Economics Model Selection for Truck Maintenance Costs Reduction; Agricultural Truck Case Study
Keywords:
PDCA model, SWOT analysis, Payback period, Net present value method, Internal rate of return methodAbstract
Maintenance costs are high then impact to the total cost of transportation. Thus, the objective of the study was to define and decide the economic model of trucks maintenance cost reduction. A sample of this case study was from 284 agricultural trucks. Research methodology follows the Deming cycle: PDCA model that is a tool to improve productivity. This research started by Check - Action - Plan – Do. The first checking step was defined the maintenance cost by 9.20 baht, but the management set the target by 7.54 baht. Therefore, in the action phase found the gap between the target and current situation and then SWOT analysis was to plan a short term and long term plan. The next, definition of three economic model were (1) replacement with new trucks (2) in-house maintenance and (3) outsource with the ratio of 20:80. The result of analysis illustrate that NPV of model 2 was better than model 3 and 1. Finally was selected in Do phase model 2 that could make profit by 7,894,991.32 baht.
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