IBM > Case Studies > Consolidated Contractors Company: Generating million-dollar cost savings by improving the performance and utilization of assets

Consolidated Contractors Company: Generating million-dollar cost savings by improving the performance and utilization of assets

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Customer Company Size
Large Corporate
Region
  • Middle East
Product
  • IBM Maximo for Transportation
Tech Stack
  • IBM Maximo
Implementation Scale
  • Enterprise-wide Deployment
Impact Metrics
  • Cost Savings
  • Productivity Improvements
Technology Category
  • Functional Applications - Fleet Management Systems (FMS)
Applicable Industries
  • Construction & Infrastructure
Applicable Functions
  • Logistics & Transportation
  • Maintenance
Use Cases
  • Predictive Maintenance
  • Asset Health Management (AHM)
  • Fleet Management
Services
  • System Integration
About The Customer
Founded in 1952, Consolidated Contractors Co. (CCC) is one of the largest construction companies in the Middle East and ranks among the top 20 contractors worldwide. The firm generates annual revenues of around USD5.3 billion, employs approximately 130,000 people, and manages projects based in more than 40 countries all over the globe. After the 2008 economic crisis, the construction market crashed, forcing established players like CCC to cut costs and boost revenues to maintain their market share against new competitors from the Far East.
The Challenge
After the 2008 economic crisis, the construction market crashed, forcing established players like Consolidated Contractors Co. (CCC) to cut costs and boost revenues to maintain their market share against new competitors from the Far East. CCC recognized the need to become a flexible, highly dynamic business and set out a 2020 vision of operating smarter construction sites supported by cutting-edge Internet of Things technology. Specifically, it targeted improvements in the management and utilization of its equipment, since these factors have a major influence on the total costs of completing each construction project. To pinpoint areas for improvement, CCC needed a clear view of equipment availability, health, status, location, and maintenance costs, which its existing IT systems and paper-based processes were unable to provide.
The Solution
CCC deployed IBM® Maximo® for Transportation software, a solution designed to help large companies optimize the performance and management of their assets. CCC staff based at construction sites all over the world record the status, location, and maintenance details of each asset directly in the Maximo solution, which manages more than 16,500 pieces of equipment worth a total of USD1.2 billion. The solution plays a pivotal role in helping CCC reduce the costs of equipment transport and maintenance, maximize asset availability, enhance utilization, and ensure that any equipment it purchases is available for as long as possible.
Operational Impact
  • CCC has an accurate view of asset-related expenses, such as the costs of spare parts, fuel and upkeep.
  • CCC can accurately plan its global operations in great detail to ensure that it has each piece of equipment on-site when it will need it to avoid delays as we wait for a repair or replacement.
  • CCC can delve into the maintenance history of each item, predict when it is likely to fail, and either schedule maintenance or purchase a replacement to avoid downtime.
Quantitative Benefit
  • Reduced operational expenditure per asset by USD1100
  • Achieved total savings across its global business of USD15 million per year

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