large mechanical contractor resolved issues of tool loss, hoarding, and borrowing on a high-rise project by adopting United Rentals' ProBox OnDemand, an automated tool tracking solution. The system improved accountability, eliminated tool loss, saved costs, and provided valuable utilization data, leading the contractor to expand its use and transition to a rental-based tool management model.
Challenge
Rampant tool loss, hoarding, and the borrowing of tools led to increased costs for replacement tools and reduced productivity when workers lacked the necessary equipment.
High rates of tool loss are common, and they impact the bottom line, especially as profit margins continue to shrink. One large mechanical contractor was exceeding its tool budget on a large, 28-story high rise building project when it turned to United Rentals for help.
The problem: Rampant tool hoarding, loss and “borrowing”
Hoarding, failure to return tools at the end of shifts and “borrowing” by other trades forced the contractor to keep purchasing replacement tools. In addition, productivity suffered when workers didn’t have the necessary tools at hand.
The contractor needed a remedy, but one solution it piloted, from a well-known tool manufacturer, wasn’t working well. Managers found it unwieldy and frustrating, and tools were still going missing.
Automated rental tool tracking solution
United Rentals offered a different approach: a novel, fully automated probox and tracking solution called ProBox OnDemand. Rental tools from any manufacturer are affixed with Bluetooth tags and stored in the unit, which is equipped with a telematics gateway that reads each tag and knows exactly what tools are inside. An assigned PIN code or badge swipe is required to enter the ProBox OnDemand. When a tool is removed, the system knows not only what tool was removed but also who removed it.
As the tool moves around the jobsite, its location is tracked by telematics devices installed on nearby equipment, or by gateway devices added to strategic areas of the jobsite. These devices read the tool’s Bluetooth tag and report the location.
At the end of the day, workers return the tools to the ProBox OnDemand, and the software platform provides a report listing all transactions, with timestamps, and which tools, if any, are missing.
“The customer knows if their assets made it back to the box, and if not, who was responsible for removing that asset,” said Cindy Jaromillo, regional product development manager at United Rentals.
The culture at the company has shifted as a result. “The workers are bringing tools back every day now because they understand the importance of returning them,” said Jaromillo.
100% accurate results
During the first 159 business days of the pilot, zero tools were lost. Ten minutes after the end of shift on day 164, the contractor and United Rentals received an emailed alert that 13 assets did not make it back into the ProBox OnDemand. Thanks to GPS tracking, 10 of the assets were found in an electrician’s toolbox the next morning. One of the contractor’s employees had the other three.
No more tools were “borrowed” after that point. Recovering the tools saved the contractor roughly $5,000 in tool loss.
“Extreme success”
“The feedback we’ve received has been nothing short of extreme success,” said Jaromillo. After the first six weeks of the pilot, the contractor sent the other solution packing and requested 40 more ProBox OnDemand units from United Rentals for other jobsites.
The United Rentals team worked closely with the customer to refine the offering to suit their needs. Upgrades included internal lighting, locking casters on the wheels and built-in electrical outlets for charging tools, radios, phones and laptops while they’re stored in the box.
Thrilled with the solution, the contractor is planning to move to a tool rental model, even at its home office.
“The company no longer has any interest in owning assets and being responsible for repair, maintenance or storage costs,” said Jaromillo.
One more key benefit of the solution for the customer was the ability to run reports on utilization and spending. Through these reports, the general foreman could see, down to the penny, how much was spent on which tools and how heavily the tools were used over the course of the craft curve. This data will help inform the tooling plans and budgets for future projects.