CECE gives background on release of new telematics tracker

Telematics data has become a key factor for OEMs in analysing construction activity and performance – most of all in times of crisis when sales slow down. Most manufacturers track their own fleets and have a good overview of the work their machines perform for the end user in the field.

However, gathering telematics data on an industry-wide level also becomes a good indicator of machine utilisation in the sector and can therefore help to anticipate future market developments.

CECE Digitalisation Task Force came up with the initiative to collect anonymised, aggregated data from construction equipment OEMs and develop a new market intelligence indicator within CECE. In early 2021, the idea of a “CECE Uptime Tracker” took shape and was also approved by the CECE Board.

Kicked off by a newly formed Working Group in the second semester of 2021 through a pilot project of limited duration and scope, the CECE Uptime Tracker exclusively involved OEMs from the earth-moving product group.

A critical mass of participants with a connected fleet of sizeable importance was crucial for the success of the pilot project. By the end of the pilot project and towards its official launch, the CECE Uptime Tracker reached the goal of 400,000 connected machines working in Europe that are being tracked every month by the participating OEMs.

The framework conditions set were that data reporting and output would be monthly, product segmentation would be done between compact and heavy machinery and the European market would be considered as one.

The pilot project was meant to serve as a basis to validate possible further extensions and improvements in all three categories. It should also attract more OEMs to participate to set the results on a wider data basis – with the agreement of the CECE Secretary General, after consulting the Uptime Tracker Working Group.

Task definition

The input reporting contains:

• The number of machines in the connected & transmitting population (1)
• The number of machines in the working population (2)
• The number of working hours for the entire population of working machines (3)

With regards to data points (1) and (2), the Uptime Tracker Working Group has agreed on common definitions and criteria to be applied by OEMs to standardise reporting as much as possible.

The data output – aggregated over all participants – contains:

The activation rate =(2):(1)

The average working hours =(3):(2)

On regular basis, aggregated absolute numbers may be communicated to show the representative character of the sample. It is also possible to retrieve data outputs with flexible time periods.

Technical framework

The project runs on VISTA, a database software solution that is also used as the data collection platform for other CECE statistical programmes. It is deemed to allow several functionalities with minimal manual interventions.

A short onboarding period is allowed for OEMs to refine their internal data system and align them with the reporting system, in addition to basic familiarisation with the VISTA platform. Access to the platform for reporters is password protected.

All data handlers are covered by confidentiality principles and non-disclosure agreements, by virtue of their work on other statistical programmes within CECE’s perimeter.

With regards to competition law, the critical mass of participating OEMs and the size of the connected fleet constitute a guarantee that no individual company data can be derived from the data output. The same argument goes for data protection and privacy.

Outlook

The success of the pilot phase allowed the Committee in mid-2022 to develop the project into a permanent CECE project. Of course, further success mainly depends on the commitment of the participants. Interested parties can contact the CECE office in Brussels by e-mail (info@cece.eu).

In a next step, adding geographical granularity will be a priority for the project. This could mean breaking out European regions and maybe even separate countries. Furthermore, segmentation by individual products within the earthmoving sector is in discussion.

The Uptime Tracker was officially presented to the public at the CECE press conference on 26 October at Bauma in Munich. The CECE team and its members are particularly excited as the Uptime Tracker closes a gap between sales statistics which take a look back and sentiment surveys like the CECE Business Climate Index that points to the future.

In any case, this is the first time there has been such a project at the industry association level. Which is also why CECE is looking forward to the promising future of this project